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Doman Building Materials Group Ltd. Announces First Quarter Financial Results

General News
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Doman Building Materials Group Ltd. (“Doman” or “the Company”) announced its financial results for the quarter ended March 31, 2024.

Q1 2024 Financial Highlights

  • Revenues of $602.5 million
  • Gross Margin at 16.7%
  • Adjusted EBITDA amounted to $45.6 million
  • Net Earnings amounted to $14.4 million
  • Quarterly dividend of $0.14 per share declared

For the three-month period ended March 31, 2024(1), consolidated revenues decreased by 1.1% to $602.5 million, compared to $609.1 million in 2023. The decrease was due to the impact of a slighty slowing construction materials market, combined with declining pricing in all species. The Company reported that this lower demand was partially offset by the results from the Southeast Acquisition(5). The Company’s sales by product group in the period were made up of 76% construction materials, compared to 75% last year, with the remaining balance resulting from specialty and allied products of 20%, and other of 4%.

Gross margin dollars increased to $100.4 million in 2024, versus $98.2 million in 2023. Gross margin percentage was 16.7% during the first quarter of 2024, an increase from the 16.1% achieved in 2023.

EBITDA and Adjusted EBITDA for the first quarter of 2024 amounted to $44.8 million and $45.6 million, respectively, compared to EBITDA of $44.8 million during the same period in 2023. Adjusted EBITDA in the first quarter of 2024 included $817,000 in acquisition related costs. Net earnings for the three-month period ended March 31, 2024, were $14.4 million versus $14.9 million in the comparative period of 2023. Net earnings for the first quarter of 2024 were impacted by the previously discussed acquisition related costs. Adjusted net earnings before these non-recurring costs were $15.0 million.

The Company declared a dividend of $0.14 per share(3) in in the quarter, which was unchanged compared to 2023.

“Despite continued price erosion for most lumber product categories, the year is off to a good start with revenues nearly in-line with last year’s Q1 period,” commented Amar S. Doman, Chairman of the Board. “Our inventory management and operating discipline continued to strengthen our gross margin and balance sheet. I would also like to welcome the employees of our Southeast acquisition, which is now integrated into our Doman Lumber division.”

For full first quarter results click here.

About Doman Building Materials Group Ltd.

Founded in 1989, Doman is headquartered in Vancouver, British Columbia, and trades on the Toronto Stock Exchange under the symbol DBM. As Canada’s only fully integrated national distributor in the building materials and related products sector, Doman operates several distinct divisions with multiple treating plants, planing and specialty facilities and distribution centres coast-to-coast in all major cities across Canada and select locations across the United States. Strategically located across Canada, Doman Building Materials Canada operates distribution centres coast-to-coast, and Doman Treated Wood Canada operates multiple treating plants near major cities; headquartered in Dallas, Texas, Doman Lumber operates 19 treating plants, two specialty planing mills and five specialty sawmills located in eight states, distributing, producing and treating lumber, fencing and building material servicing the central U.S.; Doman Building Materials USA and Doman Treated Wood USA serve the U.S. west coast with multiple locations in California and Oregon; and in the state of Hawaii the Honsador Building Products Group services 14 locations across all the islands. The Company’s Canadian operations also include ownership and management of private timberlands and forest licenses, and agricultural post-peeling and pressure treating through its Doman Timber operations. For additional information on Doman Building Materials Group Ltd., please refer to the Company’s filings on SEDAR+ and the Company’s website


Ali Mahdavi – Investor Relations – – (416) 962-3300

Source: Doman Building Materials Group Ltd.