Trex Company sees Q2 revenue $370M-$380M, consensus $378.1M

The company states: “Less than 5% of our cost of sales is projected to be impacted by tariffs, with the majority related to purchases of aluminum and steel used in our railing and fastening products. We have mitigated-and will further mitigate-some of the impact on our cost of sales through strategic actions such as building higher levels of pre-tariff inventory and negotiating with suppliers. We believe that Trex is positioned for continued growth in 2025, amid expectations that the Repair and Remodel market will be approximately flat compared to the 2024 levels. We currently expect second quarter sales to range from $370 million to $380 million, followed by strong second half year-on-year comparisons. We expect our second quarter margins to approximate first quarter margins. We anticipate improvement in gross margins in the back half of the year as production normalizes and we realize the benefits of our continuous improvement initiatives. We are maintaining our full year 2025 guidance for sales growth of 5% to 7% and adjusted EBITDA margin to exceed 31%. This guidance is based on our expectation for strong sell-through of Trex premium decking products, improved demand for Trex entry-level products, and double-digit growth in our railing product sales.”