Cabinet maker American Woodmark misses Q2 sales estimates on lower demand

)

Overview

• American Woodmark fiscal Q2 net sales decline 12.8%, missing analyst expectations
• Adjusted EPS for fiscal Q2 misses analyst estimates
• Company cites lower demand and higher costs for decreased earnings

Outlook

• American Woodmark will not provide guidance due to pending merger with MasterBrand
• Company estimates tariffs impact 4-4.5% of annualized net sales
• Company focuses on structural cost reductions to mitigate tariff impacts

Result Drivers

• LOWER DEMAND - Co attributes net sales decline to reduced demand in new construction and remodel markets
• HIGHER COSTS - Increased tariff and input costs negatively impacted net income
• COST CONTROL - Adjusted EBITDA margins maintained through cost control measures and strategic actions

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Miss $394.64 $410.62

mln mln (3

Analysts

)

Q2 Miss $0.76 $1.20 (3

Adjusted Analysts

EPS )

Q2 EPS $0.42

Q2 Net $6.10

Income mln

Q2 $29.82

Adjusted mln

EBITDA

Q2 Gross $59.90

Profit mln

Q2 $12.35

Operatin mln

g Income

Analyst Coverage

• The current average analyst rating on the shares is “buy” and the breakdown of recommendations is 2 “strong buy” or “buy”, 1 “hold” and no “sell” or “strong sell”
• The average consensus recommendation for the construction supplies & fixtures peer group is “buy”
• Wall Street’s median 12-month price target for American Woodmark Corp is $71.00, about 27% above its November 24 closing price of $51.85
• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)