Beacon swings to a profit in Q3

Roofing and building products distributor Beacon reported third quarter sales increased nearly 21% to $1.87 billion from third quarter 2020 sales of $1.55 billion.

Residential roofing product sales increased 18%, complementary product sales increased 35.1%, and non-residential roofing product sales increased 16.3% compared to the prior year, the Herndon, Va.-based company reported.

Beacon also posted a net income from continuing operations of $79.8 million for the third quarter compared to a loss of $4.1 million for the same period a year ago. 

Year-to-date net sales increased 14.5% compared to the prior year, despite one fewer business day. Residential roofing product sales increased 19.2%, complementary product sales increased 18%, and non-residential roofing product sales increased 3.5% compared to the prior year. 

The first nine months of fiscal 2021 and 2020 had 189 and 190 business days, respectively.

The distributor operates over 400 branches throughout all 50 states in the U.S. and 6 provinces in Canada.

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The Bottom Line: Beacon profits from continuing operations shot up to $79.8 million for the third quarter following a net loss of $4.1 million in the third quarter last year.

What the CEO said: “Solid demand for our products, combined with strong price performance, drove record quarterly sales and enhanced gross margins,” said Julian Francis, president and CEO of Beacon. I am especially pleased with the progress we are making on our strategic initiatives that are focused on top line growth and operational improvement, which led to the highest Adjusted EBITDA in our history. 

Company info: Read Beacon’s full third quarter 2021 report here.