Core Points - Quanex Building Products Corporation declared a quarterly cash dividend of $0.08 per share on its common stock, payable on June 28, 2024, to shareholders of record on June 14, 2024 [1] Company Overview - Quanex is a global manufacturer with core capabilities across various end markets, collaborating with leading OEMs to provide innovative solutions in sectors such as window, door, vinyl fencing, solar, refrigeration, and cabinetry [2] - The company plans to leverage its material science expertise and process engineering to expand into adjacent markets in the future [2]

HOUSTON, TEXAS, May 23, 2024 (GLOBE NEWSWIRE) -- Quanex Building Products Corporation (NYSE: NX) ("Quanex" or the "Company") today announced plans to release its second quarter 2024 results on Thursday, June 6, 2024 after trading closes on the New York Stock Exchange. The Company has also scheduled a conference call for Friday, June 7, 2024 at 11:00 a.m. ET (10:00 a.m. CT) to discuss the release. A link to the live audio webcast will be available on Quanex's website at http://www.quanex.com in the Investors ...

Acquisition Accelerates Quanex's "BIGGER" Strategic Roadmap, Expanding Quanex's Product Offering with Addition of Tyman's Complementary Portfolio Significantly Enhances Scale and Global Reach, Positioning Combined Company for Profitable Growth and Value Creation Delivers Material EPS Accretion in First Fiscal Year Post Close; Approximately $30 Million in Annual Run-Rate Cost Synergies Anticipated Investor Conference Call Scheduled for Today at 8:30 a.m. ET / 7:30 a.m. CT / 1:30 p.m. BST HOUSTON, April 22, 2 ...

Quanex Building Products Corporation (NYSE:NX) Q1 2024 Earnings Call Transcript March 8, 2024 11:00 AM ET Company Participants Scott Zuehlke - SVP< CFO and Treasurer George Wilson - Chairman, President and CEO Conference Call Participants Julio Romero - Sidoti Reuben Garner - Benchmark Kathryn Thompson - Thompson Research Group Kevin Gainey - Thompson Davis Operator Good day, and thank you for standing by. Welcome to the First Quarter 2024 Quanex Building Products Corporation Earnings Conference Call. At th ...

Quanex Building Products (NX) came out with quarterly earnings of $0.18 per share, beating the Zacks Consensus Estimate of $0.12 per share. This compares to earnings of $0.18 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 50%. A quarter ago, it was expected that this housing materials maker would post earnings of $0.71 per share when it actually produced earnings of $0.95, delivering a surprise of 33.80%.Over the last four qu ...

Margin Expansion on a Consolidated Basis Repaid $5 Million in Bank Debt Balance Sheet and Liquidity Remain Strong Cautiously Optimistic on Second Half of 2024 Positive Long-Term View on Residential Housing Market Remains Intact HOUSTON, March 07, 2024 (GLOBE NEWSWIRE) --  Quanex Building Products Corporation (NYSE:NX) ("Quanex" or the "Company") today announced its results for the three months ended January 31, 2024.   The Company reported the following selected financial results:    Three Months Ended Janu ...

Financial Performance - Net sales for the three months ended January 31, 2024, were $239,155,000, a decrease of 8.5% compared to $261,916,000 for the same period in 2023[12] - Operating income increased to $7,917,000 for the three months ended January 31, 2024, compared to $4,403,000 in the prior year, reflecting a 79.5% increase[12] - Net income for the three months ended January 31, 2024, was $6,249,000, significantly higher than $1,909,000 for the same period in 2023, representing a 227.5% increase[12] - Basic earnings per share rose to $0.19 for the three months ended January 31, 2024, compared to $0.06 in the same period last year[12] - Net sales decreased by $22.8 million, or 9%, to $239.2 million for the three months ended January 31, 2024, compared to $261.9 million in the same period of 2023[108] - Operating income increased by $3.5 million, or 80%, to $7.9 million for the three months ended January 31, 2024, compared to $4.4 million in the same period of 2023[108] - Net income rose by $4.3 million, or 227%, to $6.2 million for the three months ended January 31, 2024, compared to $1.9 million in the same period of 2023[108] Assets and Liabilities - Total current assets decreased to $252,995,000 as of January 31, 2024, down from $273,600,000 as of October 31, 2023, a decline of 7.5%[10] - Total liabilities decreased to $258,391,000 as of January 31, 2024, compared to $285,589,000 as of October 31, 2023, a reduction of 9.5%[10] - Long-term debt decreased to $64.094 million as of January 31, 2024, down from $68.800 million as of October 31, 2023[43] - The total assets as of January 31, 2024, were $813,420,000, a decrease from $831,143,000 as of October 31, 2023[85] Cash Flow - Cash and cash equivalents at the end of the period were $44,422,000, down from $58,474,000 at the beginning of the period, reflecting a decrease of 24%[17] - Cash provided by operating activities was $3,854,000 for the three months ended January 31, 2024, compared to $3,135,000 in the prior year, an increase of 23%[17] - Cash provided by operating activities increased by $0.7 million to $3.9 million for the three months ended January 31, 2024[128] - Cash used for investing activities decreased by $89.9 million to $9.5 million for the three months ended January 31, 2024, with no business acquisitions in 2024[129] Inventory and Expenses - Total inventories rose to $107.478 million as of January 31, 2024, compared to $97.959 million as of October 31, 2023, indicating a 9.5% increase[38] - Selling, general and administrative expenses increased by $2.6 million, or 20%, in the NA Fenestration segment due to higher labor costs[111] - Capital expenditures for the three months ended January 31, 2024, totaled $9,580,000, an increase from $7,582,000 in the prior year[85] Foreign Currency and Market Conditions - The company reported a foreign currency translation gain of $6,081,000 for the three months ended January 31, 2024, compared to a gain of $11,372,000 in the same period last year[14] - The company has exposure to foreign currency rate risks primarily due to fluctuations in the Euro, British Pound Sterling, and Canadian Dollar[140] - The ongoing geopolitical tensions and military conflicts in Ukraine and Gaza may lead to market disruptions and increased commodity prices[101] Business Segments - The company operates three reportable business segments: North American Fenestration, European Fenestration, and North American Cabinet Components[99] - NA Fenestration segment net sales decreased by $5.0 million, or 3%, primarily due to a $4.3 million decrease in volumes[109] - EU Fenestration segment net sales decreased by $5.5 million, or 10%, driven by a $6.8 million decrease in volumes[112] - NA Cabinet Components segment net sales decreased by $11.5 million, or 21%, attributed to a $6.4 million decrease in volumes due to weaker consumer confidence[115] Tax and Compliance - The annual effective tax rate from continuing operations for the three months ended January 31, 2024, was 20.8%, up from 19.2% for the same period in 2023[54] - The company had a liability for uncertain tax positions of $0.3 million related to certain U.S. federal and state tax items as of January 31, 2024[55] - The company is not currently involved in any remediation or environmental compliance matters that could materially impact its financial condition[58] Stock and Compensation - The total weighted-average grant-date fair value of restricted stock awards that vested during the three months ended January 31, 2024, was $1.4 million, compared to $0.9 million for the same period in 2023[67] - As of January 31, 2024, the total unrecognized compensation cost related to unamortized restricted stock awards was $4.0 million, expected to be recognized over a remaining weighted-average vesting period of 2.3 years[67] - During the three months ended January 31, 2024, the company recognized total compensation expense of $2,576,000 related to stock-based awards, a decrease from $4,809,000 in the prior year[80] Future Outlook - The National Association of Homebuilders (NAHB) forecasts housing starts to be 1.4 million for the 2024 and 2025 calendar years[105] - Ducker Worldwide forecasts a decrease in total window shipments by 7.6% in calendar year 2023 and 1.2% in 2024[105] - The company continues to evaluate business acquisitions to expand its fenestration and cabinet component footprint and enhance product offerings[98] - The company is evaluating the potential impact of new accounting guidance on its consolidated financial statements[90] - The company is evaluating the potential impact of adopting new guidance on segment reporting and income tax disclosures issued by the FASB[135][136]

Financial Performance - Quanex reported net sales of $239.2 million for Q1 2024, an 8.7% decrease from $261.9 million in Q1 2023[2] - Net income for Q1 2024 was $6.2 million, up from $1.9 million in Q1 2023, with diluted EPS increasing to $0.19 from $0.06[2] - Adjusted EBITDA for the three months ended January 31, 2024, was $19.274 million, compared to $20.471 million for the same period in 2023, a decline of 5.8%[30] - The company reported net sales of $239,155,000 for the three months ended January 31, 2024, down from $261,916,000 in the same period last year, a decrease of 8.7%[31] - Diluted earnings per share increased to $0.19 for the three months ended January 31, 2024, compared to $0.06 for the same period in 2023, representing a growth of 216.7%[32] - EBITDA for the three months ended January 31, 2024, was $19.069 million, compared to $15.023 million in the same period last year[35] Cost and Expenses - Gross margin increased to 21.5% in Q1 2024 from 19.8% in Q1 2023, despite lower sales[2] - Selling, general and administrative expenses totaled $32.363 million for the three months ended January 31, 2024, compared to $36.744 million in the same period last year[34] - The company reported a decrease in cost of sales to $187.723 million for the three months ended January 31, 2024, down from $210.149 million in the prior year[34] Debt and Cash Flow - The company repaid $5 million in bank debt during the quarter, maintaining a strong balance sheet[1] - As of January 31, 2024, total debt was $65.2 million, with a leverage ratio of Net Debt to LTM Adjusted EBITDA at 0.1x[4] - Total debt decreased to $65,211,000 as of January 31, 2024, down from $155,122,000 a year earlier, indicating a reduction of 58%[24] - Net Debt as of January 31, 2024, was $20,789,000, significantly lower than $112,067,000 in the previous year, a decrease of 81%[24] - Cash provided by operating activities was $3.9 million, compared to $3.1 million in Q1 2023[2] - Cash provided by operating activities increased to $3,854,000 in Q1 2024 from $3,135,000 in Q1 2023, reflecting a growth of 23%[21] - Free Cash Flow for the three months ended January 31, 2024, was negative $5,726,000, compared to negative $4,447,000 in the same period last year[23] Market Segments - The North American Fenestration segment saw a 3.3% decline in net sales, while the Cabinet Components segment experienced a 21.1% decline[3] - North America fenestration sales decreased to $147.995 million from $152.980 million year-over-year, reflecting a decline of 3.9%[37] - The company’s international fenestration sales in the EU decreased to $49.437 million from $54.952 million year-over-year, a decline of 10.0%[37] Future Outlook - Quanex expects to generate approximately $1.1 billion in net sales for fiscal 2024, with an estimated Adjusted EBITDA of $145 million to $150 million[5] - The company remains cautiously optimistic about demand recovery in the second half of 2024[5] - Quanex plans to leverage its material science expertise to expand into adjacent markets[7]

Financial Data and Key Metrics Changes - The company reported net sales of $295.5 million for Q4 2023, a decrease of 3.9% from $307.5 million in Q4 2022 [44] - Full-year net sales were $1.13 billion, down 7.4% from $1.22 billion in 2022, primarily due to softer market demand and lower pricing in North America [44] - Net income for Q4 increased by 11% to $27.4 million, or $0.83 per diluted share, compared to $24.7 million, or $0.75 per diluted share in Q4 2022 [45] - Full-year net income decreased by 6.6% to $82.5 million, or $2.50 per diluted share, compared to $88.3 million, or $2.66 per diluted share in 2022 [45] - Adjusted EBITDA for Q4 increased by 31.2% to $50.8 million, while full-year adjusted EBITDA rose by 4.6% to $159.6 million, a new record for the company [47] Business Line Data and Key Metrics Changes - North American Fenestration segment net sales for Q4 were $180.5 million, up 1.3% from $178.2 million in Q4 2022, driven by the contribution from LMI Mixing assets [49] - Excluding LMI, revenue in this segment would have declined approximately 11% year-over-year in Q4 [50] - North American Cabinet Components segment reported Q4 net sales of $51.9 million, down 23.7% year-over-year, with full-year sales declining 21.9% [55] - European Fenestration segment generated Q4 revenue of $64.2 million, an increase of 3.3% compared to Q4 2022, with a volume decline of about 5% [58] Market Data and Key Metrics Changes - The U.S. housing market slowed in 2023 due to higher interest rates and a softening repair and replacement market as COVID backlogs dissipated [27] - The company noted that the war in Ukraine and the recent conflict in Gaza have negatively impacted consumer confidence in Europe [26] - The company expects volumes to be pressured in the first half of 2024 but anticipates an uptick in demand in the second half as consumer confidence improves [40] Company Strategy and Development Direction - The company is focused on a profitable growth strategy, investing in both organic and inorganic growth projects [32] - The successful acquisition and integration of LMI Custom Mixing assets have expanded the product portfolio and improved margins [30][38] - Future growth initiatives include investments in compound development, spacer development, and UPVC technologies [41] Management's Comments on Operating Environment and Future Outlook - Management expressed a conservative outlook for the first half of 2024, citing longer-than-normal holiday shutdowns announced by customers [39] - There is optimism for a potential improvement in the second half of 2024, contingent on decreasing interest rates and increased consumer confidence [40][17] - The company remains committed to controlling costs and managing working capital effectively [28][62] Other Important Information - The company generated free cash flow of $109.7 million for the full year 2023, an increase of 69.1% over 2022, marking a new record [62] - The leverage ratio of net debt to last 12 months adjusted EBITDA was 0.1 times as of October 31, 2023, indicating a strong balance sheet [62] Q&A Session Summary Question: Can you discuss the North America Fenestration segment's organic decline? - Management noted that the decline was primarily due to destocking activities last year, with normalized shipment production rates expected moving forward [72][73] Question: What are the next steps for the LMI deal? - Management indicated that margins have improved due to a better customer mix and expressed confidence in the business's future growth [77] Question: What are the key drivers for the expected second half growth? - Management highlighted underbuilding in both markets and potential easing of interest rates as key factors for anticipated growth [80]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _______________________________ FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended October 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 1-33913 _______________________________ QUANEX BUILDING PRODUCTS CORPORATION (Exact name of registrant as specified in its charter) Delaware ...