Griffon(US:GFF)2024-11-13 12:45Financial Performance - Fiscal 2024 revenue totaled $2.6 billion, a 2% decrease from $2.7 billion in the prior year[1] - Fiscal 2024 net income was $209.9 million, or $4.23 per share, compared to $77.6 million, or $1.42 per share, in the prior year[2] - Adjusted EBITDA for fiscal 2024 was $513.6 million, a 2% increase from $505.3 million in the prior year[3] - Fourth quarter revenue reached $659.7 million, a 3% increase from $641.4 million in the prior year quarter[4] - Fourth quarter adjusted EBITDA totaled $137.5 million, a 13% increase from $121.3 million in the prior year quarter[5] - Free cash flow for fiscal 2024 was $326 million, supporting $310 million returned to shareholders through dividends and share repurchases[7] - Fiscal 2025 revenue is expected to remain consistent at $2.6 billion, with adjusted EBITDA projected between $575 million and $600 million[22] Segment Performance - Home and Building Products segment revenue for 2024 was $1.6 billion, consistent with the prior year, while Consumer and Professional Products revenue was $1.0 billion, a decline of 6%[9][11] - Home and Building Products segment revenue increased to $406.6 million in Q4 2024 from $394.1 million in Q4 2023, representing a 3.6% growth[38] - Consumer and Professional Products segment revenue rose to $253.1 million in Q4 2024, compared to $247.3 million in Q4 2023, marking a 2.9% increase[38] Cash Flow and Shareholder Returns - The Board approved a $400 million share buyback authorization and a 20% increase in the quarterly dividend to $0.18 per share[8] - Free Cash Flow (FCF) for the year ended September 30, 2024, was $326.1 million, down from $389.1 million in 2023[40] - The company paid dividends totaling $35,806 thousand in 2024, a decrease from $133,814 thousand in 2023, reflecting a reduction of 73%[50] Debt and Leverage - Net debt to EBITDA leverage ratio remained stable at 2.6x for both September 30, 2024, and September 30, 2023[42] - Total gross debt as of September 30, 2024, was $1.54 billion, an increase from $1.49 billion in 2023[42] - Total debt extinguishment for the year was $1,700 thousand, up from $437 thousand in 2023, showing a significant increase in debt management efforts[50] Profitability Metrics - Gross profit for Q4 2024 was $263.5 million, representing 39.9% of revenue, compared to 38.3% in Q4 2023[43] - Net income for Q4 2024 was $62.5 million, compared to $42.0 million in Q4 2023, representing a 48.5% increase[47] - Basic earnings per share rose to $1.34, up from $0.83 in the same quarter last year[47] - Retained earnings grew significantly to $461.4 million, up from $281.5 million in the prior year, reflecting a 64.0% increase[49] - Adjusted net income for the quarter ended September 30, 2024, was $70,944 thousand, compared to $63,060 thousand in the same quarter of 2023, reflecting an increase of 14.5%[53] - Earnings per common share for the year ended September 30, 2024, was $4.23, up from $1.42 in 2023, indicating a growth of 197%[53] Operating Expenses and Efficiency - Selling, general and administrative expenses for Q4 2024 were $151.8 million, or 23.0% of revenue, down from 24.5% in Q4 2023[45] - Operating expenses decreased to $151.8 million from $166.5 million year-over-year, a reduction of 8.8%[47] - The company incurred restructuring charges of $41,309 thousand for the year ended September 30, 2024, compared to $92,468 thousand in 2023, indicating a reduction of 55.4%[53] Asset Management - Total current assets decreased to $929.5 million from $980.6 million year-over-year, a decline of 5.2%[49] - Total liabilities increased slightly to $2.15 billion from $2.10 billion in the previous year[49] - Cash and equivalents increased to $114.4 million from $102.9 million, marking a 11.5% rise[49] - Cash flows from operating activities for the year ended September 30, 2024, totaled $380,042 thousand, down from $431,765 thousand in 2023, a decrease of 11.9%[50] - The company reported a net cash used in investing activities of $64,999 thousand for the year ended September 30, 2024, compared to $45,211 thousand in 2023, an increase of 43.5%[50] - The company experienced a decrease in accounts receivable by $4,243 thousand for the year ended September 30, 2024, compared to a decrease of $51,119 thousand in 2023[50] - Cash and equivalents at the end of the period increased to $114,438 thousand in 2024 from $102,889 thousand in 2023, marking a rise of 11.5%[50]