Texas Industries posts US$106.8m pre-tax loss

Texas Industries posts US$106.8m pre-tax loss
Published: 14 July 2011

Texas Industries’ turnover was a marginal 0.1% ahead at US$621.8m, in the financial year to the end of May, having fallen by 26.0% in the previous year.

The EBITDA fell by 69.7% to US$13.2m and, after an interest charge 8.9% lower at US$47.6m, there was a running loss of US$34.4m and the pre-tax loss jumped by 75.5% to US$106.8m, having more than doubled in the previous year.  Net debt at the end of May was 15.6% higher at US$536.7m giving a gearing level 26.7% higher at 77.2%. The agreement with, Nassef Sawiris, that he will not raise his interest in the company above 20%, expires at the end of this year. 

Cement shipments recovered by 2.3% to 2.99Mt (3.3Mst) while turnover from the cement division was off by 2.5% to US$287.3m. The Texas share of cement sales was unchanged at 71%, with the remainder being in California. The average cement price was 5.9% lower at US$85.63 per tonne (US$77.68 per short ton). Prices in the final quarter showed an average reduction of 1.5%, with a 1% decline in California and a 2% reduction in Texas, while the full year price reductions were 6% in Texas and 7% in California. Cement shipments improved by 1% in Texas and by 4% in California.  The gain from the sale of emission credits in California were US$1.7m lower in 2010/11 than in the previous year.