James Hardie posts strong Q2 results but FY2027 revenue guidance disappoints, shares slide 7.9%
James Hardie Industries reported Q2 adjusted earnings of $0.42 per share on $1.428 billion of continuing‑operations revenue, a 24% year‑over‑year increase. The company guided Q3 revenue to $1.058‑$1.14 billion (midpoint $1.099 billion) and full‑year FY2027 revenue to $4.99‑$5.133 billion (midpoint $5.062 billion), both below Wall Street consensus. CEO Aaron Erter highlighted the sales growth and margin expansion, while the firm raised its FY2027 free‑cash‑flow target to more than $650 million and repaid $111 million of term‑loan debt. After the guidance release, the stock fell 7.9% in after‑hours trading.
Why it matters
The weaker‑than‑expected revenue outlook triggered a 7.9% drop in James Hardie's share price, reflecting investor concern over future sales growth. The raised free‑cash‑flow target and debt repayment may partially offset the negative sentiment but do not change the immediate price impact.
Key facts
- 1Adjusted earnings per share for Q2 were $0.42. investing.com
- 2Revenue from continuing operations in Q2 was $1.428 billion, up 24% YoY. investing.com
- 3Third‑quarter revenue guidance is $1.058 billion to $1.14 billion, with a midpoint of $1.099 billion. investing.com
- 4Full‑year FY2027 revenue guidance is $4.99 billion to $5.133 billion, with a midpoint of $5.062 billion. investing.com
- 5The company raised its FY2027 free‑cash‑flow target to more than $650 million. seekingalpha.com
- 6James Hardie repaid $111 million of term‑loan debt during the quarter. finance.biggo.com
Summary written by AlphAI AI Desk from 6 of 6 sources. Not investment advice. Figures are as stated by the linked sources.