In the Q1 2025, BlueLinx Holdings' net sales were $709 million, a decrease of $17 million, or 2% when compared to the Q1 2024. Gross profit was $111 million, a decrease of $17 million, or 13%, year-over-year, and gross margin was 15.7%, down 190 basis points from the same period last year.
Net income was $2.8 million, or $0.33 per diluted share, versus $17.5 million, or $2.00 per diluted share, in the prior year period. Adjusted net income was $2.3 million, or $0.27 per diluted share compared to $18.8 million, or $2.14 per diluted share in the first quarter of last year.
Adjusted EBITDA was $19.6 million, or 2.8% of net sales, for the Q1 2025, compared to $38.8 million, or 5.3% of net sales in the Q1 2024. The current and prior quarterly periods include the benefit of the aforementioned duty-related matters, and not including these items, Adjusted EBITDA would have been $17.1 million, or 2.4% of net sales for Q1 2025, and $32.3 million, or 4.5% of net sales, in the Q1 2024.
“Our Q1 results demonstrated our continued ability to drive profitable sales, despite challenging weather and market conditions,” said Shyam Reddy, President, and CEO of BlueLinx. “We are pleased with maintaining solid margins in both specialty products and structural products during the quarter. While current market conditions remain uncertain, we are well-positioned to benefit from an industry recovery given our strong balance sheet, ample liquidity and our continued success executing our long-term profitable sales growth strategy. In addition, we once again returned capital to shareholders by repurchasing $15 million worth of our shares in the quarter. At the end of March, we had $31 million remaining on our share repurchase authorization and remain committed to repurchasing shares opportunistically under this authorization.”
Q2 2025 Outlook
Through the first four weeks of the Q2 2025, specialty product gross margin was in the range of 17% to 18% and structural product gross margin was in the range of 9% to 10%. Average daily sales volumes were improved versus both the Q1 2025 and the Q2 2024.
BlueLinx is a leading U.S. wholesale distributor of residential and commercial building products with both branded and private-label SKUs across product categories such as lumber, panels, engineered wood, siding, millwork, and industrial products.
