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Janus International Group's Q3 earnings miss expectations, guidance cut

EditorRachael Rajan
Published 29/10/2024, 12:10
© Reuters.
JBI
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TEMPLE, Ga. - Janus International Group, Inc. (NYSE:JBI) reported third quarter earnings that fell short of analyst expectations and lowered its full-year outlook, as macroeconomic headwinds and project delays impacted results.

The building products provider posted adjusted earnings per share of $0.11 for Q3, missing the analyst consensus of $0.21. Revenue came in at $230.1 million, below estimates of $248.21 million and down 17.9% YoY from $280.1 million.

"We saw continued pressure in the third quarter as headwinds from macroeconomic factors, interest rate uncertainty and project delays persisted," said CEO Ramey Jackson.

Self-storage revenues, the company's largest segment, declined 22.4% YoY to $149.1 million. Commercial and other revenues fell 7.8% to $81.0 million.

Janus cut its full-year 2024 guidance, now expecting revenue of $910-925 million, down from its previous outlook and below the $1005 million consensus. The company forecasts adjusted EBITDA of $195-205 million.

To align with current market conditions, Janus announced a structural cost reduction plan aimed at streamlining its workforce and reducing expenses. The plan is expected to generate $8-12 million in annual pre-tax cost savings.

Despite near-term challenges, Jackson expressed confidence in the company's long-term prospects, citing strong self-storage industry fundamentals and strategic initiatives like the recent NokÄ" Ion product launch.

Janus ended the quarter with $102.1 million in cash and a net leverage ratio of 2.0x. The company repurchased 4.3 million shares for $45.5 million during Q3.

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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