BURNABY, BC, November 8, 2019 – Taiga Building Products Ltd. (“Taiga” or the “Company”) today reported its financial results for the three and nine months ended September 30, 2019.
Third Quarter Ended September 30, 2019 Earnings Results
The Company’s consolidated net sales for the quarter ended September 30, 2019 were $358.9 million compared to $399.6 million over the same period last year. The decrease in sales by $40.7 million or 10% was largely due to decreased selling prices for commodity products; this was offset by the inclusion of Exterior Wood Inc.’s results, which was acquired in July of 2018.
Gross margin for the third quarter increased to $36.5 million from $27.9 million in the same quarter last year. The increase in gross margin was primarily due to rising commodity prices in the current quarter, while they declined in the same quarter last year.
Net earnings for the quarter ended September 30, 2019 increased to $8.4 million from $5.6 million for the same period last year primarily due to the foregoing.
EBITDA for the quarter ended September 30, 2019 was $17.3 million compared to $9.2 million for the same period last year. Management estimates that if IFRS 16 were not taken into effect as of January 1, 2019 that EBITDA would have been $2.5 million lower, or $14.8 million for the quarter ended September 30, 2019.
Nine Months Ended September 30, 2019 Earnings Results
Sales for the nine months ended September 30, 2019 were $1,001.0 million compared to $1,147.1 million over the same period last year. The decrease in sales by $146.1 million or 13% was largely due to decreased selling prices for commodity products; this was offset by the inclusion of Exterior Wood Inc.’s results, which was acquired in July of 2018.
Gross margin dollars for the nine months ended September 30, 2019 increased to $98.9 million from $98.0 million over the same period last year. Gross margin percentage for the nine months ended September 30, 2019 increased to 9.9% from 8.5% for the same period last year.
Net earnings for the nine month period ended September 30, 2019 were $20.1 million compared to $18.7 million for the same period last year.
EBITDA for the nine months ended September 30, 2019 was $44.8 million compared to $36.9 million for the same period last year. Management estimates that if IFRS 16 were not taken into effect as of January 1, 2019 that EBITDA would have been $7.2 million lower, or $37.6 million for the nine months ended September 30, 2019.
See attached PDF for complete press release and statement of earnings.
For further information:
Mark Schneidereit-Hsu, CFO and VP, Finance & Administration, Tel: 604.438.1471, Email: mschneidereit@taigabuilding.com
Attachment: https://www.taigabuilding.com/wp-content/uploads/archives/press_release_fy2019_q3_final.pdf