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Jun 30, 2024

ADS Q1 2025 Earnings Report

Announced first quarter fiscal 2025 results.

Key Takeaways

Advanced Drainage Systems reported a 4.8% increase in net sales, reaching $815.3 million. Net income decreased by 6.7% to $162.3 million, while adjusted EBITDA decreased by 2.1% to $275.5 million. Revenue growth was primarily driven by Allied product sales and the Infiltrator business.

Net sales increased by 4.8% to $815.3 million.

Net income decreased by 6.7% to $162.3 million.

Adjusted EBITDA decreased by 2.1% to $275.5 million.

Domestic construction markets increased 6% overall.

Total Revenue
$815M
Previous year: $778M
+4.8%
EPS
$2.06
Previous year: $2.04
+1.0%
Adjusted EBITDA Margin
33.8%
Previous year: 36.2%
-6.6%
Gross Profit
$332M
Previous year: $331M
+0.3%
Cash and Equivalents
$542M
Previous year: $366M
+47.9%
Free Cash Flow
$126M
Previous year: $202M
-37.7%
Total Assets
$3.45B
Previous year: $3.05B
+13.1%

ADS

ADS

ADS Revenue by Segment

ADS Revenue by Geographic Location

Forward Guidance

The Company confirmed its financial targets for fiscal 2025. Net sales are now expected to be in the range of $2.925 billion to $3.025 billion. Adjusted EBITDA is expected to be in the range of $940 million to $980 million. Capital expenditures are expected to be in the range of $250 million to $300 million.

Positive Outlook

  • Net sales are expected to be in the range of $2.925 billion to $3.025 billion.
  • Adjusted EBITDA is expected to be in the range of $940 million to $980 million.

Challenges Ahead

  • Capital expenditures are expected to be in the range of $250 million to $300 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income