Quanex Building Products Q3 sales beat estimates

Quanex Building Products

04/09/2025 21:24

Overview

Quanex  Building Products Corp fiscal Q3 net sales rise 76.7% yr/yr, beating analyst expectations, per LSEG data

Adjusted EPS for fiscal Q3 misses analyst estimates, per LSEG data

Company repaid $51.25 mln in debt, strengthening balance sheet

Outlook

Quanex forecasts fiscal 2025 net sales of about $1.82 bln

Company expects fiscal 2025 Adjusted EBITDA of approximately $235 mln

Quanex focuses on Tyman integration and capturing synergies

Result Drivers

TYMAN ACQUISITION - Net sales increased 76.7% yr/yr, driven by the Tyman acquisition, with contributions across all segments

GOODWILL IMPAIRMENT - Reported earnings impacted by a $302.3 mln non-cash goodwill impairment due to re-segmentation

LOWER VOLUMES - Excluding Tyman, net sales growth was 1.4%, attributed to increased pricing and tariff passthroughs, offset by lower volumes

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Beat
$495.30 mln
$491.60 mln (4 Analysts)
Q3 Adjusted EPS
Miss
$0.69
$0.84 (4 Analysts)
Q3 Adjusted Net Income
Miss
$31.60 mln
$38.20 mln (2 Analysts)
Q3 Adjusted EBITDA
Miss
$70.30 mln
$80.60 mln (3 Analysts)
Q3 Gross Margin
27.9%
Q3 Free Cash Flow
$46.20 mln


Analyst Coverage

The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "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 Quanex Building Products Corp is $34.50, about 41.8% above its September 3 closing price of $20.09

The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 6 three months ago

Press Release: ID:nGNXbkJqgt

(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.)