Janus International Group Reports 17.3% Revenue Decline and 64.8% Drop in Net Income

Janus International Group, Inc. reported a significant decline in financial performance for the three months ended March 29, 2025, with total revenues of $210.5 million, down 17.3% from $254.5 million in the same period last year. The decrease was primarily driven by a 22.7% drop in product revenues, which fell to $166.3 million from $215.1 million, while service revenues increased by 12.2% to $44.2 million. The company's net income also decreased sharply, falling 64.8% to $10.8 million compared to $30.7 million in the prior year, reflecting the impact of reduced revenues and increased operating expenses.

In terms of operational metrics, Janus experienced a decline in adjusted EBITDA, which decreased by 42.1% to $38.4 million, representing 18.2% of total revenues, down from 26.1% a year earlier. The company attributed the revenue decline to ongoing macroeconomic uncertainties and customer liquidity challenges, which have led to project delays. However, the acquisition of Terminal Door contributed $3.5 million in revenue during the quarter, partially offsetting the organic decline of $47.5 million.

Janus has been actively pursuing strategic growth through acquisitions, including the recent purchase of Terminal Door, which expanded its service offerings in trucking terminal renovation and maintenance. The company reported that the acquisition added $3.5 million in revenue and $0.2 million in net income for the quarter. As of March 29, 2025, Janus employed 2,267 individuals, a slight decrease from 2,382 employees a year prior, reflecting the company's ongoing restructuring efforts aimed at improving operational efficiency.

The company’s balance sheet showed total assets of $1.27 billion, a decrease from $1.30 billion at the end of the previous fiscal year. Total liabilities also decreased to $745.0 million from $782.5 million, primarily due to a reduction in long-term debt, which fell to $544.5 million from $583.2 million. Janus made a voluntary prepayment of $40 million on its First Lien Term Loan during the quarter, contributing to a decrease in interest expense, which was down 29.2% to $10.2 million.

Looking ahead, Janus remains focused on navigating the current economic landscape while continuing to invest in growth opportunities. The company plans to leverage its recent acquisitions and enhance its product offerings to capture market share in the self-storage and commercial building sectors. However, management cautioned that ongoing economic uncertainties could continue to impact revenue and profitability in the near term.