Headwaters' Heady Quarter: Fool by Numbers

On May 8, Headwaters (NYSE: HW  ) released Q2 2006 earnings for the period ended March 31.

  • Per-share earnings of $0.40 failed to meet Street estimates because management (Foolishly) decided not to recognize roughly $10 million worth of licensing revenue subject to at-risk Sec 29 alternative energy tax credits.
  • Regardless, Headwaters saw major improvements in several areas of its business. For example, long-term debt declined by just about $80 million. That, in turn, created $10 million in interest savings that flowed to the bottom line.

(Figures in thousands, except per-share data)

Income Statement Highlights

Avg. Est.

Q2 2006

Q2 2005







Net Profit










Get back to basics with a look at the income statement.

Margin Checkup

Q2 2006

Q2 2005


Gross Margin




Op. Margin




Net Margin




Margins are the earnings engine. See how they work.

Balance Sheet Highlights


Q2 2006

Q2 2005


Cash+ ST Invest.








Accounts Rec.





Q2 2006

Q2 2005


Long-Term Debt




Accounts Pay.




Learn the ways of the balance sheet.

Cash Flow Checkup

No cash flow statement provided. (Whatever.)

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Related Companies:

  • Arch Coal (NYSE: ACI  )
  • Alliance Resource Partners (Nasdaq: ALRP  )
  • CEMEX SA de C.V. (NYSE: CX  )
  • Foundation Coal (NYSE: FCL  )
  • Lafarge North America (NYSE: LAF  )
  • Nalco (NYSE: NLC  )

Related Foolishness:

Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so checkFool.comfor more of our in-depth discussion of what the numbers mean.

Headwaters is aMotley Fool Rule Breakersselection. Ask us for an all-access pass and you'll get a behind-the-scenes look at a portfolio that is beating the market by more than 17% as of this writing. It's free for 30 days.

Fool contributor Tim Beyers owns shares of Headwaters. You can find out what else is in his portfolio by checking Tim's Fool profile. The Motley Fool has an ironclad disclosure policy.

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