Worthington Enterprises Reports Q1 Earnings and Revenue Miss, Shares Drop 6%

COLUMBUS, Ohio – Worthington Enterprises, Inc. reported its first quarter fiscal 2025 results, which fell below analyst expectations, resulting in a 6.8% decline in shares during after-hours trading.

The designer and manufacturer of well-known brands reported adjusted earnings per share of $0.50 for the quarter ending August 31, which missed the consensus estimate of $0.73. Revenue was recorded at $257.3 million, falling short of analyst projections of $300.27 million and down 17.5% year-over-year.

"We had another respectable quarter thanks to our team’s focus on managing costs and serving our customers, even as persistent higher interest rates and macroeconomic uncertainty continued to impact demand," said Worthington Enterprises President and CEO, Andy Rose.

The Consumer Products segment exhibited flat volumes but showed improved gross margins, resulting in year-over-year earnings growth. Conversely, the Building Products segment faced weak volumes in its heating and cooking business and lower contributions from joint venture ClarkDietrich.

The operating loss shrank to $4.7 million, down from $7.3 million in the same quarter the previous year. Adjusted EBITDA from continuing operations decreased to $48.4 million from $65.9 million a year earlier.

Despite the challenges in the near term, Rose conveyed optimism about the company’s long-term prospects, highlighting its robust balance sheet and market-leading products that are well-positioned to benefit from secular trends once demand stabilizes.

During the quarter, Worthington Enterprises repurchased 150,000 shares for a total of $6.8 million and declared a quarterly dividend of $0.17 per share.