Builders FirstSource reports sales gain

Dallas, Texas-based Builders FirstSource reported first quarter sales of $1.5 billion, up 9.7% from the same quarter last year.

Net sales for the quarter ended March 31, 2017 were $1.5 billion, a 9.7% increase over net sales for the first quarter of 2016.

Net income for the quarter was $3.8 million, compared to a net loss of $17 million in the same quarter last year.

CEO Floyd Sherman said the strong start to the year outpaced single-family starts.

"Our quarterly sales volume growth in the repair and remodeling end market was 6.4%," he said in a prepared statement. "Additionally, our investments in manufacturing capacity are driving returns, with sales of our manufactured products growing 15.1% over the first quarter of 2016.  We continue to increase our focus and allocate resources toward market share expansion and growing sales of higher margin value-added products across our national network.”

The company pointed to progress in efforts to de-leverage, and CFO Peter Jackson said Builders FirstSource is on track to generate $145 million to $155 million of free cash flow in the year.

Sherman said he was confident the company could grow sales and market share. "We believe we have the team, the scale, the national footprint and manufacturing capabilities, the liquidity, and the expansive product offerings to create superior shareholder value," he said.