UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) October 30, 2024 (October 25, 2024)
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation ) | (Commission File Number) | (IRS Employer Identification No.) | ||||||||||||
(Address of principal executive offices) (Zip Code)
(716 ) 826-6500
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol | Name of each exchange on which registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition
The following information is furnished pursuant to Item 2.02:
On October 30, 2024, Gibraltar Industries, Inc. (the “Company”) issued a news release and will hold a conference call regarding financial results for the three and nine months ended September 30, 2024. A copy of the news release (the “Release”) is furnished herewith as Exhibit 99.1 and is incorporated herein by reference.
The information in this Form 8-K under the caption Item 2.02, including the Release, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to liabilities under that Section and shall not be deemed to be incorporated by reference into any filing of the Company under the Securities Act of 1933, as amended (the “Securities Act”) or the Exchange Act, unless the Company specifically incorporates it by reference in a document filed under the Securities Act or the Exchange Act.
Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
(d)
On October 25, 2024, Gibraltar Industries, Inc. (the “Company”) appointed James S. Metcalf to the Board of Directors of the Company, effective immediately. Mr. Metcalf will serve on the Capital Structure and Asset Management and the Nominating, Governance, and Corporate Social Responsibility Committees.
As a member of the Company’s Board of Directors, Mr. Metcalf’s compensation will consist of an annual cash retainer equal to $95,000 and an annual grant of shares of the Company’s common stock having an aggregate value of $115,000 under the Company’s Amended and Restated 2016 Stock Plan for Non-Employee Directors. Pursuant to the terms of the Company’s 2015 Management Stock Purchase Plan, Mr. Metcalf has the right to defer the receipt of his cash retainer, and any such cash deferral will be used to acquire restricted units equivalent to shares which will be payable to Mr. Metcalf in cash following the termination of his Board service. In addition, pursuant to the terms of the Company’s Non-Employee Director Stock Deferral Plan, Mr. Metcalf has the right to defer the receipt of the shares of the Company’s common stock which he is entitled to receive and instead receive deferred share units, which are converted to shares and issued six months after termination of his Board service.
The press release announcing the appointment of Mr. Metcalf is filed herewith as Exhibit 99.2 and is incorporated herein by reference.
Item 9.01 Financial Statements and Exhibits
(a)-(c) Not Applicable
(d) Exhibits:
| Exhibit No. | Description | |||||||
| 104 | Cover Page Interactive Data File (embedded with the Inline XBRL document) | |||||||
2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
GIBRALTAR INDUSTRIES, INC. | ||||||||||||||
| Date: | October 30, 2024 | |||||||||||||
| By: | /s/ Joseph A. Lovechio | |||||||||||||
| Joseph A. Lovechio | ||||||||||||||
| Vice President and Chief Financial Officer | ||||||||||||||
3
GIBRALTAR ANNOUNCES THIRD QUARTER 2024 FINANCIAL RESULTS
Net Sales: $361 Million; EPS: GAAP $1.11, Adjusted $1.27
Strong Operating Cash Flow Generation of $65 Million
Confirms Updated 2024 Outlook for Revenue: $1.31-$1.33B, GAAP, Adjusted EPS: $3.57-$3.71, $4.11-$4.25, Respectively
Buffalo, New York, October 30, 2024 – Gibraltar Industries, Inc. (Nasdaq: ROCK), a leading manufacturer and provider of products and services for the residential, renewable energy, agtech and infrastructure markets, today reported its financial results for the three- and nine-month period ended September 30, 2024.
“Third quarter results were within our previously announced range, with the Renewables and Residential businesses coming in as we anticipated, Agtech sales growing over 30%, and three of our four segments delivering margin growth translating to $65 million in cash flow generation on solid execution and working capital management. We are managing well in a challenging sales environment and are well positioned to weather current market disruptions,” stated Chairman and CEO Bill Bosway.
Third Quarter 2024 Consolidated Results
($Millions, except EPS) Three Months Ended September 30, | |||||||||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | ||||||||||||||||||
Net Sales | $361.2 | $390.7 | (7.6)% | Adjusted Net Sales | $361.2 | $385.2 | (6.2)% | ||||||||||||||||
Net Income | $34.0 | $39.3 | (13.5)% | Adjusted Net Income | $38.9 | $42.1 | (7.6)% | ||||||||||||||||
Diluted EPS | $1.11 | $1.28 | (13.3)% | Adjusted Diluted EPS | $1.27 | $1.37 | (7.3)% | ||||||||||||||||
GAAP and adjusted net sales were down 7.6% and 6.2%, respectively, driven by solar industry headwinds impacting the Renewables business and a slowdown in the Residential market, partially offset by growth in Agtech.
GAAP net income decreased to $34.0 million, or $1.11 per share, and adjusted net income decreased to $38.9 million, or $1.27 per share.
Adjusted measures exclude charges for restructuring initiatives, acquisition-related items, senior leadership transition costs, and portfolio management actions, as further described in the appended reconciliation of adjusted financial measures.
Third Quarter Segment Results
Residential
($Millions) Three Months Ended September 30, | ||||||||||||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | |||||||||||||||||||||
Net Sales | $212.4 | $227.7 | (6.7)% | Adjusted Net Sales | $212.4 | $227.7 | (6.7)% | |||||||||||||||||||
Operating Income | $42.1 | $42.2 | (0.2)% | Adjusted Operating Income | $42.4 | $42.8 | (0.9)% | |||||||||||||||||||
Operating Margin | 19.8% | 18.5% | 130 bps | Adjusted Operating Margin | 19.9% | 18.8% | 110 bps | |||||||||||||||||||
Net sales decreased 6.7% driven by a slower residential market, including the repair and remodel sector, which is impeding the timing and benefit of participation gains as customers take longer to flush inventory from incumbent suppliers.
Operating margins expanded through solid execution, effective price/cost management and 80/20 initiatives.
Renewables
($Millions) Three Months Ended September 30, | |||||||||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | ||||||||||||||||||
Net Sales | $84.1 | $106.4 | (21.0)% | Adjusted Net Sales | $84.1 | $101.6 | (17.2)% | ||||||||||||||||
Operating Income | $0.8 | $12.9 | (93.8)% | Adjusted Operating Income | $5.5 | $17.1 | (67.8)% | ||||||||||||||||
Operating Margin | 1.0% | 12.1% | (1110)bps | Adjusted Operating Margin | 6.5% | 16.9% | (1040)bps | ||||||||||||||||
Net sales and new project bookings were impacted by trade and regulatory headwinds associated with the two independent AD/CVD investigations, which are forcing the industry to put major focus on completing panel installations and the administrative reporting requirements ahead of the December 3, 2024 expiration of the tariff moratorium for panels granted through the Presidential Proclamation associated with the first investigation. Correspondingly, backlog decreased 24%.
GAAP and adjusted operating margins were impacted by lower volume and product mix associated with the launch and learning curve of the 1P tracker while dealing with the abovementioned industry challenges. GAAP margins were additionally impacted by planned operational improvements, restructuring activities and prior-year portfolio management actions.
Agtech
($Millions) Three Months Ended September 30, | |||||||||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | ||||||||||||||||||
Net Sales | $41.5 | $31.7 | 30.9% | Adjusted Net Sales | $41.5 | $30.9 | 34.3% | ||||||||||||||||
Operating Income | $3.9 | $2.1 | 85.7% | Adjusted Operating Income | $4.2 | $1.7 | 147.1% | ||||||||||||||||
Operating Margin | 9.3% | 6.7% | 260 bps | Adjusted Operating Margin | 10.1% | 5.6% | 450 bps | ||||||||||||||||
GAAP net sales increased 30.9% and adjusted net sales increased 34.3% driven mainly by projects starting to accelerate in the Produce division including facilities to grow strawberries, lettuce, melons, and vine crops. Additional new projects in both the Produce and Commercial divisions are anticipated to be booked as design work is completed and projects are finalized for launch, the timing of which decreased backlog 3%.
GAAP and adjusted operating margin expansion was driven by volume, product mix, 80/20 initiatives, and solid field execution.
Infrastructure
($Millions) Three Months Ended September 30, | ||||||||||||||||||||||||||
2024 | 2023 | Change | 2024 | 2023 | Change | |||||||||||||||||||||
Net Sales | $23.2 | $25.0 | (7.2)% | Adjusted Net Sales | $23.2 | $25.0 | (7.2)% | |||||||||||||||||||
Operating Income | $6.5 | $6.4 | 1.6% | Adjusted Operating Income | $6.5 | $6.4 | 1.6% | |||||||||||||||||||
Operating Margin | 27.9% | 25.6% | 230 bps | Adjusted Operating Margin | 27.9% | 25.6% | 230 bps | |||||||||||||||||||
Net sales decreased by 7.2%, impacted by the timing on a large project in the prior year. Backlog increased 3%. Demand and quoting remain strong, supported by ongoing investment at the federal and state levels.
Operating margins increased 230 basis points, driven by product line mix, new products, 80/20 initiatives, and strong execution.
Business Outlook
Mr. Bosway continued, “Our outlook is unchanged from our recent update, and although we are dealing with some challenging end markets, we expect to deliver earnings growth this year through operational improvement. Our operating teams continue to proactively work through their end market dynamics, and we are focused on supporting our customers while simultaneously growing our participation with them.”
Consolidated net sales are expected to range between $1.31 billion and $1.33 billion, compared to $1.38 billion in 2023, or $1.36 billion on an adjusted basis. GAAP and adjusted EPS are expected to range, respectively, between $3.57 and $3.71, compared to $3.59 in 2023, and between $4.11 and $4.25, compared to $4.09 in 2023.
Third Quarter 2024 Conference Call Details
Gibraltar will host a conference call today starting at 9:00 a.m. ET to review its results for the third quarter of 2024. Interested parties may access the webcast through the Investors section of the Company’s website at www.gibraltar1.com, where related presentation materials will also be posted prior to the conference call. The call also may be accessed by dialing (877) 407-3088 or (201) 389-0927. For interested individuals unable to join the live conference call, a webcast replay will be available on the Company’s website for one year.
About Gibraltar
Gibraltar is a leading manufacturer and provider of products and services for the residential, renewable energy, agtech, and infrastructure markets. Gibraltar’s mission, to make life better for people and the planet, is fueled by advancing the disciplines of engineering, science, and technology. Gibraltar is innovating to reshape critical markets in comfortable living, sustainable power, and productive growing throughout North America. For more please visit www.gibraltar1.com.
Forward-Looking Statements
Certain information set forth in this news release, other than historical statements, contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that are based, in whole or in part, on current expectations, estimates, forecasts, and projections about the Company’s business, and management’s beliefs about future operations, results, and financial position. These statements are not guarantees of future performance and are subject to a number of risk factors, uncertainties, and assumptions. Actual events, performance, or results could differ materially from the anticipated events, performance, or results expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from current expectations include, among other things, the availability and pricing of our principal raw materials and component parts, supply chain challenges causing project delays and field operations inefficiencies and disruptions, the loss of any key customers, adverse effects of inflation, our ability to continue to improve operating margins, our ability to generate order flow and sales and increase backlog; our ability to translate our backlog into net sales, other general economic conditions and conditions in the particular markets in which we operate, changes in spending due to laws and government incentives, such as the Infrastructure Investment and Jobs Act, changes in customer demand and capital spending, competitive factors and pricing pressures, our ability to develop and launch new products in a cost-effective manner, our ability to realize synergies from newly
acquired businesses, disruptions to IT systems, the impact of East and Gulf coast port strikes, the impact of trade and regulation (including the latest Department of Commerce’s solar panel anti-circumvention investigation, the bifacial exemption revocation, the Auxin Solar challenge to the Presidential waiver of tariffs, deadline to install certain modules under the waiver, and the Uyghur Forced Labor Prevention Act (UFLPA)), rebates, credits and incentives and variations in government spending and our ability to derive expected benefits from restructuring, productivity initiatives, liquidity enhancing actions, and other cost reduction actions. Before making any investment decisions regarding our company, we strongly advise you to read the section entitled “Risk Factors” in our most recent annual report on Form 10-K which can be accessed under the “SEC Filings” link of the “Investor Info” page of our website at www.Gibraltar1.com. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable law or regulation.
Adjusted Financial Measures
To supplement Gibraltar’s consolidated financial statements presented on a GAAP basis, Gibraltar also presented certain adjusted financial measures in this news release and its quarterly conference call, including adjusted net sales, adjusted operating income and margin, adjusted net income, adjusted earnings per share (EPS), free cash flow and adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA), each a non-GAAP financial measure. Adjusted net sales reflects the removal of net sales associated with our Processing business, which has been liquidated and our Japan renewables business which was sold on December 1, 2023. Adjusted net income, operating income and margin exclude special charges consisting of restructuring costs (primarily comprised of exit activities costs and impairment of both tangible and intangible assets associated with 80/20 simplification, lean initiatives and / or discontinued products), senior leadership transition costs (associated with new and / or terminated senior executive roles), acquisition related costs (legal and consulting fees for recent business acquisitions), and portfolio management (which represents the operating results generated by our processing business which was liquidated in 2023 and our Japan renewables business which was sold in 2023). These special charges are excluded since they may not be considered directly related to the Company’s ongoing business operations. The aforementioned exclusions along with other adjustments to other income below operating profit are excluded from adjusted EPS. Adjusted EBITDA further excludes interest, taxes, depreciation, amortization and stock compensation expense. In evaluating its business, the Company considers and uses these non-GAAP financial measures as supplemental measures of its operating performance. Free cash flow is operating cash flow less capital expenditures and the related margin is free cash flow divided by net sales. The Company believes that the presentation of adjusted measures and free cash flow provides meaningful supplemental data to investors, as well as management, that are indicative of the Company’s core operating results and facilitates comparison of operating results across reporting periods as well as comparison with other companies. Adjusted EBITDA and free cash flow are also useful measures of the Company’s ability to service debt and adjusted EBITDA is one of the measures used for determining the Company’s debt covenant compliance.
Adjustments to the most directly comparable financial measures presented on a GAAP basis are quantified in the reconciliation of adjusted financial measures provided in the supplemental financial schedules that accompany this news release. These adjusted measures should not be viewed as a substitute for the Company’s GAAP results and may be different than adjusted measures used by other companies and the Company’s presentation of non-GAAP financial measures should not be construed as an inference that the Company’s future results will be unaffected by unusual or non-recurring items.
Reconciliations of non-GAAP measures related to full-year 2024 guidance have not been provided due to the unreasonable efforts it would take to provide such reconciliations due to the high variability, complexity and uncertainty with respect to forecasting and quantifying certain amounts that are necessary for such reconciliations.
Contact:
LHA Investor Relations
Jody Burfening/Carolyn Capaccio
(212) 838-3777
rock@lhai.com
GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data)
(unaudited)
| Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||||||||||
| Net sales | $ | 361,196 | $ | 390,744 | $ | 1,006,707 | $ | 1,048,925 | |||||||||||||||
| Cost of sales | 267,670 | 285,360 | 732,920 | 769,873 | |||||||||||||||||||
| Gross profit | 93,526 | 105,384 | 273,787 | 279,052 | |||||||||||||||||||
| Selling, general, and administrative expense | 49,528 | 52,194 | 155,584 | 153,415 | |||||||||||||||||||
| Income from operations | 43,998 | 53,190 | 118,203 | 125,637 | |||||||||||||||||||
| Interest (income) expense | (1,931) | 417 | (4,176) | 3,216 | |||||||||||||||||||
| Other expense (income) | 455 | (1,040) | (219) | (1,946) | |||||||||||||||||||
| Income before taxes | 45,474 | 53,813 | 122,598 | 124,367 | |||||||||||||||||||
| Provision for income taxes | 11,435 | 14,536 | 31,415 | 33,268 | |||||||||||||||||||
| Net income | $ | 34,039 | $ | 39,277 | $ | 91,183 | $ | 91,099 | |||||||||||||||
| Net earnings per share: | |||||||||||||||||||||||
| Basic | $ | 1.11 | $ | 1.29 | $ | 2.98 | $ | 2.97 | |||||||||||||||
| Diluted | $ | 1.11 | $ | 1.28 | $ | 2.96 | $ | 2.96 | |||||||||||||||
| Weighted average shares outstanding: | |||||||||||||||||||||||
| Basic | 30,530 | 30,485 | 30,564 | 30,638 | |||||||||||||||||||
| Diluted | 30,750 | 30,715 | 30,788 | 30,808 | |||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)
| September 30, 2024 | December 31, 2023 | ||||||||||
| (unaudited) | |||||||||||
| Assets | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | 228,879 | $ | 99,426 | |||||||
| Trade receivables, net of allowance of $5,418 and $5,351, respectively | 206,842 | 172,736 | |||||||||
| Costs in excess of billings, net | 41,603 | 51,814 | |||||||||
| Inventories, net | 138,171 | 120,503 | |||||||||
| Prepaid expenses and other current assets | 26,796 | 17,772 | |||||||||
| Total current assets | 642,291 | 462,251 | |||||||||
| Property, plant, and equipment, net | 109,811 | 107,603 | |||||||||
| Operating lease assets | 39,153 | 44,918 | |||||||||
| Goodwill | 511,941 | 513,383 | |||||||||
| Acquired intangibles | 118,983 | 125,980 | |||||||||
| Other assets | 2,411 | 2,316 | |||||||||
| $ | 1,424,590 | $ | 1,256,451 | ||||||||
| Liabilities and Stockholders’ Equity | |||||||||||
| Current liabilities: | |||||||||||
| Accounts payable | $ | 163,295 | $ | 92,124 | |||||||
| Accrued expenses | 89,510 | 88,719 | |||||||||
| Billings in excess of cost | 53,788 | 44,735 | |||||||||
| Total current liabilities | 306,593 | 225,578 | |||||||||
| Deferred income taxes | 56,497 | 57,103 | |||||||||
| Non-current operating lease liabilities | 30,990 | 35,989 | |||||||||
| Other non-current liabilities | 27,277 | 22,783 | |||||||||
| Stockholders’ equity: | |||||||||||
| Preferred stock, $0.01 par value; authorized 10,000 shares; none outstanding | — | — | |||||||||
| Common stock, $0.01 par value; authorized 100,000 shares; 34,298 and 34,219 shares issued and outstanding in 2024 and 2023 | 343 | 342 | |||||||||
| Additional paid-in capital | 341,306 | 332,621 | |||||||||
| Retained earnings | 829,694 | 738,511 | |||||||||
| Accumulated other comprehensive loss | (2,793) | (2,114) | |||||||||
| Cost of 3,944 and 3,778 common shares held in treasury in 2024 and 2023 | (165,317) | (154,362) | |||||||||
| Total stockholders’ equity | 1,003,233 | 914,998 | |||||||||
| $ | 1,424,590 | $ | 1,256,451 | ||||||||
GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)
| Nine Months Ended September 30, | |||||||||||
| 2024 | 2023 | ||||||||||
| Cash Flows from Operating Activities | |||||||||||
| Net income | $ | 91,183 | $ | 91,099 | |||||||
| Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
| Depreciation and amortization | 20,237 | 20,574 | |||||||||
| Stock compensation expense | 8,686 | 7,257 | |||||||||
| Exit activity costs, non-cash | 163 | 572 | |||||||||
| (Benefit of) provision for deferred income taxes | (615) | 179 | |||||||||
| Other, net | 4,160 | 2,945 | |||||||||
| Changes in operating assets and liabilities net of effects from acquisitions: | |||||||||||
| Trade receivables and costs in excess of billings | (23,995) | (44,331) | |||||||||
| Inventories | (18,131) | 30,431 | |||||||||
| Other current assets and other assets | (11,781) | (1,426) | |||||||||
| Accounts payable | 70,867 | 53,198 | |||||||||
| Accrued expenses and other non-current liabilities | 13,561 | 46,158 | |||||||||
| Net cash provided by operating activities | 154,335 | 206,656 | |||||||||
| Cash Flows from Investing Activities | |||||||||||
| Acquisitions, net of cash acquired | — | (9,863) | |||||||||
| Purchases of property, plant, and equipment, net | (14,326) | (7,976) | |||||||||
| Net proceeds from sale of business | 350 | — | |||||||||
| Net cash used in investing activities | (13,976) | (17,839) | |||||||||
| Cash Flows from Financing Activities | |||||||||||
| Proceeds from long-term debt | — | 50,000 | |||||||||
| Long-term debt payments | — | (141,000) | |||||||||
| Purchase of common stock at market prices | (10,940) | (29,182) | |||||||||
| Net cash used in financing activities | (10,940) | (120,182) | |||||||||
| Effect of exchange rate changes on cash | 34 | (778) | |||||||||
| Net increase in cash and cash equivalents | 129,453 | 67,857 | |||||||||
| Cash and cash equivalents at beginning of year | 99,426 | 17,608 | |||||||||
| Cash and cash equivalents at end of period | $ | 228,879 | $ | 85,465 | |||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of GAAP and Adjusted Financial Measures
(in thousands, except per share data)
(unaudited)
| Three Months Ended September 30, 2024 | ||||||||||||||||||||||||||||||||||||||
| Income before taxes | Provision for income taxes | Net income | Net income per share - diluted | |||||||||||||||||||||||||||||||||||
| As Reported in GAAP Statements | $ | 45,474 | $ | 11,435 | $ | 34,039 | $ | 1.11 | ||||||||||||||||||||||||||||||
| Restructuring Charges (1) | 5,106 | 1,128 | 3,978 | 0.13 | ||||||||||||||||||||||||||||||||||
| Senior Leadership Transition, Acquisition and Portfolio Management Related Costs (2) | 1,194 | 276 | 918 | 0.03 | ||||||||||||||||||||||||||||||||||
| Adjusted Financial Measures | $ | 51,774 | $ | 12,839 | $ | 38,935 | $ | 1.27 | ||||||||||||||||||||||||||||||
| Residential | Renewables | Agtech | Infrastructure | Corporate | Consolidated | |||||||||||||||||||||||||||||||||
| Operating Margin | 19.8 | % | 1.0 | % | 9.3 | % | 27.9 | % | n/a | 12.2 | % | |||||||||||||||||||||||||||
| Restructuring Charges (1) | — | % | 5.5 | % | 0.8 | % | — | % | n/a | 1.4 | % | |||||||||||||||||||||||||||
| Senior Leadership Transition, Acquisition and Portfolio Management Related Costs (2) | 0.1 | % | — | % | — | % | — | % | n/a | 0.3 | % | |||||||||||||||||||||||||||
| Adjusted Operating Margin | 19.9 | % | 6.5 | % | 10.1 | % | 27.9 | % | n/a | 13.9 | % | |||||||||||||||||||||||||||
| Income from Operations | $ | 42,055 | $ | 825 | $ | 3,853 | $ | 6,494 | $ | (9,229) | $ | 43,998 | ||||||||||||||||||||||||||
| Restructuring Charges (1) | 106 | 4,641 | 328 | — | 31 | 5,106 | ||||||||||||||||||||||||||||||||
| Senior Leadership Transition, Acquisition and Portfolio Management Related Costs (2) | 195 | — | — | — | 817 | 1,012 | ||||||||||||||||||||||||||||||||
| Adjusted Income from Operations | $ | 42,356 | $ | 5,466 | $ | 4,181 | $ | 6,494 | $ | (8,381) | $ | 50,116 | ||||||||||||||||||||||||||
| Net Sales & Adjusted Net Sales (3) | $ | 212,363 | $ | 84,064 | $ | 41,527 | $ | 23,242 | $ | — | $ | 361,196 | ||||||||||||||||||||||||||
| (1) Comprised primarily of exit activities costs associated with 80/20 simplification, lean initiatives and / or discontinued operations. | ||||||||||||||||||||||||||||||||||||||
| (2) Represents senior leadership transition costs associated with changes in leadership positions, acquisition related expenses including due diligence costs and portfolio management costs resulting from terminated or liquidated businesses. | ||||||||||||||||||||||||||||||||||||||
| (3) There were no Non-GAAP adjustments to Net Sales in 2024. | ||||||||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of GAAP and Adjusted Financial Measures
(in thousands, except per share data)
(unaudited)
| Three Months Ended September 30, 2023 | ||||||||||||||||||||||||||||||||||||||
| Income before taxes | Provision for income taxes | Net income | Net income per share - diluted | |||||||||||||||||||||||||||||||||||
| As Reported in GAAP Statements | $ | 53,813 | $ | 14,536 | $ | 39,277 | $ | 1.28 | ||||||||||||||||||||||||||||||
| Restructuring Charges (1) | 5,033 | 1,232 | 3,801 | 0.12 | ||||||||||||||||||||||||||||||||||
| Acquisition Related Items (2) | 698 | 175 | 523 | 0.02 | ||||||||||||||||||||||||||||||||||
| Portfolio Management (3) | (1,568) | (450) | (1,118) | (0.04) | ||||||||||||||||||||||||||||||||||
| Adjusted Financial Measures Previously Reported | $ | 57,976 | $ | 15,493 | $ | 42,483 | $ | 1.38 | ||||||||||||||||||||||||||||||
| Portfolio Management (4) | (505) | (105) | (400) | (0.01) | ||||||||||||||||||||||||||||||||||
| Adjusted Financial Measures Recast | $ | 57,471 | $ | 15,388 | $ | 42,083 | $ | 1.37 | ||||||||||||||||||||||||||||||
| Residential | Renewables | Agtech | Infrastructure | Corporate | Consolidated | |||||||||||||||||||||||||||||||||
| Operating Margin | 18.5 | % | 12.1 | % | 6.7 | % | 25.6 | % | n/a | 13.6 | % | |||||||||||||||||||||||||||
| Restructuring Charges (1) | 0.3 | % | 4.2 | % | — | % | — | % | n/a | 1.3 | % | |||||||||||||||||||||||||||
| Acquisition Related Items (2) | — | % | 0.4 | % | — | % | — | % | n/a | 0.2 | % | |||||||||||||||||||||||||||
| Portfolio Management (3) | — | % | — | % | (1.3) | % | — | % | n/a | (0.1) | % | |||||||||||||||||||||||||||
| Adjusted Operating Margin Previously Reported | 18.8 | % | 16.7 | % | 5.6 | % | 25.6 | % | n/a | 15.0 | % | |||||||||||||||||||||||||||
| Portfolio Management (4) | — | % | 0.2 | % | — | % | — | % | n/a | 0.1 | % | |||||||||||||||||||||||||||
| Adjusted Operating Margin Recast | 18.8 | % | 16.9 | % | 5.6 | % | 25.6 | % | n/a | 15.1 | % | |||||||||||||||||||||||||||
| Income from Operations | $ | 42,158 | $ | 12,907 | $ | 2,136 | $ | 6,386 | $ | (10,397) | $ | 53,190 | ||||||||||||||||||||||||||
| Restructuring Charges (1) | 676 | 4,385 | 5 | — | (33) | 5,033 | ||||||||||||||||||||||||||||||||
| Acquisition Related Items (2) | 12 | 457 | — | — | 229 | 698 | ||||||||||||||||||||||||||||||||
| Portfolio Management (3) | — | — | (399) | — | 72 | (327) | ||||||||||||||||||||||||||||||||
| Adjusted Income from Operations Previously Reported | $ | 42,846 | $ | 17,749 | $ | 1,742 | $ | 6,386 | $ | (10,129) | $ | 58,594 | ||||||||||||||||||||||||||
| Portfolio Management (4) | — | (603) | — | — | — | (603) | ||||||||||||||||||||||||||||||||
| Adjusted Income from Operations Recast | $ | 42,846 | $ | 17,146 | $ | 1,742 | $ | 6,386 | $ | (10,129) | $ | 57,991 | ||||||||||||||||||||||||||
| Net Sales | $ | 227,747 | $ | 106,362 | $ | 31,666 | $ | 24,969 | $ | — | $ | 390,744 | ||||||||||||||||||||||||||
| Portfolio Management (3) | — | — | (780) | — | — | (780) | ||||||||||||||||||||||||||||||||
| Adjusted Net Sales Previously Reported | $ | 227,747 | $ | 106,362 | $ | 30,886 | $ | 24,969 | $ | — | $ | 389,964 | ||||||||||||||||||||||||||
| Portfolio Management (4) | — | (4,760) | — | — | — | (4,760) | ||||||||||||||||||||||||||||||||
| Adjusted Net Sales Recast | $ | 227,747 | $ | 101,602 | $ | 30,886 | $ | 24,969 | $ | — | $ | 385,204 | ||||||||||||||||||||||||||
| (1) Comprised primarily of exit activities costs and impairments of assets associated with 80/20 simplification, lean initiatives and / or discontinued operations and costs associated with new and / or terminated senior leadership positions. | ||||||||||||||||||||||||||||||||||||||
| (2) Comprised primarily of consulting and legal fees for the acquisition and integration of recent business combinations. | ||||||||||||||||||||||||||||||||||||||
| (3) Represents the results generated by the Company's processing business liquidated in 2023. | ||||||||||||||||||||||||||||||||||||||
| (4) Represents the results generated by the Company's Japan renewables business sold in 2023. | ||||||||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of GAAP and Adjusted Financial Measures
(in thousands, except per share data)
(unaudited)
| Nine Months Ended September 30, 2024 | ||||||||||||||||||||||||||||||||||||||
| Income before taxes | Provision for income taxes | Net income | Net income per share - diluted | |||||||||||||||||||||||||||||||||||
| As Reported in GAAP Statements | $ | 122,598 | $ | 31,415 | $ | 91,183 | $ | 2.96 | ||||||||||||||||||||||||||||||
| Restructuring Charges (1) | 10,050 | 2,356 | 7,694 | 0.25 | ||||||||||||||||||||||||||||||||||
| Senior Leadership Transition, Acquisition and Portfolio Management Related Costs (2) | 825 | (133) | 958 | 0.03 | ||||||||||||||||||||||||||||||||||
| Adjusted Financial Measures | $ | 133,473 | $ | 33,638 | $ | 99,835 | $ | 3.24 | ||||||||||||||||||||||||||||||
| Residential | Renewables | Agtech | Infrastructure | Corporate | Consolidated | |||||||||||||||||||||||||||||||||
| Operating Margin | 19.6 | % | 1.9 | % | 7.9 | % | 25.2 | % | n/a | 11.7 | % | |||||||||||||||||||||||||||
| Restructuring Charges (1) | — | % | 4.4 | % | 0.4 | % | — | % | n/a | 1.0 | % | |||||||||||||||||||||||||||
| Senior Leadership Transition, Acquisition and Portfolio Management Related Costs (2) | — | % | 0.1 | % | — | % | — | % | n/a | 0.1 | % | |||||||||||||||||||||||||||
| Adjusted Operating Margin | 19.6 | % | 6.4 | % | 8.4 | % | 25.2 | % | n/a | 12.9 | % | |||||||||||||||||||||||||||
| Income from Operations | $ | 119,714 | $ | 4,116 | $ | 8,743 | $ | 17,605 | $ | (31,975) | $ | 118,203 | ||||||||||||||||||||||||||
| Restructuring Charges (1) | 179 | 9,359 | 477 | — | 35 | 10,050 | ||||||||||||||||||||||||||||||||
| Senior Leadership Transition, Acquisition and Portfolio Management Related Costs (2) | 195 | 233 | — | — | 1,044 | 1,472 | ||||||||||||||||||||||||||||||||
| Adjusted Income from Operations | $ | 120,088 | $ | 13,708 | $ | 9,220 | $ | 17,605 | $ | (30,896) | $ | 129,725 | ||||||||||||||||||||||||||
| Net Sales & Adjusted Net Sales (3) | $ | 611,790 | $ | 214,941 | $ | 110,062 | $ | 69,914 | $ | — | $ | 1,006,707 | ||||||||||||||||||||||||||
| (1) Comprised primarily of exit activities costs and impairments of assets associated with 80/20 simplification, lean initiatives and / or discontinued operations. | ||||||||||||||||||||||||||||||||||||||
| (2) Represents senior leadership transition costs associated with changes in leadership positions, acquisition related expenses including due diligence costs and portfolio management costs resulting from terminated or liquidated businesses. | ||||||||||||||||||||||||||||||||||||||
| (3) There were no Non-GAAP adjustments to Net Sales in 2024. | ||||||||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of GAAP and Adjusted Financial Measures
(in thousands, except per share data)
(unaudited)
| Nine Months Ended September 30, 2023 | ||||||||||||||||||||||||||||||||||||||
| Income before taxes | Provision for income taxes | Net income | Net income per share - diluted | |||||||||||||||||||||||||||||||||||
| As Reported in GAAP Statements | $ | 124,367 | $ | 33,268 | $ | 91,099 | $ | 2.96 | ||||||||||||||||||||||||||||||
| Restructuring Charges (1) | 8,779 | 2,229 | 6,550 | 0.21 | ||||||||||||||||||||||||||||||||||
| Acquisition Related Items (2) | 978 | 248 | 730 | 0.02 | ||||||||||||||||||||||||||||||||||
| Portfolio Management (3) | 2,286 | 140 | 2,146 | 0.07 | ||||||||||||||||||||||||||||||||||
| Adjusted Financial Measures Previously Reported | $ | 136,410 | $ | 35,885 | $ | 100,525 | $ | 3.26 | ||||||||||||||||||||||||||||||
| Portfolio Management (4) | (1,314) | (265) | (1,049) | (0.03) | ||||||||||||||||||||||||||||||||||
| Adjusted Financial Measures Recast | $ | 135,096 | $ | 35,620 | $ | 99,476 | $ | 3.23 | ||||||||||||||||||||||||||||||
| Residential | Renewables | Agtech | Infrastructure | Corporate | Consolidated | |||||||||||||||||||||||||||||||||
| Operating Margin | 18.2 | % | 8.7 | % | 3.3 | % | 22.0 | % | n/a | 12.0 | % | |||||||||||||||||||||||||||
| Restructuring Charges (1) | 0.1 | % | 3.0 | % | 0.7 | % | — | % | n/a | 0.8 | % | |||||||||||||||||||||||||||
| Acquisition Related Items (2) | — | % | 0.3 | % | — | % | — | % | n/a | 0.1 | % | |||||||||||||||||||||||||||
| Portfolio Management (3) | — | % | — | % | 4.3 | % | — | % | n/a | 0.4 | % | |||||||||||||||||||||||||||
| Adjusted Operating Margin Previously Reported | 18.3 | % | 11.9 | % | 8.7 | % | 22.0 | % | n/a | 13.4 | % | |||||||||||||||||||||||||||
| Portfolio Management (4) | — | % | — | % | — | % | — | % | n/a | — | % | |||||||||||||||||||||||||||
| Adjusted Operating Margin Recast | 18.3 | % | 11.9 | % | 8.7 | % | 22.0 | % | n/a | 13.4 | % | |||||||||||||||||||||||||||
| Income from Operations | $ | 115,626 | $ | 21,084 | $ | 3,349 | $ | 14,928 | $ | (29,350) | $ | 125,637 | ||||||||||||||||||||||||||
| Restructuring Charges (1) | 790 | 7,319 | 722 | — | (52) | 8,779 | ||||||||||||||||||||||||||||||||
| Acquisition Related Items (2) | 12 | 637 | 37 | — | 292 | 978 | ||||||||||||||||||||||||||||||||
| Portfolio Management (3) | — | — | 4,458 | — | 96 | 4,554 | ||||||||||||||||||||||||||||||||
| Adjusted Income from Operations Previously Reported | $ | 116,428 | $ | 29,040 | $ | 8,566 | $ | 14,928 | $ | (29,014) | $ | 139,948 | ||||||||||||||||||||||||||
| Portfolio Management (4) | — | (1,511) | — | — | — | (1,511) | ||||||||||||||||||||||||||||||||
| Adjusted Income from Operations Recast | $ | 116,428 | $ | 27,529 | $ | 8,566 | $ | 14,928 | $ | (29,014) | $ | 138,437 | ||||||||||||||||||||||||||
| Net Sales | $ | 635,476 | $ | 243,026 | $ | 102,546 | $ | 67,877 | $ | — | $ | 1,048,925 | ||||||||||||||||||||||||||
| Portfolio Management (3) | — | — | (4,059) | — | — | (4,059) | ||||||||||||||||||||||||||||||||
| Adjusted Net Sales Previously Reported | $ | 635,476 | $ | 243,026 | $ | 98,487 | $ | 67,877 | $ | — | $ | 1,044,866 | ||||||||||||||||||||||||||
| Portfolio Management (4) | — | (10,791) | — | — | — | (10,791) | ||||||||||||||||||||||||||||||||
| Adjusted Net Sales Recast | $ | 635,476 | $ | 232,235 | $ | 98,487 | $ | 67,877 | $ | — | $ | 1,034,075 | ||||||||||||||||||||||||||
| (1) Comprised primarily of exit activities costs and impairments of assets associated with 80/20 simplification, lean initiatives and / or discontinued operations and costs associated with new and / or terminated senior leadership positions. | ||||||||||||||||||||||||||||||||||||||
| (2) Comprised primarily of consulting and legal fees for the acquisition and integration of recent business combinations. | ||||||||||||||||||||||||||||||||||||||
| (3) Represents the results generated by the Company's processing business liquidated in 2023. | ||||||||||||||||||||||||||||||||||||||
| (4) Represents the results generated by the Company's Japan renewables business sold in 2023. | ||||||||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of GAAP and Adjusted Financial Measures
(in thousands, except per share data)
(unaudited)
| Year Ended December 31, 2023 | ||||||||||||||||||||||||||||||||||||||
| Income before taxes | Provision for income taxes | Net income | Net income per share - diluted | |||||||||||||||||||||||||||||||||||
| As Reported in GAAP Statements | $ | 148,992 | $ | 38,459 | $ | 110,533 | $ | 3.59 | ||||||||||||||||||||||||||||||
| Restructuring Charges (1) | 18,072 | 4,583 | 13,489 | 0.43 | ||||||||||||||||||||||||||||||||||
| Portfolio Management & Acquisition Related Items (2) | 3,900 | 1,382 | 2,518 | 0.09 | ||||||||||||||||||||||||||||||||||
| Adjusted Financial Measures Previously Reported | $ | 170,964 | $ | 44,424 | $ | 126,540 | $ | 4.11 | ||||||||||||||||||||||||||||||
| Portfolio Management (3) | (1,069) | (322) | (747) | (0.02) | ||||||||||||||||||||||||||||||||||
| Adjusted Financial Measures Recast | $ | 169,895 | $ | 44,102 | $ | 125,793 | $ | 4.09 | ||||||||||||||||||||||||||||||
| Residential | Renewables | Agtech | Infrastructure | Corporate | Consolidated | |||||||||||||||||||||||||||||||||
| Operating Margin | 17.6 | % | 9.1 | % | (0.6) | % | 21.2 | % | n/a | 10.9 | % | |||||||||||||||||||||||||||
| Restructuring Charges (1) | 0.6 | % | 2.8 | % | 2.7 | % | — | % | n/a | 1.3 | % | |||||||||||||||||||||||||||
| Portfolio Management & Acquisition Related Items (2) | — | % | 0.3 | % | 2.8 | % | — | % | n/a | 0.4 | % | |||||||||||||||||||||||||||
| Adjusted Operating Margin Previously Reported | 18.2 | % | 12.3 | % | 5.1 | % | 21.2 | % | n/a | 12.7 | % | |||||||||||||||||||||||||||
| Portfolio Management (3) | — | % | — | % | — | % | — | % | n/a | — | % | |||||||||||||||||||||||||||
| Adjusted Operating Margin Recast | 18.2 | % | 12.3 | % | 5.1 | % | 21.2 | % | n/a | 12.7 | % | |||||||||||||||||||||||||||
| Income from Operations | $ | 143,068 | $ | 30,160 | $ | (928) | $ | 18,529 | $ | (40,100) | $ | 150,729 | ||||||||||||||||||||||||||
| Restructuring Charges (1) | 4,811 | 9,394 | 3,918 | — | (51) | 18,072 | ||||||||||||||||||||||||||||||||
| Portfolio Management & Acquisition Related Items (2) | 12 | 968 | 4,156 | — | 389 | 5,525 | ||||||||||||||||||||||||||||||||
| Adjusted Income from Operations Previously Reported | $ | 147,891 | $ | 40,522 | $ | 7,146 | $ | 18,529 | $ | (39,762) | $ | 174,326 | ||||||||||||||||||||||||||
| Portfolio Management (3) | — | (1,252) | — | — | — | (1,252) | ||||||||||||||||||||||||||||||||
| Adjusted Income from Operations Recast | $ | 147,891 | $ | 39,270 | $ | 7,146 | $ | 18,529 | $ | (39,762) | $ | 173,074 | ||||||||||||||||||||||||||
| Net Sales | $ | 814,803 | $ | 330,738 | $ | 144,967 | $ | 87,228 | $ | — | $ | 1,377,736 | ||||||||||||||||||||||||||
| Portfolio Management (4) | — | — | (4,059) | — | — | (4,059) | ||||||||||||||||||||||||||||||||
| Adjusted Net Sales Previously Reported | $ | 814,803 | $ | 330,738 | $ | 140,908 | $ | 87,228 | $ | — | $ | 1,373,677 | ||||||||||||||||||||||||||
| Portfolio Management (3) | — | (11,724) | — | — | — | (11,724) | ||||||||||||||||||||||||||||||||
| Adjusted Net Sales Recast | $ | 814,803 | $ | 319,014 | $ | 140,908 | $ | 87,228 | $ | — | $ | 1,361,953 | ||||||||||||||||||||||||||
| (1) Comprised primarily of exit activities costs and impairments of assets associated with 80/20 simplification, lean initiatives and / or discontinued operations and costs associated with new and / or terminated senior leadership positions. | ||||||||||||||||||||||||||||||||||||||
| (2) Comprised primarily of consulting and legal fees for the acquisition and integration of recent business combinations, along with the results generated by the Company's processing business liquidated in 2023. | ||||||||||||||||||||||||||||||||||||||
| (3) Represents the results generated by the Company's Japan renewables business sold in 2023. | ||||||||||||||||||||||||||||||||||||||
| (4) Represents the net sales generated by the Company's processing business liquidated in 2023. | ||||||||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of Adjusted Financial Measures
(in thousands)
(unaudited)
| Three Months Ended September 30, 2024 | ||||||||||||||||||||||||||||||||
| Consolidated | Residential | Renewables | Agtech | Infrastructure | ||||||||||||||||||||||||||||
| Adjusted Net Sales | $ | 361,196 | $ | 212,363 | $ | 84,064 | $ | 41,527 | $ | 23,242 | ||||||||||||||||||||||
| Net Income | 34,039 | |||||||||||||||||||||||||||||||
| Provision for Income Taxes | 11,435 | |||||||||||||||||||||||||||||||
| Interest Income | (1,931) | |||||||||||||||||||||||||||||||
| Other Expense | 455 | |||||||||||||||||||||||||||||||
| Operating Profit | 43,998 | 42,055 | 825 | 3,853 | 6,494 | |||||||||||||||||||||||||||
| Adjusted Measures* | 6,118 | 301 | 4,641 | 328 | — | |||||||||||||||||||||||||||
| Adjusted Operating Profit | 50,116 | 42,356 | 5,466 | 4,181 | 6,494 | |||||||||||||||||||||||||||
| Adjusted Operating Margin | 13.9 | % | 19.9 | % | 6.5 | % | 10.1 | % | 27.9 | % | ||||||||||||||||||||||
| Adjusted Other Expense | 273 | — | — | — | — | |||||||||||||||||||||||||||
| Depreciation & Amortization | 6,821 | 2,545 | 2,102 | 782 | 744 | |||||||||||||||||||||||||||
| Stock Compensation Expense | 2,328 | 464 | 235 | 95 | 63 | |||||||||||||||||||||||||||
| Less: SLT Related Stock Compensation Expense | (59) | — | — | — | — | |||||||||||||||||||||||||||
| Adjusted Stock Compensation Expense | 2,269 | 464 | 235 | 95 | 63 | |||||||||||||||||||||||||||
| Adjusted EBITDA | $ | 58,933 | $ | 45,365 | $ | 7,803 | $ | 5,058 | $ | 7,301 | ||||||||||||||||||||||
| Adjusted EBITDA Margin | 16.3 | % | 21.4 | % | 9.3 | % | 12.2 | % | 31.4 | % | ||||||||||||||||||||||
| Cash Flow - Operating Activities | 64,682 | |||||||||||||||||||||||||||||||
| Purchase of PPE, Net | (5,619) | |||||||||||||||||||||||||||||||
| Free Cash Flow | 59,063 | |||||||||||||||||||||||||||||||
| Free Cash Flow - % of Adjusted Net Sales | 16.4 | % | ||||||||||||||||||||||||||||||
| *Adjusted Measures details are presented on the corresponding Reconciliation of GAAP and Adjusted Financial Measures | ||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of Adjusted Financial Measures
(in thousands)
(unaudited)
| Three Months Ended September 30, 2023 | ||||||||||||||||||||||||||||||||
| Consolidated | Residential | Renewables | Agtech | Infrastructure | ||||||||||||||||||||||||||||
| Adjusted Net Sales* | $ | 385,204 | $ | 227,747 | $ | 101,602 | $ | 30,886 | $ | 24,969 | ||||||||||||||||||||||
| Net Income | 39,277 | |||||||||||||||||||||||||||||||
| Provision for Income Taxes | 14,536 | |||||||||||||||||||||||||||||||
| Interest Expense | 417 | |||||||||||||||||||||||||||||||
| Other Income | (1,040) | |||||||||||||||||||||||||||||||
| Operating Profit | 53,190 | 42,158 | 12,907 | 2,136 | 6,386 | |||||||||||||||||||||||||||
| Adjusted Measures* | 4,801 | 688 | 4,239 | (394) | — | |||||||||||||||||||||||||||
| Adjusted Operating Profit | 57,991 | 42,846 | 17,146 | 1,742 | 6,386 | |||||||||||||||||||||||||||
| Adjusted Operating Margin | 15.1 | % | 18.8 | % | 16.9 | % | 5.6 | % | 25.6 | % | ||||||||||||||||||||||
| Adjusted Other Expense** | 147 | — | — | — | — | |||||||||||||||||||||||||||
| Depreciation & Amortization** | 6,909 | 2,586 | 2,171 | 943 | 783 | |||||||||||||||||||||||||||
| Less: Japan Depreciation & Amortization | (178) | — | (178) | — | — | |||||||||||||||||||||||||||
| Adjusted Depreciation & Amortization | 6,731 | 2,586 | 1,993 | 943 | 783 | |||||||||||||||||||||||||||
| Stock Compensation Expense | 2,201 | 528 | 204 | (194) | 109 | |||||||||||||||||||||||||||
| Adjusted EBITDA Recast** | $ | 66,776 | $ | 45,960 | $ | 19,343 | $ | 2,491 | $ | 7,278 | ||||||||||||||||||||||
| Adjusted EBITDA Margin Recast** | 17.3 | % | 20.2 | % | 19.0 | % | 8.1 | % | 29.1 | % | ||||||||||||||||||||||
| Adjusted EBITDA Previously Reported | $ | 67,459 | $ | 45,960 | $ | 20,124 | $ | 2,491 | $ | 7,278 | ||||||||||||||||||||||
| Adjusted EBITDA Margin Previously Reported | 17.3 | % | 20.2 | % | 18.9 | % | 8.1 | % | 29.1 | % | ||||||||||||||||||||||
| Cash Flow - Operating Activities | 92,562 | |||||||||||||||||||||||||||||||
| Purchase of PPE, Net | (2,692) | |||||||||||||||||||||||||||||||
| Free Cash Flow | 89,870 | |||||||||||||||||||||||||||||||
| Free Cash Flow - % of Adjusted Net Sales | 23.0 | % | ||||||||||||||||||||||||||||||
| *Details of recast amounts for the sale of the Japan based solar racking business within the Renewables segment are presented on corresponding Reconciliation of GAAP and Adjusted Financial Measures | ||||||||||||||||||||||||||||||||
| **Recast to exclude sale of Japan based solar racking business within the Renewables segment | ||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of Adjusted Financial Measures
(in thousands)
(unaudited)
| Nine Months Ended September 30, 2024 | ||||||||||||||||||||||||||||||||
| Consolidated | Residential | Renewables | Agtech | Infrastructure | ||||||||||||||||||||||||||||
| Adjusted Net Sales | $ | 1,006,707 | $ | 611,790 | $ | 214,941 | $ | 110,062 | $ | 69,914 | ||||||||||||||||||||||
| Net Income | 91,183 | |||||||||||||||||||||||||||||||
| Provision for Income Taxes | 31,415 | |||||||||||||||||||||||||||||||
| Interest Income | (4,176) | |||||||||||||||||||||||||||||||
| Other Income | (219) | |||||||||||||||||||||||||||||||
| Operating Profit | 118,203 | 119,714 | 4,116 | 8,743 | 17,605 | |||||||||||||||||||||||||||
| Adjusted Measures* | 11,522 | 374 | 9,592 | 477 | — | |||||||||||||||||||||||||||
| Adjusted Operating Profit | 129,725 | 120,088 | 13,708 | 9,220 | 17,605 | |||||||||||||||||||||||||||
| Adjusted Operating Margin | 12.9 | % | 19.6 | % | 6.4 | % | 8.4 | % | 25.2 | % | ||||||||||||||||||||||
| Adjusted Other Expense | 428 | — | — | — | — | |||||||||||||||||||||||||||
| Depreciation & Amortization | 20,237 | 7,643 | 6,052 | 2,420 | 2,236 | |||||||||||||||||||||||||||
| Stock Compensation Expense | 8,686 | 1,341 | 684 | 283 | 181 | |||||||||||||||||||||||||||
| Less: SLT Related Stock Compensation Expense | (59) | — | — | — | — | |||||||||||||||||||||||||||
| Adjusted Stock Compensation Expense | 8,627 | 1,341 | 684 | 283 | 181 | |||||||||||||||||||||||||||
| Adjusted EBITDA | $ | 158,161 | $ | 129,072 | $ | 20,444 | $ | 11,923 | $ | 20,022 | ||||||||||||||||||||||
| Adjusted EBITDA Margin | 15.7 | % | 21.1 | % | 9.5 | % | 10.8 | % | 28.6 | % | ||||||||||||||||||||||
| Cash Flow - Operating Activities | 154,335 | |||||||||||||||||||||||||||||||
| Purchase of PPE, Net | (14,326) | |||||||||||||||||||||||||||||||
| Free Cash Flow | 140,009 | |||||||||||||||||||||||||||||||
| Free Cash Flow - % of Adjusted Net Sales | 13.9 | % | ||||||||||||||||||||||||||||||
| *Adjusted Measures details are presented on the corresponding Reconciliation of GAAP and Adjusted Financial Measures | ||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of Adjusted Financial Measures
(in thousands)
(unaudited)
| Nine Months Ended September 30, 2023 | ||||||||||||||||||||||||||||||||
| Consolidated | Residential | Renewables | Agtech | Infrastructure | ||||||||||||||||||||||||||||
| Adjusted Net Sales* | $ | 1,034,075 | $ | 635,476 | $ | 232,235 | $ | 98,487 | $ | 67,877 | ||||||||||||||||||||||
| Net Income | 91,099 | |||||||||||||||||||||||||||||||
| Provision for Income Taxes | 33,268 | |||||||||||||||||||||||||||||||
| Interest Expense | 3,216 | |||||||||||||||||||||||||||||||
| Other Income | (1,946) | |||||||||||||||||||||||||||||||
| Operating Profit | 125,637 | 115,626 | 21,084 | 3,349 | 14,928 | |||||||||||||||||||||||||||
| Adjusted Measures* | 12,800 | 802 | 6,445 | 5,217 | — | |||||||||||||||||||||||||||
| Adjusted Operating Profit | 138,437 | 116,428 | 27,529 | 8,566 | 14,928 | |||||||||||||||||||||||||||
| Adjusted Operating Margin | 13.4 | % | 18.3 | % | 11.9 | % | 8.7 | % | 22.0 | % | ||||||||||||||||||||||
| Adjusted Other Expense** | 125 | — | — | — | — | |||||||||||||||||||||||||||
| Depreciation & Amortization** | 20,574 | 7,542 | 6,561 | 2,850 | 2,349 | |||||||||||||||||||||||||||
| Less: Japan Depreciation & Amortization | (561) | — | (561) | — | — | |||||||||||||||||||||||||||
| Adjusted Depreciation & Amortization | 20,013 | 7,542 | 6,000 | 2,850 | 2,349 | |||||||||||||||||||||||||||
| Stock Compensation Expense | 7,257 | 1,135 | 651 | 140 | 212 | |||||||||||||||||||||||||||
| Adjusted EBITDA Recast** | $ | 165,582 | $ | 125,105 | $ | 34,180 | $ | 11,556 | $ | 17,489 | ||||||||||||||||||||||
| Adjusted EBITDA Margin Recast** | 16.0 | % | 19.7 | % | 14.7 | % | 11.7 | % | 25.8 | % | ||||||||||||||||||||||
| Adjusted EBITDA Previously Reported | $ | 167,457 | $ | 125,105 | $ | 36,252 | $ | 11,556 | $ | 17,489 | ||||||||||||||||||||||
| Adjusted EBITDA Margin Previously Reported | 16.0 | % | 19.7 | % | 14.9 | % | 11.7 | % | 25.8 | % | ||||||||||||||||||||||
| Cash Flow - Operating Activities | 206,656 | |||||||||||||||||||||||||||||||
| Purchase of PPE, Net | (7,976) | |||||||||||||||||||||||||||||||
| Free Cash Flow | 198,680 | |||||||||||||||||||||||||||||||
| Free Cash Flow - % of Adjusted Net Sales | 19.0 | % | ||||||||||||||||||||||||||||||
| *Details of recast amounts for the sale of the Japan based solar racking business within the Renewables segment are presented on corresponding Reconciliation of GAAP and Adjusted Financial Measures | ||||||||||||||||||||||||||||||||
| **Recast to exclude sale of Japan based solar racking business within the Renewables segment | ||||||||||||||||||||||||||||||||
GIBRALTAR INDUSTRIES, INC.
Reconciliation of Adjusted Financial Measures
(in thousands)
(unaudited)
| Year Ended December 31, 2023 | ||||||||||||||||||||||||||||||||
| Consolidated | Residential | Renewables | Agtech | Infrastructure | ||||||||||||||||||||||||||||
| Adjusted Net Sales* | $ | 1,361,953 | $ | 814,803 | $ | 319,014 | $ | 140,908 | $ | 87,228 | ||||||||||||||||||||||
| Net Income | 110,533 | |||||||||||||||||||||||||||||||
| Provision for Income Taxes | 38,459 | |||||||||||||||||||||||||||||||
| Interest Expense | 3,002 | |||||||||||||||||||||||||||||||
| Other Income | (1,265) | |||||||||||||||||||||||||||||||
| Operating Profit | 150,729 | 143,068 | 30,160 | (928) | 18,529 | |||||||||||||||||||||||||||
| Adjusted Measures* | 22,345 | 4,823 | 9,110 | 8,074 | — | |||||||||||||||||||||||||||
| Adjusted Operating Profit | 173,074 | 147,891 | 39,270 | 7,146 | 18,529 | |||||||||||||||||||||||||||
| Adjusted Operating Margin | 12.7 | % | 18.2 | % | 12.3 | % | 5.1 | % | 21.2 | % | ||||||||||||||||||||||
| Adjusted Other Expense** | 228 | — | — | — | — | |||||||||||||||||||||||||||
| Depreciation & Amortization** | 27,378 | 10,079 | 8,670 | 3,790 | 3,137 | |||||||||||||||||||||||||||
| Less: Japan Depreciation & Amortization | (676) | — | (676) | — | — | |||||||||||||||||||||||||||
| Adjusted Depreciation & Amortization | 26,702 | 10,079 | 7,994 | 3,790 | 3,137 | |||||||||||||||||||||||||||
| Stock Compensation Expense | 9,750 | 1,633 | 881 | 197 | 289 | |||||||||||||||||||||||||||
| Adjusted EBITDA Recast** | $ | 209,298 | $ | 159,603 | $ | 48,145 | $ | 11,133 | $ | 21,955 | ||||||||||||||||||||||
| Adjusted EBITDA Margin Recast** | 15.4 | % | 19.6 | % | 15.1 | % | 7.9 | % | 25.2 | % | ||||||||||||||||||||||
| Adjusted EBITDA Previously Reported | $ | 211,043 | $ | 159,603 | $ | 50,073 | $ | 11,133 | $ | 21,955 | ||||||||||||||||||||||
| Adjusted EBITDA Margin Previously Reported | 15.4 | % | 19.6 | % | 15.1 | % | 7.9 | % | 25.2 | % | ||||||||||||||||||||||
| Cash Flow - Operating Activities | 218,476 | |||||||||||||||||||||||||||||||
| Purchase of PPE, Net | (13,906) | |||||||||||||||||||||||||||||||
| Free Cash Flow | 204,570 | |||||||||||||||||||||||||||||||
| Free Cash Flow - % of Adjusted Net Sales | 14.9 | % | ||||||||||||||||||||||||||||||
| *Details of recast amounts for the sale of the Japan based solar racking business within the Renewables segment are presented on corresponding Reconciliation of GAAP and Adjusted Financial Measures | ||||||||||||||||||||||||||||||||
| **Recast to exclude sale of Japan based solar racking business within the Renewables segment | ||||||||||||||||||||||||||||||||
GIBRALTAR APPOINTS JAMES S. METCALF TO THE BOARD OF DIRECTORS
Buffalo, New York, October 30, 2024 – Gibraltar Industries, Inc. (Nasdaq: ROCK), a leading manufacturer and provider of products and services for the residential, renewable energy, agtech and infrastructure markets, today announced that its Board of Directors has appointed James S. Metcalf as a new independent member of the Board, effective October 25, 2024. Mr. Metcalf fills the Board seat left open by Craig Hindman’s May 2024 retirement, restoring the Board to eight members.
Bill Bosway, Chairman and Chief Executive Officer, stated, “We are very excited to have Jim join the Board especially given his impressive career in leading, growing, and transforming businesses in the construction materials, industrial manufacturing and building products industries. Jim has significant experience as both a public company Chief Executive Officer and Board member where he has driven and guided strategy formation and execution, operations transformation, and M&A activities and integration. The Board joins me in welcoming Jim, and we look forward to his guidance and insight as we continue to transform Gibraltar and create value for our stakeholders.”
Mr. Metcalf will sit on the Capital Structure and Asset Management and the Nominating, Governance, and Corporate Social Responsibility Committees.
Jim Metcalf began his career at USG, then the U.S.’s largest manufacturer of wallboard and building products, working his way through the sales and marketing ranks to lead successively larger business units. He served as Chairman, President and Chief Executive Officer of USG, during which he strengthened the organization’s core businesses, diversified revenue streams and restored the company’s profitability. In 2018, when Jim was a member of the board of directors of NCI Building Systems, NCI Building Systems merged with Ply Gem Building Products to form Cornerstone Building Brands, Jim was asked to step in as CEO and Chairman. During his tenure at Cornerstone Building Brands, Jim led the investment in manufacturing plant upgrades and integration of the two organizations and cultures, iterative M&A, operational excellence and innovation, and oversaw a period of intense growth until his retirement in 2022. He has served on the board of directors of Ferguson Enterprises Inc. since 2023 and previously on the boards of Tenneco Inc., Cornerstone Building Brands, Inc., NCI Building Systems, USG Corporation, and Molex LLC. Jim also serves on the Naval War College Foundation Board of Trustees. He earned an MBA, Business from Pepperdine University and a BA in Criminal Justice and Pre-Law from The Ohio State University.
About Gibraltar
Gibraltar is a leading manufacturer and provider of products and services for the residential, renewable energy, agtech, and infrastructure markets. Gibraltar’s mission, to make life better for people and the planet, is fueled by advancing the disciplines of engineering, science, and technology. Gibraltar is innovating to reshape critical markets in comfortable living, sustainable power, and productive growing throughout North America. For more please visit www.gibraltar1.com.
Contact:
LHA Investor Relations
Jody Burfening/Carolyn Capaccio
(212) 838-3777
rock@lhai.com