Trex (TREX) FY2023 results: revenue $1.1 billion, down 1.0% on the year

Trex Co. Inc. (TREX) reported revenue of $1.1 billion for fiscal 2023, the year ended 31 December 2023, down 1.0% on the year before. Net income was $204 million, up 10.6%, and diluted earnings per share $1.88. The figures are the company's own, from the 10-K it filed with the SEC on 26 February 2024.

Revenue

$1.1 billion

-1.0% on the year

FY2016FY2023

Operating margin

25.1%

22.3% a year earlier

FY2016FY2023

Net income

$204 million

+10.6% on the year

FY2016FY2023

Diluted EPS

$1.88

+13.9% on the year

FY2016FY2023

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2023 · Q2 FY2023 · Q3 FY2023 · Q4 FY2023

Income statement (profit and loss)

$ million	FY2023	FY2022	FY2021	On the year
Revenue	1,095	1,106	1,197	-1.0%
Cost of revenue	644	702	736	-8.3%
Gross profit	451	404	461	+11.6%
Gross margin	41.2%	36.5%	38.5%
Research and development	3.3	0.5	6.0	+560.0%
Selling, general and administrative	176	142	140	+24.2%
Operating income	275	247	275	+11.3%
Operating margin	25.1%	22.3%	23.0%
Pre-tax income	275	247	275	+11.2%
Income tax	70.5	62.2	66.7	+13.3%
Effective tax rate	25.7%	25.2%	24.2%
Net income	204	185	209	+10.6%
Net margin	18.6%	16.7%	17.4%
Diluted EPS	$1.88	$1.65	$1.80	+13.9%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2023	FY2022	FY2021	On the year
Operating cash flow	389	216	258	+80.1%
Capital expenditure	166	176	159	-5.8%
Free cash flow	223	40.0	98.7	+458.4%
Free cash flow margin	20.4%	3.6%	8.2%
Cash from investing	-166	-169	-158
Cash from financing	-234	-176	-80.7
Depreciation and amortisation	50.2	44.3	35.9	+13.3%
Share-based compensation	10.2	5.3	8.4	+90.7%
Buybacks	18.4	398	82.5	-95.4%
Diluted shares, weighted	109m	112m	116m	-2.7%
Shares outstanding at period end	109m	109m	115m	-0.1%

Balance sheet

$ million	FY2023	FY2022	FY2021	On the year
Shareholders' equity	742	545	725	+36.2%
Debt	5.5	222	0.0	-97.5%
Operating lease liabilities	18.8	24.0	28.3	-21.4%
Other liabilities	167	143	167	+16.6%
Total liabilities and equity	933	934	920	-0.1%
Fixed assets	709	590	460	+20.3%
Goodwill	n/a	n/a	14.2
Cash and equivalents	2.0	12.3	141	-84.1%
Receivables	41.1	98.1	151	-58.0%
Inventory	107	141	83.8	-24.2%
Other assets	73.3	92.1	69.8	-20.4%
Total assets	933	934	920	-0.1%

10-K for the year ended 31 December 2023, filed 26 February 2024: the filing.