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Trex Company, Inc.

Trex Company, Inc.

NYSE•TREX
CEO: Mr. Bryan Horix Fairbanks
Sector: Industrials
Industry: Construction
Listing Date: 1999-04-08
Trex Company, Inc. manufactures and distributes composite decking, railing, and outdoor living products and accessories for residential and commercial markets in the United States. It offers decking products and accessories under the names Trex Transcend, Trex Select, Trex Signature, Trex Transcend Lineage, and Trex Enhance for protection against fading, staining, mold, and scratching; Trex Hideaway, a hidden fastening system; and Trex DeckLighting, a LED dimmable deck lighting for use on posts, floors, and steps. The company also provides Trex Transcend Railing products that are used in Trex decking products and other decking materials; Trex Select Railing products for a simple clean finished look; Trex Enhance Railing system; Trex Signature aluminum railing for a contemporary look; and Trex Select T-Rail railing products. In addition, it offers Trex Seclusions, a fencing product that includes structural posts, bottom and top rails, pickets, and decorative post caps. Further, the company acts as a licensor in various licensing agreements with third parties to manufacture and sell products under the Trex name, including Trex Outdoor Furniture; Trex RainEscape, an above joist deck drainage system; Trex Pergola, a cellular PVC product; Trex Latticeworks outdoor lattice boards; Trex Cornhole boards; Diablo Trex Blade, a saw blade for wood-alternative composite decking; Trex SpiralStairs and structural steel posts; and Trex Outdoor Kitchens, cabinetry, and Storage products. It sells its products through wholesale distributors, retail lumber dealers, and Home Depot and Lowe's stores. Trex Company, Inc. was founded in 1996 and is headquartered in Winchester, Virginia.
Contact Information
2500 Trex Way, Winchester, VA, 22601, United States
540-542-6300
www.trex.com
Market Cap
$3.46B
P/E (TTM)
17.5
32.2
Dividend Yield
--
52W High
$80.74
52W Low
$31.21
52W Range
2%
6.6
F-Score
Modified Piotroski Analysis
Based on 10-year fundamentals
Strong • 6.6 / 9 points
Scoring Range (0-9)
8-9: Excellent Value
6-7: Strong Fundamentals
4-5: Average Quality
0-3: Weak Performance
Data Period: 2015-2024

Financial Dashboard

Q3 2025 Data

Revenue

$285.35M+22.09%
4-Quarter Trend

EPS

$0.48+29.73%
4-Quarter Trend

FCF

$328.06M+502.15%
4-Quarter Trend

2025 Q3 Earnings Highlights

Key Highlights

Q3 Sales Volume Surge Q3 Net sales reached $285.3M, growing 22.1% compared to prior year, substantially driven by volume increase.
Strong Operating Cash Flow Nine-month operating cash flow increased $140.2M to $292.6M, primarily due to inventory reduction strategy execution.
Net Income Improvement Q3 Net income grew 27.7% to $51.8M, resulting in Diluted EPS of $0.48, marking a 29.7% increase.
Equity Position Strengthened Total Stockholders' Equity grew to $1.042B from $850.1M at year-end 2024, reflecting retained earnings growth.

Risk Factors

Nine-Month Gross Margin Decline Gross margin fell to 40.6% from 43.8% for nine months due to higher raw material costs, tariffs, and start-up inefficiencies.
Increased SG&A Spending Nine-month SG&A rose 11.5% to $156.8M, driven by branding investments, digital transformation, and Arkansas facility costs.
Inventory Channel Risk Significant inventory increases in distribution channels without corresponding end-use demand could adversely affect future sales performance.
Warranty Reserve Estimates Management must continually estimate warranty reserves for product claims, including surface flaking, based on historical experience.

Outlook

2025 Capital Expenditure Guidance Capital expenditure guidance for 2025 is set between $210M and $220M, prioritizing growth and cost reduction initiatives.
Arkansas Facility Investment Anticipated total spending of $550M on the Arkansas facility, with $519M already invested as of September 30, 2025.
New CFO Appointment Prithvi S. Gandhi appointed SVP and CFO effective October 6, 2025, overseeing all finance and accounting functions.
No Share Repurchases The Company did not repurchase any common stock during the nine months ended September 30, 2025, under the 2023 Program.

Peer Comparison

Revenue (TTM)

Alaska Air Group, Inc.ALK
$14.14B
+31.5%
KBR, Inc.KBR
$8.06B
+9.7%
SiteOne Landscape Supply, Inc.SITE
$4.67B
+4.0%

Gross Margin (Latest Quarter)

Alaska Air Group, Inc.ALK
96.0%
+67.4 pp
Simpson Manufacturing Co., Inc.SSD
46.4%
-0.5 pp
Fortune Brands Innovations, Inc.FBIN
45.2%
-0.7 pp

Key Metrics

Symbol
Market Cap
P/E (TTM)
ROE (TTM)
Debt to Assets
SSD$7.03B20.417.0%14.6%
FBIN$5.85B17.813.9%43.5%
SITE$5.51B39.98.6%29.2%

Long-Term Trends

Last 4 Quarters
Revenue
Net Income
Operating Cash Flow
4Q Revenue CAGR
+19.4%
Strong Growth
4Q Net Income CAGR
+74.3%
Profitability Improved
Cash Flow Stability
50%
Cash Flow Needs Attention

Research & Insights

Reports
All Years
  • Form 10-Q - Q3 2025

    Period End: Sep 30, 2025|Filed: Nov 4, 2025|
    Revenue: $285.35M+22.1%
    |
    EPS: $0.48+29.7%
    Miss
  • Form 10-Q - Q2 2025

    Period End: Jun 30, 2025|Filed: Aug 4, 2025|
    Revenue: $387.80M+3.0%
    |
    EPS: $0.71-11.3%
    Meet
  • Form 10-Q - Q1 2025

    Period End: Mar 31, 2025|Filed: May 8, 2025|
    Revenue: $339.99M-9.0%
    |
    EPS: $0.56-31.7%
    Miss
  • Form 10-K - FY 2024

    Period End: Dec 31, 2024|Filed: Feb 24, 2025|
    Revenue: $1.15B+5.2%
    |
    EPS: $2.09+10.6%
    Beat
  • Form 10-Q - Q3 2024

    Period End: Sep 30, 2024|Filed: Oct 28, 2024|
    Revenue: $233.72M-23.1%
    |
    EPS: $0.37-38.3%
    Beat
  • Form 10-Q - Q2 2024

    Period End: Jun 30, 2024|Filed: Aug 6, 2024|
    Revenue: $376.47M+5.6%
    |
    EPS: $0.80+12.7%
    Beat
  • Form 10-Q - Q1 2024

    Period End: Mar 31, 2024|Filed: May 9, 2024|
    Revenue: $373.64M+56.5%
    |
    EPS: $0.82+115.8%
    Beat
  • Form 10-K - FY 2023

    Period End: Dec 31, 2023|Filed: Feb 26, 2024|
    Revenue: $1.09B-1.0%
    |
    EPS: $1.89+14.5%
    Beat