Latest news with #EngineeredBuildingSolutions
Yahoo
01-07-2025
- Business
- Yahoo
5 Must-Read Analyst Questions From CSW's Q1 Earnings Call
CSW's first quarter results for 2025 saw continued revenue growth and record quarterly results for revenue, adjusted EBITDA, adjusted earnings per share, and adjusted net income, as emphasized by both CEO Joseph Armes and CFO James Perry. Management attributed the mixed performance to solid organic growth in Contractor Solutions, offset by softer demand and margin contraction in Specialized Reliability Solutions and Engineered Building Solutions. CEO Joseph Armes highlighted that higher freight expenses and integration costs from recent acquisitions, particularly in the Contractor Solutions segment, weighed on margins. CFO James Perry also noted that price increases implemented early in the year helped offset some cost pressures but could not fully counteract the impact of tariffs and changing product mix. Is now the time to buy CSWI? Find out in our full research report (it's free). Revenue: $230.5 million vs analyst estimates of $232.8 million (9.3% year-on-year growth, 1% miss) Adjusted EPS: $2.24 vs analyst estimates of $2.22 (1.1% beat) Adjusted EBITDA: $59.76 million vs analyst estimates of $60.37 million (25.9% margin, 1% miss) Operating Margin: 20.3%, down from 22% in the same quarter last year Market Capitalization: $4.87 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Jon Tanwanteng (CJS Securities) asked about the ongoing impact of tariffs and whether cost increases had started to flow through results. CFO James Perry clarified that most tariff effects would be felt in future quarters and outlined steps to shift sourcing away from China where possible. Susan Maklari (Goldman Sachs) sought clarity on the magnitude and timing of pricing actions to offset tariffs. Perry responded that price increases are being implemented product by product and are intended to match tariff-driven costs, with full effects expected over the coming quarters. Sam Reed (Wells Fargo) questioned the variability in Aspen Manufacturing's margin profile and how it will fluctuate seasonally. Perry indicated that margins could swing several hundred basis points around the 24% target, but more precise guidance would come as integration progresses. Jamie Cook (Truist Securities) asked about demand trends in April and May, and the sustainability of organic growth in Contractor Solutions. Perry noted that seasonality and weather patterns are influencing demand, but organic growth remains in line with long-term targets. Natalia Bak (Citigroup) inquired about the timeline for restoring Engineered Building Solutions margins to the 20% target. Perry stated that while some progress is expected as backlog quality improves, achieving this margin consistently may take additional time given ongoing cost challenges. Looking ahead, key catalysts include (1) the successful integration and margin trajectory of Aspen Manufacturing, (2) evidence that pricing actions effectively offset tariff-related cost increases without dampening demand, and (3) improvement in backlog conversion and margin expansion within Specialized Reliability Solutions and Engineered Building Solutions. Execution on supply chain adjustments and further M&A activity will also be important to watch. CSW currently trades at $305.10, down from $314.46 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it's free). Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.
Yahoo
24-02-2025
- Business
- Yahoo
Arclin to acquire new assets to support growing demand for Firepoint™ product
ALPHARETTA, Ga., Feb. 24, 2025 /PRNewswire/ -- Arclin, a leading materials science company, announced today that it has entered into an agreement to purchase assets to expand its manufacturing footprint in support of its revolutionary fire-rated product, Arclin Firepoint™. The acquisition brings two additional assets into the Arclin manufacturing network and increases its panel laminating capabilities, strengthening its objective of better meeting the demands of builders and homeowners who are more fire-aware than ever before. "With the expanded manufacturing capacity, we will be able to further support the growth of Firepoint, our premium fire-resistant solution," said Katie Hernandez, Arclin's Vice President of Strategic Initiatives. Firepoint wall systems are engineered to slow down the spread of flames and provide superior protection, going beyond building code to protect homes and families. Firepoint has demonstrated the ability to withstand fire for up to 90 minutes, offering significantly more protection than traditional building materials. "This acquisition is an important step in the expansion of our Engineered Building Solutions business, pushing Arclin further into panel products, and it represents our commitment to being an innovator and industry leader in building products," said Matt Pogue, President of Arclin's Engineered Building Solutions. The transaction is expected to close early in the second quarter of 2025. About Arclin Firepoint Engineered for excellence by industry-leading manufacturer Arclin, Firepoint provides revolutionary fire-resistant building materials that combine advanced technology with superior performance. Firepoint's patented intumescent technology is designed to slow down the spread of flames and provide more fire resistance than code, giving first responders and residents critical time to respond in case of a fire – time that can make all the difference. The superior fire resistance that Firepoint offers provides homeowners with peace of mind, knowing that their homes are better protected in the event of a fire. For more information, visit or visit the Arclin booth at the International Builders Show in Las Vegas on February 25-27. About Arclin Arclin is a leading materials science company and manufacturer of polymer technologies, engineered products and specialized materials for the construction, agriculture, transportation infrastructure, weather & fire protection, pharmaceutical, nutrition, electronics, design, and other industries. Headquartered in Alpharetta, Georgia, Arclin has offices and manufacturing facilities throughout the U.S., Canada, and U.K. and manufactures for customers worldwide. For more information, visit View original content to download multimedia: SOURCE Arclin
