James Hardie Shares Jump Nearly 7% Days After Earnings Beat, 44% EBITDA Growth and Faster Debt Paydown

SYDNEY — Shares of James Hardie Industries plc rose more than 6% on Monday, building on investor interest in the building materials maker after its latest quarterly results.

James Hardie shares gained A$2.60, or 6.63%, to A$41.80, near the day's high of A$41.88. About 1 million shares changed hands, valuing the company at roughly A$12 billion.

No new announcement was found on Monday.

Results beat

James Hardie reported second-quarter fiscal 2027 adjusted earnings of 42 cents a share on Nov. 5, beating the 38-cent consensus, while revenue of $1.43 billion topped the $1.39 billion estimate.

Net sales from continuing operations rose 24%, adjusted EBITDA increased 44%, and the margin expanded 450 basis points to 31.8%.

The company reaffirmed its fiscal 2027 outlook.

Debt reduction

James Hardie repaid $111 million of term loan debt in the quarter, bringing total repayments since closing the AZEK acquisition to just over $1 billion. Net leverage ended the quarter at 2.3 times, ahead of its 2.4 times fiscal year-end target.

Free cash flow conversion of adjusted EBITDA is expected to exceed 40% this year, ahead of the company's 38% target.

Market share gains

Management said sales growth and sell-through were well above the market and in excess of the 4 to 7 points of annual above-market growth targeted at its investor day.

The stock is up about 60% over the past year.