Overview

* Trex Q3 net sales rose 22.1% yr/yr to $285 mln, adjusted EPS missed estimates

* Adjusted net income for Q3 missed analyst expectations

* Company announces $50 mln share repurchase program

Outlook

* Trex revises full-year 2025 revenue guidance to $1.15 bln to $1.16 bln

* Company revises full-year adjusted EBITDA margin to 28.0% to 28.5%

* Trex anticipates muted Repair and Remodel activity for rest of year

Result Drivers

* NEW PRODUCTS - Products launched within the last 36 months accounted for 25% of trailing-twelve-month sales, indicating strong alignment with consumer preferences

* BRANDING AND R&D - Increased spending on branding and R&D has led to significant increases in early purchase intent and lead generation

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Miss $0.51 $0.56

Adjusted (20

EPS Analysts

)

Q3 Miss $54.71 $61.77

Adjusted mln mln (17

Net Analysts

Income )

Q3 Net $51.77

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 10 "hold" and 1 "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 Trex Company Inc ( TREX ) is $66.61, about 28% above its November 3 closing price of $47.94

* The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 27 three months ago

Press Release:

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(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.)