Quanex Reports 29 Percent Drop in Net Sales for Engineered Products

June 2nd, 2009 by Editor

Quanex Corp. has announced that its engineered products division (which includes its door and window systems) endured a 29 percent drop in its net sales from second quarter 2008 to the second quarter of this year. During the second quarter of 2008, the company saw $92.5 million in sales-compared with $65.2 billion during the same quarter in 2009. In 2008, the company had an operating income (excluding special items) of $5.3 million during the second quarter, compared with a loss of $0.8 million during the same period this year.”The U.S. residential housing market dropped 49 percent in our second quarter, compared to a year ago, while residential remodeling activity was estimated to be off 10 percent to 15 percent over this same timeframe,” says David D. Petratis, president and chief executive officer of Quanex Building Products. “Net sales at engineered products were down 29 percent as business conditions remained difficult. However, we did see demand improve during the quarter, particularly in April, due to the seasonal nature of our building products markets.”

He added, “While discussions with our customers currently reflect a bit of optimism for the second half of the year, home inventories remain at high levels. Therefore, we will continue to size the business and our inventories at conservative levels.”

CLICK HERE for full text of second-quarter statement.

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