•
Apr 01, 2023

JELD-WEN Q1 2023 Earnings Report

JELD-WEN's first quarter results for 2023 were announced, with updated full-year guidance reflecting the sale of the Australasia segment and ongoing cost reduction activities.

Key Takeaways

JELD-WEN reported a net revenue increase of 4.4% to $1,222.6 million, driven by a 7% Core Revenue growth. Net income was $15.1 million, or $0.18 per share, compared to a net loss of ($0.5) million, or ($0.01) per share, in the same quarter last year. Adjusted EPS was $0.35, compared to $0.24 in the same quarter a year ago. The company is raising its full-year guidance on the remaining business to reflect its first quarter results and ongoing cost reduction activities.

Net revenue increased +4.4% to $1,222.6 million, driven by +7% Core Revenue growth, including +10% price realization and -3% volume/mix.

Net income was $15.1 million, or $0.18 per share, compared to a net loss of ($0.5) million, or ($0.01) per share, in the same quarter last year.

Adjusted EPS was $0.35, compared to $0.24 in the same quarter a year ago.

Adjusted EBITDA was $93.5 million, compared to $80.2 million during the same quarter a year ago, with Adjusted EBITDA Margin increasing by 80 basis points year-over-year to 7.7%.

Total Revenue
$1.22B
Previous year: $1.17B
+4.4%
EPS
$0.35
Previous year: $0.16
+118.7%
Gross Profit
$232M
Previous year: $203M
+14.2%
Cash and Equivalents
$203M
Previous year: $266M
-23.7%
Free Cash Flow
-$24.3M
Previous year: -$203M
-88.0%
Total Assets
$3.56B
Previous year: $3.84B
-7.2%

JELD-WEN

JELD-WEN

JELD-WEN Revenue by Segment

JELD-WEN Revenue by Geographic Location

Forward Guidance

JELD-WEN is updating its guidance to reflect the solid first quarter performance, ongoing cost reduction actions and the impact of the Australasia segment moving to discontinued operations following the April 17, 2023 announcement of the agreement to sell the segment. The Company now expects 2023 net revenue of $4.0 to $4.4 billion which reflects a low double digit decline in volume/mix across its portfolio of products and geographies in North America and Europe. Core Revenues are forecasted to be down 4% to 8% as carry-forward price realization partially offsets lower market demand. Further, the Company now expects 2023 Adjusted EBITDA to be within the range of $330 to $370 million driven by lower year-over-year volumes and the non-recurrence of certain Other Income items partially offset by improved productivity and cost reductions.

Positive Outlook

  • Solid first quarter performance
  • Ongoing cost reduction actions
  • Impact of the Australasia segment moving to discontinued operations
  • Carry-forward price realization partially offsets lower market demand.
  • Improved productivity and cost reductions.

Challenges Ahead

  • Low double digit decline in volume/mix across its portfolio of products and geographies in North America and Europe.
  • Core Revenues are forecasted to be down 4% to 8%
  • Lower year-over-year volumes
  • Non-recurrence of certain Other Income items
  • Uncertainty regarding the future performance of the global economy

Revenue & Expenses

Visualization of income flow from segment revenue to net income