Gibraltar Industries, Inc. (ROCK) is slated to release its fourth-quarter 2023 results on Feb 21, before the opening bell. In the previous quarter, the company’s earnings outperformed the Zacks Consensus Estimate and surged 23.2% year over year while net sales slightly declined from the prior year.
The estimated figure for the fourth-quarter earnings per share reflects a 19.4% growth from the year-ago quarter.
Analyst Estimates and Projections
The Zacks Consensus Estimate for Gibraltar’s fourth-quarter earnings per share remains at 86 cents. Similarly, the estimated net sales figure is projected to reach $335.54 million, indicating a 6.9% increase from the prior-year quarter’s figure.
Factors Influencing Q4 Performance
Gibraltar’s performance in the fourth quarter is likely to have been bolstered by factors such as improving solar module supply, accretive 80/20 initiatives, better price and cost alignment, along with supply-chain optimization initiatives and enhancements in project management systems. Additionally, solid end-market fundamentals are expected to have contributed to increased volume and hence, net sales.
The Residential segment is anticipated to have gained from participation increases with new and existing customers despite the negative impact of price adjustments. The Infrastructure segment is expected to have benefited from robust end-market demand and participation gains. However, the Renewables and Agtech segments might have faced certain challenges.
Despite inflationary pressures, Gibraltar is expected to have seen operational improvements that offset these challenges, leading to solid execution in all its operating segments.
The Zacks Model Insights
The Zacks model does not decisively predict an earnings beat for Gibraltar this time around, primarily due to the company not having the right combination of a positive Earnings ESP and a Zacks Rank #1, 2, or 3, to increase the odds of an earnings beat.
The company’s Earnings ESP stands at 0.00%, while it currently carries a Zacks Rank of 3.
Peer Performances
Several companies in the Construction sector, including Armstrong World Industries, Inc. (AWI), Floor & Decor Holdings, Inc. (FND), and Enviva Inc. (EVA), are expected to post an earnings beat in the quarter to be reported.
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Source: Zacks.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
