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BURNABY, BC, Aug. 12, 2024 /CNW/ - Taiga Building Products Ltd. ("Taiga" or the "Company") today reported its financial results for the three and six months ended June 30, 2024.
Second Quarter Ended June 30, 2024 Earnings Results
Sales for the quarter ended June 30, 2024 were $427.8 million compared to $446.9 million over the same period last year. The decrease in sales by $19.1 million or 4% was largely due to selling lower quantities of commodity products.
Gross margin for the quarter ended June 30, 2024 decreased to $44.5 million from $52.4 million over the same period last year. Gross margin percentage was 10.4% for the three months ended June 30, 2024 compared to 11.7% over the same period last year. The decrease in gross margin dollars was primarily due to selling lower quantities of commodity products during the quarter combined with fluctuating commodity prices.
Net earnings for the quarter ended June 30, 2024 decreased to $13.9 million from $17.0 million over the same period last year primarily due to decreased gross margin dollars.
EBITDA for the quarter ended June 30, 2024 was $22.7 million compared to $28.0 million for the same period last year. EBITDA decreased primarily due to lower margin dollars earned during the quarter.
Six Months Ended June 30, 2024 Earnings Results
Sales for the six months ended June 30, 2024 were $821.5 million compared to $855.4 million over the same period last year. The decrease in sales by $33.9 million or 4% was largely due to the Company selling lower quantities of commodity products.
Gross margin for the six months ended June 30, 2024 decreased to $86.5 million from $99.5 million over the same period last year. Gross margin percentage was 10.5% for the six months ended June 30, 2024 compared to 11.6% over the same period last year. These decreases were primarily due to fluctuating commodity prices combined with selling less quantities of commodity products during the period.
Net earnings for the six months ended June 30, 2024 were $26.7 million compared to $30.5 million for the same period last year primarily due to decreased gross margin.
EBITDA for the six months ended June 30, 2024 was $42.5 million compared to $50.5 million for the same period last year. EBITDA decreased primarily due to lower margin dollars earned during the period.
Condensed Consolidated Statement of Earnings
For the Three Months Ended
| | June 30, | |
| (in thousands of Canadian dollars, except for per share amounts) | 2024 | 2023 |
| Sales | 427,824 | 446,902 |
| Gross margin | 44,466 | 52,431 |
| Distribution expense | 8,461 | 7,859 |
| Selling and administration expense | 16,784 | 19,558 |
| Finance expense | 857 | 1,512 |
| Other (income) expense | (36) | (40) |
| Earnings before income taxes | 18,400 | 23,542 |
| Income tax expense | 4,467 | 6,551 |
| Net earnings | 13,933 | 16,991 |
| Net earnings per share(1) | 0.13 | 0.16 |
| EBITDA(2) | 22,704 | 27,983 |
The following is the reconciliation of net earnings to EBITDA: