Worthington Enterprises stock rises 3% as Q3 earnings top estimates

Published 25/03/2025, 21:28
Worthington Enterprises stock rises 3% as Q3 earnings top estimates

COLUMBUS, Ohio - Worthington Enterprises Inc. (NYSE:WOR) reported better-than-expected fiscal third quarter results on Tuesday, sending shares up 3.7% in after-hours trading.

The designer and manufacturer of building and consumer products posted adjusted earnings per share of $0.91 for the quarter ended February 28, beating analyst estimates of $0.70. Revenue came in at $304.5 million, surpassing expectations of $289.09 million.

Net sales decreased 4% YoY to $304.5 million, reflecting the deconsolidation of the former Sustainable Energy Solutions segment, partially offset by volume growth and contributions from the Ragasco business acquired in Q1 fiscal 2025.

Earnings before income taxes increased 30% to $52.6 million, while adjusted EBITDA from continuing operations grew 10% to $73.8 million.

"We delivered strong results in Q3, achieving year-over-year and sequential growth in revenue, adjusted EBITDA and adjusted EPS," said Worthington Enterprises President and CEO Joe Hayek. "Our growth in sales and earnings was driven by market share gains, a more favorable mix and improved gross margins in our wholly owned businesses, while our joint ventures remained steady despite a moderation in ClarkDietrich’s results relative to last year’s strong performance."

The company generated operating cash flow of $57.1 million and free cash flow of $44.4 million in the quarter, up 14% and 11% respectively from the prior year period.

Looking ahead, management expressed confidence in driving long-term growth despite some uncertainty from recent tariff announcements, citing Worthington’s strong balance sheet, cash flow, and positioning as a domestic manufacturer.

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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