(Bloomberg) -- A downbeat outlook on the US housing market from James Hardie Industries Plc sent shares of the building materials producer tumbling the most in five decades, the latest sign of caution around a pillar of the world’s largest economy.

The company’s shares tumbled 28%, the most since November 1973, after its quarterly profit sank and it warned demand for repairs and new construction in North America remains challenging. Adjusted net operating profit dropped 29% year-on-year to $126.9 million for the three months ending June, according to an exchange statement Wednesday.

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“Uncertainty is a common thread throughout conversations with customer and contractor partners,” Chief Executive Officer Aaron Erter said in a statement. Homeowners are deferring large-ticket remodeling projects, and affordability remains the key impediment to improvement in single-family new construction, he added.

Difficult economic conditions continue to weigh on American homebuyers, with the real estate market recently recording its slowest spring selling season in more than a dozen years. US luxury builder Toll Brothers Inc. on Tuesday also reported quarterly orders that missed analysts’ estimates. The weak housing sector has attracted attention from President Donald Trump, who’s been pushing for the Federal Reserve to cut interest rates in part to make mortgages more affordable.

Net sales in James Hardie’s North American fiber cement business decreased 12% during the quarter as key markets like Texas, Florida and Georgia grapple with cost barriers and elevated housing inventory. The Australia-listed firm gets about 70% of its revenue from North America, according to data compiled by Bloomberg.

James Hardie’s stock has also been pressured by the company’s $8.75 billion acquisition of home-decking provider AZEK Co. in March. The deal places a larger bet on the US housing market, essentially relying on American consumers in a precarious investment climate.

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