Overview

* Doman Q2 2025 revenue rises to C$886.7 mln, beating analyst expectations

* Adjusted EBITDA for Q2 2025 increases to C$80.0 mln, showing strong growth

* Company declares a quarterly dividend of C$0.14 per share

Outlook

* Company focuses on long-term value creation amid macro challenges

* Doman sees cooling housing demand and high mortgage rates impacting market

* Company aims to optimize balance sheet entering second half of year

Result Drivers

* ACQUISITIONS IMPACT - Revenue growth attributed to 2024 acquisitions and legacy operations

* STRONG DEMAND - Resilience in end-market demand for construction materials

* GROSS MARGIN IMPROVEMENT - Gross margin increased to 16.1% from 15.7% in 2024

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat C$886.70 C$860.30

Revenue mln mln (5

Analysts

)

Q2 Net C$27.70

Income mln

Q2 Gross 16.1%

Margin

Q2 C$0.14

Dividend

Q2 C$80 mln

EBITDA

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the construction supplies & fixtures peer group is "buy"

* Wall Street's median 12-month price target for Doman Building Materials Group Ltd ( CWXZF ) is C$10.00, about 13.8% above its August 5 closing price of C$8.62

* The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)