NYSE$EXP

Eagle Materials Inc. · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Eagle Materials reported record revenue and earnings for Q4 2021, driven by strong performance in both Heavy and Light Materials segments.

Eagle Materials Inc. reported record revenue of $343 million for Q4 2021, a 12% increase compared to the prior year. Net earnings were $66 million, down 9% from the previous year, and diluted earnings per share from continuing operations were $1.56, a 7% decrease. The company's performance was affected by a severe winter storm in February 2021, which impacted cement and light materials operating earnings.

  • Record Q4 revenue of $343 million, up 12% year-over-year.
  • Net earnings of $66 million, down 9% year-over-year.
  • Diluted earnings per share from continuing operations of $1.56, down 7% year-over-year.
  • Cement revenue increased 17% to $171.0 million, while Gypsum Wallboard and Paperboard revenue increased 15% to $176.9 million.

Headline financials

Total Revenue

$343M

Previous: $315M+8.8%
EPS (adj)

$1.56

Previous: $1.28+21.9%
Concrete Avg Net Sales Price

$115.30

Previous: $113.46+1.6%
Aggregates Avg Net Sales Price

$9.39

Previous: $9.50-1.2%
Gypsum Wallboard Avg Price

$161.07

Previous: $146.62+9.9%
Paperboard Sales Volume

82.0K

Previous: 79.0K+3.8%
Paperboard Avg Net Sales Price

$481.40

Previous: $457.13+5.3%
Cement Avg Net Sales Price

$112.77

Previous: $111.09+1.5%
Gypsum Wallboard Volume

706.0M

Previous: 684.0M+3.2%
Capital Expenditures

$8.39M

Previous: $48.1M-82.5%
Free Cash Flow

$92.7M

Previous: $30.6M+202.6%
Net Income

$66M

Previous: $72.4M-8.9%
Operating Income

$87.9M

Previous: $55.1M+59.5%
Gross Profit

$69.8M

Previous: $63.9M+9.3%
Cash & Equivalents

$264M

Previous: $119M+122.1%
Total Assets

$2.84B

Previous: $2.96B-4.1%
Stock-Based Comp

$3.24M

Previous: $3.42M-5.3%

Revenue & EPS history

Eagle Materials · Revenue · Quarterly

$343M

Q4 2021+8.8%vs Q4 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Eagle Materials · $343M total across 4 segments · Q4 2021

  • Cement (Wholly Owned)
    $142M-3.1%
  • Gypsum Wallboard
    $142M+11.2%
  • Concrete and Aggregates
    $34.8M-11.9%
  • Recycled Paperboard
    $24.4M+4.0%

Forward guidance

Eagle Materials is well-positioned geographically and financially, with ample raw material reserves to capitalize on the underlying demand fundamentals that are expected to support steady and sustainable construction activity growth over the near and long-term. The company remains confident in its prospects for continued growth and sustainable value creation for all shareholders.

Tailwinds

  • Strong operating cash flow enabled reduction of leverage to under 1.5 times net debt-to-EBITDA.
  • Ample raw material reserves to capitalize on the underlying demand fundamentals.
  • Expected to support steady and sustainable construction activity growth over the near and long-term.
  • Streamlined business portfolio including the divestiture of its Oil and Gas Proppants business and other non-core assets.
  • Reinstatement of quarterly dividend reflects strong operational and financial performance.

Headwinds

  • Severe winter storm during February 2021 had a significant impact on Texas and the broader Southern United States.
  • Cement facilities in Texas, Missouri and Oklahoma were forced to curtail production during the storm and energy prices spiked.
  • Estimated storm's impact on Cement operating earnings was approximately $6 million primarily due to higher costs during the quarter.
  • Oklahoma paper mill was forced to curtail production during the week of the storm and also experienced higher energy costs during the shutdown.
  • Wallboard shipments were significantly affected by the harsh winter conditions.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2021

Historical avgQ4 2021

+1.2%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+2.5%

Avg return

30 days after

59%

39 / 66 earnings

Positive

+12.2%

Q2 2019

Best reaction

-8.9%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+1.7%+1.6%+14.3%
Q3 2026-2.9%+0.8%+2.7%
Q2 2026-8.0%-10.6%-4.0%
Q1 2026+2.8%-0.2%+4.3%
Q4 2025-8.9%-11.4%-19.2%
Q2 2025-0.2%-0.5%+5.8%
Q1 2025+9.5%+2.0%+2.4%
Q4 2024-7.1%-7.3%-15.6%
Q3 2024+4.1%+10.3%+19.9%
Q2 2024-2.9%+1.2%+17.9%
Q4 2023+4.1%+3.8%+6.1%
Q3 2023-2.5%+0.9%-4.1%
Q2 2023-1.0%-0.2%+9.8%
Q1 2024+0.4%-2.1%-2.8%
Q1 2023+0.4%-2.1%-2.8%
Q4 2022-1.2%+1.3%-11.2%
Q3 2022+0.7%+3.2%-3.9%
Q2 2022+7.5%+12.9%+15.4%
Q1 2022+7.0%+5.5%+17.7%
Q4 2021-4.0%-1.8%-7.8%
Q3 2021+1.5%+6.8%+15.7%
Q2 2021+2.7%+11.1%+12.0%
Q1 2021-1.0%+1.6%+4.1%
Q4 2020+5.5%+10.7%+22.8%
Q3 2020-1.1%-7.0%-11.6%
Q2 2020+3.4%+1.5%+0.4%
Q1 2020-5.4%-6.3%-4.4%
Q4 2019+3.2%+3.4%-0.6%
Q3 2019+2.6%+6.5%+11.1%
Q2 2019+12.2%+17.8%+11.3%
Q1 2019-8.3%-8.0%-13.7%
Q4 2018+1.8%+3.4%+6.1%
Q3 2018-4.1%-10.4%-13.8%
Q2 2018-3.9%-4.2%-4.1%
Q1 2018-0.7%-0.6%-5.1%
Q4 2017+3.4%+2.8%-2.6%
Q3 2017+7.3%+4.5%+1.3%
Q2 2017+3.1%+4.0%+23.2%
Q1 2017+2.4%+0.0%-0.5%
Q4 2016-4.0%
Q3 2016+11.8%
Q2 2016+1.1%
Q1 2016+3.0%
Q4 2015-5.3%
Q3 2015+4.1%
Q2 2015+0.7%
Q1 2015+7.3%
Q4 2014-0.1%
Q3 2014-1.8%
Q2 2014-2.6%
Q1 2014+1.6%
Q4 2013+3.8%
Q3 2013-2.6%
Q2 2013+9.9%
Q1 2013+12.2%
Q4 2012+4.4%
Q1 2010-0.1%
Q4 2009-0.1%
Q1 2012+2.7%
Q4 2011+1.0%
Q3 2010+1.1%
Q3 2011+1.1%
Q2 2011+1.9%
Q2 2010+1.9%
Q1 2011-0.6%
Q4 2010-0.6%

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