PGT Innovations Inc. announced financial results for its fourth quarter ended Dec. 30, 2023.
“For the full year 2023, PGT Innovations delivered record financial results, driven by operational execution, balanced price/cost relationships, and strong cost discipline amid a continued dynamic macroeconomic environment,” says Jeff Jackson, president and chief executive officer. “The performance is a testament to the power of our product lines, our geographic footprint, and the best team in the industry. We believe these foundations provide a strong basis for future profitable growth,” added Jackson.
Financial Highlights for Fourth Quarter 2023
(All results reflect comparison to prior-year period; Cash on hand is compared to prior-year end)
- Net sales totaled $343 million, an increase of less than 1 percent.
- Net income was $5 million, a decrease of 38 percent.
- Adjusted net income* was $14 million, a decrease of 17 percent.
- Adjusted EBITDA* was $46 million, a decrease of 5 percent.
- Net income per common share attributable to common shareholders, diluted, was $0.08, a decrease of 56 percent.
- Adjusted net income per diluted share* was $0.25, a decrease of 11 percent.
- Total liquidity* at the end of the fourth quarter was $229 million, including cash of $33 million and revolver availability of $196 million.
Financial Highlights for Fiscal Year 2023
- Net sales totaled $1.50 billion, an increase of 1 percent.
- Net income was $110 million, a decrease of 12 percent.
- Adjusted net income* was $120 million, an increase of 4 percent.
- Adjusted EBITDA* was $268 million, an increase of 6 percent.
- Net income per common share attributable to common shareholders, diluted, was $1.83, an increase of 12 percent.
- Adjusted net income per diluted share* was $2.05, an increase of 7 percent.
- Cash flow from operations was $197 million, an increase of $1 million.
* Adjusted net income, Adjusted net income per diluted share, Adjusted EBITDA, and Liquidity are non-GAAP measures. Please see “Use of Non-GAAP Financial Measures” below for more information.
What the company says
“In the fourth quarter, we delivered net sales of $343 million, a slight increase from the prior year quarter. Our sales growth was driven by our Southeast region growing at six percent, partially offset by a 13 percent decline in our Western region. The sales growth was due primarily to prior price actions, as fourth-quarter unit volumes were flat with the prior year quarter. We are seeing positive signs of recovery in Western region demand trends, as well as continued demand growth in our Southeast region,” says Jackson.
“The Company delivered increasing profitability in the fourth quarter, with gross margins of 36.7 percent, up 120 basis points over the prior year quarter," said Craig Henderson, senior vice president and chief financial officer. “Our selling, general and administrative expenses increased over the prior year quarter, as we invested in marketing, sales and other spending to support our 2024 growth initiatives, as well as timing impact of incentive compensation.”
“In the fourth quarter of 2023, we generated $57 million of operating cash flow, which enabled a reduction in our revolver borrowings of $20 million. Additionally, we returned $7 million of capital to our shareholders through share repurchases, for year-to-date repurchases of $82 million,” added Henderson.
“Due to the transaction with Miter Brands announced on Jan. 17, 2024, we will not be holding a conference call or providing 2024 guidance. Refer to our proxy statement for additional information,” concluded Henderson.
