NYSE$BCC

Boise Cascade Company · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Reported net income of $143.1 million for the third quarter 2023

Boise Cascade reported net income of $143.1 million, or $3.58 per share, on sales of $1.8 billion for the third quarter ended September 30, 2023, compared with net income of $219.6 million, or $5.52 per share, on sales of $2.2 billion for the third quarter ended September 30, 2022.

  • Completed the acquisition of BROSCO, supporting BMD's growth in the door and millwork business and bringing immediate scale in the Northeast markets.
  • Balance sheet allows commitment to reinvestment and growth strategies while rewarding shareholders with a special dividend announcement.
  • Well positioned to navigate market uncertainties as near-term demand for new residential construction evolves.
  • Total U.S. housing starts decreased 6%, driven by a decrease in multi-family housing starts compared to the same period in 2022, while single-family housing starts increased 7%.

Headline financials

Total Revenue

$1.83B

Previous: $2.15B-14.9%
EPS (adj)

$3.58

Previous: $5.52-35.1%
Capital Expenditures

-$99.3M

Previous: -$61.8M-60.5%
Free Cash Flow

$287M

Previous: $678M-57.7%
Net Income

$386M

Previous: $740M-47.8%
Operating Income

$186M

Previous: $299M-38.0%
Gross Profit

-$1.44B

Previous: -$1.66B+12.9%
Cash & Equivalents

$1.27B

Previous: $867M+46.8%
Total Assets

$3.64B

Previous: $3.35B+8.8%
Stock-Based Comp

$4M

Previous: $3.29M+21.7%

Revenue & EPS history

Boise Cascade · Revenue · Quarterly

$1.83B

Q3 2023-14.9%vs Q3 2022
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Forward guidance

During fourth quarter 2023, we expect to experience seasonally slower demand for the products we manufacture and distribute, as well as modest EWP price erosion.

Tailwinds

  • Age of U.S. housing stock provides a favorable backdrop for repair-and-remodel spending.
  • Elevated levels of homeowner equity have provided a favorable backdrop for repair-and-remodel spending.
  • Resilient economy.
  • Low levels of existing home inventory for sale.
  • Homebuilders have addressed affordability challenges facing homebuyers in various ways, including smaller home sizes, fewer amenities, price incentives, and mortgage rate buydowns.

Headwinds

  • Economic uncertainties are expected to continue to influence the near-term demand environment.
  • Escalating mortgage rates are expected to continue to influence the near-term demand environment.
  • Home affordability are expected to continue to influence the near-term demand environment.
  • Industry forecasts project continued moderation of year-over-year growth in renovation spending.
  • Economic uncertainty may also negatively impact homeowners' further investment in their residences.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

-1.4%

Avg return

Earnings day

-0.6%

Avg return

5 days after

-1.1%

Avg return

30 days after

47%

27 / 57 earnings

Positive

+20.1%

Q3 2015

Best reaction

-28.5%

Q4 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-4.9%-9.5%-12.6%
Q4 2025+8.1%+2.7%-7.8%
Q3 2025+2.7%+3.4%+8.7%
Q1 2025-4.5%-4.2%-5.4%
Q4 2024-8.1%-10.7%-14.6%
Q3 2024+3.2%+6.0%+9.5%
Q2 2024+0.6%-1.4%-2.4%
Q1 2024-4.0%-1.7%-1.8%
Q4 2023-10.6%-7.5%+8.7%
Q3 2023+0.8%+12.3%+21.8%
Q2 2023+4.7%+7.4%+7.4%
Q1 2023+2.7%+8.0%+10.6%
Q4 2022-2.8%-4.8%-19.5%
Q3 2022-1.5%-2.9%+9.0%
Q2 2022-4.0%-2.2%-11.9%
Q1 2022-10.6%-7.9%-4.3%
Q4 2021-21.6%-7.5%-13.4%
Q3 2021+10.2%+23.2%+14.8%
Q2 2021+1.7%+4.4%+12.1%
Q1 2021+3.8%+5.1%-6.8%
Q4 2020-10.6%-3.6%+5.2%
Q3 2020+9.5%+17.3%+16.7%
Q2 2020+1.2%-4.7%+3.3%
Q1 2020+6.5%-2.3%+25.3%
Q4 2019-10.0%-13.4%-43.7%
Q3 2019+2.3%+4.8%+2.6%
Q2 2019+11.9%+9.1%+10.5%
Q1 2019-8.4%-7.5%-19.4%
Q4 2018+2.2%-3.1%-6.4%
Q3 2018-6.7%-12.0%-20.0%
Q2 2018+0.0%-0.9%+1.2%
Q1 2018+2.9%+4.7%+16.6%
Q4 2017-6.3%-9.8%-13.7%
Q3 2017+1.6%+5.1%+9.1%
Q2 2017+3.0%-0.3%-5.3%
Q1 2017-4.4%-4.2%-7.9%
Q4 2016-2.2%+5.4%-1.7%
Q3 2016-14.2%-19.9%-6.3%
Q2 2016-2.0%-0.0%-9.4%
Q1 2016-4.3%
Q4 2015-28.5%
Q3 2015+20.1%
Q2 2015-7.1%
Q1 2015-2.6%
Q4 2014-13.3%
Q3 2014+5.0%
Q2 2014+6.0%
Q1 2014-0.9%
Q4 2013+0.2%
Q3 2012+0.8%
Q3 2013+7.9%
Q2 2012-0.4%
Q2 2013+0.8%
Q4 2011-3.1%
Q1 2012-3.1%
Q1 2013+6.6%
Q4 2012-5.1%
Q3 2011

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