Trex Company ( (TREX) ) has released its Q3 earnings. Here is a breakdown of the information Trex Company presented to its investors.
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Trex Company, Inc. is the world’s largest manufacturer of high-performance, low-maintenance composite decking and railing products, operating in the outdoor living products industry. The company is known for its sustainable and innovative wood-alternative products, which are sold through a vast distribution network across six continents.
In the third quarter of 2025, Trex Company reported net sales of $285 million, marking a 22.1% increase from the previous year. Despite a challenging market environment, the company maintained a strong gross margin of 40.5% and achieved a net income of $52 million. The quarter also saw significant contributions from new products, accounting for 25% of sales over the trailing twelve months.
Key financial highlights include a gross profit increase of 23.9% to $115 million and an adjusted EBITDA of $90 million, which is 33% higher than the previous year. The company also announced a $50 million share repurchase program, reflecting confidence in its future prospects. Trex’s strategic focus on branding and R&D has led to increased consumer interest and lead generation, positioning the company well for future growth.
Looking ahead, Trex anticipates a continuation of muted repair and remodel activity, which is expected to impact fourth-quarter sales. The company has revised its full-year revenue guidance to be flat compared to 2024, with an adjusted EBITDA margin expected to range between 28.0% and 28.5%. Trex remains committed to expanding its market share through new product launches and strategic initiatives aimed at enhancing brand recognition and product differentiation.