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Highlights

  • ADENTRA secured a gross profit percentage of 21.2% in Q3 FY23 as compared to 20.4% in the previous quarter.
  • The company recorded an adjusted EBITDA of USD 51.8 million in the reporting period.
  • ADENTRA’s top-line business reduced to USD 558.6 million in Q3 2023, because of product price deflation and lower volumes. 

ADENTRA Inc. (TSX: ADEN) is a distributor of architectural products to home centers, fabricators, and professional dealers. Operating a network in North America of 86 facilities in the United States and Canada, ADEN services the new residential, repair and remodel, and commercial construction end markets.

In the third quarter of the fiscal year 2023, ADEN secured a gross profit percentage of 21.2%, as compared to 20.4% in the previous quarter (Q2 2023). The company recorded an adjusted EBITDA of USD 51.8 million in the reporting period. Also, ADEN’s bank debt reduced by USD 49.6 million in Q3 FY23. Its debt- to-equity ratio also decreased from 1.26x in Q2 2023 to 1.15x in Q3 2023.

 

ADENTRA’s top-line business reduced to USD558.6 million in Q3 2023, because of product price deflation and lower volumes. Consequently, ADEN’s operating income dropped by 63.8% annually. It registered an income before income taxes of USD 4.7 million, due to reduced operating profit and increased net finance expenses.

The company’s net income stood at USD 8.0 million in the reporting period, versus net income of USD 29.8 million in the previous corresponding period of Q3 2022, an annual decline of 73.2%.

Top 10 Shareholders:

Approximately 37.26% of the total shareholding in the company is held by its top ten shareholders. While Bull (Peter Morris) holds a maximum stake in the company at around ­­­19.04%, British Columbia Investment Management Corp. is the second-biggest shareholder in ADEN with around 5.91% stake in the firm.

 

Stock Price Performance

ADEN’s stock price has gained approximately 10.01% over the last one week. It has grown over 24.26% in the last three months. The stock’s 52-week high and low price stand at CAD 36.50 and CAD 24.00, respectively.

 

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is December 21, 2023. The reference data in this report has been partly sourced from EODHD/Others.