U.S. – Following modest comparative business activity in the first six months of the year, Masonite International adjusted its forecast for the whole 2019 downwards.

The company only expects turnover to improve by a maximum of 2%, and increases to be achieved exclusively due to prices rises and special effects, and not via organic growth. Initially Masonite had forecasted turnover growth of 3-5%. The expected target range for the adjusted EBITDA has been narrowed from USD 275 – 305 million down to USD 275 – 295 million.

In the second quarter (2Q-2019) the group had declines both in sales and key results figures. Sales in the 2Q-2019 decreased by 0.7% to USD 562.9 million. With regard to sales volumes, turnover dropped by as much as 7%. Currency effects also had a negative impact.

The fact that overall turnover declined only slightly is due to price increases in the reporting period and acquisition effects. The profits situation deteriorated due to the relatively high costs for the restructuring program launched in the fourth quarter of 2018. In the second quarter Net profit, at USD 24.2 million, was also significantly lower. Adjusted to account for special effects, the EBITDA – at USD 79.7 million – remained 1.8% above the previous year’s figure. The margin calculated on the basis of the adjusted EBITDA amounted to 14.2%.

In the first half year Masonite generated total turnover of USD 1.09 billion, which was 0.8% higher than the comparative figure of the preceding year. Key results figures mainly declined. An exception was the adjusted EBITDA, which improved by 3.9% to USD 145.2 million.