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Tuesday, December 11, 2007

Weak CRE Construction Results

by Calculated Risk on 12/11/2007 05:29:00 PM

From Forbes: Weak Construction Blasts NCI (hat tip Michael)

NCI [Building Systems] which is headquartered in Houston, makes metal building materials used in non-residential construction. Its products include roofs and roll-up doors.

A slowdown in non-residential construction pressured NCI's fourth-quarter results. According to McGraw Hill, low-rise nonresidential construction fell by 4.4% during NCI's fiscal 2007.
NCI's fourth-quarter earnings miss shows trouble brewing in the non-residential construction market.
NCI Building Systems is the largest maker of metal building components in North America. They are focused on Commercial Real Estate (CRE) construction, and this is another sign of an impending slowdown in nonresidential structure investment.