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HEADWATERS INC

No Longer Reporting

The company has not filed an annual or quarterly report since its Q2 FY2017 10-Q, filed Apr 28, 2017. Its latest SEC filing is a 15-12B from May 18, 2017.

The sections below describe the company as of the FY2016 annual report.

What Did They Do?

Sells building products through distributors to construction customers, and supplies fly ash and synthetic gypsum to concrete producers and utilities.

How Did They Make Money?

Customers pay for building products, coal-combustion products and catalyst materials when delivered. Utilities also pay for disposal work as material is removed, usually at a price per ton, or for services as they are performed.

FY2014 revenue

Who Were Their Customers?

Building-products distributors, retailers and contractors buy building products; concrete producers buy fly ash, while electric utilities buy disposal services. Some building products are sold directly to contractors, with other sales going through wholesale and retail distributors.

Did Revenues Turn Into Profits?

Yes. It kept 2 cents of every revenue dollar as net income in FY2014 and turned 3 cents into free cash flow.

Operating income, FY2014
8% of revenue
▲ +23% vs FY2013 ($54.4M, 8%)
Net income, FY2014
2% of revenue
▲ +114% vs FY2013 ($7.1M, 1%)
Free cash flow, FY2014
3% of revenue
▼ −17% vs FY2013 ($29.4M, 4%)

How Were They Changing?

Since the FY2016 annual report
Latest quarter: Q2 FY2017, the three months to Mar 31, 2017
Revenue
▲ +28%
vs $202.3M in Q2 FY2016
Net income
▲ +116%
vs $2.1M in Q2 FY2016
  • May 8, 2017 Boral completed its acquisition of Headwaters Headwaters became a wholly owned subsidiary and ceased to be publicly traded.
  • Apr 28, 2017 Headwaters reaffirmed its adjusted EBITDA guidance of $235 to $250 million

Grew. Revenue grew 35% in 4 years, from $584.6M in FY2010 to $791.4M in FY2014, about 8% a year.

Vinyl windows Added vinyl windows for new home construction through the Krestmark business, extending a building-products range the older report describes through siding accessories, stone and concrete block.

Synthetic gypsum Added synthetic gypsum processing and marketing to construction materials, alongside the earlier fly ash business and utility services.

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