Masonite's Q4, and a less encouraging full year

Masonite International Corporation delivered the goods on a fourth quarter that punctuated a somewhat lackluster year with a bit of promise.

Net sales for the fourth quarter ended Jan. 3 were up 8.1% to $485.4 million. There was also some improvement in net loss, which increased to a loss of $13.2 million.

For the full-year period, net sales came in at $1.87 billion, an increase of 1.9% over 2014. Net loss widened, however, to $47.1 million.

“We delivered a seventh consecutive quarter of double digit adjusted EBITDA growth in the fourth quarter," said  said Fred Lynch, president and CEO. "Adjusted EBITDA increased more than 50% compared to the same period last year and we reported double digit adjusted EBITDA margins for the third consecutive quarter. Our continued focus on innovation, customer service, strategic acquisitions, and a disciplined focus on margins across the business portfolio drove the tremendous results in 2015. We believe we are well positioned for continued strong growth in 2016 as we partner with our customers to provide best in class products and service levels and deliver an unparalleled customer experience.”

The South African deconsolidation charge also impacted net income, which would have been $17.0 million for the fourth quarter without its impact. For the full year, income would have been $30.3 million higher.

Foreign exchange rates also dampened the picture. Without their impact, sales would have been up 12.7% for the quarter and 6.9% for the year.

However, Masonite posted a 2016 annual outlook of 6 to 8% in net sales growth, with expected adjusted EBITDA to be in the range of $235 million to $255 million.