Jeld-Wen sees weak demand in Q3
Jeld-Wen, the window and door manufacturer, reported net revenue for the third quarter decreased 4.5% to $1.126 billion compared to net revenue of $1.179 in the third quarter a year ago.
The Charlotte, North Carolina-based company said the falloff was caused by a 4% drop in core revenue driven by 11% lower sales volume for the period.
Sales in North America declined 2.6% to $817.1 million while sales in Europe fell 9.2% to $308.7 million.
Net income from continuing operations fell nearly 36% to $22.5 million in the third quarter compared to a net income of $35 million for the same period a year ago.
The manufacturer now expects 2023 net revenue of $4.2 billion to $4.4 billion.
Jeld-Wen also reported that it now projects a 2023 Adjusted EBITDA from continuing operations within the range of $350 million to $370 million.
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The Bottom Line: Profits at Jeld-Wen drop nearly 36% to $22.5 million as sales recede 4.5%.
What the CEO said: "While our end markets remained dynamic with volume declining in line with our expectations, we achieved year-over-year improvements in both margin and cash flow. In addition, we remained focused on delivering on our commitments including closing the sale of our Australasia business in early July. This important milestone allows us to focus on our core businesses and strengthen our balance sheet,” said William Christensen, CEO of Jeld-Wen.
Looking ahead, Christensen said, "For the remainder of 2023, we expect continued macroeconomic uncertainty and weak demand across our markets that we are mitigating with ongoing cost reductions.”
Company Info: Click here to read the full third quarter 2023 financial report from Jeld-Wen.
