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Dec 25, 2022

MasterBrand Q4 2022 Earnings Report

Reported a solid financial and operational performance, with net sales growth and adjusted EBITDA margin expansion.

Key Takeaways

MasterBrand reported a 5% increase in net sales, reaching $784.4 million, and an adjusted EBITDA margin expansion of 350 basis points to 12.5% for the fourth quarter of 2022. Net income decreased by 56% to $15.4 million due to separation costs, restructuring charges, and trade name impairments.

Net sales increased by 5% compared to Q4 2021, reaching $784.4 million.

Gross profit increased by 14% to $215.0 million, with a gross profit margin expansion of 220 basis points to 27.4%.

Adjusted EBITDA margin expanded 350 basis points to 12.5%.

Adjusted diluted earnings per share increased to $0.52, compared to $0.32 in the same period last year.

Total Revenue
$784M
Previous year: $2.86B
-72.5%
EPS
$0.52
Previous year: $1.43
-63.6%
Gross Profit Margin
27.4%
Previous year: 25.2%
+8.7%
Adjusted EBITDA Margin
12.5%
Previous year: 9%
+38.9%
Gross Profit
$215M
Previous year: $784M
-72.6%
Cash and Equivalents
$101M
Previous year: $141M
-28.5%
Free Cash Flow
$180M
Previous year: $96.6M
+86.0%
Total Assets
$2.38B

MasterBrand

MasterBrand

Forward Guidance

The Company expects to continue outperforming the underlying market. Year-over-year net sales performance will be impacted by lower backlog at the beginning 2023 than the prior year due to strong service and delivery in 2022.