It's Not So Bad, So Stop Thinking It Is! I Have Proof!

Grumpy

Beacon Roofing Supply Announces Record First Quarter Sales and Income
02/11/2009

In a welcome counterpoint to the seemingly endless reports of builders and building material manufacturers posting huge losses, Beacon Roofing Supply, Inc. announced that it earned $18.6 million in the first quarter--an increase of 256 percent.

The company said it experienced strong re-roofing activity in markets that were affected by Hurricane Ike. Non-residential sales, however, slowed due, in part, to early winter conditions in the Company's markets that have the largest concentration of commercial business. Complementary product sales continued to be negatively impacted by both the slowdown in the economy and lower levels of new construction.

Robert Buck, the Company's Chairman & Chief Executive Officer, stated: "We had an excellent first quarter, which included some short-term benefits and provided a good start to fiscal 2009, during which we expect to continue to face difficult economic conditions. I am proud of our ability to service our customers efficiently and execute our business strategies successfully, including the control of inventories, bad debts and other expenses, which helped yield our strong sales and income growth. We have managed our working capital effectively and continue to pay down our debt, further strengthening our balance sheet. We believe we will be in very good shape once the economy begins to turn."

Grumpy

DOn't fall into the hype of the economy. Don't start loweing your prices. There are roofs out there that need to be done, especially all those recently installed roofs by the out of business builders. This is going to be a great year for all of us! Stop believing the media.

Bill Z

Agreed. Katie Couric makes $15,000,000. per year WTF does she know about OUR economy? Yet, she and all the other pretty TV millionaires yammer on about how bad things are. If they would shut the ___ up, the 50+ group would start letting go of some of the huge pile of savings they've accumulated. The part we can control is to have an open mind and SELL, not BID!

neolitic

Sure, all we need is a couple of hurricanes,
a few tornadoes, and an earthquake or two.....

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Celtic

There a 3.0 earthquake in NJ earlier this month:

Earthquake rattles NJ. Yes, New Jersey



No mention of roofs.

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Renegade

Couldn't agree more. The pickings may be slimmer than the last five years but we all gotta remember people and businesses ALWAYS need roofs. Price wars and lowballing just hurt everyone in our industry. If business is slow, work harder at selling yourself and your quality, not your price. You have a much better chance at success by improving your reputation, not lowering your prices. These downturns are actually helpful for companies with that focus in mind.

Cole

If you lower your prices right now, you are a complete idiot and deserve to go out of business.

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outlaw

Good post Grumpy! I have heard that there is a recession going on, but I refuse to participate!

With everybody talking doom & gloom and not really trying becuase, Hell it ain't their fault they are doing bad. There's recession haven't you heard.

This is a perfect opportunity for me to scoop up all that money that they are to scared to make.

Grumpy

This was posted in roofing for a reason. Because the supplier is a roofing supplier and because roofing is a recession proof industry. People will always need roofs for as long as they own buildings. The only people bitching are those who were heavily invested in the stock market. Fools I say.

Nice time to advertise now too while everyone else is cutting their advertising.

dougger222

Since the new stuff slowed down in early 06 I have had better and better years since. As a matter of fact 06 was better than any previous year and 07 and 08 were much better than 06. The outlook now for 09 looks to be as good as 08 if not better which was the best year in the past 10.

Sure the storms helped a lot, heck there must have been 8 different wind and hail storms since 8/24/06! Don't see any decline in natural disasters either. We've done a lot of jobs more than once due to weather in recent years.

The fact of the matter is although doing new roofs made me good money doing residential tear offs either insurance or out of pocket has opened a new world of roofing for me.

My father has roofed for 37 years and has always had work including in the early 80's when interest rates were close to 20%. At some points he had to self finance jobs but he never got burned once.

Like Thomas said roofing in recession proof to the extent that homes still need roofs due to many factors.

Keep in mind most of the people out there saying the economy is "great depression like" are the same ones that want a huge stimulous bill to put us deeper into national debt. Fact of the matter is that right now we are sitting a lot better than we were in the early 80's.

RandyB1986

How surprising I mean come on.....they are raping us on material costs! They should be making money! I wish everyone would boycott supply houses. They tripled the price of everything and blamed it on oil.....now oil has dropped 70% but shingle prices keep going up!

You can get 30 year shingles from China, shipped to USA...for $25 a square, coil nails.....same ones Guardian pawns us for $30 you can buy for $10, including shipping, same with felt, $8 a roll....if only we could trust them

rbsremodeling

You really want to buy ****z made in China Still? have you not learned

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SLSTech

Nah, he just finally used up all the drywall he bought a few years ago from them.

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RandyB1986

You must not read very well. They are the same felt and nails we buy from the supply house.

Where do you think Guardian gets the product they sell you? Just because you are buying it in America dont mean it is made in USA. Read the freaking wrapper.....then go give the greedy people some more of your money.

Oh yeah, go look under the hood of your vehicles then get back to me.

PA woodbutcher

[quote=RandyB1986;620032]You must not read very well. They are the same felt and nails we buy from the supply house.

Where do you think Guardian gets the product they sell you? Just because you are buying it in America dont mean it is made in USA. Read the freaking wrapper.....then go give the greedy people some more of your money. And they ain't greedy in China? They have kids working for nothing for Christ's sake

Oh yeah, go look under the hood of your vehicles then get back to me. What am I looking for?[/quote]

I have a good idea...you buy your materials where you want and I'll do the same. I would however recommend you quit being part of the problem.

Asphalt comes from the bottom of the barrel of oil...roughly 3% give or take. With hurricanes ripping off roofs it has drove up the demand for shingles....add to that the stimulus package and the rebuilding of the infrastructure it will put an even bigger demand on the "bottom of the barrel.

43% Gasoline
22% Heating oil and diesel
18% Other products requiring petroleum distillates
10% Jet fuel
4% Propane
3% Asphalt

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RandyB1986

[quote=PA woodbutcher;620289]LOL, Its no wonder you butcher lumber. That 3% ran the price up 200%....think about what you are saying. So why shouldnt that 3% drop the price in the same way??

PS. You are looking at all the Chinese made parts under your hood

PA woodbutcher

With a few exceptions both of my vehicle's parts were manufactured in the US or Canada.

What part of supply and demand don't you get? If only 3% of the barrel of oil is used in asphalt and a strain is put on the demand side ie, excessive shingle use or asphalt for paving the price is going up.

BTW I've been butchering wood since about 1976 and very proud of the many little pieces I hve made..

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RandyB1986

RandyB1986

I just bought new factory parts to rebuild the front end on my F-250 4x4. I was shocked when my wife was reading the Ford parts box and said "Look where them parts were made"........sure enough, they were made in China and put in a Ford box

I am not gonna debate you like a little kid. If you aint man enough to admit when another man is correct, you sir.....have the problem. Forget the oil, how about nails?

Why are Guardian nails $30 a box and made in the same China the $9 nails are made? What brand nails you use?

PA woodbutcher

I use Bostich, stallion and sometimes grip rite.

Don't want debate either, but I do know that people who shop the cheapest and buy from outside the country just because it is the cheapest have contributed to the state of our economy...As I said you buy where you buy and I'll buy where I buy. For shingles and roofing product I buy the GAF/ELK most of which are made right here in Pa. I like to contribute to my local economy. All my household appliances I buy from a appliance dealer who may or may not be higher than a sears or one of the box store...don't know, I've never priced them out. I just know that If I buy from the dealer and I have a problem he is here the next day to fix it. I have a 10 year old refirgerator that he came out and looked at with a repair or replace order and he fixed it for $62.00....Try that with a sears and or box store.

When you contribute to your economy it keeps many in work...or you can send your money overseas....Your choice

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