|FORTERRA, INC. filed this Form 10-Q on 11/09/2017|
Nine Months Ended September 30, 2017 as Compared to Nine Months Ended September 30, 2016
The following table summarizes certain financial information relating to our operating results for the nine months ended September 30, 2017 and September 30, 2016. Also included is information relating to the operating results as a percentage of net sales.
Net sales for the nine months ended September 30, 2017 were $1,219.2 million, an increase of $209.3 million or 20.7% from $1,009.9 million in the nine months ended September 30, 2016. The increase was primarily attributable to net sales of U.S. Pipe, which was acquired in April 2016, of approximately $155.7 million due to a full nine months of net sales in 2017 compared to a partial period in 2016. In addition, net sales increased by approximately $76.2 million due to our other acquisitions, partially offset by a decrease in existing business net sales of $22.6 million partially due to the impact of hurricanes Irma and Harvey.
Cost of Goods Sold
Cost of goods sold were $1,022.6 million for the nine months ended September 30, 2017, an increase of $232.8 million or 29.5% from $789.8 million in the nine months ended September 30, 2016. The increase was primarily attributable to the acquisitions described above which increased cost of goods sold by $196.0 million. Costs of goods sold in our existing businesses increased by $36.8 million primarily due to higher labor, freight, and raw materials.