Building materials supplier Armstrong beats Q3 sales estimates, raises guidance

Reuters10-28
Building materials supplier Armstrong beats Q3 sales estimates, raises guidance

Overview

  • Armstrong Q3 net sales rise 10% to $425 mln, beating analyst expectations

  • Adjusted EPS for Q3 beats analyst expectations, rising 13% yr/yr

  • Company raises full-year 2025 guidance for all key metrics

Outlook

  • Armstrong raises full-year 2025 net sales guidance to $1.623 bln-$1.638 bln

  • Company expects 2025 adjusted EBITDA of $553 mln-$563 mln

  • Armstrong sees 2025 adjusted EPS at $7.45-$7.55

Result Drivers

  • ARCHITECTURAL SPECIALTIES - Segment net sales rose 17.6% due to acquisitions and organic growth

  • MINERAL FIBER - Segment net sales increased 6.2% due to favorable AUV and higher volumes

  • SALES VOLUME GROWTH - Overall sales volume growth contributed $24 mln to net sales increase

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Sales

Beat

$425.20 mln

$423.16 mln (10 Analysts)

Q3 Adjusted EPS

Beat

$2.05

$2.03 (10 Analysts)

Q3 EPS

$1.98

Q3 Adjusted Net Income

$89 mln

Q3 Net Income

$86.30 mln

Q3 Adjusted EBITDA

$148 mln

Q3 Operating Income

$117.20 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

  • Wall Street's median 12-month price target for Armstrong World Industries Inc is $190.00, about 6.7% below its October 27 closing price of $202.64

  • The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 22 three months ago

Press Release: ID:nBw1Rf6mba

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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.)

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