-
It achieved 2% sales growth in 2025 despite a third consecutive year of decline in the broader repair and remodeling sector.
-
It attributed the outperformance to strong growth in new products introduced over the past 36 months, which now account for 24% of total sales.
-
Executed a multi-year distribution strategy that resulted in double-digit growth and significant storage gains in the Pro and Home Center channels.
-
It leveraged the Arkansas campus to begin on-site plastic pellet production, reducing reliance on costly outside supplies and optimizing long-term costs.
-
Strengthened distribution by expanding relationships with key partners such as International Wood Products and Specialty Building Products to improve regional access.
-
Maintained a unique competitive position as the only supplier of wood alternatives with a significant presence in the two largest national home centers.
-
Used digital transformation tools to drive double-digit increases in contractor lead generation and website engagement, the management of which correlates to future revenue.
-
Guidance for 2026 assumes a slightly less than flat repair and remodeling market, and Trex expects low-to-mid single-digit revenue growth.
-
He anticipates continued double-digit growth in railings as the company works toward the goal of doubling its market share by the end of 2028.
-
Plans to maintain SG&A expenses at approximately 18% of net sales to support digital and brand investments needed to capture market share.
-
A 100 basis point headwind to gross margins is expected in 2026 driven by further depreciation of Arkansas facilities and a shift in product mix toward guardrails.
-
Net prices are assumed to remain stable through the year as modest price increases are offset by increased market incentives to drive volume.
-
Transitioned inventory accounting from LIFO to FIFO to improve industry comparability, resulting in a non-cash restatement of prior year margins.
-
The warranty reserve estimation methodology was updated in the fourth quarter of 2025, resulting in an expense of $6 million.
-
Announced a CEO transition with Adam Zambanini to succeed Bryan Fairbanks at the end of April 2026, ensuring continuity of existing growth strategies.
-
Identified ignition-resistant PVC decking (Trex Refuge) as a critical entry point for fire-prone regions such as California and Oregon.
Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we’ll show you why it’s our number one choice. Tap here.