Trex Company ( (TREX) ) has released its Q4 earnings. Here is a breakdown of the information Trex Company presented to its investors.
Trex Company, Inc. is a leading manufacturer of wood-alternative decking and railing products, specializing in sustainable outdoor living solutions with a strong global distribution network.
Trex Company reported robust financial performance for the full year 2024, with notable growth in net income, EPS, and EBITDA, despite a challenging fourth quarter. The company introduced a record number of new products and secured new distribution commitments, highlighting its strategic focus on innovation and market expansion.
Key financial highlights for 2024 include a 5.2% increase in net sales to $1.2 billion, a 10.2% rise in net income to $226 million, and an EBITDA margin expansion to 31.3%. The company also repurchased 1.6 million shares for $100 million, demonstrating confidence in its long-term growth prospects. The fourth quarter saw a decline in net sales and EBITDA due to inventory reductions, but the overall annual performance remained strong.
Looking ahead, Trex anticipates 5-7% revenue growth in 2025, with an adjusted EBITDA margin expected to exceed 31%. The company remains optimistic about its market position and growth opportunities, driven by continued innovation and strategic partnerships in the outdoor living sector.