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Mar 31, 2024

Armstrong Q1 2024 Earnings Report

Armstrong's Q1 2024 financial performance was marked by record-setting results, driven by sales growth and operational efficiency.

Key Takeaways

Armstrong World Industries reported record first-quarter 2024 results with a 5% increase in net sales and significant growth in operating income and adjusted EBITDA. The company has raised its full-year 2024 guidance, expecting continued sales and earnings growth.

Net sales increased by 5% year-over-year, with growth in both Mineral Fiber and Architectural Specialties segments.

Operating income rose by 23% compared to the prior-year period.

Adjusted EBITDA increased by 16% year-over-year.

The company announced the acquisition of 3form, LLC to expand its Architectural Specialties portfolio.

Total Revenue
$326M
Previous year: $310M
+5.2%
EPS
$1.38
Previous year: $1.12
+23.2%
Adjusted EBITDA
$111M
Previous year: $96M
+15.6%
Gross Profit
$124M
Previous year: $112M
+10.9%
Cash and Equivalents
$69.6M
Previous year: $96M
-27.5%
Free Cash Flow
$11.7M
Previous year: $30M
-61.0%
Total Assets
$1.69B
Previous year: $1.69B
+0.2%

Armstrong

Armstrong

Forward Guidance

Armstrong World Industries raised its full-year 2024 guidance, anticipating profitable growth and adjusted EBITDA margin expansion despite macroeconomic uncertainty.

Positive Outlook

  • Net sales are projected to increase by 8% to 11%.
  • Adjusted EBITDA is expected to grow by 8% to 13%.
  • Adjusted diluted net earnings per share are anticipated to increase by 9% to 14%.
  • Adjusted free cash flow is forecasted to rise by 8% to 14%.
  • The acquisition of 3form is expected to contribute to growth.

Challenges Ahead

  • Lingering macroeconomic uncertainty in the back-half of the year.
  • Potential impacts from market conditions.
  • Uncertainties related to broader economic conditions.
  • Risks associated with forward-looking statements.
  • Factors that could cause actual results to differ materially.