United States Lime & Minerals Inc. reported first quarter 2023 results. The company’s revenues in the first quarter 2023 were $66.8 million, compared to $50.9 million in the first quarter 2022, an increase of $15.9 million, or 31.2%.
Lime and limestone revenues were $66.5 million in the first quarter 2023, compared to $50.3 million in the first quarter 2022, an increase of $16.2 million, or 32.3%. The increase in revenues in the first quarter 2023, compared to the first quarter 2022, resulted from increases in both the average selling prices for the company’s lime and limestone products, and sales volumes of the company’s lime and limestone products, principally due to increased demand from the company’s construction customers.
“We are pleased with our performance in the first quarter. Looking ahead for the remainder of 2023, we anticipate continuing pressure on our lime and limestone production costs and believe general recessionary concerns could potentially impact future demand for our products,” said Timothy W. Byrne, president and chief executive officer.
The company’s gross profit was $24.0 million in the first quarter 2023, compared to $14.5 million in the first quarter 2022, an increase of $9.5 million, or 65.8%. The company’s lime and limestone gross profit was $24.1 million in the first quarter 2023, compared to $14.2 million in the first quarter 2022, an increase of $9.9 million, or 69.5%.
The increase in lime and limestone gross profit in the first quarter 2023, compared to the first quarter 2022, resulted primarily from the increased revenues discussed above, partially offset by increased production costs, principally from higher energy, transportation, and labor costs.
Selling, general and administrative (SG&A) expenses were $4.2 million in the first quarter 2023, compared to $3.6 million in the first quarter 2022, an increase of $0.5 million, or 14.2%. The increase in SG&A expenses in the first quarter 2023, compared to the first quarter 2022, was primarily due to increased personnel expenses.
The company reported net income of $17.1 million ($3.00 per share diluted) in the first quarter 2023, compared to $8.7 million ($1.53 per share diluted) in the first quarter 2022, an increase of $8.4 million, or 97.3%.