NYSE$NX

Quanex Building Products Corporation · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Announced first quarter 2024 results, reporting margin expansion and debt repayment amidst market softness.

Quanex reported a decrease in net sales due to softer market demand and lower pricing, but achieved margin expansion and repaid $5 million in bank debt. The company remains cautiously optimistic about the second half of 2024 and maintains a positive long-term view on the residential housing market.

  • Realized margin expansion on a consolidated basis despite market volume softness.
  • Repaid $5 million in bank debt during the quarter.
  • Balance sheet and liquidity remain strong.
  • Cautiously optimistic about improved demand in the second half of 2024.

Headline financials

Total Revenue

$239M

Previous: $262M-8.7%
EPS (adj)

$0.18

Previous: $0.18+0.0%
Capital Expenditures

-$9.58M

Previous: -$7.58M-26.4%
Free Cash Flow

-$5.73M

Previous: -$4.45M-28.8%
Net Income

$6.25M

Previous: $1.91M+227.3%
Operating Income

$7.92M

Previous: $4.4M+79.8%
Gross Profit

$51.4M

Previous: $51.8M-0.6%
Cash & Equivalents

$44.4M

Previous: $43.1M+3.2%
Total Assets

$813M

Previous: $827M-1.6%
Stock-Based Comp

$583K

Previous: $679K-14.1%

Revenue & EPS history

Quanex · Revenue · Quarterly

$239M

Q1 2024-8.7%vs Q1 2023
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Forward guidance

Quanex estimates net sales of approximately $1.1 billion, which is expected to yield approximately $145 million to $150 million in Adjusted EBITDA for fiscal 2024.

Tailwinds

  • Expects to generate net sales of approximately $1.1 billion in fiscal 2024.
  • Anticipates Adjusted EBITDA between $145 million and $150 million in fiscal 2024.
  • Believes the underlying fundamentals for the residential housing market remain positive.
  • Positioned well to explore and evaluate both organic and inorganic growth opportunities.
  • Focus on generating cash and managing working capital.

Headwinds

  • Somewhat cautious outlook for the first half of the year due to ongoing macroeconomic challenges.
  • Market volume softness related to normal seasonality.
  • Ongoing macroeconomic challenges.
  • Some pricing pressure.
  • Recent demand trends

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 Q1 2024

Historical avgQ1 2024

+1.4%

Avg return

Earnings day

+0.8%

Avg return

5 days after

-0.7%

Avg return

30 days after

56%

37 / 66 earnings

Positive

+23.8%

Q2 2023

Best reaction

-17.7%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-7.9%-5.9%-7.1%
Q4 2025+6.5%+5.2%+16.2%
Q3 2025-12.8%-27.3%-29.6%
Q2 2025+0.0%-5.6%-3.1%
Q1 2025-9.2%-3.4%-14.6%
Q4 2024-3.8%-9.9%-25.7%
Q3 2024+19.9%+3.6%+8.0%
Q2 2024+2.8%-4.1%-13.4%
Q1 2024-2.3%+0.6%+10.4%
Q4 2023-7.0%-6.1%-7.6%
Q3 2023+9.0%+5.3%+4.2%
Q2 2023+23.8%+24.3%+27.8%
Q1 2023-17.7%-20.6%-20.7%
Q4 2022-2.1%-2.6%+1.1%
Q3 2022-4.5%-5.2%-18.6%
Q2 2022+13.1%+20.8%+15.4%
Q1 2022+0.9%-2.1%-6.5%
Q4 2021+3.4%+4.0%+6.7%
Q3 2021-6.5%-6.2%-7.0%
Q2 2021+3.5%+5.3%-7.5%
Q1 2021+1.5%+8.8%+9.8%
Q4 2020+1.1%+2.3%+15.6%
Q3 2020+6.4%+6.6%+11.1%
Q2 2020+5.4%+2.3%-4.3%
Q1 2020-0.2%-12.2%-47.0%
Q4 2019+2.9%+1.5%-10.0%
Q3 2019+6.7%+7.3%+9.4%
Q2 2019+6.4%+5.2%+17.4%
Q1 2019-5.2%-14.6%-5.6%
Q4 2018-12.7%-5.7%+9.3%
Q3 2018+19.3%+18.1%+3.9%
Q2 2018+14.3%+12.8%+7.7%
Q1 2018+8.8%+5.3%+5.6%
Q4 2017+6.7%+15.1%+7.2%
Q3 2017-0.3%-0.8%+17.6%
Q2 2017+5.9%+8.7%+7.7%
Q1 2017+1.0%+1.8%+1.3%
Q4 2016+2.0%+5.7%+2.2%
Q3 2016-6.1%-9.2%-9.1%
Q2 2016+1.7%+0.9%-4.4%
Q1 2016-9.6%
Q4 2015+9.1%
Q3 2015+11.7%
Q2 2015+8.6%
Q1 2015+0.6%
Q4 2014-9.2%
Q3 2014+0.0%
Q2 2014+3.9%
Q1 2014-0.3%
Q4 2013+6.8%
Q3 2013+7.4%
Q2 2013-5.5%
Q1 2013-10.6%
Q1 2010+6.0%
Q4 2012-8.6%
Q3 2012-2.7%
Q2 2012-1.6%
Q1 2012-5.8%
Q4 2009+13.4%
Q4 2011+13.4%
Q3 2011-5.2%
Q3 2010-5.2%
Q2 2011-5.7%
Q2 2010+1.5%
Q1 2011+1.5%
Q4 2010+1.5%

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