BlueLinx Holdings Inc. Q2 Earnings: Revenue in Line, EPS Below Expectations; Analysts Update Forecasts

BlueLinx Holdings reported Q1 earnings that missed analysts' expectations, with revenues in line and statutory EPS 13% below forecasts. Analysts have updated their models, with revised forecasts showing revenues of $3.00b in 2025, a 71% decline in EPS, and a consensus price target of $90.00. The analysts' range of estimates is not wide enough to imply that the situation is unforecastable.

BlueLinx Holdings Inc. (NYSE: BXC) reported its Q1 earnings on July 29, 2025, with revenues in line with expectations but statutory earnings per share (EPS) falling short by 13%. The construction company reported $0.48 EPS, missing analysts' consensus estimates of $1.00 by $0.52 [1].

Following the earnings report, BlueLinx shares fell by 3.5%, trading at $75.49 with significant trading volume. The company's net margin was 0.96%, and its return on equity was 3.44%. Revenue for the quarter was $780.11 million, compared to analysts' expectations of $784.13 million [1].

Analysts have revised their models in response to the Q1 earnings. Revised forecasts show revenues of $3.00 billion for 2025, a 71% decline in EPS, and a consensus price target of $90.00. The analysts' range of estimates is not wide enough to imply that the situation is unforecastable [1].

Several institutional investors have adjusted their stakes in BlueLinx. Royal Bank of Canada lifted its stake by 4.3%, AQR Capital Management LLC by 24.6%, and MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. by 4.7% during the first quarter [1]. Analyst ratings have also changed, with Benchmark and Loop Capital lowering their target prices and setting "buy" ratings, while DA Davidson and Wall Street Zen changing their ratings to "neutral" and "sell" respectively [1].

BlueLinx's Board of Directors initiated a stock repurchase plan on July 29, 2025, authorizing the company to repurchase $50.00 million in shares [1]. The repurchase authorization allows the company to buy up to 8% of its stock through open market purchases.

On the earnings call, CEO Shyam K. Reddy highlighted the company's continued execution on product and channel strategies, noting accelerated growth in the multifamily market with business growing more than 30% year-over-year. The Board approved a new $50 million share repurchase authorization, bringing the total current availability to $61.5 million [2].

The company's CFO, Christopher Kelly Wall, stated that net sales were $780 million, up 2% year-over-year, with total gross profit at $120 million and a gross margin of 15.3%. Operating cash flow was negative $27 million and free cash flow was negative $36 million, attributed to lower net income, seasonal working capital changes, and increased capital expenditures [2].

Management remains focused on creating demand for their products via multifamily initiatives, builder pull-through efforts, and national account support to drive growth. They expect to pass along tariff impacts via price increases and continue to emphasize product and channel growth strategies [2].

References:
[1] https://www.marketbeat.com/instant-alerts/bluelinx-nysebxc-posts-earnings-results-misses-expectations-by-052-eps-2025-07-29/
[2] https://seekingalpha.com/news/4474670-bluelinx-signals-continued-share-gains-and-61_5m-buyback-capacity-as-multifamily-sales-surge