JELD-WEN Experiences -7.7% Price Drop as Revenue Decline

By Tamara Parker • Tuesday, February 20 10:38 • Permanent Link

Jeld-Wen Holding, Inc. (NYSE: JELD) has reported its financial results for the fourth quarter and full year ended December 31, 2023, along with guidance for the full year 2024. The company's net revenues from continuing operations for the fourth quarter decreased by 13.4% to $1,021.1 million, driven by a 15% decline in core revenue, primarily due to a 16% lower volume/mix. The net loss from continuing operations for the quarter was $(22.6) million, compared to net income from continuing operations of $25.9 million in the same quarter a year ago. For the full year 2023, net revenues from continuing operations decreased by 5.3% to $4,304.3 million, driven by a 5% decline in core revenue, primarily due to a 10% lower volume/mix, partially offset by a 5% increase in price realization.

William J. Christensen, Chief Executive Officer of Jeld-Wen, commented on the results and the company's outlook for 2024, saying, "In the fourth quarter of 2023, our team continued to execute actions to strengthen the foundation of our business. We increased profitability and generated strong cash flows, despite challenging macroeconomic conditions. We continue our disciplined approach to delivering improved financial results and are investing in the future to unlock significant value for Jeld-Wen shareholders. In 2024, we anticipate that uncertainty in the markets will remain. However, we expect to mitigate the impact from potential weaker demand with benefits from our ongoing activities to reduce operating costs."

The company has established its full-year 2024 guidance, with net revenues projected to be in the range of $4.0 to $4.3 billion and adjusted EBITDA of $370 to $420 million. Jeld-Wen also expects to use a portion of its 2024 operating cash flows to invest in itself, with capital expenditures increasing to approximately 4% of sales, as well as non-recurring cash expenses of approximately $100 million.

Jeld-Wen's shares have moved -7.7%, and are currently trading at a price of $17.76.

The company's full 8-K submission is available here.

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