Texas Industries Edges Up on Narrower-Than-Expected Adjusted Q3 Loss

Texas Industries (TXI) shares edged up Thursday, after the supplier of construction materials late Wednesday reported a narrower-than-expected adjusted loss for its fiscal Q3 on revenue that topped the Street view.

For the quarter ended Feb. 28, the company posted a net loss of $21.8 million, or $0.76 per share, compared with a year-earlier net loss of $5.8 million, or $0.21 per share.

Excluding one-time items, the loss in the latest quarter was $0.33 per share, slightly wider than its prior-year loss from continuing operations of $0.30 per share but much narrower than the loss of $0.61 per share analysts had expected on average, according to Capital IQ.

Net sales climbed 47% to $207.8 million, topping analysts’ mean estimate of $186 million.

CEO Mel Brekhus noted constructive activity continued to improve, especially in Texas, the company’s primary market. Cement, aggregate and ready mix concrete shipments in Texas increased 27%, 21% and 48% respectively from a year earlier.

“The fact that shipment levels overcame a severe winter is indicative of the continued improvement in our markets,” Brekhus said. “Positive construction trends are tightening the supply of building materials in many of our markets and should support continued price improvement.”

TXI was up 0.1% at $88.76 shortly after the open, in a 52-week range of $88.58 to $89.70.