James Hardie slides 30% after earnings drop amid cost headwinds

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James Hardie (NYSE:JHX [https://seekingalpha.com/symbol/JHX]), a maker of fiber cement products, dropped in premarket trading on Wednesday after reporting a 29% decline in first-quarter profit due to high borrowing costs, triggering its biggest one-day share decline.

Sydney-listed shares of the company fell 30%, wiping off at least $4.4 billion in value.

James Hardie (NYSE:JHX [https://seekingalpha.com/symbol/JHX]) issued a downbeat outlook for its North American business and projected fiscal 2026 earnings below market expectations as financially constrained U.S. homeowners delay major renovation projects.

"Pulp was a primary driver of raw material inflation on a year-over-year basis in the first fiscal quarter, though we expect this headwind to subside through the year," CFO Rachel Wilson said on the earnings call.

"For the full year, we still anticipate total raw material inflation to run high single digits, but with the risk to the favorable side of the range based on our current pricing and forecast."

Runway for continuous improvement across manufacturing, commercial, and back-office functions is expected to be seen, contributing to both the cost synergy target and organic margin expansion goals, the company said.

MORE ON JAMES HARDIE INDUSTRIES PLC

* James Hardie Industries plc (JHX) Q1 2026 Earnings Call Transcript [https://seekingalpha.com/article/4815054-james-hardie-industries-plc-jhx-q1-2026-earnings-call-transcript]
* James Hardie Industries plc 2026 Q1 - Results - Earnings Call Presentation [https://seekingalpha.com/article/4815050-james-hardie-industries-plc-2026-q1-results-earnings-call-presentation]
* Historical earnings data for James Hardie Industries plc [https://seekingalpha.com/symbol/JHX/earnings]
* Financial information for James Hardie Industries plc [https://seekingalpha.com/symbol/JHX/income-statement]