Quanex Building Products Corporation (NX) stock surged in the After-Hours, here is why?

The stock of Quanex Building Products Corporation (NX) gained in the after-hours when the company announced the results of their 4^th quarter and as well as fiscal year 2021. The stock of the company valued at $23.30 at the time of this writing. This is a gain of more than 3.5% from the previously closed value. At the end of the last trading session the stock closed at $22.50. The volume of the stock traded in the last trading session was around 193.31K shares.

Highlights of the 4rth quarter and fiscal year 2021:

• The revenue of the company in the 4^th quarter was $291.8 million and the revenue of the fiscal year was $1.072 billion. The quarterly and yearly revenue increased by 14% and 25.9% respectively.
• The 4rth quarter gross margin was 22.3% and for the fiscal year 2021 it was 22.4%.
• The company reported net income of $20.8 million and $56.9 million in the 4rth and fiscal year 2021 respectively.
• As of 31^st October, 2021 the company had a total debt of $53.5 million. The company paid approx. $65 million of bank loan in the fiscal year 2021.
• As of 31^st October, 2021 the liquidity of Quanex Building Products Corporation (NX) increased to $322.6 and the company had total cash in hand of $40.1 million.
• The $60 million shares repurchase is completed which was announced back in 2018. The Board of Directors had approved another shares repurchase program worth of $75 million. In the 4^th quarter of the fiscal year 2021 the company repurchased 247,003 common stock shares for an average price of $22.03 per share totaling $5.4 million.

Effect on the stock:

As soon as the news hit the market the stock of the company surged in the after-hours and investors were responding positively. The company reported a very strong balance sheet and paid most of its debt and emerged as stronger than before, due to which investors are trusting to invest in its stock.

Conclusion: Despite of the inflation and supply chain disruption challenges the company managed to report a good financial statement for the fiscal year 2021. The company is looking forward to create more value for its shareholders will continue the growth of the company.