Financial Data and Key Metrics Changes - Revenues increased by 15% year over year to a record $222.3 million in Q1 2025, driven by strong organic growth in both residential and multifamily commercial businesses [6][20] - Adjusted EBITDA for Q1 2025 was $70.2 million, representing a margin of 31.6%, compared to $51 million and a margin of 26.5% in the prior year [21] - Gross profit was $97.5 million with a gross margin of 43.9%, up from $74.7 million and a margin of 38.8% in the prior year [21] Business Line Data and Key Metrics Changes - Single-family residential revenues grew by 21.6% year over year to $88.9 million, reflecting strength in Florida operations and geographic expansion [6][13] - Multifamily and commercial revenues increased by 11.6% year over year to $133.4 million, supported by a growing backlog [7][15] - The company ended the quarter with a record backlog of $1.14 billion, approximately 2.2 times the last twelve months' multifamily and commercial revenues [15][16] Market Data and Key Metrics Changes - The company reported strong order traction and market share growth across various U.S. regions, including Florida, Texas, and California [11][64] - Residential orders were up 17% year over year, indicating continued demand in the market [65] Company Strategy and Development Direction - The acquisition of Continental Glass Systems enhances production capabilities in the U.S. and diversifies the company's manufacturing footprint [10][32] - The company plans to develop a fully automated and vertically integrated operation in the U.S. over the next five to seven years [25][61] - Strategic pricing adjustments and supply chain modifications are being implemented to mitigate tariff impacts [22][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory for 2025, despite macroeconomic uncertainties, citing strong performance and a robust project backlog [11][29] - The company anticipates that strategic actions will offset the projected $25 million tariff impact for the year [26][30] - Management highlighted the importance of geographic diversification in mitigating regional market risks [17] Other Important Information - The company achieved record cash of $157.3 million at the end of Q1 2025, reflecting strong cash generation and working capital management [11][27] - Total liquidity was approximately $330 million, providing financial flexibility for growth initiatives and shareholder returns [28] Q&A Session Summary Question: Insights on the architectural glass industry and imports - Management noted that U.S. manufacturers import a significant portion of raw materials, presenting opportunities for growth [36][37] Question: Breakdown of residential growth and vinyl expectations - The legacy Florida business grew by approximately 15%, with other regions starting to contribute more significantly [41] Question: Details on the Continental acquisition and its benefits - The acquisition provides manufacturing capabilities in the U.S. and access to the growing replacement market for condominiums [45][46] Question: Plans for U.S. manufacturing development - The company plans to establish a foundry and eventually a fully integrated facility in the U.S. to enhance production efficiency [60][61] Question: Trends in commercial orders and geographic diversification - Management reported booming business with increasing orders from various regions, indicating a diversified order pipeline [64][68]

Financial Data and Key Metrics Changes - Revenues increased by 15% year over year to a record $222.3 million in Q1 2025, driven by strong organic growth in both residential and multifamily commercial businesses [6][20] - Adjusted EBITDA for Q1 2025 was $70.2 million, representing an adjusted EBITDA margin of 31.6%, compared to $51 million or 26.5% margin in the prior year [21] - Gross profit was $97.5 million with a gross margin of 43.9%, up from $74.7 million and 38.8% gross margin in the prior year [21] Business Line Data and Key Metrics Changes - Single-family residential revenues grew 21.6% year over year to $88.9 million, reflecting strength in Florida operations and geographic expansion [6][13] - Multifamily and commercial revenues increased by 11.6% year over year to $133.4 million, supported by an expanding backlog [7][15] - The company ended the quarter with a record multiyear backlog of $1.14 billion, representing approximately 2.2 times the last twelve months (LTM) multifamily and commercial revenues [15][16] Market Data and Key Metrics Changes - The company reported strong order traction and ongoing market share growth in various U.S. regions, despite macroeconomic uncertainties [11][12] - The book-to-bill ratio remained healthy at 1.2 times, maintaining a track record above 1.1 times for seventeen consecutive quarters [16] Company Strategy and Development Direction - The acquisition of Continental Glass Systems enhances production capabilities in the U.S. and diversifies the company's manufacturing footprint [8][9] - The company plans to develop a fully automated and vertically integrated operation in the U.S. over the next five to seven years to improve logistics and lead time efficiencies [25][62] - Strategic pricing adjustments and supply chain modifications are being implemented to mitigate tariff impacts [22][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth trajectory for 2025, citing strong performance in single-family residential orders and a robust project backlog [11][30] - The company anticipates that strategic actions will offset the projected $25 million tariff impact for the year, assuming similar volumes to original projections [26][30] - Management remains optimistic about the ability to navigate macroeconomic challenges while maintaining industry-leading profitability [12][32] Other Important Information - The company generated operating cash flow of $51.2 million in Q1 2025, resulting in record quarterly free cash flow of $28.8 million [27][28] - Total liquidity at quarter end was approximately $330 million, providing financial flexibility for growth initiatives and shareholder returns [29] Q&A Session Summary Question: Understanding the architectural glass industry imports - Management noted that while they do not have specific import numbers, their raw materials are sourced from the U.S., providing a competitive advantage [37][38] Question: Residential growth breakdown - The legacy Florida business contributed approximately 15% growth, with the remainder coming from new markets [41] Question: Continental acquisition benefits - The acquisition provides manufacturing capabilities in the U.S. and access to the growing replacement market for condominiums [45][46] Question: Future U.S. manufacturing plans - The company plans to establish a foundry and eventually a fully integrated facility in the U.S. over the next five to seven years [54][62] Question: Order trends in commercial business - Management reported strong order trends and a growing backlog across various U.S. regions, indicating robust demand [65][68]

Group 1: Earnings Performance - Tecnoglass reported quarterly earnings of $0.92 per share, exceeding the Zacks Consensus Estimate of $0.83 per share, and up from $0.66 per share a year ago, representing an earnings surprise of 10.84% [1] - The company posted revenues of $222.29 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 5.35%, compared to $192.63 million in the same quarter last year [2] - Over the last four quarters, Tecnoglass has consistently surpassed consensus EPS estimates four times and topped revenue estimates three times [2] Group 2: Stock Performance and Outlook - Tecnoglass shares have declined approximately 10.7% since the beginning of the year, while the S&P 500 has decreased by 4.3% [3] - The company's future stock performance will largely depend on management's commentary during the earnings call and the sustainability of the recent earnings numbers [3][4] - The current consensus EPS estimate for the upcoming quarter is $0.98 on revenues of $239 million, and for the current fiscal year, it is $4.05 on revenues of $970 million [7] Group 3: Industry Context - The Building Products - Retail industry, to which Tecnoglass belongs, is currently ranked in the bottom 10% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Tecnoglass's stock performance [5][6]

Financial Performance - Revenues increased by 15.4% year-over-year to a record $222.3 million in Q1 2025, driven by strong performance in key markets and market share gains[12, 32] - Single-family residential revenues grew 21.6% year-over-year to $88.9 million, supported by dealership growth and geographic expansion[12, 32] - Multi-family and commercial revenues increased 11.6% year-over-year to $133.4 million, reflecting consistent execution on the growing backlog[12] - Adjusted EBITDA increased 37.5% year-over-year to $70.2 million, with the Adjusted EBITDA margin improving to 31.6% of revenues[12, 35] - Operating cash flow was strong at $46.9 million, resulting in a record quarterly free cash flow of $28.8 million[12, 44] Backlog and Orders - Backlog grew 24.9% year-over-year to a record $1.14 billion, representing a book-to-build ratio of 1.2x[12, 16] - U S backlog represents 95% of the total backlog[16] - Single-family residential orders increased 16.6% year-over-year in Q1 2025[12, 32] Outlook and Strategy - The company anticipates full year 2025 revenue between $960 million and $1.02 billion, and Adjusted EBITDA between $305 million and $330 million[52, 53] - Vinyl revenues are projected to be approximately $25 million at the high end of the outlook[55] - The company is implementing mitigation actions to offset the potential $25 million impact of U S aluminum tariffs in 2025[36, 39]

[Q1 2025 Financial Highlights](index=1&type=section&id=Q1%202025%20Financial%20Highlights) Q1 2025 Key Performance Indicators | Metric | Q1 2025 | YoY Change | | :--- | :--- | :--- | | **Total Revenue** | $222.3 Million | +15.4% | | **Single-Family Residential Revenue** | $88.9 Million | +21.6% | | **Gross Margin** | 43.9% | +510 bps | | **Net Income** | $42.2 Million | - | | **Diluted EPS** | $0.90 | - | | **Adjusted Net Income** | $43.1 Million | - | | **Adjusted Diluted EPS** | $0.92 | - | | **Adjusted EBITDA** | $70.2 Million | +37.5% | | **Adjusted EBITDA Margin** | 31.6% | - | | **Free Cash Flow** | $28.8 Million | - | | **Cash Position** | $157.3 Million | All-Time High | | **Backlog** | $1.14 Billion | +24.9% | [Management Commentary](index=1&type=section&id=Management%20Commentary) - CEO José Manuel Daes highlighted the exceptional start to 2025, with **double-digit growth** across both residential and commercial businesses, outperforming macroeconomic trends. The acquisition of Continental Glass Systems is seen as a key move to enhance U.S. manufacturing capabilities and growth opportunities[3](index=3&type=chunk) - COO Christian Daes emphasized **strong demand for high-performance products**, driving share gains in the single-family residential business. He noted that the **record $1.14 billion backlog** provides visibility through 2026 and that the company has taken decisive steps to mitigate the impact of aluminum tariffs through pricing and supply chain adjustments[3](index=3&type=chunk) [Q1 2025 Financial Performance](index=2&type=section&id=Q1%202025%20Financial%20Performance) [Revenue Analysis](index=2&type=section&id=Revenue%20Analysis) Total revenues for Q1 2025 grew 15.4% year-over-year to a record $222.3 million. This growth was entirely organic, driven by strong performance in both the multi-family/commercial segment, which grew 11.6%, and the single-family residential segment, which saw a significant 21.6% increase due to market share gains and geographic expansion Q1 2025 Revenue Breakdown | Segment | Q1 2025 Revenue | YoY Growth | | :--- | :--- | :--- | | **Total Revenue** | $222.3 Million | 15.4% | | **Multi-family/Commercial** | - | 11.6% | | **Single-family Residential** | $88.9 Million | 21.6% | - Changes in foreign currency exchange rates had a **minor positive impact**, contributing **$0.8 million** to total revenues[4](index=4&type=chunk) [Profitability Analysis](index=2&type=section&id=Profitability%20Analysis) Gross margin expanded significantly by 510 basis points to 43.9%, driven by stronger pricing, stable raw material costs, and operating leverage. Net income was $42.2 million ($0.90/share), and Adjusted EBITDA increased 37.5% to $70.2 million, yielding a 31.6% margin. SG&A expenses rose to 19.1% of revenue, partly due to higher transportation costs and $4.7 million in tariff expenses, which the company expects to mitigate in future quarters Q1 2025 vs Q1 2024 Profitability | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | **Gross Profit** | $97.5 Million | $74.7 Million | | **Gross Margin** | 43.9% | 38.8% | | **Net Income** | $42.2 Million | $29.7 Million | | **Diluted EPS** | $0.90 | $0.63 | | **Adjusted Net Income** | $43.1 Million | $30.9 Million | | **Adjusted Diluted EPS** | $0.92 | $0.66 | | **Adjusted EBITDA** | $70.2 Million | $51.0 Million | | **Adjusted EBITDA Margin** | 31.6% | 26.5% | - SG&A increased to **$42.5 million (19.1% of revenue)** from **$33.6 million (17.5% of revenue)** in the prior year, primarily due to higher transport/commission costs, salary adjustments, and **$4.7 million in tariff expenses**[6](index=6&type=chunk) [Cash Generation, Capital Allocation and Liquidity](index=3&type=section&id=Cash%20Generation%2C%20Capital%20Allocation%20and%20Liquidity) The company demonstrated strong financial health, generating $46.9 million in cash from operations and achieving a record cash position of $157.3 million. Total liquidity stood at approximately $330 million. During the quarter, Tecnoglass returned $7.0 million to shareholders through dividends and has $76.5 million remaining under its share repurchase program Q1 2025 Liquidity and Cash Flow | Metric | Amount | | :--- | :--- | | **Cash from Operating Activities** | $46.9 Million | | **Capital Expenditures** | $18.1 Million | | **Free Cash Flow** | $28.8 Million | | **Cash and Cash Equivalents (End of Q1)** | $157.3 Million | | **Total Liquidity** | ~$330 Million | | **Total Debt** | $109.0 Million | - The company paid **$7.0 million in cash dividends** during the quarter[11](index=11&type=chunk) - As of May 8, 2025, approximately **$76.5 million remains available** under the current share repurchase authorization[11](index=11&type=chunk) [Strategic Developments](index=1&type=section&id=Strategic%20Developments) [Asset Acquisition](index=3&type=section&id=Asset%20Acquisition) In April 2025, Tecnoglass acquired certain assets of Florida-based Continental Glass Systems for approximately $30 million. This strategic move includes a manufacturing plant and a substantial project backlog. The acquisition is expected to add about $30 million in annualized revenues, expand Tecnoglass's U.S. manufacturing footprint, and create operational synergies - Acquired certain assets of Continental Glass Systems, a Florida-based provider of architectural glass and glazing solutions[2](index=2&type=chunk)[13](index=13&type=chunk) - The purchase price was approximately **$30 million** and included a manufacturing plant, intangibles, and a project backlog[13](index=13&type=chunk) - Continental has annualized revenues of approximately **$30 million** and is expected to strengthen Tecnoglass's U.S. market presence and create synergies[13](index=13&type=chunk) [U.S. Manufacturing Expansion](index=1&type=section&id=U.S.%20Manufacturing%20Expansion) In a significant strategic initiative, Tecnoglass has launched a feasibility analysis to develop automated manufacturing capabilities within the United States. This move aims to diversify its production base beyond its primary facilities in Colombia - The company has initiated a feasibility analysis to potentially develop automated manufacturing capabilities in the U.S. in the coming years[2](index=2&type=chunk) [Full Year 2025 Outlook](index=3&type=section&id=Full%20Year%202025%20Outlook) Based on the strong Q1 performance, Tecnoglass has updated its full-year 2025 guidance. The company raised the low end of its revenue forecast and narrowed its Adjusted EBITDA range. The outlook anticipates approximately 11% revenue growth and 15% Adjusted EBITDA growth at the midpoints, incorporating an estimated $25 million impact from tariffs, which is expected to be offset by pricing actions and other countermeasures Updated Full Year 2025 Guidance | Metric | FY 2025 Outlook Range | Midpoint Growth | | :--- | :--- | :--- | | **Revenue** | $960M - $1.02B | ~11% | | **Adjusted EBITDA** | $305M - $330M | ~15% | - The outlook includes an estimated full-year impact of approximately **$25 million** from higher input costs and tariffs, prior to mitigation efforts[14](index=14&type=chunk) - The company believes planned pricing actions and other strategic initiatives will more than offset the impact of tariffs for the remainder of the year[14](index=14&type=chunk) [Financial Statements](index=5&type=section&id=Financial%20Statements) [Consolidated Balance Sheets](index=5&type=section&id=Consolidated%20Balance%20Sheets) As of March 31, 2025, total assets stood at $1.14 billion, an increase from $1.02 billion at the end of 2024. This was driven by increases in cash, trade accounts receivable, and inventories. Total liabilities rose to $453.2 million, while total shareholders' equity grew to $685.1 million Key Balance Sheet Items (in thousands) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Cash and cash equivalents** | $157,302 | $134,882 | | **Total current assets** | $636,761 | $560,010 | | **Total assets** | $1,138,289 | $1,016,648 | | **Total current liabilities** | $329,079 | $265,826 | | **Total liabilities** | $453,152 | $385,465 | | **Total shareholders' equity** | $685,137 | $631,183 | [Consolidated Statements of Operations](index=6&type=section&id=Consolidated%20Statements%20of%20Operations) For the first quarter of 2025, the company reported total operating revenues of $222.3 million, up from $192.6 million in the prior-year period. Gross profit increased to $97.5 million from $74.7 million. Net income saw a substantial rise to $42.2 million, or $0.90 per diluted share, compared to $29.7 million, or $0.63 per share, in Q1 2024 Q1 Statement of Operations Highlights (in thousands) | Account | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | **Total operating revenues** | $222,288 | $192,627 | | **Gross profit** | $97,525 | $74,660 | | **Operating income** | $59,329 | $41,022 | | **Net income** | $42,189 | $29,730 | | **Diluted income per share** | $0.90 | $0.63 | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) In Q1 2025, net cash provided by operating activities was $46.9 million, a significant improvement from $33.4 million in Q1 2024, driven by higher net income. Net cash used in investing activities was $18.2 million, mainly for property and equipment acquisitions. Financing activities used $7.4 million, resulting in a net increase in cash of $22.4 million for the quarter Q1 Cash Flow Summary (in thousands) | Activity | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | **Cash Provided by Operating Activities** | $46,898 | $33,447 | | **Cash Used in Investing Activities** | $(18,190) | $(10,192) | | **Cash Used in Financing Activities** | $(7,437) | $(16,686) | | **Net Increase in Cash** | $22,420 | $6,373 | [Non-GAAP Reconciliations and Supplemental Data](index=8&type=section&id=Non-GAAP%20Reconciliations%20and%20Supplemental%20Data) [Revenues by Region](index=8&type=section&id=Revenues%20by%20Region) The United States remains the company's primary market, contributing $212.5 million in revenue for Q1 2025, a 15.5% increase year-over-year. Colombia also showed strong growth of 22.4%, with revenues reaching $6.4 million. The U.S. accounted for approximately 95% of total revenues Q1 2025 Revenues by Region (in thousands) | Region | Q1 2025 Revenue | Q1 2024 Revenue | % Change | | :--- | :--- | :--- | :--- | | **United States** | $212,454 | $184,003 | 15.5% | | **Colombia** | $6,414 | $5,239 | 22.4% | | **Other Countries** | $3,421 | $3,385 | 1.0% | | **Total** | $222,288 | $192,627 | 15.4% | [Reconciliation of Adjusted Net Income and Adjusted EBITDA](index=9&type=section&id=Reconciliation%20of%20Adjusted%20Net%20Income%20and%20Adjusted%20EBITDA) For Q1 2025, Adjusted Net Income was $43.1 million ($0.92 per diluted share), up from $30.9 million ($0.66 per share) in Q1 2024. Adjusted EBITDA rose to $70.2 million from $51.0 million year-over-year. These non-GAAP measures exclude items such as foreign currency transaction losses, non-recurring expenses, and the tax impact of these adjustments to better reflect core operating performance Reconciliation to Adjusted Net Income and Adjusted EBITDA (in thousands) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | **Net Income** | $42,189 | $29,730 | | **Adjusted Net Income** | $43,078 | $30,908 | | **Diluted Adjusted Net Income per Share** | $0.92 | $0.66 | | **Adjusted EBITDA** | $70,200 | $51,043 |

Financial Performance - Company reported record first quarter revenue of $222.3 million, up 15.4% year-over-year, driven by double-digit organic growth in both residential and multi-family/commercial projects [1][6] - Single-family residential revenue increased to a first quarter record of $88.9 million, up 21.6% year-over-year [1][6] - Gross margin improved to 43.9%, up 510 basis points year-over-year [1][7] - Net income was $42.2 million, or $0.90 per diluted share, compared to $29.7 million, or $0.63 per diluted share, in the prior year quarter [1][9] - Adjusted net income was $43.1 million, or $0.92 per diluted share, compared to $30.9 million, or $0.66 per diluted share, in the prior year quarter [1][10] - Adjusted EBITDA was $70.2 million, up 37.5% year-over-year, representing 31.6% of total revenues [1][11] Cash Position and Capital Allocation - Company ended the first quarter with an all-time high cash position of $157.3 million and total liquidity of approximately $330 million [2][14] - Strong free cash flow of $28.8 million was generated during the quarter [1] - Company returned $7.0 million in cash dividends to shareholders [12][13] Strategic Developments - Company expanded its backlog by 24.9% year-over-year to a record $1.14 billion [2] - In April 2025, the company acquired Continental Glass Systems for approximately $30 million, enhancing its U.S. manufacturing capabilities [2][15] - Company is launching a feasibility analysis to develop automated manufacturing capabilities in the U.S. over the coming years [2] Market Outlook - Company updated its full year 2025 revenue guidance to a range of $960 million to $1.02 billion, representing growth of approximately 11% at the midpoint [2][17] - Adjusted EBITDA outlook narrowed to a range of $305 million to $330 million, representing growth of approximately 15% at the midpoint [2][17] - Company anticipates a full year 2025 impact of approximately $25 million associated with higher input costs and tariffs, which it expects to mitigate through pricing strategies and supply chain adjustments [2][17]

Miami, FL, April 17, 2025 (GLOBE NEWSWIRE) -- Tecnoglass, Inc. (NYSE: TGLS) ("Tecnoglass" or the "Company"), a leading producer of high-end aluminum and vinyl windows and architectural glass for the global residential and commercial end markets, today announced it will release financial results for the first quarter 2025 before the market opens on Thursday, May 8, 2025. Management will host a webcast and conference call that same day at 10:00 a.m. Eastern time to review the Company’s results. Webcast and Co ...

Miami, FL, March 18, 2025 (GLOBE NEWSWIRE) -- Tecnoglass, Inc. (NYSE: TGLS) ("Tecnoglass" or the "Company"), a leading producer of high-end aluminum and vinyl windows and architectural glass for the global residential and commercial end markets, today announced that the Company will present at the Sidoti Virtual Small Cap Conference on Thursday, March 20, 2025 at 10:45 a.m. Eastern time. A live broadcast of the presentation, including presentation materials, may be accessed through the Investor Relations se ...

Miami, FL, March 12, 2025 (GLOBE NEWSWIRE) -- Tecnoglass, Inc. (NYSE: TGLS) ("Tecnoglass" or the "Company"), a leading producer of high-end aluminum and vinyl windows and architectural glass for the global residential and commercial end markets, today announced that its Board of Directors has declared a quarterly dividend of $0.15 per share, or $0.60 per share on an annualized basis, for the first quarter of 2025. Shareholders of record as of the close of business on March 31, 2025 will be paid a dividend o ...

Group 1 - Tecnoglass Inc. (NYSE: TGLS) is highlighted for its recent performance, including a significant increase in its dividend payout by over one-third [2] - The stock is trading near a level where an insider made a purchase, indicating potential confidence in the company's future [2] - The Insiders Forum focuses on small and mid-cap stocks with recent insider buying, aiming to outperform the Russell 2000 benchmark [2]