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• Total Net Sales: $953 million, a 3% decrease from the previous year.

• Adjusted EBITDA: $262 million with a margin of 27.5%, down 120 basis points year-over-year.

• Adjusted Net Income: $154 million.

• Adjusted Diluted EPS: $0.36 per share.

• North America Volume: 744 million standard feet shipped.

• North America EBIT Margin: 29.1%, down 360 basis points year-over-year.

• North America EBITDA Margin: 34.8%, down 250 basis points year-over-year.

• Asia Pacific Net Sales: Declined 12% in US dollars, with a 28% decrease in volumes.

• Asia Pacific EBITDA Margin: 33.5%, increased 290 basis points.

• Europe Net Sales: Declined 1% in both US dollars and euros.

• Europe EBITDA Margin: 10.3%, down 260 basis points.

• Operating Cash Flow: $657 million year-to-date.

• Capital Expenditures: $333 million year-to-date.

• Share Repurchases: $150 million year-to-date, with a new $300 million repurchase program approved.

• Warning! GuruFocus has detected 8 Warning Signs with CLPR.

Release Date: February 18, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• James Hardie Industries PLC (NYSE:JHX) delivered strong business and financial results in the third quarter, with sales year to date exceeding $2 billion, representing a double-digit CAGR over the last five years.

• The company achieved a 29.1% EBIT margin in North America, demonstrating its ability to deliver savings through the Hardie Operating System initiatives.

• James Hardie Industries PLC (NYSE:JHX) continues to strengthen its competitive position by deepening existing partnerships and forging new ones, such as the exclusive agreement with M/I Homes.

• The company is investing across the value chain, growing its contractor base, and accelerating homeowner demand to capture the repair and remodeling opportunity.

• James Hardie Industries PLC (NYSE:JHX) is planning for sales growth and adjusted EBITDA margin expansion across each of its segments for FY26, indicating confidence in future performance.

Negative Points

• Business conditions remain challenging with high interest rates presenting a barrier to homeowners, affecting demand in both new construction and repair and remodel markets.

• The company faced raw material headwinds, particularly with significant increases in pulp and cement costs, which impacted margins.

• Net sales in the third quarter were 3% below the previous year's record, and total adjusted EBITDA declined by 7%, with margins decreasing by 120 basis points.

• In Europe, markets remain challenged, particularly in Germany, with a more gradual path to recovery expected.

• The Asia Pacific segment saw a 28% decrease in volumes, primarily due to the cessation of operations in the Philippines, impacting overall segment performance.