H.B. Fuller beats Q1 estimates, shares jump 6%

Published 26/03/2025, 21:20
H.B. Fuller beats Q1 estimates, shares jump 6%

ST. PAUL, Minn. - H.B. Fuller Company (NYSE:FUL) reported first quarter earnings that surpassed analyst expectations, sending its stock soaring 6.2% in after-hours trading Wednesday.

The adhesives manufacturer posted adjusted earnings per share of $0.54, beating the consensus estimate of $0.50. Revenue came in at $789 million, topping expectations of $769.56 million.

Organic revenue grew 1.9% YoY, driven by a 1.7% increase in volume and 0.2% higher pricing. However, total revenue declined 2.7% YoY due to unfavorable currency translation and the divestiture of the flooring business.

"I am encouraged by our first quarter financial performance and positive organic sales growth," said CEO Celeste Mastin. "Despite weak overall market demand conditions, we remain focused on pricing discipline, market share gains, and effectively managing our cost structure."

For fiscal 2025, H.B. Fuller forecasts adjusted EPS of $3.90-$4.20, compared to the $3.97 analyst consensus. The company expects organic revenue growth to be flat to up 2% versus fiscal 2024.

H.B. Fuller repurchased 678,000 shares during the quarter. Net debt increased to $2.07 billion, with a net debt-to-adjusted EBITDA ratio of 3.5x.

The company remains cautious on the outlook given weak market demand and geopolitical uncertainties, but expects to deliver growth in both organic sales and EBITDA for the full year.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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