Jeld-Wen Holding, Inc. announced today selected preliminary financial results for the third quarter of 2019. Additionally, the company announced it will release full third-quarter 2019 results and hold a conference call on Wednesday, November 6, 2019.

The preliminary summary revealed the net revenues for the third quarter were approximately $1.09 billion, a decrease of 3.9% compared to the same period last year. The adjusted EBITDA was $106 million to $110 million as compared to last year at $132.6 million.

These results were lower than the company has expected in North America and Australasia, primarily related to reduced demand in residential new construction channels, and the impact of continued erratic order patterns in North America windows retail channel.

“I am disappointed in our preliminary results for the third quarter, primarily driven by soft demand in North America and further deterioration in housing activity in Australasia,” said president and CEO Gary S. Michel, who then added that the expansion in Europe was able to partially offset the North American and Australasia performance.

Michel said that the company is taking action to asses and redefine the demand planning process. “Additionally, we are also working with our retail customers to normalize their orders and support their demand patterns,” said Michel. “As a result of these actions, I believe that the majority of the impact from these issues was in the third quarter and we will see sequential operational performance improvements in the fourth quarter.”

Although it is still too early to provide a full update of the 2019 outlook, based on the third quarter preliminary results and current business trends, Michel said the company expects the full-year revenue will decline around 2% compared to full-year 2018. They also anticipate that full-year 2019 adjusted EBITDA margins will be negatively impacted by about 60 basis points, according to Michel. The company will provide a full update to its 2019 financial metrics outlook during its scheduled call on November 6, 2019.

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