Worthington Q2 2024 Earnings Report
Key Takeaways
Worthington Enterprises reported Q2 earnings of $0.49 per share, which included unique items such as separation expenses and a gain from a divestiture. Excluding these items, earnings were $0.78 per share. Net sales were $1.1 billion, a decrease of 7.5% year-over-year, while gross profit increased to $124 million. The company is now focused on maximizing the growth potential of its consumer products, building products, and sustainable energy businesses.
Reported consolidated earnings of $0.49 per share, or $0.78 per share excluding unique items.
Net sales decreased by 7.5% to $1.1 billion due to lower average selling prices in steel processing and a shift in product mix.
Gross profit increased to $124 million, with gross margin rising to 11.4%.
Focusing on growth through transformation, acquisitions, and innovation, with a balanced approach to ESG performance.
Worthington
Worthington
Worthington Revenue by Segment
Forward Guidance
Worthington Enterprises is focused on maximizing the long-term growth potential of its consumer products, building products, and sustainable energy businesses, with strategic priorities centered on growth, transformation, acquisitions, and innovation.
Positive Outlook
- Market share gains expected to add to growth in calendar 2024 in the consumer business.
- Volumes and margins expected to gradually improve in the Outdoor Living business.
- Return to more seasonally normal patterns across the portfolio in the coming quarters.
- Optimism in the construction markets with interest rates possibly at a peak.
- High quoting activity and interest in Sustainable Energy Solutions.
Challenges Ahead
- Economy in Europe remains challenged, impacting growth in Sustainable Energy Solutions.
- Destocking in heating and cooling construction end markets, particularly in the large format propane business.
- Consumer caution affecting spending on outdoor living focused brands.
- Unfavorable product mix impacting sales in Building Products.
- Lower volumes impacting Sustainable Energy Solutions' ability to absorb fixed costs.
Revenue & Expenses
Visualization of income flow from segment revenue to net income