Q2 sales and profits fade at Trex

The decking manufacturer expects full-year sales to reach between $1.04 billion to $1.06 billion.

8/1/2023

Trex introduced its new, entry-level Select T-Rail system during the second quarter.

Trex, the composite decking and outdoor living products manufacturer, reported second quarter 2023 consolidated net sales decreased 7.5% to $357 million compared to sales of $386 million in the second quarter 2022.

Sales for the first half of 2023 are down nearly 18% to $595 million as compared to sales of $725 in the first six months of 2022.

Net income for the second quarter declined 13.5% to $77 million from a net income of $89 million for the same period last year.

The Winchester, Virginia-based company also posted a first-half net income of $118 million, falling more than 26% from a net income of $160 million for the first half of 2022.

During the second quarter, the company repurchased 264,896 Trex shares for $16 million.

The manufacturer Introduced Trex Select T-Rail during the second quarter. The product is style-centric, entry-level composite railing system.

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The Bottom Line: Trex sales decline 7.5% as earnings see an 18% falloff to $595 million.

What the CEO said: “We are pleased with our first half performance, which we believe demonstrates the strength of our team at Trex, the resilience of the outdoor living category, the appeal of our brand and product portfolio to a broad consumer base, and our industry-leading manufacturing proficiency,” said Bryan Fairbanks, Trex president and CEO.

Fairbanks said the company expects sales for the full year to reach a range of $1.04 billion to $1.06 billion. Sales for the third quarter are projected to reach a range of $280 million to $290 million.

Company Info: The full second quarter 2023 financial report from Trex is available here.