Masonite Reports “Exceptional Start” to 2022May 10th, 2022 by Editor
Last week, Masonite International Corporation announced results for the three months ended April 3, 2022. The company reports that its net sales were up 12% year over year, from $646 million in the first quarter of 2021 to $726 million. The increase resulted from a 15% increase in average unit price (AUP), partially offset by a 1% decrease in base volume, a 1% decrease due to a prior year divestiture and a 1% impact from unfavorable foreign exchange.
Total company gross profit was $184 million in the first quarter of 2022, an increase of 16% compared to $159 million in the first quarter of 2021. Gross profit margin increased 90 basis points to 25.4%, as higher AUP offset the impact of inflation on raw materials and logistics costs, higher manufacturing wages and benefits and the impact of lower overall volume.
The net income attributable to Masonite was also up, 44% year over year to $68 million, compared to $47 million in the first quarter of 2021. The company says the increase was primarily driven by higher gross profit.
The adjusted EBITDA continued the upward trajectory, 22% year over year, from $102 million in the first quarter of 2021 to $125 million, and the adjusted EBITDA Margin expanded both sequentially and year-over-year. The company also deployed $140 million to repurchase shares in the first quarter.
“Masonite is off to a great start in 2022, delivering quarterly net sales and Adjusted EBITDA* growth that exceeded our expectations,” said Howard Heckes, president and CEO. “I am proud of our execution in driving price-cost recovery across all our business segments and increasing production for our North American Residential segment following the Omicron spike in January. While the longer-term macro environment presents some uncertainty, we have an experienced team in place that is focused on carefully managing business performance and executing on our Doors That Do More™ Strategy. I believe Masonite is well positioned in the current environment and making significant progress towards achieving our 2025 Centennial Plan financial goals.”