Quanex sees Q1 consolidated revenue down 10%-12% year-over-year

Consensus $260.8M. Quanex CFO Scott Zuehlke said on the company’s earnings call, according to a transcript: “As mentioned in the earnings release, based on current macro indicators, recent conversations with our customers, limited transparency and varying opinions on the outlook for 2024, we’re taking a thoughtful approach to guidance. We intend to revisit guidance for 2024 when we report earnings for the first quarter. However, for modeling purposes on a consolidated basis, please use the following assumptions for fiscal 2024 until we give official guidance… From a cadence perspective, for the first quarter of 2024 versus the first quarter of 2023, we expect revenue to be down 10% to 12% on a consolidated basis. By segment for the first quarter of 2024, compared to the first quarter of 2023, we expect revenue to be down 5% to 7% and our North American Fenestration segment down 25% to 27% in our North American Cabinet Components segment and down 8% to 10% in our European Fenestration segment. From a margin perspective, for the first quarter of 2024, compared to the first quarter of 2023, we expect minor adjusted EBITDA margin expansion in both Fenestration segment, but margin decline in our North American Cabinet Components segment. On a consolidated basis, we currently expect adjusted EBITDA margin to be flat to down 50 basis points in the first quarter of 2024, again compared to the first quarter of 2023.”