Gibraltar Announces Fourth Quarter 2024 Financial Results

2024 EPS: GAAP up 24%, Adjusted up 4% on 5%

Strong 2024 Cash Generation of $174 Million

Expands Agtech’s Structures Business with Acquisition of Lane Supply

2025 Guidance:  $1.40B – $1.45B, GAAP EPS $4.25 – $4.50, Adjusted EPS $4.80 – $5.05

Gibraltar Industries, Inc., a leading manufacturer and provider of products and services for the residential, renewable energy, agtech and infrastructure markets, reported its financial results for the three- and twelve-month periods ended December 31, 2024.

“Fourth quarter results were roughly in line with expectations for each segment with adjusted EPS reaching the top end of the range at $4.25, and net sales reaching $1.31 billion, just under the range. We also generated strong operating cash flow of $174 million for the year. We executed well in Residential, Agtech and Infrastructure, and our Renewables business continued to accelerate through the launch learning curve of its new tracker product line.”

GAAP and adjusted net sales decreased 8.1% and 7.9% respectively, driven primarily by ongoing industry headwinds impacting the Renewables business, and continued slowness in the Residential market.

GAAP net income more than doubled to $46.2 million, or $1.50 per share, and adjusted net income increased 17.9% to $31.0 million, or $1.01 per share. During the quarter, Gibraltar divested its residential electronic locker business.

Adjusted measures exclude charges for restructuring initiatives, acquisition-related items, senior leadership transition costs, and portfolio management actions including the gain on sale of the electronic locker business, as further described in the appended reconciliation of adjusted financial measures.

Fourth Quarter Segment Results

Residential

Net sales decreased 4.8% driven by ongoing market softness reflected in customer point-of-sale results being down 3%-4% across product categories sold in various local / regional markets. Sales were also impacted by 80/20 PLS initiatives on safety harness and drywall metals product lines. Delays in the transition of new business awarded in 2024 also impacted net sales in the quarter, but order activity for our building accessories products has been accelerating since the beginning of the year. New products launched in the second half of 2024 are also gaining momentum and will contribute to growth in 2025.

Operating margin decreased slightly primarily related to volume and product mix, but overall execution, price/cost management, and 80/20 initiatives delivered solid results.

Renewables

As expected, net sales and new bookings were suppressed as experienced in the third quarter as customers focused on completing panel installations ahead of the December 3, 2024 deadline related to the June 2024 expiration of the Presidential Proclamation. New contract signings were pushed into January which impacted backlog in the 4^th quarter, down 32%, however, since the start of 2025, new bookings have accelerated and are up 33% versus prior year.

GAAP and adjusted operating margins were impacted by the ramp of and product mix shift toward the recently launched 1P tracker product along with lower volumes while navigating through the abovementioned deadline. GAAP results were further impacted by a $5.3 million non-cash charge for the discontinuation of legacy RBI tradenames in this segment. Although net sales were down 16.2% from the third quarter, adjusted operating margins improved sequentially by 70 basis points from improved operating efficiencies associated with the new tracker product launch.

Agtech

Net sales increased 1% despite project start dates moving from the fourth quarter into first and second quarters of 2025. Demand continues to grow with over $45 million of new orders booked since January 1^st with a strong pipeline of opportunities in process. The move of new project signings from the fourth quarter into 2025 resulted in fourth quarter backlog being down 23%.

GAAP and adjusted operating income were driven by strong execution and business mix as well as a benefit from a customer payment received that was written off in the prior year’s quarter. Excluding this payment, operating margins expanded 1,000 basis points to approximately 15%. GAAP results were further impacted by a $6.0 million non-cash charge for the discontinuation of legacy RBI tradenames in this segment.

Infrastructure

Net sales decreased by 6.7%, impacted by the timing on a large project in the prior year. Backlog increased 10% on strong conversion of bid volume. Demand and quoting remain robust, supported by ongoing investment at the federal and state levels.

Operating margins increased 180 basis points, driven by a favorable mix shift and continued strong operating execution.

Gibraltar Adds Lane Supply Inc to Agtech’s Structures Business

On February 11, 2025, Gibraltar acquired Lane Supply, Inc., an industry leader in the design, manufacture, and installation of structural canopies serving the convenience store, travel center, food retail, EV charging stations, and quick serve restaurant markets for $120 million in cash, subject to customary working capital and other adjustments. During 2024, Lane recorded revenue and adjusted EBITDA of approximately $112.2 million and $16.7 million, respectively. The transaction is expected to be immediately accretive to earnings.

Business Outlook

Mr. Bosway concluded, “For 2025, we expect to deliver growth, solid margin expansion, and strong cash flow generation across the business. We expect participation gains to support growth in our existing businesses, our renewables business to improve execution, and solid growth and margin contribution from the addition of Lane Supply in the Agtech segment.”

Gibraltar is providing its guidance for earnings for the full year 2025. Consolidated net sales are expected to range between $1.40 billion and $1.45 billion, compared to $1.31 billion in 2024. GAAP EPS is expected to range between $4.25 and $4.50, compared to $4.46 in 2024, and adjusted EPS is expected to range between $4.80 and $5.05, compared to $4.25 in 2024.

For full results click here.

About Gibraltar

Gibraltar is a leading manufacturer and provider of products and services for the residential, renewable energy, agtech, and infrastructure markets. Gibraltar’s mission, to make life better for people and the planet, is fueled by advancing the disciplines of engineering, science, and technology. Gibraltar is innovating to reshape critical markets in comfortable living, sustainable power, and productive growing throughout North America. For more please visit www.gibraltar1.com.

Contact:

Jody Burfening/Carolyn Capaccio – LHA Investor Relations – rock@lhai.com – (212) 838-3777

Source: Gibraltar Industries, Inc.