Simpson Manufacturing Co. Delivers Strong First Quarter Performance Amid Uncertain Market Conditions
The Simpson Manufacturing Company, Inc. has reported a solid first quarter in 2025, with net sales reaching $538.9 million and reflecting modest growth over the prior year despite a highly uncertain macroeconomic environment in both the U.S. and Europe.
According to Michael Olosky, President and Chief Executive Officer of Simpson Manufacturing Company, Inc., the company's volume performance in North America once again exceeded U.S. housing starts by approximately 420 basis points, with net sales in North America totaling $420.7 million, up from $406.7 million this year.
The company's acquisition of Calculated Structure Designs contributed roughly $9 million to its results, while a favorable comparison to prior year net sales, which were negatively affected by the timing of volume discount estimates, also helped to offset a modest decline in volumes. Absent these factors, North American sales were relatively flat year-over-year.
However, sales to all end markets continue to demonstrate above-market growth on a trailing 12-month basis. In component manufacturing market volumes declined slightly versus last year, the company saw solid results from its acquisition of Calculated Structure Designs and made progress aligning operations and sales to prepare for the scalability of its broadened digital solutions offering.
The residential market showed low double-digit growth, with outdoor living experiencing strong growth due to a growing product offering and intentional marketing sales efforts. The national retail market saw mid-single-digit decreases, which were offset by driving growth in e-commerce, new anchor product listings introduced last year, and additional retail space gains in the company's two largest retailers.
In OEM, Simpson Manufacturing delivered high single-digit volume growth year-over-year with strong sales growth in mass timber and off-site construction solutions. The commercial market also saw low single-digit growth over last year despite a challenging market, driven by the strong performance of its anchor and cold-formed steel product lines.
Michael Olosky expressed satisfaction with the company's first quarter results, stating, "Our North American volume results were mixed in the first quarter, though sales to all end markets continue to demonstrate above-market growth on a trailing 12-month basis." The company continues to execute its digital solutions roadmap to satisfy key component manufacturing customers and leverage its equipment offering to reach opportunities in this market.
