JELD-WEN Reports First Quarter 2025 Results

JELD-WEN Holding, Inc. (“JELD-WEN” or the “Company”) announced results for the three months ended March 29, 2025. Comparability is to the same period in the prior year.

First Quarter Highlights

• Net revenues of $776.0 million decreased (19.1%) in the first quarter driven by the court-ordered divestiture of our Towanda facility along with a (15%) Core Revenue decline as a result of (16%) lower volume/mix due to weak macro-economic conditions.
• Net loss was ($179.8) million or ($2.12) per share, compared to net loss of ($27.7) million, or ($0.32) per share, during the same quarter a year ago. The net loss includes a non-cash goodwill impairment charge related to the North America reporting unit of approximately $125 million. Operating loss margin was (22.1%) and (2.9%) for the quarters ended March 29, 2025 and March 30, 2024, respectively.
• Adjusted EBITDA was $21.9 million, a decrease of ($46.8) million compared to $68.7 million during the same quarter a year ago. Adjusted EBITDA Margin was 2.8%, a decrease of (440) basis points year-over-year as lower volume/mix and lower productivity were only partially offset by lower SG&A expense.

“While market conditions remained very challenging during the first quarter, they developed mostly as expected,” said Chief Executive Officer William J. Christensen. “We continued to execute our transformation, removing cost and improving focus across the business. However, the pace of market deterioration continues to outweigh the benefits of our cost actions. We are beginning to see signs of improvement in our quality and service levels, and we expect further gains in the second quarter. In today’s rapidly evolving macro environment, visibility is limited, but I remain proud of our team’s hard work and dedication through the difficult circumstances we’ve been working to navigate. We remain committed to partnering with our customers and positioning the business for long-term success.”

First Quarter 2025 Results

Net revenues for the three months ended March 29, 2025, were $776.0 million, a decrease of ($183.1) million, or (19.1%), compared to $959.1 million for the same period last year. The decrease in net revenues was driven by the court-ordered divestiture of our Towanda facility along with a (15%) decline in Core Revenue as a result of (16%) lower volume/mix due to weak macro-economic conditions.

Net loss was ($179.8) million in the first quarter, compared to a net loss of ($27.7) million in the same period last year, an increase of $152.1 million. The increase was mostly driven by an approximate $125 million pre-tax, non-cash goodwill impairment charge, lower volume/mix, and costs to execute on JELD-WEN’s transformation journey. Adjusted Net Loss for the first quarter was ($14.2) million, a decrease of ($32.6) million compared to Adjusted Net Income of $18.4 million in the same period last year.

Net loss per share for the first quarter was ($2.12), compared to a net loss per share of ($0.32) in the same quarter last year. Adjusted EPS for the first quarter was ($0.17) compared to $0.21 in the same quarter last year. Adjusted EPS for the quarter ended March 29, 2025, excludes net after-tax charges of $165.6 million, or $1.95 per diluted share, associated mainly with the non-cash goodwill impairment charge in the North America segment and costs to execute on the Company’s transformation journey. Adjusted EPS for the quarter ended March 30, 2024, excludes net after-tax charges of $46.1 million or $0.53 per diluted share.

Adjusted EBITDA was $21.9 million, a decline of ($46.8) million compared to $68.7 million during the same quarter last year. While we drove significant improvements from our transformation activities, these benefits were more than offset by the impact of lower sales and the associated loss of productivity. Adjusted EBITDA Margin was 2.8%, a decrease of (440) basis points due to lower volume/mix, lower productivity and higher costs in labor and materials only partially offset by lower SG&A expense.

On a segment basis for the first quarter of 2025, compared to the same period last year:

• North America – Net revenue was $530.6 million, a decline of ($149.4) million, or (22.0%), driven by the court-ordered divestiture of our Towanda facility along with a (17%) decrease in Core Revenue. The decrease in Core Revenue was primarily due to (18%) unfavorable volume/mix driven by weaker market demand. Net loss was ($150.9) million, a decline of ($167.2) million year-over-year. Adjusted EBITDA was $15.5 million, a decline of ($45.7) million primarily due to unfavorable volume/mix and productivity.
• Europe – Net revenue was $245.4 million, a decline of ($33.7) million, or (12.1%), driven by a (9%) decrease in Core Revenue. The decrease was primarily due to (10%) unfavorable volume/mix driven by market softness across the region. Net loss was ($3.5) million, a decline of ($3.5) million due to lower volume/mix. Adjusted EBITDA was $10.7 million, a decline of ($3.8) million primarily due to lower volume/mix and slightly negative price/cost only partially offset by favorable productivity.

Cash Flow

Net cash used in operating activities increased $72.5 million to $83.5 million in the three months ended March 29, 2025, compared to $11.0 million in the three months ended March 30, 2024. The increase in net cash used by operating activities was primarily due to unfavorable change in earnings of ($152.1) million, approximately $125 million of which was a non-cash goodwill impairment charge related to the North America reporting unit in the first quarter of 2025, and a ($51.6) million decrease in net cash provided by our working capital accounts, specifically around timing of accounts payable in Q1 ’24.

Capital expenditures in the first quarter of 2025 increased by $7.2 million to $42.0 million, up from $34.7 million in the first quarter of 2024. Free Cash Flow used in the first quarter of 2025 was ($125.4) million, compared to Free Cash Flow used in the first quarter of 2024 of ($45.7) million. This does not include the impact of the court-ordered divestiture of our Towanda facility proceeds of $112.1 million.

For the full first quarter results, click here.

About JELD-WEN Holding, Inc.

JELD-WEN Holding, Inc. (NYSE: JELD) is a leading global designer, manufacturer and distributor of high-performance interior and exterior doors, windows, and related building products serving the new construction and repair and remodeling sectors. Based in Charlotte, North Carolina, JELD-WEN operates facilities in 14 countries in North America and Europe and employs approximately 16,000 associates dedicated to bringing beauty and security to the spaces that touch our lives. The JELD-WEN family of brands includes JELD-WEN® worldwide, LaCantina® and VPI™ in North America, and Swedoor® and DANA® in Europe. For more information, visit corporate.JELD-WEN.com or follow us on LinkedIn.

Contact:

James Armstrong – Vice President, Investor Relations – (704) 378-5731 – jarmstrong@jeldwen.com 

Source: JELD-WEN Holding, Inc.