UFP Industries reported third‑quarter 2025 results with revenue of $1.559 billion, a 5.4% decline year‑over‑year, and net earnings of $75.542 million, a 25% drop from the same period last year. Earnings per share were $1.29, missing the $1.37 consensus estimate by 7.2%. Adjusted EBITDA margin for the quarter was 9.0%, down 1.1 percentage points from 10.1% in the prior year.
Segment sales fell across all three business units: Retail sales were $593.985 million, down 6.5% YoY; Packaging sales were $394.949 million, down 1.7% YoY; and Construction sales were $496.465 million, down 7.1% YoY. Gross profit declined 12% to $262.681 million, and the gross margin contracted to 16.8% from 18.1% in Q3 2024. Operating profit fell 31% to $92.3 million, and the operating margin dropped to 5.8% from 7.2% in Q3 2024.
UFP reiterated its full‑year outlook, maintaining a capital‑expenditure target of $275 million to $300 million for 2025 and a share‑repurchase program that has accumulated $350 million in repurchases year‑to‑date. The company also confirmed a quarterly dividend of $0.35 per share, a 6% increase from the prior year. Management highlighted a $60 million EBITDA improvement target by the end of 2026 and the expansion of its Surestone composite decking production capacity in Buffalo, NY, to support future margin growth.
The company’s liquidity remains robust, with $2.3 billion in total liquidity as of September 27 2025. UFP cited a 21% decline in Southern Yellow Pine prices, which contributed to lower selling prices and margin compression. The company’s focus on value‑added products and cost‑control initiatives is intended to offset the softness in residential construction and competitive pricing pressures across its Retail, Packaging, and Construction segments.
UFP’s management emphasized that the company’s cost‑reduction measures and capacity expansion are positioned to capture market share as demand stabilizes in the coming quarters. The company remains confident in its long‑term prospects and financial stability.
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