becn-8k_20180807.htm

 

 

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): August 7, 2018

 

BEACON ROOFING SUPPLY, INC.

(Exact name of Registrant as Specified in Its Charter)

 

 

Delaware

000-50924

36-417337

(State or Other Jurisdiction

of Incorporation)

(Commission File Number)

(IRS Employer

Identification No.)

 

 

 

505 Huntmar Park Drive, Suite 300

Herndon, VA

 

20170

(Address of Principal Executive Offices)

 

(Zip Code)

Registrant’s Telephone Number, Including Area Code: (571) 323-3939

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 

 

 

 

 


Item 2.02

Results of Operations and Financial Condition

On August 7, 2018, Beacon Roofing Supply, Inc. (the “Company”) issued a press release providing information regarding earnings for the third quarter ended June 30, 2018. A copy of the press release is attached hereto as Exhibit 99.1.

On August 7, 2018, the Company delivered a presentation as part of the webcast for the earnings conference call for the third quarter ended June 30, 2018. A copy of the presentation is attached hereto as Exhibit 99.2.

The information including Exhibit 99.1 and Exhibit 99.2 in this Form 8-K is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that Section. The information in this Form 8-K shall not be incorporated by reference into any filing under the Securities Act of 1933, except as shall otherwise be expressly set forth by specific reference in such filing.

 

Item 9.01

Financial Statements and Exhibits

(d) Exhibits

 

Exhibit Index

Exhibit

Number

 

Description

99.1

 

Beacon Roofing Supply, Inc. press release dated August 7, 2018

99.2

 

Beacon Roofing Supply, Inc. FY 2018 third quarter earnings presentation dated August 7, 2018

 

 

 


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

 

BEACON ROOFING SUPPLY, INC.

 

 

 

 

Date: August 7, 2018

 

By:

/s/ JOSEPH M. NOWICKI

 

 

 

JOSEPH M. NOWICKI

 

 

 

Executive Vice President & Chief Financial Officer

 

 

becn-ex991_7.htm

Exhibit 99.1

 

 

Beacon Roofing Supply Reports Third Quarter 2018 Results

 

Record third quarter net sales of $1.93 billion (59.4% growth year-over-year)

 

Gross margins expanded by 100 bps to 25.5%, as margins were favorably impacted by positive price-cost realization

 

Third quarter EPS of $0.55 vs. $0.73 in the prior year, and Adjusted EPS of $1.18 vs. $0.97

 

Record Adjusted EBITDA of $187.7 million

 

Allied integration progressing ahead of schedule; realized synergies of $25 million year-to-date

HERNDON, VA. — (BUSINESS WIRE) — Beacon Roofing Supply, Inc. (Nasdaq:BECN) (“Beacon” or the “Company”) announced results today for its third quarter ended June 30, 2018 and nine months  ended June 30, 2018 of the fiscal year ending September 30, 2018 (“2018”).

 

Paul Isabella, the Company's President and Chief Executive Officer, stated, “We generated record sales and Adjusted EBITDA during our fiscal 2018 third quarter. Gross margins expanded by 100 bps compared to the prior year quarter and 180 bps compared to the second quarter of fiscal year 2018. These results were made possible through excellent work from our entire organization, as we effectively communicated the inflationary pressures to the marketplace. Not only did we achieve positive price-cost realization in each of our three product lines, but we also significantly outperformed our prior public guidance, which we believe underscores the value our service levels bring to the market. Organic sales increased 2.0%, reflecting improved pricing, partially offset by volume headwinds from difficult storm comparisons within our larger traditional hail markets. We are pleased by our excellent operating execution, which was highlighted by our price-cost efforts and an ability to control expenses in a quarter of softer demand. The integration of Allied is tracking better than expected for 2018, and we remain committed to realizing our long-term synergy goals. We recognize that weather events may cause short-term demand to fluctuate geographically, however our long-term sales trajectory shows a much greater level of consistency given our sizeable repair and remodel (R&R) business. Going forward, Beacon will remain a disciplined leader on pricing and we will continue to distinguish ourselves through strategic investments in our people and technology, and by expanding the depth and breadth of our product offerings.”

 

Third Quarter

 

Total sales increased 59.4% to a third quarter record of $1.93 billion, up from $1.21 billion in 2017. Residential roofing product sales increased 23.4%, non-residential roofing product sales increased 42.1% and complementary product sales increased 204.6% over the prior year. Existing markets sales, excluding acquisitions, increased 2.0% for the quarter. The third quarter of fiscal years 2018 and 2017 each had 64 business days.

 

Net income attributable to common shareholders for the third quarter was $43.4 million, compared to $44.7 million in 2017. Third quarter EPS was $0.55, compared to $0.73 in 2017. Adjusted Net Income (Loss), after removing the impact of acquisition related costs and the non-recurring effects of tax reform, was $93.4 million in the third quarter of 2018, compared to $59.3 million in 2017. Third quarter Adjusted EPS was $1.18, compared to $0.97 in 2017. (See included financial tables for a reconciliation of “Adjusted” financial measures to the most directly comparable GAAP financial measures). Third quarter results were positively impacted by solid organic sales growth within non-residential roofing and complementary building products categories, improved existing markets gross margins and favorable contributions from acquired operations. Third quarter results were negatively impacted by a decline in residential roofing volumes and higher operating expenses, increased interest expense and the impact from preferred dividends primarily related to the acquisition of Allied.

 

Nine Months

 

Total sales increased 45.2% to a nine-month record of $4.48 billion, up from $3.09 billion in 2017. Residential roofing product sales increased 18.6%, non-residential roofing product sales increased 27.5% and complementary product sales increased 164.7% over the prior year. Existing markets sales, excluding acquisitions, increased 3.6% year to date. The nine months of fiscal years 2018 and 2017 each had 189 business days.

 

Net income attributable to common shareholders for the nine months was $38.3 million, compared to $55.7 million in 2017. The nine-


month EPS was $0.51, compared to $0.91 in 2017. Adjusted Net Income (Loss), after removing the impact of acquisition related costs and the net benefit from one-time tax items, was $122.6 million year to date, compared to $98.7 million in 2017. The nine-month Adjusted EPS was $1.62, compared to $1.61 in 2017. (See included financial tables for a reconciliation of “Adjusted” financial measures to the most directly comparable GAAP financial measures). The nine-month results were positively impacted by organic sales growth, higher gross margins and beneficial tax adjustments. The nine-month results were negatively impacted by higher operating expenses, increased interest expense and the impact of preferred dividends primarily related to the acquisition of Allied.

 

The Company will host a webcast and conference call today at 5:00 p.m. ET to discuss these results. The webcast link and call-in details are as follows:

What:

Beacon Roofing Supply Third Quarter 2018 Earnings Results Webcast and Conference Call

When

Tuesday, August 7, 2018

Time:

5:00 p.m. ET

Webcast:

http://ir.beaconroofingsupply.com/events.cfm (live and replay)

Live Call:

720-634-9063; Conf. ID #9762196

 

To assure timely access, conference call participants should dial in prior to the 5:00 p.m. ET start time.

 

Forward-Looking Statements

 

This release contains information about management's view of the Company's future expectations, plans and prospects that constitute forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including, but not limited to, those set forth in the "Risk Factors" section of the Company's latest Form 10-K. In addition, the forward-looking statements included in this press release represent the Company's views as of the date of this press release and these views could change. However, while the Company may elect to update these forward-looking statements at some point, the Company specifically disclaims any obligation to do so, other than as required by federal securities laws. These forward-looking statements should not be relied upon as representing the Company's views as of any date subsequent to the date of this press release.

 

About Beacon Roofing Supply

 

Founded in 1928, Beacon Roofing Supply, Inc. is the largest publicly traded distributor of residential and commercial roofing materials and complementary building products, operating 554 branches throughout 50 states in the U.S. and 6 provinces in Canada.  To learn more about Beacon and its family of regional brands, please visit www.becn.com.

 

 

Beacon Roofing Supply, Inc.
Joseph Nowicki, Executive VP & CFO

571-323-3940
JNowicki@becn.com

 



BEACON ROOFING SUPPLY, INC.

Consolidated Statements of Operations

(In thousands, except share and per share amounts)

 

Three Months Ended June 30,

 

 

Nine Months Ended June 30,

 

 

20181

 

 

% of

Net Sales

 

 

20172

 

 

% of

Net Sales

 

 

20181

 

 

% of

Net Sales

 

 

20172

 

 

% of

Net Sales

 

Net sales

$

1,934,951

 

 

 

100.0

%

 

$

1,213,894

 

 

 

100.0

%

 

$

4,482,555

 

 

 

100.0

%

 

$

3,086,802

 

 

 

100.0

%

Cost of products sold

 

1,441,057

 

 

 

74.5

%

 

 

916,140

 

 

 

75.5

%

 

 

3,380,531

 

 

 

75.4

%

 

 

2,333,504

 

 

 

75.6

%

Gross profit

 

493,894

 

 

 

25.5

%

 

 

297,754

 

 

 

24.5

%

 

 

1,102,024

 

 

 

24.6

%

 

 

753,298

 

 

 

24.4

%

Operating expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selling, general and administrative

 

323,194

 

 

 

16.7

%

 

 

183,600

 

 

 

15.1

%

 

 

858,534

 

 

 

19.2

%

 

 

538,288

 

 

 

17.4

%

Depreciation

 

15,811

 

 

 

0.8

%

 

 

8,579

 

 

 

0.7

%

 

 

41,640

 

 

 

0.9

%

 

 

25,122

 

 

 

0.8

%

Amortization

 

50,076

 

 

 

2.6

%

 

 

20,704

 

 

 

1.7

%

 

 

105,339

 

 

 

2.3

%

 

 

61,116

 

 

 

2.0

%

Total operating expense

 

389,081

 

 

 

20.1

%

 

 

212,883

 

 

 

17.5

%

 

 

1,005,513

 

 

 

22.4

%

 

 

624,526

 

 

 

20.2

%

Income (loss) from operations

 

104,813

 

 

 

5.4

%

 

 

84,871

 

 

 

7.0

%

 

 

96,511

 

 

 

2.2

%

 

 

128,772

 

 

 

4.2

%

Interest expense, financing costs, and other

 

37,348

 

 

 

1.9

%

 

 

13,397

 

 

 

1.1

%

 

 

99,486

 

 

 

2.2

%

 

 

39,239

 

 

 

1.3

%

Income (loss) before provision for income taxes

 

67,465

 

 

 

3.5

%

 

 

71,474

 

 

 

5.9

%

 

 

(2,975

)

 

 

0.0

%

 

 

89,533

 

 

 

2.9

%

Provision for (benefit from) income taxes

 

18,090

 

 

 

0.9

%

 

 

26,815

 

 

 

2.2

%

 

 

(53,291

)

 

 

(1.1

%)

 

 

33,800

 

 

 

1.1

%

Net income (loss)

 

49,375

 

 

 

2.6

%

 

 

44,659

 

 

 

3.7

%

 

 

50,316

 

 

 

1.1

%

 

 

55,733

 

 

 

1.8

%

Dividends on preferred shares3

 

6,000

 

 

 

0.4

%

 

 

-

 

 

 

0.0

%

 

 

12,000

 

 

 

0.2

%

 

 

-

 

 

 

0.0

%

Net income (loss) attributable to common shareholders

$

43,375

 

 

 

2.2

%

 

$

44,659

 

 

 

3.7

%

 

$

38,316

 

 

 

0.9

%

 

$

55,733

 

 

 

1.8

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average common stock outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

68,086,387

 

 

 

 

 

 

 

60,311,923

 

 

 

 

 

 

 

67,976,980

 

 

 

 

 

 

 

60,131,546

 

 

 

 

 

Diluted

 

69,148,143

 

 

 

 

 

 

 

61,350,843

 

 

 

 

 

 

 

69,240,040

 

 

 

 

 

 

 

61,163,591

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share4:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

$

0.56

 

 

 

 

 

 

$

0.74

 

 

 

 

 

 

$

0.52

 

 

 

 

 

 

$

0.93

 

 

 

 

 

Diluted

$

0.55

 

 

 

 

 

 

$

0.73

 

 

 

 

 

 

$

0.51

 

 

 

 

 

 

$

0.91

 

 

 

 

 

 

1

The third quarter 2018 operating results include $10.0 million ($7.1 million, net of taxes) of non-recurring charges, $50.1 million ($35.6 million, net of taxes) of amortization for acquired intangibles, and $3.5 million ($2.5 million, net of taxes) of interest expense, financing costs, and other for the recognition of certain costs related to acquisitions. The nine months ended June 30, 2018 operating results include $43.8 million ($31.0 million, net of taxes) of non-recurring charges, $105.4 million ($74.7 million, net of taxes) of amortization for acquired intangibles, and $22.1 million ($15.7 million, net of taxes) of interest expense, financing costs, and other for the recognition of certain costs related to acquisitions. The three and nine months ended June 30, 2018 also include net non-recurring tax benefit of $1.2 million and $49.1 million, respectively. See “Adjusted Net Income (Loss) and Adjusted EPS” table for further details.

2

The third quarter 2017 operating results include $2.0 million ($1.2 million, net of taxes) of non-recurring charges, $20.7 million ($12.7 million, net of taxes) of amortization for acquired intangibles, and $1.1 million ($0.7 million, net of taxes) of interest expense, financing costs, and other for the recognition of certain costs related to acquisitions. The nine months ended June 30, 2017 operating results include $4.7 million ($2.9 million, net of taxes) of non-recurring charges, $61.1 million ($37.5 million, net of taxes) of amortization for acquired intangibles, and $4.3 million ($2.6 million, net of taxes) of interest expense, financing costs, and other for the recognition of certain costs related to acquisitions. See “Adjusted Net Income (Loss) and Adjusted EPS” table for further details.

3

For the three months ended June 30, 2018, $6.0 million is comprised entirely of cumulative dividends that are undeclared as of period end. For the nine months ended June 30, 2018, $12.0 million is comprised of the $6.0 million cumulative dividends that are undeclared as well as an additional $6.0 million of preferred share dividends that had been declared and paid as of period end.

4

Basic net income (loss) per share is calculated by dividing net income (loss) attributable to common shareholders by the weighted-average number of common shares outstanding during the period, without consideration for common share equivalents or the conversion of Preferred Stock. Common share equivalents consist of the incremental common shares issuable upon the exercise of stock options and vesting of restricted stock unit awards. Diluted net income (loss) per common share is calculated by dividing net income (loss) attributable to common shareholders by the fully diluted weighted-average number of common shares outstanding during the period.

The following table presents the components and calculations of basic and diluted net income (loss) per share for each period presented (in thousands, except share and per share amounts):

 


 

Three Months Ended June 30,

 

 

Nine Months Ended June 30,

 

 

2018

 

 

2017

 

 

2018

 

 

2017

 

Net income (loss)

$

49,375

 

 

$

44,659

 

 

$

50,316

 

 

$

55,733

 

Dividends on preferred shares

 

(6,000

)

 

 

-

 

 

 

(12,000

)

 

 

-

 

Net income (loss) attributable to common shareholders

$

43,375

 

 

$

44,659

 

 

$

38,316

 

 

$

55,733

 

Undistributed income allocated to participating securities

 

(5,406

)

 

 

-

 

 

 

(3,293

)

 

 

-

 

Net income (loss) attributable to common shareholders - basic and diluted

$

37,969

 

 

$

44,659

 

 

$

35,023

 

 

$

55,733

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average common shares outstanding - basic

 

68,086,387

 

 

 

60,311,923

 

 

 

67,976,980

 

 

 

60,131,546

 

Effect of common share equivalents

 

1,061,756

 

 

 

1,038,920

 

 

 

1,263,060

 

 

 

1,032,045

 

Weighted-average common shares outstanding - diluted

 

69,148,143

 

 

 

61,350,843

 

 

 

69,240,040

 

 

 

61,163,591

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) per share - basic

$

0.56

 

 

$

0.74

 

 

$

0.52

 

 

$

0.93

 

Net income (loss) per share - diluted

$

0.55

 

 

$

0.73

 

 

$

0.51

 

 

$

0.91

 

 



BEACON ROOFING SUPPLY, INC.

Consolidated Balance Sheets  

(In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30,

2018

 

 

September 30, 2017

 

 

June 30, 2017

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

$

27,551

 

 

$

138,250

 

 

$

33,055

 

 

Accounts receivable, net

 

1,077,888

 

 

 

704,527

 

 

 

670,977

 

 

Inventories

 

1,165,389

 

 

 

551,924

 

 

 

641,425

 

 

Prepaid expenses and other current assets

 

337,589

 

 

 

209,138

 

 

 

221,477

 

 

Total current assets

 

2,608,417

 

 

 

1,603,839

 

 

 

1,566,934

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Property and equipment, net

 

288,708

 

 

 

156,129

 

 

 

156,951

 

 

Goodwill

 

2,321,180

 

 

 

1,251,986

 

 

 

1,256,014

 

 

Intangibles, net

 

1,371,005

 

 

 

429,069

 

 

 

442,962

 

 

Other assets, net

 

1,511

 

 

 

8,534

 

 

 

1,511

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Assets

$

6,590,821

 

 

$

3,449,557

 

 

$

3,424,372

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities and Stockholders' Equity

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

$

719,686

 

 

$

503,697

 

 

$

387,579

 

 

Accrued expenses

 

520,952

 

 

 

261,297

 

 

 

280,315

 

 

Current portion of long-term obligations

 

19,714

 

 

 

14,141

 

 

 

13,762

 

 

Total current liabilities

 

1,260,352

 

 

 

779,135

 

 

 

681,656

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Borrowings under revolving lines of credit, net

 

482,489

 

 

 

3,205

 

 

 

449,615

 

 

Long-term debt, net

 

2,494,308

 

 

 

721,268

 

 

 

721,685

 

 

Deferred income taxes, net

 

93,928

 

 

 

138,383

 

 

 

142,116

 

 

Long-term obligations under equipment financing and other, net

 

15,979

 

 

 

23,213

 

 

 

26,025

 

 

Other long-term liabilities

 

6,319

 

 

 

2,547

 

 

 

2,387

 

 

Total  liabilities

 

4,353,375

 

 

 

1,667,751

 

 

 

2,023,484

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commitments and contingencies

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Convertible preferred stock

$

399,195

 

 

$

-

 

 

$

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders' equity:

 

 

 

 

 

 

 

 

 

 

 

 

Common stock

 

681

 

 

 

677

 

 

 

603

 

 

Undesignated preferred stock

 

-

 

 

 

-

 

 

 

-

 

 

Additional paid-in capital

 

1,063,137

 

 

 

1,047,506

 

 

 

714,608

 

 

Retained earnings

 

792,502

 

 

 

748,186

 

 

 

703,055

 

 

Accumulated other comprehensive loss

 

(18,069

)

 

 

(14,563

)

 

 

(17,378

)

 

Total stockholders' equity

 

1,838,251

 

 

 

1,781,806

 

 

 

1,400,888

 

 

Total Liabilities and Stockholders' Equity

$

6,590,821

 

 

$

3,449,557

 

 

$

3,424,372

 

 

 



BEACON ROOFING SUPPLY, INC.

Consolidated Statements of Cash Flows

(In thousands)

 

 

Nine Months Ended June 30,

 

 

2018

 

 

2017

 

Operating activities:

 

 

 

 

 

 

 

Net income (loss)

$

50,316

 

 

$

55,733

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

 

 

Depreciation and amortization

 

146,979

 

 

 

86,238

 

Stock-based compensation

 

13,133

 

 

 

11,227

 

Certain interest expense and other financing costs

 

11,549

 

 

 

3,989

 

Loss on debt extinguishment

 

1,726

 

 

 

-

 

Gain on sale of fixed assets

 

(1,131

)

 

 

(726

)

Deferred income taxes

 

(48,855

)

 

 

6,625

 

Changes in operating assets and liabilities, net of the effects of businesses acquired:

 

 

 

 

 

 

 

   Accounts receivable

 

(52,024

)

 

 

(28,309

)

   Inventories

 

(299,881

)

 

 

(141,942

)

   Prepaid expenses and other assets

 

(19,511

)

 

 

(55,973

)

   Accounts payable and accrued expenses

 

195,948

 

 

 

137,290

 

Other liabilities

 

732

 

 

 

21

 

Net cash provided by (used in) operating activities

 

(1,019

)

 

 

74,173

 

 

 

 

 

 

 

 

 

Investing activities:

 

 

 

 

 

 

 

Purchases of property and equipment

 

(34,978

)

 

 

(31,882

)

Acquisition of businesses

 

(2,715,429

)

 

 

(128,533

)

Proceeds from sales of assets

 

750

 

 

 

1,839

 

Net cash provided by (used in) investing activities

 

(2,749,657

)

 

 

(158,576

)

 

 

 

 

 

 

 

 

Financing activities:

 

 

 

 

 

 

 

Borrowings under revolving lines of credit, net of repayments

 

490,971

 

 

 

88,357

 

Borrowings under term loan, net of repayments

 

526,575

 

 

 

(3,375

)

Borrowings under senior notes

 

1,300,000

 

 

 

-

 

Payment of debt issuance costs

 

(65,788

)

 

 

-

 

Repayments under equipment financing facilities and other

 

(8,604

)

 

 

(7,780

)

Proceeds from issuance of convertible preferred stock

 

400,000

 

 

 

-

 

Payment of stock issuance costs

 

(1,279

)

 

 

-

 

Payment of dividends on preferred stock

 

(6,000

)

 

 

-

 

Proceeds from issuance of common stock related to equity awards

 

6,950

 

 

 

9,994

 

Taxes paid related to net share settlement of equity awards

 

(3,975

)

 

 

(1,172

)

Net cash provided by (used in) financing activities

 

2,638,850

 

 

 

86,024

 

 

 

 

 

 

 

 

 

Effect of exchange rate changes on cash and cash equivalents

 

1,127

 

 

 

48

 

 

 

 

 

 

 

 

 

Net increase (decrease) in cash and cash equivalents

 

(110,699

)

 

 

1,669

 

Cash and cash equivalents, beginning of period

 

138,250

 

 

 

31,386

 

Cash and cash equivalents, end of period

$

27,551

 

 

$

33,055

 

 

 



BEACON ROOFING SUPPLY, INC.

Consolidated Sales by Product Line

(In thousands)

 

 

Consolidated Sales by Product Line

 

 

Three Months Ended June 30,

 

 

 

 

 

 

 

 

 

 

2018

 

 

2017

 

 

Change

 

 

Net Sales

 

 

Mix %

 

 

Net Sales

 

 

Mix %

 

 

$

 

 

%

 

Residential roofing products

$

824,461

 

 

 

42.6

%

 

$

667,896

 

 

 

55.0

%

 

$

156,565

 

 

 

23.4

%

Non-residential roofing products

 

483,524

 

 

 

25.0

%

 

 

340,157

 

 

 

28.0

%

 

 

143,367

 

 

 

42.1

%

Complementary building products

 

626,966

 

 

 

32.4

%

 

 

205,841

 

 

 

17.0

%

 

 

421,125

 

 

 

204.6

%

 

$

1,934,951

 

 

 

100.0

%

 

$

1,213,894

 

 

 

100.0

%

 

$

721,057

 

 

 

59.4

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated Sales by Product Line for Existing Markets1

 

 

Three Months Ended June 30,

 

 

 

 

 

 

 

 

 

 

2018

 

 

2017

 

 

Change

 

 

Net Sales

 

 

Mix %

 

 

Net Sales

 

 

Mix %

 

 

$

 

 

%

 

Residential roofing products

$

589,507

 

 

 

52.5

%

 

$

607,341

 

 

 

55.1

%

 

$

(17,834

)

 

 

(2.9

%)

Non-residential roofing products

 

346,410

 

 

 

30.8

%

 

 

317,880

 

 

 

28.8

%

 

 

28,530

 

 

 

9.0

%

Complementary building products

 

187,922

 

 

 

16.7

%

 

 

177,096

 

 

 

16.1

%

 

 

10,826

 

 

 

6.1

%

 

$

1,123,839

 

 

 

100.0

%

 

$

1,102,317

 

 

 

100.0

%

 

$

21,522

 

 

 

2.0

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Existing Market1 Sales By Business Day2

 

 

Three Months Ended June 30,

 

 

 

 

 

 

 

 

 

 

2018

 

 

2017

 

 

Change

 

 

Net Sales

 

 

Mix %

 

 

Net Sales

 

 

Mix %

 

 

$

 

 

%

 

Residential roofing products

$

9,211

 

 

 

52.5

%

 

$

9,490

 

 

 

55.1

%

 

$

(279

)

 

 

(2.9

%)

Non-residential roofing products

 

5,413

 

 

 

30.8

%

 

 

4,967

 

 

 

28.8

%

 

 

446

 

 

 

9.0

%

Complementary building products

 

2,936

 

 

 

16.7

%

 

 

2,767

 

 

 

16.1

%

 

 

169

 

 

 

6.1

%

 

$

17,560

 

 

 

100.0

%

 

$

17,224

 

 

 

100.0

%

 

$

336

 

 

 

2.0

%

¹

Excludes acquired branches that have not been under ownership for at least four fiscal quarters prior to the start of the third quarter of fiscal year 2018.

2

There were 64 business days in each of the quarters ended June 30, 2018 and 2017.

 

 

 

 

 

 

 

 

 

 

 

 


BEACON ROOFING SUPPLY, INC.

Consolidated Sales by Product Line

(In thousands)

 

 

Consolidated Sales by Product Line