TEMPLE, Ga. - Janus International Group, Inc. (NYSE: JBI), a global leader in access control technologies and building solutions, reported a robust financial performance for the fiscal year ended December 30, 2023. The company's net income surged by 25.9% to $135.7 million, translating to $0.92 per diluted share, with an adjusted EPS of $0.94. Adjusted EBITDA also saw a significant year-over-year increase of 25.9%, reaching $285.6 million.
Despite a 5.7% decline in fourth-quarter revenue, the full-year revenue grew by 4.6% to $1,066.4 million, primarily driven by a 13.2% increase in Self-Storage revenues which offset a 10.2% decrease in Commercial and Other revenues. The company's net income for the fourth quarter stood at $35.8 million, or $0.24 per diluted share, an improvement from the $32.7 million, or $0.22 per diluted share, recorded in the same period of the previous year.
Janus International also achieved a free cash flow conversion of Non-GAAP Adjusted Net Income of 142% for the full year 2023. The company's year-end net leverage ratio was reported at 1.6x, marking a decrease from the fourth quarter of 2022.
The company's CEO, Ramey Jackson, attributed the strong results to a relentless focus on execution and robust demand in end markets. Janus International also announced a $100 million share repurchase program, demonstrating confidence in the company's cash generation capabilities and commitment to delivering shareholder value.
Looking ahead, Janus has initiated guidance for full-year 2024, projecting revenue to be in the range of $1.092 billion to $1.125 billion and Adjusted EBITDA between $286 million and $310 million. This guidance reflects a midpoint increase of 4.0% and 4.3% respectively, compared to 2023 levels.
The company reaffirmed its long-term financial targets, aiming for sustained organic growth and margin expansion. Janus International's long-term outlook includes delivering annual organic revenue growth of 4% to 6%, maintaining Adjusted EBITDA margins between 25% and 27%, and generating significant free cash flow with a conversion of adjusted net income in the range of 75% to 100%.
This article is based on a press release statement from Janus International Group, Inc.
InvestingPro Insights
Amidst Janus International Group's announcement of strong financial results, real-time data from InvestingPro provides a deeper look into the company's market performance and potential investor considerations. The company's market capitalization stands at a modest $0.75 million, indicating a relatively small size in the financial markets. Despite the positive earnings report, the P/E ratio is currently negative at -0.078, suggesting that investors may have concerns about future earnings potential or that the stock is undervalued relative to its earnings.
InvestingPro Tips reveal that Janus International has experienced a significant return over the last week, with a 100% increase in its stock price. However, potential investors should be aware of the high price volatility that the stock generally trades with. This could mean that while the recent performance has been strong, the stock could also be subject to rapid and unpredictable changes in price. Moreover, Janus International does not pay a dividend, which might be a consideration for income-focused investors.
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