PGT Innovations Stock Falls After Mixed Q2 Results

PGT Innovations Inc PGTI reported second-quarter sales growth of 41% year-over-year to $285.5 million, +29% on an organic basis, beats the analyst consensus of $284.17 million.
Order entries increased by 35% Y/Y.
Adjusted EPS decreased to $0.18 from $0.21 in 2Q20 and missed the consensus of $0.31.
Gross profit increased 30% to $97 million and the gross margin contracted by 270 bps to 34%.
The operating income increased by 147.6% Y/Y to $21.26 million, and the margin expanded by around 325 bps to 7.5%.
Adjusted EBITDA increased by 3.2% Y/Y to $35.81 million, and margin contracted by 460 bps to 12.5%.
PGT Innovations expects that price increases and the benefits from increased efficiencies will improve margins in both the third and fourth quarters.
FY21 Outlook: PGT Innovations expects net sales of $1.1 billion - $1.2 billion (prior $1.05 billion - $1.125 billion), versus the consensus of $1.12 billion.
EBITDA of $160 million - $190 million (prior $175 million - $194 million).
Price Action: PGTI shares closed lower by 5.93% at $22.38 on Thursday.