Griffon's Q3 revenue misses expectations on weak consumer demand

Griffon

06/08/2025 12:42

Overview

Griffon fiscal Q3 revenue falls 5%, missing analyst expectations

Adjusted EPS for fiscal Q3 rises to $1.50, beating prior year

Co reports net loss due to Hunter Fan goodwill impairment

Outlook

Griffon expects fiscal year 2025 revenue to be $2.5 bln

Company maintains adjusted EBITDA guidance of $575 mln to $600 mln

Griffon sees HBP segment margin in excess of 31%

Company expects CPP EBITDA margin of approximately 8%

Result Drivers

HBP PERFORMANCE - Revenue increased due to favorable price and mix, offset by decreased volume

CPP CHALLENGES - Revenue declined due to weak consumer demand and disrupted ordering patterns in the U.S.

ASSET-LIGHT MODEL - CPP's EBITDA margin improved due to transition to asset-light business model and strong performance in Australia

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$613.60 mln
$648.60 mln (6 Analysts)
Q3 Capex
$8.40 mln
Q3 Free Cash Flow
$261 mln
Q3 Net Debt
$1.34 bln


Analyst Coverage

The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 7 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the construction supplies & fixtures peer group is "buy."

Wall Street's median 12-month price target for Griffon Corp is $95.00, about 13.3% above its August 5 closing price of $82.34

The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release: ID:nBw3Xb80La

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)