Masonite International Corporation ("Masonite") (NYSE: DOOR) today announced results for the three and nine months ended September 29, 2013.
Summary of Results and Accomplishments
- Net sales increased $8.1 million or 1.9% to $433.1 million in the third quarter of 2013 over the third quarter of 2012. Improvements in average unit price increased sales 5.7% during the quarter.
- Net income attributable to Masonite increased $13.5 million to $3.6 million, or $0.12 per diluted share, in the third quarter of 2013 from a loss of $9.9 million, or $0.36 per diluted share, in the third quarter of 2012.
- Adjusted EBITDA 1, excluding $2.0 million of one-time costs related to Masonite's registration and equity listing, increased $3.4 million or 13.6% to $28.4 million in the third quarter of 2013 over the third quarter of 2012.
- Adjusted EBITDA Flow Through 2, a measure of the change in Adjusted EBITDA divided by the change in net sales, exceeded 40% in the third quarter of 2013, excluding one-time costs related to Masonite’s registration and equity listing.
- On September 9, 2013, the common shares of Masonite began trading on the New York Stock Exchange under the ticker symbol "DOOR."
Commenting on the quarter, President and CEO, Fred Lynch said, "While sales growth continues to be impacted by our decision to de-emphasize several low margin businesses and by reduced retail sales, adjusted EBITDA flow through exceeded 40%, excluding one-time costs related to our registration and equity listing.” Mr. Lynch continued, “Pricing actions taken during the first quarter of the year, along with synergies from recent strategic tuck-in acquisitions and continued cost control all contributed to the high Adjusted EBITDA flow through rate achieved for the quarter.”
1 See "Non-GAAP Financial Measure and Related Information" for definition and reconciliation to net income (loss) attributable to Masonite.2 See "Non-GAAP Financial Measure and Related Information" for definition and calculation of Adjusted EBITDA Flow Through. Third Quarter 2013 Discussion Net sales increased 1.9% to $433.1 million in the three months ended September 29, 2013, from $425.0 million in the comparable period of 2012. Excluding the unfavorable impact of foreign exchange, net sales would have increased by 3.1% to $438.1 million. This increase was primarily due to a $24.1 million improvement in average unit prices partially offset by a $10.1 million decline in unit volumes.