NYSE$GMS

Gms Inc · Q4 2024 earnings

Q4 2024 earnings · · Investor relations

Briefing

GMS delivered solid results driven by volume growth across all major product categories.

GMS reported an 8.4% increase in net sales for Q4 2024, reaching $1.41 billion, driven by volume growth across all product categories. Despite steel price deflation impacting sales and margins, the company saw positive single-family Wallboard volume growth for the first time since fall 2022. Net income decreased by 25.4% to $56.4 million, while adjusted EBITDA was $146.6 million.

  • Net sales increased by 8.4% to $1.41 billion, or 6.7% on a same day basis.
  • Wallboard sales increased 7.6%, ceilings sales increased 21.7%, steel framing sales decreased 1.5%, and complementary product sales increased 9.8%.
  • Gross profit increased 6.3% to $451.2 million, while gross margin decreased 60 basis points to 31.9%.
  • Adjusted EBITDA was $146.6 million, with an adjusted EBITDA margin of 10.4%.

Headline financials

Total Revenue

$1.41B

Previous: $1.3B+8.4%
EPS (adj)

$1.93

Previous: $2.11-8.5%
Gross Margin

31.9%

Previous: 32.5%-1.8%
Adjusted EBITDA

$147M

Previous: $154M-5.0%
Adj. EBITDA Margin

10.4%

No prior period
SG&A Expense

$316M

No prior period
SG&A as % of Revenue

22.3%

No prior period
Adjusted SG&A

$308M

No prior period
Adj. SG&A Margin

21.8%

No prior period
Net Debt / Adj. EBITDA

1.7

Previous: 1.4+21.4%
Capital Expenditures

-$17.5M

Previous: $19.4M-190.2%
Net Income

$56.4M

Previous: $75.6M-25.4%
Operating Income

$136M

Previous: $114M+19.2%
Gross Profit

$451M

Previous: $425M+6.3%
Stock-Based Comp

$5.93M

Previous: $4.81M+23.3%

Revenue & EPS history

GMS · Revenue · Quarterly

$1.41B

Q4 2024+8.4%vs Q4 2023
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Forward guidance

GMS anticipates continued changes in end market dynamics in fiscal 2025, with an improving single-family market partially offsetting declining multi-family and commercial demand. Near-term headwinds are expected in Wallboard and Steel margins, but improvements are expected in the second quarter and solid results for the full fiscal year.

Tailwinds

  • Improving single-family end market expected to partially offset declines in multi-family and commercial demand.
  • Benefits expected from previously announced Wallboard pricing actions later in the summer.
  • Anticipated improvement in Steel pricing due to recent manufacturer price increases.
  • Company prepared to manage shifts in end market demand and price movement.
  • Continued focus on providing outstanding service and executing strategic priorities.

Headwinds

  • Anticipates some near-term headwinds, particularly in Wallboard and Steel margins.
  • Declining multi-family and likely commercial demand expected throughout the year.
  • Steel price deflation impacted sales and margins in Q4.
  • Increased SG&A expenses related to acquisitions, greenfield openings, and labor costs.
  • Expects to see benefits from the implementation of the previously announced pricing actions later this summer.

Historical earnings impact

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

Avg. return before/after earnings

Based on 6 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

-0.3%

Avg return

Earnings day

+1.1%

Avg return

5 days after

+7.0%

Avg return

30 days after

45%

19 / 42 earnings

Positive

+24.8%

Q1 2020

Best reaction

-17.5%

Q3 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026
Q2 2026
Q1 2026+0.0%+0.1%
Q4 2025+11.5%+38.0%+51.0%
Q3 2025-7.5%-10.7%-8.4%
Q2 2025-5.1%-7.2%-17.9%
Q1 2025-4.8%-7.9%-0.4%
Q4 2024-9.0%-11.0%+1.0%
Q3 2024+0.7%-1.1%+8.0%
Q2 2024-0.7%+8.3%+15.7%
Q1 2024-4.7%
Q4 2023+0.4%
Q3 2023-0.5%
Q2 2023+8.8%
Q1 2023-4.5%
Q4 2022+13.9%
Q3 2022-13.6%
Q2 2022+0.4%
Q1 2022+3.6%
Q4 2021+12.2%
Q3 2021+7.7%
Q2 2021-9.4%
Q1 2021-11.5%
Q4 2020+3.5%
Q3 2020-4.4%
Q2 2020-3.1%
Q1 2020+24.8%
Q4 2019+17.5%
Q3 2019-17.5%
Q2 2019-5.1%
Q1 2019-6.4%
Q4 2018-12.3%
Q3 2018+5.1%
Q2 2018-1.1%
Q1 2018+8.7%
Q4 2015+1.4%
Q4 2017-10.8%
Q3 2016+3.1%
Q3 2017+3.1%
Q2 2016-1.8%
Q2 2017-1.8%
Q1 2017-3.8%
Q1 2016-3.8%
Q4 2016+3.7%
Q3 2015
Q2 2015
Q1 2015

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