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Yahoo
4 days ago
- Business
- Yahoo
Quanex (NYSE:NX) Reports Strong Q1
Building products company Quanex (NYSE:NX) beat Wall Street's revenue expectations in Q1 CY2025, with sales up 70% year on year to $452.5 million. The company expects the full year's revenue to be around $1.85 billion, close to analysts' estimates. Its non-GAAP profit of $0.60 per share was 27% above analysts' consensus estimates. Is now the time to buy Quanex? Find out in our full research report. Revenue: $452.5 million vs analyst estimates of $438.4 million (70% year-on-year growth, 3.2% beat) Adjusted EPS: $0.60 vs analyst estimates of $0.47 (27% beat) Adjusted EBITDA: $61.9 million vs analyst estimates of $58.91 million (13.7% margin, 5.1% beat) The company reconfirmed its revenue guidance for the full year of $1.85 billion at the midpoint EBITDA guidance for the full year is $275 million at the midpoint, above analyst estimates of $272 million Operating Margin: 9%, up from 7.8% in the same quarter last year Free Cash Flow Margin: 3%, down from 9.6% in the same quarter last year Market Capitalization: $805.6 million George Wilson, Chairman, President and Chief Executive Officer, commented, 'Our results for the second quarter of 2025 came in as expected and reflected normal seasonality in our business. Revenue in March was approximately 6% higher than February and revenue in April was approximately 9% higher than March. It was also encouraging to see volume growth in our European Fenestration segment during the second quarter of 2025. We continue to be pleased with the integration of Tyman, and are now confident we will deliver approximately $45 million in cost synergies over time, compared to our original target of $30 million within the first two years post-acquisition. On a run-rate basis, we see a path to achieving the original $30 million cost synergy target by early fiscal 2026. We also took advantage of our low stock price during the second quarter and spent over $23 million repurchasing our shares. Starting in the seamless tube industry, Quanex (NYSE:NX) manufactures building products like window, door, kitchen, and bath cabinet components. Examining a company's long-term performance can provide clues about its quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years. Over the last five years, Quanex grew its sales at an excellent 13.5% compounded annual growth rate. Its growth beat the average industrials company and shows its offerings resonate with customers. We at StockStory place the most emphasis on long-term growth, but within industrials, a half-decade historical view may miss cycles, industry trends, or a company capitalizing on catalysts such as a new contract win or a successful product line. Quanex's annualized revenue growth of 18% over the last two years is above its five-year trend, suggesting its demand was strong and recently accelerated. We can dig further into the company's revenue dynamics by analyzing its most important segments, Fenestration and Cabinet Components, which are 33.4% and 11.3% of revenue. Over the last two years, Quanex's Fenestration revenue (window and door components, North America only) averaged 3.4% year-on-year declines while its Cabinet Components revenue (cabinet parts, North America only) averaged 9.6% declines. This quarter, Quanex reported magnificent year-on-year revenue growth of 70%, and its $452.5 million of revenue beat Wall Street's estimates by 3.2%. Looking ahead, sell-side analysts expect revenue to grow 15.3% over the next 12 months, a slight deceleration versus the last two years. Still, this projection is admirable and implies the market is baking in success for its products and services. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Quanex was profitable over the last five years but held back by its large cost base. Its average operating margin of 7.3% was weak for an industrials business. This result isn't too surprising given its low gross margin as a starting point. Analyzing the trend in its profitability, Quanex's operating margin decreased by 4.3 percentage points over the last five years. This raises questions about the company's expense base because its revenue growth should have given it leverage on its fixed costs, resulting in better economies of scale and profitability. Quanex's performance was poor no matter how you look at it - it shows that costs were rising and it couldn't pass them onto its customers. In Q1, Quanex generated an operating margin profit margin of 9%, up 1.3 percentage points year on year. Since its gross margin expanded more than its operating margin, we can infer that leverage on its cost of sales was the primary driver behind the recently higher efficiency. Revenue trends explain a company's historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions. Quanex's EPS grew at a spectacular 15% compounded annual growth rate over the last five years, higher than its 13.5% annualized revenue growth. However, we take this with a grain of salt because its operating margin didn't expand and it didn't repurchase its shares, meaning the delta came from reduced interest expenses or taxes. Like with revenue, we analyze EPS over a more recent period because it can provide insight into an emerging theme or development for the business. Quanex's two-year annual EPS declines of 5.4% were bad and lower than its 18% two-year revenue growth. In Q1, Quanex reported EPS at $0.60, down from $0.66 in the same quarter last year. Despite falling year on year, this print easily cleared analysts' estimates. Over the next 12 months, Wall Street expects Quanex's full-year EPS of $2.13 to grow 27.7%. We were impressed by how significantly Quanex blew past analysts' EPS expectations this quarter. We were also glad its revenue outperformed Wall Street's out, we think this quarter featured some important positives. The stock traded up 4.6% to $17.88 immediately after reporting. Quanex put up rock-solid earnings, but one quarter doesn't necessarily make the stock a buy. Let's see if this is a good investment. The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. 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Yahoo
4 days ago
- Business
- Yahoo
Quanex Building Products Announces Second Quarter 2025 Results and Reaffirms Full Year 2025 Guidance
Seasonal Uptick Unfolding as ExpectedVolume Growth in European Fenestration SegmentResults Again Lifted by Contribution from Tyman AcquisitionTyman Integration Ahead of TimelineCost Synergy Target Increased to ~$45 Million HOUSTON, June 05, 2025 (GLOBE NEWSWIRE) -- Quanex Building Products Corporation (NYSE:NX) ('Quanex' or the 'Company') today announced its results for the three months ended April 30, 2025. The Company reported the following selected financial results: Three Months Ended April 30, Six Months Ended April 30, ($ in millions, except per share data) 2025 2024 2025 2024 Net Sales $452.5 $266.2 $852.5 $505.4 Gross Margin $131.4 $66.2 $223.7 $117.7 Gross Margin % 29.0% 24.9% 26.2% 23.3% Net Income $20.5 $15.4 $5.6 $21.6 Diluted EPS $0.44 $0.46 $0.12 $0.65 Adjusted Net Income $27.9 $24.0 $36.8 $32.3 Adjusted Diluted EPS $0.60 $0.73 $0.79 $0.98 Adjusted EBITDA $61.9 $40.0 $100.5 $59.3 Adjusted EBITDA Margin % 13.7% 15.0% 11.8% 11.7% Cash Provided by Operating Activities $28.5 $33.1 $16.0 $36.9 Free Cash Flow $13.6 $25.5 ($10.6) $19.8 (See Non-GAAP Terminology Definitions and Disclaimers section, Non-GAAP Financial Measure Disclosure table, Selected Segment Data table and reconciliation tables for additional information) George Wilson, Chairman, President and Chief Executive Officer, commented, 'Our results for the second quarter of 2025 came in as expected and reflected normal seasonality in our business. Revenue in March was approximately 6% higher than February and revenue in April was approximately 9% higher than March. It was also encouraging to see volume growth in our European Fenestration segment during the second quarter of 2025. We continue to be pleased with the integration of Tyman, and are now confident we will deliver approximately $45 million in cost synergies over time, compared to our original target of $30 million within the first two years post-acquisition. On a run-rate basis, we see a path to achieving the original $30 million cost synergy target by early fiscal 2026. We also took advantage of our low stock price during the second quarter and spent over $23 million repurchasing our shares. 'Overall, despite the challenging macroeconomic environment, we expect the seasonal uptick in demand we witnessed in the second quarter to continue through the summer, and we are confident in our ability to mitigate any potential margin impact related to tariffs. In addition, any unexpected weakness in demand in the second half of 2025 could be somewhat offset by the realization of cost synergies faster than originally planned. Our near-term priorities remain unchanged, which include staying focused on the Tyman integration, capturing synergies, and generating cash flow to repurchase our stock and pay down debt. Longer-term, we continue to expect that we will benefit from the release of pent-up demand as consumer confidence improves.' Second Quarter Results Summary Quanex reported net sales of $452.5 million during the three months ended April 30, 2025, which represents an increase of 70.0% compared to $266.2 million for the same period of 2024. The increase reflects the contribution from the Tyman acquisition that closed on August 1, 2024. Excluding the contribution from Tyman, net sales would have declined by 1.4% for the second quarter of 2025, mainly due to lower volume in North America. The Company reported a decrease in net sales of 5.5% for the second quarter of 2025 in its North American Fenestration segment. In its North American Cabinet Components segment, Quanex reported a marginal increase in net sales for the second quarter of 2025. Excluding foreign exchange impact, net sales increased by 7.9% in its European Fenestration segment. In addition, Quanex reported net sales of $190.1 million related to the Tyman acquisition during the second quarter of 2025. (See Sales Analysis table for additional information) The increase in net income and EBITDA for the three months ended April 30, 2025, was mostly related to the contribution from the Tyman acquisition combined with the realization of related cost synergies. Balance Sheet & Liquidity Update As of April 30, 2025, the Company had total debt of $785.0 million and Quanex's leverage ratio of Net Debt to LTM Adjusted EBITDA decreased to 3.2x. As of April 30, 2025, the Company's LTM Net Income was $17.1 million and LTM Adjusted EBITDA was $223.5 million (See Non-GAAP Terminology Definitions and Disclaimers section, Net Debt Reconciliation table and Last Twelve Months Adjusted EBITDA Reconciliation table for additional information) The leverage ratio for Quanex's quarterly debt covenant compliance ('Debt Covenant Leverage Ratio') for its lenders was 2.7x as of April 30, 2025. The Debt Covenant Leverage Ratio calculation is defined in the Company's Amendment No. 1 to its Second Amended and Restated Credit Agreement ('Credit Agreement'), which was filed with the SEC on June 12, 2024. In general, the main difference is that the Debt Covenant Leverage Ratio excludes real-estate leases that are considered 'finance' leases under U.S. GAAP and is calculated on a proforma basis to include Adjusted EBITDA from the Tyman acquisition, $30 million of EBITDA for the synergy target related to the acquisition, less realized synergies, and only cash from domestic subsidiaries. Note that per the terms of the Credit Agreement, the quarterly Debt Covenant Leverage Ratio must be less than 3.75x through the fourth quarter of 2025 and less than 3.25x starting in the first fiscal quarter of 2026. The Debt Covenant Leverage Ratio would be 2.4x if calculated using the total cash and cash equivalents amount on the balance sheet as of April 30, 2024, and adjusting for the cash used to repurchase stock during the quarter. Quanex's liquidity was $289.0 million as of April 30, 2025, consisting of $62.6 million in cash on hand plus availability under its Senior Secured Revolving Credit Facility due 2029, less letters of credit outstanding. Share Repurchases Quanex's Board authorized a $75 million share repurchase program in December of 2021. Repurchases under this program will be made in open market transactions or privately negotiated transactions, subject to market conditions, applicable legal requirements, and other relevant factors. The Company repurchased 1,259,407 shares of common stock for approximately $23.5 million at an average price of $18.66 per share during the three months ended April 30, 2025. As of April 30, 2025, approximately $35.6 million remained under the existing share repurchase authorization. Outlook Mr. Wilson stated, 'Based on our results year-to-date, combined with our operational execution, cost synergy realization, recent demand trends, and conversations with our customers, we are once again reaffirming our guidance for fiscal 2025. On a consolidated basis for fiscal 2025, we continue to estimate that we will generate net sales of approximately $1.84 billion to $1.86 billion, which we expect will yield Adjusted EBITDA* of $270 million to $280 million. 'The finance and accounting teams continue to work with our external auditors on re-segmenting the business and our goal is to report in the new operating segments this year.' *When Quanex provides expectations for Adjusted EBITDA on a forward-looking basis, a reconciliation of the differences between the non-GAAP expectations and corresponding GAAP measures is generally not available without unreasonable effort. Certain items required for such a reconciliation are outside of the Company's control and/or cannot be reasonably predicted or estimated, such as the provision for income taxes related to net income. Conference Call and Webcast Information The Company has also scheduled a conference call for Friday, June 6, 2025 at 11:00 a.m. ET (10:00 a.m. CT) to discuss the release. A link to the live audio webcast will be available on Quanex's website at in the Investors section under Presentations & Events. Participants can pre-register for the conference call using the following link: Registered participants will receive an email containing conference call details for dial-in options. To avoid delays, it is recommended that participants dial into the conference call ten minutes ahead of the scheduled start time. A replay will be available for a limited time on the Company's website at in the Investors section under Presentations & Events. About Quanex Quanex is a global manufacturer with core capabilities and broad applications across various end markets. The Company currently collaborates and partners with leading OEMs to provide innovative solutions in the window, door, solar, refrigeration, custom mixing, building access and cabinetry markets. Looking ahead, Quanex plans to leverage its material science expertise and process engineering to expand into adjacent markets. Non-GAAP Terminology Definitions and Disclaimers Adjusted Net Income (defined as net income further adjusted to exclude amortization of step-up for purchase price adjustments on inventory, transaction, advisory fees and reorganization costs, restructuring charges related to severance and disposal of software, amortization expense related to intangible assets, pension settlement refund and other net adjustments related to foreign currency transaction gain/loss and effective tax rates reflecting impacts of adjustments on a with and without basis) and Adjusted EPS are non-GAAP financial measures that Quanex believes provide a consistent basis for comparison between periods and more accurately reflects operational performance, as they are not influenced by certain income or expense items not affecting ongoing operations. EBITDA (defined as net income or loss before interest, taxes, depreciation and amortization and other, net), Adjusted EBITDA and LTM Adjusted EBITDA (defined as EBITDA further adjusted to exclude purchase price accounting inventory step-ups, transaction costs, certain severance charges, gain/loss on the sale of certain fixed assets, restructuring charges and asset impairment charges) are non-GAAP financial measures that the Company uses to measure operational performance and assist with financial decision-making. Net Debt is defined as total debt (outstanding balance on the revolving credit facility plus financial lease obligations) less cash and cash equivalents. The leverage ratio of Net Debt to LTM Adjusted EBITDA is a financial measure that the Company believes is useful to investors and financial analysts in evaluating Quanex's leverage. In addition, with certain limited adjustments, this leverage ratio is the basis for a key covenant in the Company's credit agreement. Free Cash Flow is a non-GAAP measure calculated using cash provided by operating activities less capital expenditures. Quanex uses the Free Cash Flow metric to measure operational and cash management performance and assist with financial decision-making. Free Cash Flow is measured before application of certain contractual commitments (including capital lease obligations), and accordingly is not a true measure of the Company's residual cash flow available for discretionary expenditures. Quanex believes Free Cash Flow is useful to investors in understanding and evaluating the Company's financial and cash management performance. Quanex believes that the presented non-GAAP measures provide a consistent basis for comparison between periods and will assist investors in understanding the Company's financial performance when comparing results to other investment opportunities. The presented non-GAAP measures may not be the same as those used by other companies. Quanex does not intend for this information to be considered in isolation or as a substitute for other measures prepared in accordance with U.S. GAAP. Forward Looking Statements Statements that use the words 'estimated,' 'expect,' 'could,' 'should,' 'believe,' 'will,' 'might,' or similar words reflecting future expectations or beliefs are forward-looking statements. The forward-looking statements include, but are not limited to, the following: impacts from public health issues (including pandemics) on the economy and the demand for Quanex's products, timing estimates or any other expectations related to the acquisition of Tyman, the Company's future operating results, future financial condition, future uses of cash and other expenditures, expenses and tax rates, expectations relating to Quanex's industry, and the Company's future growth, including any guidance discussed in this press release. The statements and guidance set forth in this release are based on current expectations. Actual results or events may differ materially from this release. For a complete discussion of factors that may affect Quanex's future performance, please refer to the Company's Annual Report on Form 10-K for the fiscal year ended October 31, 2024, and the Company's Quarterly Reports on Form 10-Q under the sections entitled 'Cautionary Note Regarding Forward-Looking Statements' and 'Risk Factors'. Any forward-looking statements in this press release are made as of the date hereof, and Quanex undertakes no obligation to update or revise any forward-looking statements to reflect new information or events. CONDENSED CONSOLIDATED STATEMENTS OF INCOME(In thousands, except per share data)(Unaudited) Three Months Ended April 30, Six Months Ended April 30, 2025 2024 2025 2024 Net sales $ 452,478 $ 266,201 $ 852,522 $ 505,356 Cost of sales 321,096 199,963 628,824 387,686 Selling, general and administrative 70,333 34,707 136,983 67,070 Restructuring charges 936 - 8,840 - Depreciation and amortization 19,192 10,894 43,932 22,046 Operating income 40,921 20,637 33,943 28,554 Interest expense (13,940 ) (950 ) (28,126 ) (2,018 ) Other, net (159 ) 4 1,070 1,046 Income before income taxes 26,822 19,691 6,887 27,582 Income tax expense (6,307 ) (4,314 ) (1,257 ) (5,956 ) Net income $ 20,515 $ 15,377 $ 5,630 $ 21,626 Earnings per common share, basic $ 0.44 $ 0.47 $ 0.12 $ 0.66 Earnings per common share, diluted $ 0.44 $ 0.46 $ 0.12 $ 0.65 Weighted average common shares outstanding: Basic 46,483 32,870 46,753 32,847 Diluted 46,563 33,103 46,868 33,076 Cash dividends per share $ 0.08 $ 0.08 $ 0.16 $ 0.16 QUANEX BUILDING PRODUCTS CORPORATIONCONDENSED CONSOLIDATED BALANCE SHEETS(In thousands)(Unaudited) April 30, 2025 October 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 62,626 $ 97,744 Restricted Cash 2,171 5,251 Accounts receivable, net 195,264 197,689 Inventories 279,482 275,550 Income taxes receivable 6,108 5,937 Prepaid and other current assets 42,825 29,097 Total current assets 588,476 611,268 Property, plant and equipment, net 417,104 402,466 Operating lease right-of-use assets 149,322 126,715 Deferred tax assets 4,049 3,845 Goodwill 579,110 574,711 Intangible assets, net 567,148 597,909 Other assets 3,057 2,874 Total assets $ 2,308,266 $ 2,319,788 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 112,484 $ 124,404 Accrued liabilities 91,573 103,623 Income taxes payable - 6,620 Current maturities of long-term debt 26,124 25,745 Current operating lease liabilities 14,184 12,475 Total current liabilities 244,365 272,867 Long-term debt 746,387 737,198 Noncurrent operating lease liabilities 139,955 117,560 Deferred income taxes 163,591 162,304 Other liabilities 12,305 19,113 Total liabilities 1,306,603 1,309,042 Stockholders' equity: Common stock 512 513 Additional paid-in-capital 698,238 701,008 Retained earnings 428,483 430,405 Accumulated other comprehensive loss (27,034 ) (46,428 ) Treasury stock at cost (98,536 ) (74,752 ) Total stockholders' equity 1,001,663 1,010,746 Total liabilities and stockholders' equity $ 2,308,266 $ 2,319,788 QUANEX BUILDING PRODUCTS CORPORATIONCONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW(In thousands)(Unaudited) Six Months Ended April 30, 2025 2024 Operating activities: Net income $ 5,630 $ 21,626 Adjustments to reconcile net income to cash provided by operating activities: Depreciation and amortization 43,932 22,046 Stock-based compensation 1,825 1,365 Deferred income tax 1,250 (155 ) Other, net 7,243 162 Changes in assets and liabilities: Decrease in accounts receivable 5,322 10,832 Increase in inventory (1,333 ) (3,008 ) Increase in other current assets (7,828 ) (1,124 ) Decrease in accounts payable (14,771 ) (12,619 ) Decrease in accrued liabilities (14,048 ) (4,602 ) (Decrease) increase in income taxes receivable (5,471 ) 1,856 (Decrease) increase in other long-term liabilities (6,268 ) 9 Other, net 504 557 Cash provided by operating activities 15,987 36,945 Investing activities: Capital expenditures (26,544 ) (17,183 ) Proceeds from disposition of capital assets 376 93 Cash used for investing activities (26,168 ) (17,090 ) Financing activities: Borrowings under credit facilities 125,000 - Repayments of credit facility borrowings (117,500 ) (15,000 ) Repayments of other long-term debt (1,888 ) (954 ) Common stock dividends paid (7,552 ) (5,294 ) Issuance of common stock 214 554 Payroll tax paid to settle shares forfeited upon vesting of stock (1,400 ) (1,193 ) Purchase of treasury stock (27,194 ) - Cash used for financing activities (30,320 ) (21,887 ) Effect of exchange rate changes on cash and cash equivalents 2,303 (293 ) Decrease in cash, cash equivalents and restricted cash (38,198 ) (2,325 ) Cash, cash equivalents and restricted cash at beginning of period 102,995 58,474 Cash, cash equivalents and restricted cash at end of period $ 64,797 $ 56,149 QUANEX BUILDING PRODUCTS CORPORATIONFREE CASH FLOW AND NET DEBT RECONCILIATION(In thousands)(Unaudited) The following table reconciles the Company's calculation of Free Cash Flow, a non-GAAP measure, to its most directly comparable GAAP measure. The Company defines Free Cash Flow as cash provided by operating activities less capital expenditures. Three Months Ended April 30, Six Months Ended April 30, 2025 2024 2025 2024 Cash provided by operating activities $28,497 $33,091 $15,987 $36,945 Capital expenditures (14,920) (7,603) (26,544) (17,183) Free Cash Flow $13,577 $25,488 ($10,557) $19,762 The following table reconciles the Company's Net Debt which is defined as total debt principal of the Company plus finance lease obligations minus cash. As of April 30, 2025 2024 Term loan facility $481,205 $0 Revolving credit facility 242,500 - Finance lease obligations (1) 61,272 55,217 Total debt (2) 784,977 55,217 Less: Cash and cash equivalents 62,626 56,149 Net Debt $722,351 ($932) (1) Includes $57.4 million and $51.0 million in real estate lease liabilities considered finance leases under U.S. GAAP as of April 30 2025 and 2024, respectively. (2) Excludes outstanding letters of credit. QUANEX BUILDING PRODUCTS CORPORATIONNON-GAAP FINANCIAL MEASURE DISCLOSURELAST TWELVE MONTHS ADJUSTED EBITDA RECONCILIATION(In thousands, except per share data)(Unaudited) Reconciliation of Last Twelve Months Adjusted EBITDA Three Months EndedApril 30, 2025 Three Months EndedJanuary 31, 2025 Three Months EndedOctober 31, 2024 Three Months EndedJuly 31, 2024 Total Reconciliation Reconciliation Reconciliation Reconciliation Reconciliation Net income (loss) as reported $ 20,515 $ (14,885 ) $ (13,917 ) $ 25,350 $ 17,063 Income tax expense (benefit) 6,307 (5,050 ) (3,621 ) 6,688 4,324 Other, net 159 (1,229 ) 2,671 (9,474 ) (7,873 ) Interest expense 13,940 14,186 17,697 878 46,701 Depreciation and amortization 19,192 24,740 27,329 10,953 82,214 EBITDA 60,113 17,762 30,159 34,395 142,429 Cost of sales (1) - - 887 1,507 2,394 Selling, general and administrative (1),(2),(3) 864 12,876 50,004 6,133 69,877 Restructuring charges (4) 936 7,904 - - 8,840 Adjusted EBITDA $ 61,913 $ 38,542 $ 81,050 $ 42,035 $ 223,540 (1) Expense (gain) related to plant closure. (2) Transaction, advisory fees, and reorganization costs. (3) Amortization of step-up for purchase price adjustments on inventory. (4) Restructuring charges related to severeance and disposal of software. QUANEX BUILDING PRODUCTS CORPORATIONNON-GAAP FINANCIAL MEASURE DISCLOSURE(In thousands, except per share data)(Unaudited) Reconciliation of Adjusted Net Income and Adjusted EPS Three Months EndedApril 30, 2025 Three Months EndedApril 30, 2024 Six Months EndedApril 30, 2025 Six Months EndedApril 30, 2024 Net Income Diluted EPS Net Income Diluted EPS Net Income Diluted EPS Net Income Diluted EPS Net income as reported $ 20,515 $ 0.44 $ 15,377 $ 0.46 $ 5,630 $ 0.12 $ 21,626 $ 0.65 Net income reconciling items from below 7,372 $ 0.16 8,664 $ 0.27 31,218 $ 0.67 10,680 $ 0.33 Adjusted net income and adjusted EPS $ 27,887 $ 0.60 $ 24,041 $ 0.73 $ 36,848 $ 0.79 $ 32,306 $ 0.98 Reconciliation of Adjusted EBITDA Three Months EndedApril 30, 2025 Three Months EndedApril 30, 2024 Six Months EndedApril 30, 2025 Six Months EndedApril 30, 2024 Reconciliation Reconciliation Reconciliation Reconciliation Net income as reported $ 20,515 $ 15,377 $ 5,630 $ 21,626 Income tax (benefit) expense 6,307 4,314 1,257 5,956 Other, net 159 (4 ) (1,070 ) (1,046 ) Interest expense 13,940 950 28,126 2,018 Depreciation and amortization 19,192 10,894 43,932 22,046 EBITDA 60,113 31,531 77,875 50,600 EBITDA reconciling items from below 1,800 8,493 22,579 8,698 Adjusted EBITDA $ 61,913 $ 40,024 $ 100,454 $ 59,298 Reconciling Items Three Months EndedApril 30, 2025 Three Months EndedApril 30, 2024 Six Months EndedApril 30, 2025 Six Months EndedApril 30, 2024 Income Statement Reconciling Items Income Statement Reconciling Items Income Statement Reconciling Items Income Statement Reconciling Items Net sales $ 452,478 $ - $ 266,201 $ - $ 852,522 $ - $ 505,356 $ - Cost of sales 321,096 - 199,963 (631 ) (1) 628,824 - 387,686 (631 ) (1) Selling, general and administrative 70,333 (864 ) (2) 34,707 (7,862 ) (1),(2) 136,983 (13,739 ) (2),(3) 67,070 (8,067 ) (1),(2) Restructuring charges 936 (936 ) (4) - - 8,840 (8,840 ) (4) - - EBITDA 60,113 1,800 31,531 8,493 77,875 22,579 50,600 8,698 Depreciation and amortization 19,192 (6,451 ) (5) 10,894 (2,956 ) (5) 43,932 (17,101 ) (5) 22,046 (6,185 ) (5) Operating income 40,921 8,251 20,637 11,449 33,943 39,680 28,554 14,883 Interest expense (13,940 ) - (950 ) - (28,126 ) - (2,018 ) - Other, net (159 ) 1,003 (6) 4 (92 ) (6) 1,070 831 (6) 1,046 (847 ) (6) Income before income taxes 26,822 9,254 19,691 11,357 6,887 40,511 27,582 14,036 Income tax expense (6,307 ) (1,882 ) (7) (4,314 ) (2,693 ) (7) (1,257 ) (9,293 ) (7) (5,956 ) (3,356 ) (7) Net income $ 20,515 $ 7,372 $ 15,377 $ 8,664 $ 5,630 $ 31,218 $ 21,626 $ 10,680 Diluted earnings per share $ 0.44 $ 0.46 $ 0.12 $ 0.65 (1) Expense (gain) related to plant closure. (2) Transaction, advisory fees, and reorganization costs. (3) Amortization of step-up for purchase price adjustments on inventory. (4) Restructuring charges related to severeance and disposal of software. (5) Amortization expense related to intangible assets. (6) Pension settlement refund and foreign currency transaction losses (gains). (7) Tax impact of net income reconciling items. QUANEX BUILDING PRODUCTS CORPORATIONSELECTED SEGMENT DATA(In thousands)(Unaudited) This table provides gross margin, operating income (loss), EBITDA, and Adjusted EBITDA by reportable segment. Non-operating expense and income tax expense are not allocated to the reportable segments. NA Fenestration EU Fenestration NA Cabinet Components Tyman Unallocated Corp & Other Total Three months ended April 30, 2025 Net sales $ 151,026 $ 61,257 $ 51,237 $ 190,107 $ (1,149 ) $ 452,478 Cost of sales 113,760 39,001 42,405 126,743 (813 ) 321,096 Gross Margin 37,266 22,256 8,832 63,364 (336 ) 131,382 Gross Margin % 24.7% 36.3% 17.2% 33.3% 29.0% Selling, general and administrative (1) 15,938 9,038 5,725 37,271 2,361 70,333 Restructuring charges - - - 936 - 936 Depreciation and amortization 4,667 2,659 3,015 8,775 76 19,192 Operating income (loss) 16,661 10,559 92 16,382 (2,773 ) 40,921 Depreciation and amortization 4,667 2,659 3,015 8,775 76 19,192 EBITDA 21,328 13,218 3,107 25,157 (2,697 ) 60,113 Transaction, advisory fees, and reorganization costs - - - 675 189 864 Restructuring charges related to severance and disposal of software - - - 936 - 936 Adjusted EBITDA $ 21,328 $ 13,218 $ 3,107 $ 26,768 $ (2,508 ) $ 61,913 Adjusted EBITDA Margin % 14.1% 21.6% 6.1% 14.1% 13.7% Three months ended April 30, 2024 Net sales $ 159,774 $ 56,583 $ 51,078 $ - $ (1,234 ) $ 266,201 Cost of sales 122,261 35,694 42,624 - (616 ) 199,963 Gross Margin 37,513 20,889 8,454 - (618 ) 66,238 Gross Margin % 23.5% 36.9% 16.6% 24.9% Selling, general and administrative (1) 13,730 7,873 5,066 - 8,038 34,707 Depreciation and amortization 5,218 2,538 3,082 - 56 10,894 Operating income (loss) 18,565 10,478 306 - (8,712 ) 20,637 Depreciation and amortization 5,218 2,538 3,082 - 56 10,894 EBITDA 23,783 13,016 3,388 - (8,656 ) 31,531 Expense related to plant closure (Cost of sales) 631 - - - - 631 Expense related to plant closure (SG&A) 978 - - - - 978 Transaction and advisory fees - - - - 6,884 6,884 Adjusted EBITDA $ 25,392 $ 13,016 $ 3,388 $ - $ (1,772 ) $ 40,024 Adjusted EBITDA Margin % 15.9% 23.0% 6.6% 15.0% Six months ended April 30, 2025 Net sales $ 285,359 $ 109,728 $ 95,047 $ 365,783 $ (3,395 ) $ 852,522 Cost of sales 220,327 69,638 81,821 259,539 (2,501 ) 628,824 Gross Margin 65,032 40,090 13,226 106,244 (894 ) 223,698 Gross Margin % 22.8% 36.5% 13.9% 29.0% 26.2% Selling, general and administrative (1) 32,071 16,959 10,992 71,649 5,312 136,983 Restructuring charges - - - 8,840 - 8,840 Depreciation and amortization 9,446 5,269 6,024 23,038 155 43,932 Operating income (loss) 23,515 17,862 (3,790 ) 2,717 (6,361 ) 33,943 Depreciation and amortization 9,446 5,269 6,024 23,038 155 43,932 EBITDA 32,961 23,131 2,234 25,755 (6,206 ) 77,875 Amortization of step-up for purchase price adjustments on inventory - - - 9,007 - 9,007 Transaction, advisory fees, and reorganization costs - - - 2,142 2,590 4,732 Restructuring charges related to severance and disposal of software - - - 8,840 - 8,840 Adjusted EBITDA $ 32,961 $ 23,131 $ 2,234 $ 45,744 $ (3,616 ) $ 100,454 Adjusted EBITDA Margin % 11.6% 21.1% 2.4% 12.5% 11.8% Six months ended April 30, 2024 Net sales $ 307,769 $ 106,020 $ 94,215 $ - $ (2,648 ) $ 505,356 Cost of sales 240,629 67,397 81,367 - (1,707 ) 387,686 Gross Margin 67,140 38,623 12,848 - (941 ) 117,670 Gross Margin % 21.8% 36.4% 13.6% 23.3% Selling, general and administrative (1) 29,640 15,618 10,192 - 11,620 67,070 Depreciation and amortization 10,693 5,096 6,147 - 110 22,046 Operating income (loss) 26,807 17,909 (3,491 ) - (12,671 ) 28,554 Depreciation and amortization 10,693 5,096 6,147 - 110 22,046 EBITDA 37,500 23,005 2,656 - (12,561 ) 50,600 Expense related to plant closure (Cost of sales) 631 - - - - 631 Expense related to plant closure (SG&A) 978 - - - - 978 Transaction and advisory fees - - - - 7,089 7,089 Adjusted EBITDA $ 39,109 $ 23,005 $ 2,656 $ - $ (5,472 ) $ 59,298 Adjusted EBITDA Margin % 12.7% 21.7% 2.8% 11.7% (1) Includes stock-based compensation expense for the three and six months ended April 30, 2025, respectively of $0.6 million and $1.8 million and $1.5 million and $4.1 million for the comparable prior year periods. QUANEX BUILDING PRODUCTS CORPORATIONSALES ANALYSIS(In thousands)(Unaudited) Three Months Ended April 30, Six Months Ended April 30, 2025 2024 2025 2024 NA Fenestration: United States - fenestration $ 112,261 $ 119,646 $ 212,690 $ 231,280 International - fenestration 8,054 7,465 13,913 13,609 United States - non-fenestration 26,751 27,532 49,956 53,323 International - non-fenestration 3,960 5,131 8,800 9,557 $ 151,026 $ 159,774 $ 285,359 $ 307,769 EU Fenestration: (1) International - fenestration $ 50,687 $ 46,968 $ 92,743 $ 88,719 International - non-fenestration 10,570 9,615 16,985 17,301 $ 61,257 $ 56,583 $ 109,728 $ 106,020 NA Cabinet Components: United States - fenestration $ 3,507 $ 3,737 $ 6,959 $ 7,412 United States - non-fenestration 47,364 46,990 87,427 86,169 International - non-fenestration 366 351 661 634 $ 51,237 $ 51,078 $ 95,047 $ 94,215 Tyman: United States - fenestration $ 113,950 $ - $ 219,541 $ - International - fenestration 75,547 - 144,829 - United States - non-fenestration 610 - 1,395 - International - non-fenestration - - 18 - $ 190,107 $ - $ 365,783 $ - Unallocated Corporate & Other: Eliminations $ (1,149 ) $ (1,234 ) $ (3,395 ) $ (2,648 ) $ (1,149 ) $ (1,234 ) $ (3,395 ) $ (2,648 ) Net Sales $ 452,478 $ 266,201 $ 852,522 $ 505,356 (1) Reflects an increase of $0.2 million in revenue associated with foreign currency exchange rate impacts for the three and six months ended April 30, 2025, respectively. 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Daily Record
08-05-2025
- Entertainment
- Daily Record
2 Rangers fantasists put on blast for claim to fame that surely can't be serious as final straw snaps on the Hotline
The last Old Firm derby of the season already feels like ancient history to some of us but the posturing on the Hotline never sleeps. Caller George Wilson attempted to claim Rangers supremacy after the draw meant they have 171 derby wins to Celtic's 170. Cue Gordon Ashley, Ayr, who said: " Celtic are Scotland's greatest, biggest and most successful club and no amount of barrel-scraping gibberish from Hotline laughing stock George Wilson will change that. "Celtic hold every record in Scottish football and some major ones in world football while his club flounder in our shadow. Taking their anthem has been the final straw for poor George." And Michael Emonds, Northampton, said: "George Wilson and Chris Lowe are the Hotline's comedy double act. "George reckons Rangers' 171 derby wins to Celtic's 170 with 105 drawn makes Rangers Scotland's greatest club, so would he be happy if Rangers win the four league games next season but Celtic still win the title? Cobblers. "Chris (if it wisnae for the ref) Lowe comes out with the same nonsense on a weekly basis blaming the referees and all officials for Rangers' shortcomings. Jock Stein used to say just score more goals than the opposition and the referee won't matter. Keep the fantasy theories coming gents, they're hilarious." Celtic fans adopted Rangers' anthem Simply the Best in the derby draw and Scott McAdam, Partick, said: "Although Sunday was a mixed bag for the champions, the Celtic fans singing their new acquired song was hilarious. We will let Rangers keep the B side, Don't Worry Be Happy, as we now know they might not get a penny for new players next season. It just gets better and better." Kieran Tierney is nearing his endgame with Arsenal after they exited the Champions League to PSG on Wednesday night. Stephen Mulhern, Dumbarton, said: "Now that Kieran Tierney's days at Arsenal are almost over, I still have slight reservations regarding his return. I remember a previous Celtic idol who also signed for Arsenal in Charlie Nicholas and it never worked out when he returned. I'm therefore hoping that Greg Taylor will remain as surely with Tierney's injury problems he won't play every week." And Gary Stevenson, Newtonhill, is looking forward to a battle between two of the best bosses in the country next season. He said: "It will be interesting to see what happens when Falkirk take on Celtic in the new season. Will they both give each other a guard of honour, and will Brendan Rodgers give John McGlynn one for being the best manager in Scotland? Switching gears, Ryan Stevenson said in his Record Sport column that Derek McInnes is his pick for the Hearts job. David Mawson doesn't agree though. He said: "So Ryan Stevenson wants Kilmarnock manager Derek McInnes! Scotland fans could not wait to get Steve Clarke out of Killie and it has not exactly been a resounding success. Be careful what you wish for Ryan!" And Neil Renton, Leith, had a message for Mikel Arteta as he said: "Arsenal boss Mikel Arteta can claim all he wants that his side should have beaten PSG in the Champions League but the reality is they didn't. Once again the Bottlers of London chucked in the towel when it mattered. He needs to face facts that they're such a poor team that even the worst Manchester United side in memory have managed to win stuff before he has as the Gunners gaffer."
New York Times
12-04-2025
- General
- New York Times
Corrections: April 12, 2025
An article on Tuesday about Robert F. Kennedy Jr.'s plans for the Indian Health Service misattributed a quote about Native Americans as political minorities. It was said by a Native leader who requested anonymity, not David Simmons, the government affairs and advocacy director for the National Indian Child Welfare Association. A review on Friday about the action film 'G20' misstated the title of a movie, in one instance. It is 'The Woman King,' not 'The Woman Queen.' An article on Page 50 this weekend about rebuilding in the Palisades misstates the given name of a former Los Angeles fire chief. She is Kristin Crowley, not Lauren. Because of an editing error, an obituary on Tuesday about Jay North, who played the title role on the television show 'Dennis the Menace,' misidentified the character Gale Gordon played on that show. He played Dennis's neighbor John Wilson, the brother of Dennis's former neighbor George Wilson; he did not play George. (Mr. Gordon joined the cast after Joseph Kearns, the actor who had played George Wilson, died in 1962.)
