Building materials distributor Beacon Roofing Supply Inc. (Nasdaq: BECN), Herndon, Virginia, on Thursday reported sales for fiscal 2020 ended Sept. 30 of $6.9 billion, a 2.3% decrease compared to fiscal 2019. The company reported a loss for the year of $80.9 million, compared to a loss of $10.6 million a year ago.
For the fiscal fourth quarter, Beacon reported revenue of $2 billion, a 0.6% decrease compared with the fourth quarter of 2019. The company reported a fourth-quarter profit of $71.9 million, up from a $37.4 million profit in the year-ago period.
“Strong execution by our team and a favorable residential backdrop drove record fourth quarter Adjusted EBITDA,” said Julian Francis, Beacon’s president and CEO. “Mid-single digit growth in residential roofing helped to offset softness in the non-residential product categories stemming from the continuing economic impact of COVID. Within this dynamic environment, we are intensely focused on selling activity and leveraging our leading digital platform that accounted for more than 10% of September sales. Q4 gross margins increased significantly compared to the prior year, and I was particularly pleased with how we executed on the price increases mid-quarter. Operating cost discipline was again evident in the quarter, and we continued to improve the profitability of our lowest quintile branches compared to the prior year. Record second half 2020 operating cash flow strengthened our financial position giving us the ability and the confidence to repay the ABL draw we implemented in March as COVID began impacting our business. As fiscal year 2021 begins, we are grateful for the dedication and tireless efforts of our employees, as we continue to focus on improving the controllable aspects of our business and driving towards realizing our full potential.”