- Quanex Building Products (NX +12.5%) reported Q3 net sales growth of 4.6% Y/Y to $239.82M, driven by market growth and favorable forex.
- Sales by Segment: NA Engineered components $133.39M (+5.5% Y/Y); EU Engineered components $42.66M (+5.7% Y/Y) and NA Cabinet components $65.11M (+2% Y/Y).
- Q3 operating margin declined by 44 bps to 7.1%.
- Q3 Overall Adj. EBITDA margin declined by 120 bps to 12.8%. Segments: NA Engineered components 14.4% fell by 180 bps; EU Engineered components 14.7% fell by 60 bps and NA Cabinet components 10.4% expanded by 200 bps.
- SG&A expenses increased by 18.1% Y/Y to $24.19M and margin was 10.1% up by 116 bps.
- Q3 Free cash flow was $20.95M compared to $20.19M a year ago.
- Company has Cash and cash equivalents of $12.4M as of July 31, 2018. Company’s leverage ratio of Net Debt to LTM Adj. EBITDA decreased to 2.0x.
- Company increased the quarterly dividend by 100% to $0.08; and authorized a $60M share repurchase program.
- Previously: Quanex Building Products beats by $0.01, beats on revenue (Sept. 6)
- Previously: Quanex Building Products declares $0.08 dividend (Sept. 6)