Worthington Enterprises, Inc. (NYSE: WOR) has reported its fiscal 2025 second-quarter results, showcasing a mix of performance across various financial metrics. The company's net sales for the second quarter of fiscal 2025 were $274.0 million, indicating a decrease of 8% compared to the same period in fiscal 2024.
Operating income for the second quarter was $3.5 million, marking a significant improvement of $17.9 million compared to the operating loss in the prior year quarter. Adjusted operating income also showed a notable increase, reaching $6.1 million, up $3.8 million from the prior year quarter, primarily driven by the inclusion of Ragasco, acquired in June 2024, and higher overall gross margin.
Equity income decreased by $4.1 million from the prior year quarter to $34.6 million, primarily due to lower contributions from ClarkDietrich and the absence of a gain related to the divestiture of the Brazilian operations of the Engineered Cabs joint venture. However, this was partially offset by an increase in equity earnings from Wave.
The company's net earnings from continuing operations stood at $28.3 million, up from $17.9 million in the prior year quarter, while earnings per share from continuing operations * diluted * saw an increase to $0.56 from $0.36 in the same period last year.
The press release also noted that Worthington Enterprises repurchased 200,000 shares of common stock for $8.1 million during the quarter, leaving 5,715,000 shares remaining on the company’s share repurchase authorization. Additionally, the company declared a quarterly dividend of $0.17 per share payable on March 28, 2025, to shareholders of record at the close of business on March 14, 2025.
Looking at the balance sheet and cash flow, the company ended the quarter with cash of $193.8 million, down $50.4 million from May 31, 2024, primarily driven by the acquisition of Ragasco. Operating cash flow for the quarter was $49.1 million, with $15.2 million invested in capital projects.
In terms of segment performance, Consumer Products generated net sales of $116.7 million, while Building Products generated net sales of $157.3 million during the second quarter of fiscal 2025. Adjusted EBITDA for Consumer Products was $15.5 million, up $2.8 million over the prior year quarter, while Building Products reported adjusted EBITDA of $47.2 million, up $1.4 million over the prior year quarter.
Following these announcements, the company's shares moved 14.5%, and are now trading at a price of $43.72. If you want to know more, read the company's complete 8-K report here.
