Eagle Materials moves ahead in Q2

Eagle Materials Inc. reported what it deemed "record revenues" of $332.7 million in the second quarter, a 1% increase over last year's performance.

Net earnings for the three months ended Sept. 30 were $60.2 million, nearly double what they were last year. However, last year’s second quarter results include an impairment charge of $37.8 million.

Eagle’s construction products and building materials businesses performed well during the quarter, with the Cement business reporting record second quarter operating earnings of $50.7 million.

Cement sales were up 1%, while revenues for Concrete and Aggregates rose 7%. Gypsum Wallboard and Paperboard revenues rose 6%. The Oil and Gas Proppants segment took a hit of 64%, however, reflecting a 45% decline in frac sand sales volumes.

Eagle also entered into an agreement with a subsidiary of CEMEX S.A.B. de C.V. ("Cemex") to purchase Cemex’s Fairborn, Ohio cement plant for $400 million. Eagle expects that the acquisition will increase its U.S. annual cement capacity by approximately 20% to nearly 6 million tons. The transaction is expected to close in the fourth quarter of calendar 2016.