NCI Building Systems Posts Wider-Than-Expected Q2 Loss, Shares Slip

Shares of

dropped more than 3 percent in after-hours trading after the company reported a wider-than-expected loss for the fiscal second quarter. The Houston, Texas-based company posted a quarterly loss of $7.5 million, or $0.10 per share, versus a year-ago loss of $4.9 million, or $0.07 per share. Excluding non-recurring items, the company's loss came in at $0.06 per share, versus a loss of $0.07 per share. Its revenue surged 18 percent year-over-year to $360.1 million from $305.8 million. However, analysts were expecting a loss of $0.03 per share on revenue of $360.7 million. Third party sales in the Coatings group slipped 11 percent year-over-year to $22.8 million in the latest quarter, while third party sales in the Components group surged 46 percent to $198.7 million. Third party sales in the Buildings group dropped 4 percent to $138.7 million in the quarter. Its gross profit margin widened 160 basis points to 21.1 percent in the quarter. Adjusted operating income surged to $1.6 million in the latest quarter, versus a year-ago loss of $5.8 million. Buildings Group bookings climbed 18 percent year-over-year for the quarter. Norman C. Chambers, Chairman, President and Chief Executive, said, "We continue to deliver solid results and our second quarter financial performance marks the fourth consecutive quarter of year-over-year improvement in gross profit margin and Adjusted EBITDA. We are entering the second half of our fiscal year with a seven-year high backlog and double digit year-over-year bookings growth. We believe we are well positioned to leverage our streamlined operational structure during our seasonally stronger second half and realize meaningful growth in revenue and earnings." NCI Building Systems shares fell 3.78 percent to $14.00 in the after-hours trading session.