9 Months Net Profit Up By 93%

February 7, 2013 — Burnaby, BC  Taiga’s 9 Months Net Profit Up By 93%

Taiga Building Products Ltd. (“Taiga” or the “Company”) today reported its quarterly results for the three and nine months ended December 31, 2012.

Three Months Ended December 31, 2012
The Company’s consolidated net sales for the quarter ended December 31, 2012 were $247.7 million compared to $203.1 million in the same period last year. The 22.0% increase in sales was largely due to higher commodity prices and stronger U.S. demand. 

Gross margin for the quarter ended December 31, 2012 increased to $21.4 million from $18.6 million in the previous year’s quarter. Gross margin dollars increased due to overall higher commodity prices compared to last year. Gross margin percentage for the 
quarter declined to 8.6% compared to 9.2% in the same period last year due to commodity price volatility and growth in sales of lower margin commodity products as a proportion of total product mix.

Net earnings for the quarter ended December 31, 2012 were $0.4 million compared to $1.7 million net loss for the same period last year.

EBITDA for the quarter ended December 31, 2012 was $7.1 million compared to $4.8 million last year, an increase of 47.9%.

Nine Months Ended December 31, 2012
The Company’s consolidated net sales for the nine months ended December 31, 2012 were $873.1 million compared to $744.6 million in the same period last year. The 17.3% increase in sales was largely due to higher commodity prices and stronger U.S. demand.

Gross margin for the nine months ended December 31, 2012 increased to $81.0 million from $73.3 million in the previous year. Gross margin percentage for the nine months declined to 9.3% compared to 9.8% in the same period last year. Gross margin dollars 
increased due to higher commodity prices while gross margin percentages decreased as the growth in sales of commodity products outpaced higher margin products.

Net earnings for the nine months ended December 31, 2012 were $10.1 million compared to $5.2 million in the same period last year, an increase of 93.0%. Higher gross margin dollars were partially offset by higher compensation costs included in selling and administrative expense.

EBITDA for the nine months ended December 31, 2012 was $35.4 million compared to $28.4 million last year, an increase of 24.8%. 

For further information regarding Taiga please contact: 
Tom Stefan
CFO and Vice President, Finance & Administration
Tel: 604.438.1471
Fax: 604.439.4242

Mark Schneidereit-Hsu
Manager, Corporate Planning
Tel: 604.438.1471
Fax: 604-439-4242