UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q QUARTERLY REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended December 31, 2021 Commission File Number 1-12984 EAGLE MATERIALS INC. (Exact name of registrant as specified in its charter) Delaware (State of Incorporation) 75-2520779 (I.R.S. Employer Identification No.) 5960 Berkshire Lane, Suite 900, Dallas, Texas 75225 (Address of principal executive offices) (214) 432-2 ...

October 28, 2021 Second Quarter Fiscal 2022 Earnings Release and Conference Call Forward-Looking Statements Forward‐Looking Statements. This presentation contains forward‐looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Forward‐looking statements may be identified by the context of the statement and generally arise when the Company is discussing its beliefs, estimat ...

Financial Data and Key Metrics Changes - Second quarter revenue reached a record $510 million, reflecting a 14% increase from the prior year, driven by higher sales prices and sales volume across each business unit [28] - Diluted earnings per share from continuing operations was $2.46, a 14% increase year-on-year, while adjusted EPS was $2.73, marking a 26% improvement [28] - Operating cash flow for the first six months was $262 million, a 20% decrease year-on-year due to prior year tax benefits [32] Business Line Data and Key Metrics Changes - Heavy Materials sector revenue increased by 5%, driven by higher cement sales prices and sales volume, with price increases ranging from $6 to $8 per ton [29] - Light Materials sector revenue surged by 28%, with operating earnings increasing by 39% to $67 million, reflecting higher wallboard sales volume and prices [31] Market Data and Key Metrics Changes - Housing construction remains strong, particularly in the Southern U.S., which is crucial for the company as it represents a significant portion of housing starts [10] - The company noted that cement imports will be increasingly required to meet demand due to high capacity utilization in domestic plants, with the Baltic Dry Index up 135% from a year ago [14][71] Company Strategy and Development Direction - The company aims to ramp up its milestone cement product offerings, potentially creating another cement plant's worth of product when fully implemented [18] - The company is focused on maintaining high utilization rates and exploring growth opportunities while adhering to strict financial return criteria for investments [63] Management's Comments on Operating Environment and Future Outlook - Management highlighted strong job creation and consumer spending as positive economic indicators, despite challenges from COVID-19 and supply chain issues [7][8] - The company expects continued strong demand in housing and commercial construction, with a favorable demand profile across all end markets [56] Other Important Information - The company has restarted its share repurchase program, returning $259 million to shareholders during the first half of the year [32] - An alliance with Chart Industries for carbon capture technology at the Sugar Creek cement plant was announced, marking a significant step towards a net carbon zero future [25][26] Q&A Session Summary Question: Can you elaborate on the ramp-up in cement product offerings? - Management explained that the ramp-up involves adding limestone to cement, which could increase capacity by 10% to 15% across facilities, with a three-year timeline for implementation [37][39] Question: How do you view cost inflation and its impact on margins? - Management acknowledged cost inflation but noted that pricing mechanisms allow for passing on higher costs, with expectations for margin recovery in Q4 [46][68] Question: What is the outlook for cement demand and pricing? - Management indicated consistent demand across markets, with double-digit price increases for cement effective January 1, 2022 [43][74] Question: How is the company addressing supply chain challenges? - Management stated that while supply chain issues have caused delays, they expect demand to increase once these challenges are resolved [72] Question: Can you provide insights on the M&A pipeline? - Management confirmed that they are actively looking for M&A opportunities but will only pursue those that meet their strategic and financial criteria [64][69]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q QUARTERLY REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended September 30, 2021 Commission File Number 1-12984 EAGLE MATERIALS INC. (Exact name of registrant as specified in its charter) Delaware (State of Incorporation) 75-2520779 (I.R.S. Employer Identification No.) 5960 Berkshire Lane, Suite 900, Dallas, Texas 75225 (Address of principal executive offices) (214) 432- ...

Financial Data and Key Metrics Changes - First quarter revenue reached a record $476 million, an increase of 11% from the prior year, driven by higher wallboard and cement sales prices, as well as increased wallboard and paperboard sales volume [16] - First quarter earnings per share was $2.25, a 3% decrease from the prior year, primarily due to a $0.93 per share gain from the sale of Northern California businesses in the previous year [16] - Operating cash flow increased 17% to $111 million, reflecting strong earnings and disciplined working capital management [20] Business Line Data and Key Metrics Changes - Heavy Materials sector revenue increased 3%, driven by higher cement sales prices, which rose by $6.00 to $8.00 per ton, although lower cement sales volume was noted due to heavy rainfall in Texas [17] - Light Materials sector revenue increased 25%, reflecting higher wallboard sales volume and prices, with operating earnings increasing 51% to $67 million, and wallboard margins improved to 38% from 32% in the prior year [19] Market Data and Key Metrics Changes - Residential construction remains a significant demand driver, accounting for approximately 80% of gypsum wallboard demand and about 30% of cement demand, with a strong outlook for housing starts [5][6] - The National Association of Realtors reported a cumulative demand supply gap of 6.8 million homes, indicating a robust outlook for gypsum wallboard demand [8] Company Strategy and Development Direction - The company is well-positioned to take advantage of current market opportunities, with a strong balance sheet providing substantial financial firepower for growth opportunities [14] - The company has restarted its share repurchase program and completed the issuance of 2.5% 10-year senior notes to strengthen its capital structure [15] Management's Comments on Operating Environment and Future Outlook - Management noted that the demand picture is robust for both gypsum wallboard and cement, with sustainable factors driving this strength expected to last through the mid-term [10] - The company is largely insulated from the diminishing supply of synthetic gypsum and is positioned to benefit from supply dynamics in the industry [12] Other Important Information - The company completed full maintenance outages at each facility during the quarter, which increased maintenance spending by approximately $10 million compared to the previous year [18] - The company has a considerable amount of shares available for repurchase, with nearly 7 million shares under repurchase authorization [31] Q&A Session Summary Question: Expectations for a bounce back in JV volumes in Q2 after Texas weather impact - Management confirmed that as weather improves, cement shipments are expected to resume at a faster pace [23] Question: Status of midyear price increases in the cement market - Management stated that they are currently implementing a cement price increase and evaluating other markets for potential increases [24] Question: Details on cost inflation and its impact on margins - Management indicated that while costs for paper and energy are rising, they are able to pass most of these costs through to customers [27] Question: Insights on wallboard pricing and demand - Management confirmed that wallboard prices increased significantly during the quarter and that demand remains strong [35][36] Question: Capital deployment opportunities in the wallboard industry - Management indicated a focus on maximizing production from existing facilities rather than pursuing M&A opportunities in the wallboard sector [43] Question: Current CapEx expectations for the year - Management expects capital expenditures to be in the range of $90 million to $100 million for the full year [62]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q QUARTERLY REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended June 30, 2021 Commission File Number 1-12984 EAGLE MATERIALS INC. (Exact name of registrant as specified in its charter) Delaware (State of Incorporation) 75-2520779 (I.R.S. Employer Identification No.) 5960 Berkshire Lane, Suite 900, Dallas, Texas 75225 (Address of principal executive offices) (214) 432-2000 ...

Part I [Business](index=3&type=section&id=Item%201.%20Business) Eagle Materials Inc. is a leading US supplier of heavy construction and light building materials, achieving record revenue of **$1.62 billion** in fiscal 2021 through strategic growth and portfolio optimization [Overview](index=3&type=section&id=Overview) - Eagle Materials is a **leading U.S. supplier** of heavy construction and light building materials, essential for commercial, residential, and public construction projects[6](index=6&type=chunk) - The company's competitive strengths include a diversified geographic reach in high-growth U.S. markets, a **low-cost producer position**, production flexibility, substantial raw material reserves (**25-50 years**), and an experienced management team with a conservative balance sheet strategy[8](index=8&type=chunk) - On May 19, 2021, the Board of Directors decided **not to pursue the previously announced separation** of its Heavy and Light Materials businesses, concluding that a combined company offers **greater financial scale and flexibility** for strategic growth[12](index=12&type=chunk) - The company's strategy focuses on four objectives: being a **low-cost producer**, maintaining a **decentralized operating structure**, operating in diverse and attractive U.S. markets, and achieving **profitable growth through acquisitions and organic development**[13](index=13&type=chunk) - Capital allocation priorities are: 1) **growth investments**, 2) **operating capital investments** to maintain low-cost positions, and 3) **returning excess cash to shareholders**, primarily via share repurchases[21](index=21&type=chunk) [Fiscal 2021 Events](index=6&type=section&id=Fiscal%202021%20Events) Fiscal 2021 Financial Highlights (vs. Fiscal 2020) (in thousands) | Metric | FY 2021 | Change | Note | | :--- | :--- | :--- | :--- | | **Revenue** | $1,622.6M | +16% | Record revenue; organic revenue up 5% | | **Net Income from Continuing Operations** | $334.2M | +45% | - | | **Cement Sales Volume** | - | +26% | - | | **Gypsum Wallboard Sales Volume** | - | +6% | - | | **Cash Flow from Operations** | $643.1M | +61% | Enabled $560.0M of debt repayment | - The company successfully completed the integration of Kosmos Cement Company, acquired in March 2020 for approximately **$669 million**[24](index=24&type=chunk) - Divested non-core assets, including Western Aggregates and Mathews Readymix operations for **$93.5 million** and the Oil and Gas Proppants business for approximately **$2.0 million** in stock[26](index=26&type=chunk)[27](index=27&type=chunk) [Human Capital](index=7&type=section&id=Human%20Capital) - As of March 31, 2021, the company had approximately **2,200 employees**, with about **700 of the 1,550 hourly employees** covered by collective bargaining agreements[30](index=30&type=chunk) - The company prioritizes **employee health and safety**, holding annual safety conferences and reviewing safety metrics monthly[31](index=31&type=chunk) - During the COVID-19 pandemic, the company was designated an **essential business** and implemented **enhanced health and safety protocols** to continue production while safeguarding employees[32](index=32&type=chunk) [Industry Segment Information](index=7&type=section&id=Industry%20Segment%20Information) The company operates in two sectors, Heavy Materials and Light Materials, serving infrastructure and residential construction markets respectively - The business is organized into two sectors: **Heavy Materials** (Cement, Concrete and Aggregates segments) and **Light Materials** (Gypsum Wallboard and Recycled Paperboard segments)[33](index=33&type=chunk) - The primary end market for the Cement and Concrete and Aggregates segments is **infrastructure**, while for Gypsum Wallboard and Recycled Paperboard it is **residential construction**[33](index=33&type=chunk) [Risk Factors](index=22&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks from the COVID-19 pandemic, cyclical construction demand, extensive environmental regulations, capital-intensive operations, and restrictive debt covenants - **COVID-19 Risks:** The pandemic continues to pose a **high degree of uncertainty**, potentially causing **adverse macroeconomic conditions**, delays in construction projects, increased compliance costs, and **disruptions** to manufacturing operations and supply chains[119](index=119&type=chunk)[121](index=121&type=chunk)[128](index=128&type=chunk) - **Industry Risks:** Demand is tied to the **cyclical construction industry**. The business is **seasonal**, and unfavorable weather can adversely affect results. Many products are commodities, subject to **price fluctuations** from changes in supply and demand[129](index=129&type=chunk)[132](index=132&type=chunk)[137](index=137&type=chunk) - **Regulatory & Legal Risks:** Operations are subject to **extensive and costly environmental regulations**, including potential future legislation on **greenhouse gas (GHG) emissions** which could materially impact the cement industry. The company also faces risks from **litigation and permitting requirements** for mining[141](index=141&type=chunk)[143](index=143&type=chunk)[148](index=148&type=chunk) - **Financial & Operational Risks:** The cement business is **capital-intensive**, making earnings sensitive to volume changes. Results are subject to significant changes in the **cost of fuel, energy, and transportation**. Debt agreements contain **restrictive covenants** that limit financial flexibility[158](index=158&type=chunk)[164](index=164&type=chunk)[171](index=171&type=chunk) - **Acquisition Risks:** Future acquisitions, a key part of the growth strategy, involve risks such as **integration difficulties**, assumption of **unanticipated liabilities**, and **failure to achieve expected profitability**[180](index=180&type=chunk)[181](index=181&type=chunk) [Unresolved Staff Comments](index=34&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved comments from the SEC Staff - There are **no unresolved Staff comments**[191](index=191&type=chunk) [Properties](index=34&type=section&id=Item%202.%20Properties) The company owns most of its U.S. operating facilities, including cement, concrete, aggregate, gypsum wallboard, and recycled paperboard plants, with none pledged as debt security - The company's U.S. facilities include **cement plants**, quarries, concrete/aggregate plants, **gypsum wallboard plants**, a **recycled paperboard mill**, and distribution terminals[192](index=192&type=chunk) - **All facilities are owned** except for the Dallas headquarters (leased through May 2029) and certain terminals. **No facilities are pledged as security for debt**[192](index=192&type=chunk) [Legal Proceedings](index=35&type=section&id=Item%203.%20Legal%20Proceedings) The company does not anticipate any material adverse effects on its financial condition or operations from current legal proceedings - Management does **not believe any currently pending legal proceedings will have a material effect** on the company's financial condition, results of operations, or liquidity[195](index=195&type=chunk) [Mine Safety Disclosures](index=35&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) Mine safety violation information, as required by the Dodd-Frank Act, is provided in Exhibit 95 of this Annual Report - Mine safety violation information required by Section 1503(a) of the Dodd-Frank Act is included in **Exhibit 95** to this Annual Report[197](index=197&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities](index=36&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%2C%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Eagle Materials' common stock trades on the NYSE under EXP, with an active share repurchase program, and its 5-year total return significantly outperformed its initial value - The company's common stock trades on the **NYSE** under the symbol **EXP**[199](index=199&type=chunk) - **No shares were repurchased in fiscal 2021**. In fiscal 2020, **3,574,109 shares** were repurchased at an average price of **$87.82**, and in fiscal 2019, **3,309,670 shares** were repurchased at an average price of **$82.18**[201](index=201&type=chunk) - On April 18, 2019, the Board authorized an additional **10,000,000 shares** for repurchase[200](index=200&type=chunk) 5-Year Cumulative Total Return Comparison | Index | 3/31/16 | 3/31/17 | 3/31/18 | 3/31/19 | 3/31/20 | 3/31/21 | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Eagle Materials Inc.** | $100.00 | $139.25 | $148.30 | $121.90 | $84.86 | $195.54 | | **Russell 1000** | $100.00 | $117.43 | $133.84 | $146.29 | $134.55 | $216.07 | | **Dow Jones US Building Materials & Fixtures** | $100.00 | $115.17 | $121.77 | $119.99 | $110.34 | $214.37 | [Selected Financial Data](index=38&type=section&id=Item%206.%20Selected%20Financial%20Data) This section is no longer required by SEC Release No. 33-10890, thus no data is presented - The requirement for selected financial data (previously Item 301 of Regulation S-K) has been **eliminated by SEC Release No. 33-10890**[210](index=210&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=38&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) In fiscal 2021, Eagle Materials achieved **$1.62 billion** in revenue and **$334.2 million** in net earnings, driven by strong segment performance and strategic acquisitions, while generating **$643.1 million** in operating cash flow despite winter storm impacts [Executive Summary](index=38&type=section&id=Executive%20Summary) - The company's business is organized into two sectors: **Heavy Materials** (Cement, Concrete and Aggregates) and **Light Materials** (Gypsum Wallboard, Recycled Paperboard)[213](index=213&type=chunk) - On September 18, 2020, the company sold its **Oil and Gas Proppants business**, which is now reported as **discontinued operations**[212](index=212&type=chunk) - Key transactions include the acquisition of Kosmos Cement Company in March 2020 for **~$669 million** and the sale of Western Aggregates LLC and Mathews Readymix LLC in April 2020 for **$93.5 million**[219](index=219&type=chunk)[220](index=220&type=chunk) [Market Conditions and Outlook](index=39&type=section&id=Market%20Conditions%20and%20Outlook) - Fiscal 2021 results were **strong** despite COVID-19 uncertainty, with Gypsum Wallboard shipments up **6%** and organic Cement sales volume up **1%**[222](index=222&type=chunk) - The company expects **freight costs to increase** in fiscal 2022 due to continued high demand for construction products[223](index=223&type=chunk) - Demand for Gypsum Wallboard is expected to remain **strong**, driven by residential housing starts which increased **7%** in calendar 2020[227](index=227&type=chunk) - Winter Storm Uri in February 2021 **adversely affected operations**, **increasing costs** for natural gas and electric power and reducing construction activity in affected regions during the fourth quarter[229](index=229&type=chunk) [Results of Operations](index=40&type=section&id=Results%20of%20Operations) Consolidated Results of Operations (Fiscal Year Ended March 31) (in thousands) | (in thousands) | 2021 | 2020 | % Change | | :--- | :--- | :--- | :--- | | **Revenue** | $1,622,642 | $1,404,033 | 16% | | **Gross Profit** | $408,355 | $342,666 | 19% | | **Earnings from Continuing Operations Before Income Taxes** | $424,112 | $255,695 | 66% | | **Net Earnings From Continuing Operations** | $334,166 | $231,191 | 45% | | **Diluted EPS from Continuing Operations** | $7.99 | $5.47 | 46% | - Revenue increased **16%** to **$1.6 billion**, with acquisitions contributing approximately **$177.7 million**. Organic revenue grew **5%** due to higher sales prices and volumes[232](index=232&type=chunk) - Gross profit increased **19%** to **$408.4 million**, with the gross margin improving to **25%** from 24% in fiscal 2020[234](index=234&type=chunk) - Corporate G&A expenses **decreased 24%** to **$49.5 million**, primarily due to lower legal/professional fees related to the prior year's strategic review and lower acquisition-related expenses[236](index=236&type=chunk) - A **gain on sale of businesses of $52.0 million** was recognized in fiscal 2021 from the sale of Western Aggregates and Mathews Readymix[238](index=238&type=chunk) - The effective tax rate **increased to 21% from 10%**, as the prior year included a one-time **$31.7 million benefit** from the CARES Act allowing for a net operating loss carryback[243](index=243&type=chunk) [Results by Segment](index=44&type=section&id=Results%20by%20Segment) Cement Segment Performance (FY2021 vs FY2020) | Metric | FY 2021 | FY 2020 | % Change | | :--- | :--- | :--- | :--- | | **Gross Revenue** | $944.6M | $752.0M | 26% | | **Sales Volume (M Tons)** | 7,466 | 5,931 | 26% | | **Avg. Net Sales Price/ton** | $111.19 | $109.96 | 1% | | **Operating Earnings** | $234.0M | $181.3M | 29% | Concrete and Aggregates Segment Performance (FY2021 vs FY2020) | Metric | FY 2021 | FY 2020 | % Change | | :--- | :--- | :--- | :--- | | **Gross Revenue** | $168.8M | $182.8M | (8)% | | **Concrete Volume (M Cubic Yds)** | 1,300 | 1,388 | (6)% | | **Aggregate Volume (M Tons)** | 1,956 | 3,313 | (41)% | | **Operating Earnings** | $19.1M | $17.6M | 9% | Gypsum Wallboard Segment Performance (FY2021 vs FY2020) | Metric | FY 2021 | FY 2020 | % Change | | :--- | :--- | :--- | :--- | | **Gross Revenue** | $539.0M | $508.1M | 6% | | **Sales Volume (MMSF)** | 2,857 | 2,694 | 6% | | **Avg. Net Sales Price/MMSF** | $149.62 | $148.03 | 1% | | **Operating Earnings** | $167.3M | $154.6M | 8% | Recycled Paperboard Segment Performance (FY2021 vs FY2020) | Metric | FY 2021 | FY 2020 | % Change | | :--- | :--- | :--- | :--- | | **Gross Revenue** | $163.5M | $160.0M | 2% | | **Sales Volume (M Tons)** | 325 | 326 | (0)% | | **Avg. Net Sales Price/ton** | $486.15 | $476.20 | 2% | | **Operating Earnings** | $25.4M | $35.0M | (27)% | [Critical Accounting Policies](index=48&type=section&id=Critical%20Accounting%20Policies) - **Impairment of Long-Lived Assets:** Assets are **assessed for impairment** when events indicate the carrying amount may not be recoverable, by comparing the carrying amount to **future undiscounted net cash flows**[268](index=268&type=chunk) - **Goodwill:** Goodwill is **assessed for impairment annually** in the fourth quarter at the reporting unit level. The company may perform a **qualitative analysis** first, or proceed directly to a **quantitative test** comparing the reporting unit's fair value (estimated using market and income approaches) to its carrying value[269](index=269&type=chunk)[270](index=270&type=chunk)[271](index=271&type=chunk) - **Business Combinations:** The company uses the **acquisition method of accounting**, recognizing assets acquired and liabilities assumed at their **fair values**. This requires **significant management judgment and estimates**, particularly for property, plant, equipment, and intangible assets[276](index=276&type=chunk) [Liquidity and Capital Resources](index=50&type=section&id=Liquidity%20and%20Capital%20Resources) Summary of Cash Flows (Fiscal Year Ended March 31) (in thousands) | (in thousands) | 2021 | 2020 | | :--- | :--- | :--- | | **Net Cash Provided by Operating Activities** | $643,073 | $399,301 | | **Net Cash Provided by (Used in) Investing Activities** | $37,089 | ($831,080) | | **Net Cash (Used in) Provided by Financing Activities** | ($530,290) | $541,826 | - Operating cash flow **increased by $243.8 million**, primarily due to a **$258.7 million positive change** in working capital, which included receiving income tax refunds of **$125.6 million**[285](index=285&type=chunk) - Net cash from investing activities was **positive** due to **$91.0 million** in proceeds from business sales and lower capital and acquisition spending compared to the prior year[290](index=290&type=chunk) - Net cash used in financing activities was driven by a **$560.0 million reduction** in the Revolving Credit Facility balance[291](index=291&type=chunk) - Total liquidity at March 31, 2021 was approximately **$1.01 billion**, consisting of **$263.5 million** in cash and **$745.7 million** available under the Revolving Credit Facility[297](index=297&type=chunk) - Capital expenditures for fiscal 2022 are expected to range from **$80 million to $100 million**[306](index=306&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=56&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces market risks from interest rate fluctuations on its variable-rate debt and commodity price changes, with a 100 basis point rate increase impacting annual interest expense by **$6.7 million** - The company is exposed to **interest rate risk** on its variable-rate Revolving Credit Facility and Term Loan. A hypothetical **100 basis point increase** in interest rates on the $665.0 million Term Loan would increase annual interest expense by **$6.7 million**[315](index=315&type=chunk) - The company is subject to **commodity risk** from price changes in coal, coke, natural gas, and power, which it attempts to **mitigate through contracts and the use of alternative fuels**[316](index=316&type=chunk) [Financial Statements and Supplementary Data](index=57&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the audited consolidated financial statements for Eagle Materials Inc., including the independent auditor's unqualified opinion on both the financial statements and internal control over financial reporting [Consolidated Financial Statements](index=58&type=section&id=Consolidated%20Financial%20Statements) Consolidated Statement of Earnings (FY 2021) (in thousands) | (in thousands) | Amount | | :--- | :--- | | **Revenue** | $1,622,642 | | **Gross Profit** | $408,355 | | **Earnings from Continuing Operations** | $334,166 | | **Net Earnings** | $339,444 | | **Diluted EPS** | $8.12 | Consolidated Balance Sheet (As of March 31, 2021) (in thousands) | (in thousands) | Amount | | :--- | :--- | | **Total Current Assets** | $661,689 | | **Total Assets** | $2,838,681 | | **Total Current Liabilities** | $169,354 | | **Long-term Debt** | $1,008,616 | | **Total Liabilities** | $1,479,691 | | **Total Stockholders' Equity** | $1,358,990 | [Notes to Consolidated Financial Statements](index=63&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) - The sale of the Oil and Gas Proppants business on September 18, 2020, for **$2.0 million** resulted in a gain of **$9.2 million** and is accounted for as a **discontinued operation**[332](index=332&type=chunk)[398](index=398&type=chunk) - The acquisition of Kosmos Cement Company was completed on March 6, 2020, for a purchase price of approximately **$668.9 million**. The transaction generated **$129.1 million in goodwill**[380](index=380&type=chunk)[382](index=382&type=chunk)[385](index=385&type=chunk) - At March 31, 2021, the company had **$1.015 billion in total debt**, consisting of a **$665 million Term Loan** and **$350 million in Senior Unsecured Notes**. There were **no borrowings outstanding under the $750 million Revolving Credit Facility**[410](index=410&type=chunk)[414](index=414&type=chunk) - The company has authorization to repurchase an additional **7,305,649 shares** as of March 31, 2021[359](index=359&type=chunk) [Report of Independent Registered Public Accounting Firm](index=98&type=section&id=Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm) - Ernst & Young LLP issued an **unqualified opinion** on the consolidated financial statements, stating they are presented fairly in all material respects in conformity with **U.S. GAAP**[494](index=494&type=chunk) - The auditors also issued an **unqualified opinion** on the **effectiveness of the company's internal control over financial reporting** as of March 31, 2021[495](index=495&type=chunk) - A **critical audit matter** was identified related to the **existence of materials-in-progress (clinker) inventory**, due to the complexity and judgment involved in evaluating the company's process for measuring stockpile volumes and converting them to tonnage[500](index=500&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=116&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants regarding accounting and financial disclosure - **None reported**[566](index=566&type=chunk) [Controls and Procedures](index=116&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and internal control over financial reporting were effective as of March 31, 2021, a conclusion affirmed by the independent auditor's unqualified opinion - The CEO and CFO concluded that the company's disclosure controls and procedures were **effective** as of March 31, 2021[567](index=567&type=chunk) - Management concluded that internal control over financial reporting was **effective** as of March 31, 2021, based on the COSO framework[569](index=569&type=chunk) - Ernst & Young LLP, the independent registered public accounting firm, audited and issued an **unqualified opinion** on the **effectiveness** of the company's internal control over financial reporting as of March 31, 2021[571](index=571&type=chunk) [Other Information](index=118&type=section&id=Item%209B.%20Other%20Information) The company reports no other information - **None**[578](index=578&type=chunk) [Part III](index=119&type=section&id=Part%20III) Information for Items 10 through 14, covering directors, executive officers, corporate governance, executive compensation, security ownership, and principal accounting fees, is incorporated by reference from the company's August 3, 2021 Proxy Statement [Directors, Executive Officers, Corporate Governance, Compensation, and Security Ownership](index=119&type=section&id=Items%2010-14) Information for Items 10-14 is incorporated by reference from the Company's August 3, 2021 Proxy Statement, with the code of ethics available on its website - Information for Items 10-14 is **incorporated by reference** from the 2021 EXP Proxy Statement[580](index=580&type=chunk) - The company's **code of ethics**, "**The Eagle Way**," is published on the corporate governance section of its website[581](index=581&type=chunk) [Part IV](index=121&type=section&id=Part%20IV) This section lists the financial statements, schedules, and exhibits filed with the report, with financial statements referenced under Item 8 and a detailed exhibit index provided [Exhibits, Financial Statement Schedules](index=121&type=section&id=Item%2015.%20Exhibits%2C%20Financial%20Statement%20Schedules) This section lists all documents filed as part of the report, referencing financial statements under Item 8 and providing a detailed index of exhibits - The financial statements are filed as part of this report and are **indexed under Item 8**[590](index=590&type=chunk) - Financial statement schedules are **omitted** as they are not applicable or the required information is included elsewhere[591](index=591&type=chunk) - A **detailed index to exhibits** is provided on pages 120-125 of the report[591](index=591&type=chunk)

Eagle Materials Inc.(NYSE:EXP) Q3 2021 Earnings Conference Call January 28, 2021 8:30 AM ET Company Participants Michael Haack - CEO, President & Director Craig Kesler - EVP, Finance & Administration & CFO Conference Call Participants Trey Grooms - Stephens Brent Thielman - D.A. Davidson and Company Adrian Huerta - JP Morgan Anthony Pettinari - Citigroup Jerry Revich - Goldman Sachs Stanley Elliott - Stifel Nicolaus Adam Thalhimer - Thompson, Davis & Company Josh Wilson - Raymond James Operator Good day, ev ...

Financial Data and Key Metrics Changes - The company reported record revenue of $448 million for the second quarter, an increase of 12% from the prior year, primarily driven by the acquisition of Kosmos Cement and organic revenue growth of 2% from increased Cement and Wallboard sales volume [18][19] - Earnings per share from continuing operations were $2.16, reflecting a 20% improvement, which included a one-time tax benefit of $0.14 per share [19] - Operating cash flow increased by 94% during the first six months of the year, supported by earnings growth and disciplined working capital management [24] Business Line Data and Key Metrics Changes - Cement volumes increased by 23% for the quarter and 28% for the fiscal year, indicating strong performance across organic markets [7] - Wallboard shipments rose by 6% for both the quarter and the fiscal year, outperforming the industry average of 1% [13][21] - The Heavy Materials sector, which includes Cement, Concrete, and Aggregates, saw a revenue increase of 15%, largely due to the Kosmos Cement acquisition [21] Market Data and Key Metrics Changes - The South region leads in housing starts, significantly impacting Wallboard demand, with the company strategically positioned in the Sunbelt region [12] - Retail sales have rebounded above pre-pandemic levels, contributing positively to state and local budgets, which are crucial for infrastructure funding [8] Company Strategy and Development Direction - The company plans to separate its Cement and Wallboard businesses, although the timing remains uncertain due to market conditions [15][16] - The focus remains on debt reduction and maintaining financial flexibility amid pandemic-related uncertainties [25] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about long-term demand for Cement, despite potential slower growth trends in the near term due to economic uncertainties [10] - The company is currently operating at high capacity utilization levels, indicating that production may not keep pace with demand growth if it continues [11] Other Important Information - The company has delayed certain planned maintenance outages due to COVID-19, resulting in higher maintenance costs for the quarter [22] - Total liquidity at the end of the quarter was over $700 million, with no near-term debt maturities [25] Q&A Session Summary Question: Can you discuss the Heavy Materials pricing dynamics and demand changes? - Management noted that all markets contributed positively to pricing improvements and demand, with no specific location outperforming others [28] Question: How are key states performing regarding DOT funding? - Management indicated that they expect low single-digit growth, with robust demand in their operational locations [29] Question: What is the current capacity utilization and supply-demand balance? - Management confirmed high capacity utilization and strong demand, particularly in the Southern U.S. [32] Question: Can you provide details on the Wallboard price increase? - A price increase for Wallboard is set to be implemented in early November, supported by strong demand [33] Question: Which cement markets have successfully implemented price increases? - Management stated that pricing improvements were consistent across the entire network, with a 4% organic price realization increase [35][36] Question: How is Wallboard demand driven by residential versus commercial construction? - Approximately 85% of Wallboard demand is driven by residential construction, particularly single-family homes [39] Question: What is the impact of weather on Cement volume as the seasons change? - Management indicated that weather dependency is a significant factor, with October showing consistent demand [44] Question: How is the Kosmos business performing? - Kosmos volumes were in line with expectations, with seasonality to be considered in future projections [42] Question: What are the expectations for Wallboard margins going forward? - Management expressed confidence in maintaining margins due to a strong supply structure and demand from single-family residential construction [55]

1 First Quarter Fiscal Year 2021 Earnings Release and Conference Call July 30, 2020 Forward-Looking Statements Forward-Looking Statements. This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the context of the statement and generally arise when the Company is discussing its beliefs, esti ...