James Hardie Industries (NYSE:JHX) Announces Quarterly Earnings Results

James Hardie Industries (NYSE:JHX) posted its earnings results on Thursday. The construction company reported $0.42 earnings per share for the quarter, beating the consensus estimate of $0.38 by $0.04, FiscalAI reports. James Hardie Industries had a net margin of 2.69% and a return on equity of 10.56%. The company had revenue of $1.43 billion for the quarter, compared to analyst estimates of $1.39 billion. During the same period in the previous year, the business posted $0.26 EPS. James Hardie Industries’s revenue was up 10.5% on a year-over-year basis.

Here are the key takeaways from James Hardie Industries’ conference call:

• Second-quarter continuing-operations net sales rose 24%, Adjusted EBITDA increased 44%, and margin expanded 450 basis points to 31.8%. Adjusted diluted EPS grew 68%, with management citing volume, price and mix, and operating savings.
• Fiber cement returned to growth, with North American revenue up 15%; ColorPlus sales rose 22% as the company pursued vinyl and wood conversions. Management said sales and sell-through remained well ahead of declining end markets.
• Deck, Rail & Accessories sales climbed 51%, but about 21 percentage points came from distributor changes and 16 points from channel inventory normalization; underlying growth was approximately 14%. Australia and New Zealand sales increased 21%.
• Management now expects the blended housing market to decline by a mid-single-digit percentage this year, with new construction down high single digits. Full-year guidance was reaffirmed, but implies second-half sales will be down slightly year over year and EBITDA lower; freight and other cost pressures are expected near the high end of the previously stated $80 million–$100 million range.
• The company raised its full-year free-cash-flow target to more than $650 million, reported net leverage of 2.3x, and said it remains on track to reach below 2x leverage by fiscal Q2 2028. It also said cost synergies are ahead of schedule, with $90 million realized to date and a $125 million run-rate target expected by fiscal year-end.

James Hardie Industries Trading Down 2.7%

Shares of NYSE:JHX traded down $0.76 during mid-day trading on Friday, reaching $27.90. 12,569,878 shares of the company were exchanged, compared to its average volume of 7,374,396. The company has a debt-to-equity ratio of 0.66, a current ratio of 1.59 and a quick ratio of 1.03. The firm has a market cap of $16.19 billion, a price-to-earnings ratio of 45.73, a P/E/G ratio of 2.84 and a beta of 1.78. The firm’s 50-day simple moving average is $26.82 and its 200 day simple moving average is $24.49. James Hardie Industries has a 1 year low of $16.46 and a 1 year high of $31.43.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the stock. Zacks Research downgraded shares of James Hardie Industries from a “hold” rating to a “strong sell” rating in a report on Tuesday, October 6th. Robert W. Baird lowered their price objective on James Hardie Industries from $34.00 to $32.00 and set an “outperform” rating for the company in a research report on Tuesday, October 13th. Barclays raised James Hardie Industries from an “equal weight” rating to an “overweight” rating and raised their target price for the stock from $26.00 to $35.00 in a research note on Monday, August 10th. Stephens decreased their price target on James Hardie Industries from $34.00 to $33.00 and set an “overweight” rating on the stock in a research note on Friday. Finally, Oppenheimer reiterated an “outperform” rating and set a $36.00 price target on shares of James Hardie Industries in a report on Wednesday, September 16th. Ten research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $33.44.

Trending Headlines about James Hardie Industries

Here are the key news stories impacting James Hardie Industries this week:

• Positive Sentiment: Fiscal Q2 adjusted EPS of $0.42 beat the $0.38 consensus, while revenue was $1.43 billion versus estimates of $1.39 billion, up 10.5% year over year. James Hardie Industries Fiscal Q2 Adjusted Earnings, Sales Rise
• Positive Sentiment: FY 2027 revenue guidance of $5.6 billion–$5.7 billion is above the $5.4 billion analyst consensus, supporting the company’s full-year growth outlook. James Hardie reaffirms FY 2027 guidance
• Neutral Sentiment: Truist and Stephens lowered their price targets to $37 and $33, respectively, but kept Buy and Overweight ratings, indicating continued optimism despite reduced expectations.
• Negative Sentiment: Fiscal Q3 revenue guidance of $1.1 billion came in below the $1.2 billion consensus. The softer near-term outlook is likely the main reason the shares have declined despite the quarterly earnings beat. James Hardie falls on disappointing fiscal 2027 outlook

About James Hardie Industries

James Hardie Industries plc is a global building-materials company best known for manufacturing fiber-cement products for residential and commercial construction. Its offerings include exterior siding and cladding, trim, and interior products such as backerboard used in tile installations.

The company traces its history to 1888, when James Hardie established a business in Melbourne, Australia. It later developed and expanded its fiber-cement product business, becoming a major supplier of building products in several markets.

James Hardie serves customers primarily in North America, Australia and New Zealand, and Europe.