DALLAS -- Builders FirstSource, Inc., a leading supplier and manufacturer of structural and related building products for residential new construction in the United States, posted a net loss of $11.8 million during the first quarter, compared with a loss of $19.2 million during the same period a year earlier. Adjusted EBITDA for the current quarter was $5.4 million, a $7.5 million improvement when compared to an Adjusted EBITDA loss of ($2.1) million for the first quarter of 2012.
First quarter 2013 sales increased 45.7 percent to $319.7 million, when compared to first quarter 2012.
Commenting on the company's results, Floyd Sherman, Builders FirstSource Chief Executive Officer said, "I am very pleased to start our fiscal year with such strong financial results, as we ended the first quarter with over $319 million in sales and improved our Adjusted EBITDA by $7.5 million. We were able to achieve topline growth of greater than 30 percent for a sixth consecutive quarter." Mr. Sherman added, "Our sales increase once again exceeded the increase in residential construction activity, as actual single-family housing starts in the South Region increased 27.4 percent and single-family units under construction increased 23.2 percent."
Chad Crow, Builders FirstSource Senior Vice President and Chief Financial Officer, added, "Though our sales growth for the quarter was very positive, the commodity lumber price inflation we experienced during the quarter once again placed significant downward pressure on gross margins. Subsequent to setting first quarter customer pricing in late December, commodity lumber prices increased 20 percent through the end of the first quarter. While we were able to obtain price increases from many of our customers during the quarter, they were not enough to offset the continued commodity price inflation. For the quarter, we estimate commodity lumber inflation negatively impacted gross margin by 1.8 percentage points."
Concluding, Mr. Sherman said, "We are excited about the prospects for the homebuilding industry, and the outlook continues to suggest favorable opportunities for Builders FirstSource. The National Association of Homebuilders s now predicting a 24.2 percent increase in single-family housing starts for 2013, and an additional 28.8 percent increase in 2014. We believe Builders FirstSource is well positioned to take advantage of this recovery. Our strategy remains focused on increasing our market share and improving our operating margins as we move into the spring and summer building season."