PGTI Reports 2021 Third Quarter Results and Maintains Fiscal 2021 Guidance

PGT Innovations, Inc. , a national leader in premium windows and doors, including impact-resistant products and products designed to unify indoor/outdoor living spaces, announced financial results for its third quarter ended October 2, 2021.

Financial Highlights for Third Quarter 2021 compared to Third Quarter 2020

-Net sales increased 26 percent, to $300 million, which includes $25 million from consolidation of Eco Enterprises (f/k/a Eco Windows Systems)
-Gross profit increased 20 percent, to $104 million
-Net loss attributable to common shareholders was $0.11 per diluted share, driven primarily by pre-tax debt extinguishment costs totaling $25.5 million
-Adjusted net income was $0.26 per diluted share
-Adjusted EBITDA was $43 million

Full-Year 2021 Guidance (includes results for Eco from date of acquisition at 100% of its sales)

-Net sales expected in the range of $1.10 billion to $1.20 billion
-Adjusted EBITDA expected in the range of $160 million to $190 million

“Our ongoing efforts to increase manufacturing capacity have enabled us to meet strong demand across our key markets. With organic growth of 14 percent combined with the contribution of Eco Enterprises, we achieved a 26 percent growth in sales for the third quarter compared to last year’s third quarter,” said Jeff Jackson, President and Chief Executive Officer. “In response to the continued strength in the housing market, over the past year we have taken steps to increase hiring and employee training, implement manufacturing improvements, and secure our supply of key inputs such as glass and aluminum. We expect these investments to enable further growth as U.S. economic strength continues.”

“To offset the increased costs for raw materials and labor, we took a number of pricing actions earlier in the year which are beginning to take hold, and announced an additional price increase in October,” Jackson continued. “Sales and margins improved sequentially from the second quarter, and with more realized pricing we anticipate further margin improvement in the fourth quarter and heading into 2022.”

“As our company continues to grow, we are excited to have recently named Eric Kowalewski as Executive Vice President of Florida Operations,” added Jackson. “We believe Eric’s experience developing high-performance teams and global supply chains as well as leading multi-site manufacturing locations will drive further improvement of operations and integration of businesses.”

“Subsequent to the end of the third quarter, we completed the acquisition of Anlin Windows & Doors, a widely regarded brand of vinyl replacement windows and doors in our western region. We believe Anlin will be a great fit with our existing Western Window Systems brand, which is a leading provider of aluminum products for the new home construction market. The acquisition allows us to serve both markets with a broad product portfolio and expanded sales network,” concluded Jackson.

“During the quarter, we completed a private offering of $575 million of 4.375% senior notes due in 2029,” said Brad West, Senior Vice President and Interim Chief Financial Officer. “The notes were offered to refinance our existing notes at a 2.375% reduction in interest rate, repay borrowings under our existing term loan facility, and together with borrowings under the Company’s credit agreement, the purchase price of Anlin. The debt refinancing will reduce our annual interest expense going forward.”

“With our positive outlook for the fourth quarter, we are maintaining our full-year guidance for 2021, including net sales in the range of $1.10 billion to $1.20 billion, and adjusted EBITDA in the range of $160 million to $190 million,” concluded West.

For the complete press release, click here.

About PGT Innovations, Inc.

PGT Innovations manufactures and supplies premium windows and doors. Its highly-engineered and technically-advanced products can withstand some of the toughest weather conditions on earth and unify indoor/outdoor living spaces. PGT Innovations creates value through deep customer relationships, understanding the unstated needs of the markets it serves and a drive to develop category-defining products. PGT Innovations is also the nation’s largest manufacturer of impact-resistant windows and doors, holds the leadership position in its primary markets, and is part of the S&P SmallCap 400 Index. The PGT Innovations’ family of brands include CGI®, PGT® Custom Windows & Doors, WinDoor®, Western Window Systems®, CGI Commercial®, Eze-Breeze®, NewSouth Window Solutions®, and Eco Enterprises®. The Company’s brands, in their respective markets, are a preferred choice of architects, builders, and homeowners throughout North America and the Caribbean. The Company’s high-quality products are available in custom and standard sizes with multiple dimensions that allow for greater design possibilities in residential, multi-family, and commercial projects. For additional information, visit www.pgtinnovations.com.

Contact:

Stephanie Cz – Corporate Communications Manager – scz@pgtinnovations.com – (941) 480-1600

Source: PGT Innovations, Inc.