Revenue: GAAP up 11%, Adjusted up 12%; EPS: GAAP up 47%, Adjusted up 11%

Reaffirms 2022 Revenue and EPS Growth Outlook

Order Backlog Remains Robust, up 23%

Commits to Sale of Agtech's Processing Business

Gibraltar Industries, Inc. (NASDAQ:ROCK), a leading manufacturer and provider of products and services for the renewable energy, residential, agtech and infrastructure markets, today reported its financial results for the three-month period ended March 31, 2022.

"Gibraltar generated solid revenue and EPS growth in the quarter despite the continuation of supply issues impacting our solar customers, the solar industry, and our Renewables business, particularly early in the quarter," Chairman and CEO Bill Bosway stated. "Our Residential business generated strong revenue and margin performance, our Agtech business continued to expand adjusted operating margin, and our Infrastructure business delivered strong revenue growth. Demand across the company remains very solid with our backlog up 23% during the quarter."

First Quarter 2022 Consolidated Results from Continuing Operations

Below are first quarter 2022 consolidated results from continuing operations:

	Three Months Ended March 31,
$Millions, except EPS	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$317.9	$287.6	10.5%	$316.0	$282.6	11.8%
Net Income	$15.5	$10.5	47.6%	$19.7	$18.0	9.4%
Diluted EPS	$0.47	$0.32	46.9%	$0.60	$0.54	11.1%

Net sales from continuing operations increased 10.5% to $317.9 million. Gibraltar made the decision during the first quarter of 2022 to sell its Agtech processing equipment business and, as adjusted to exclude this business's revenue, adjusted revenue increased 11.8% to $316.0 million. This organic increase was driven by participation gains and price management in the Residential segment, partially offset by continued supply chain challenges in the Renewables segment.

GAAP earnings increased 47.6% to $15.5 million, or $0.47 per share, and adjusted earnings increased 9.4% to $19.7 million, or $0.60 per share. Profitability in the quarter was driven by Residential through participation gains, price management and 80/20 initiatives. While Agtech GAAP margin decreased year-over-year, adjusted segment margin improved through 80/20 and lean enterprise initiatives, supply chain optimization activities, and favorable business mix. As anticipated, the Renewables segment experienced a carryover of the supply challenges plaguing the industry in 2021 during the first quarter, and was also impacted by project inefficiencies due to severe winter weather. Infrastructure margin was impacted by steel inflation, labor availability, and 2^nd shift start-up inefficiencies to support demand in the fabrication business.

Adjusted measures exclude charges for restructuring initiatives, acquisition-related items, senior leadership transition costs, and the results of our Processing business, which has been classified as held for sale as further described in adjusted financial measures below.

First Quarter Segment Results

Renewables

For the first quarter, the Renewables segment reported:

	Three Months Ended March 31,
$Millions	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$78.8	$85.5	(7.8)%	$78.8	$85.5	(7.8)%
Operating (Loss) Income	$(7.0)	$(0.5)	nmf*	$(4.3)	$6.4	nmf*
Operating Margin	(8.9)%	(0.6)%	(830) bps	(5.4)%	7.4%	(1280) bps
*nmf - change is not meaningful

As expected, the industry-wide supply chain challenges experienced in 2021 continued to delay and disrupt solar project schedules in the first quarter, and severe weather in the Northeast, particularly in January and February, also contributed to project delays and disruptions. While revenue decreased 7.8% for the quarter, end market demand remained robust with new bookings driving backlog up 41% during the quarter.

Adjusted operating loss was $4.3 million and operating margin contracted to (5.4)% on lower volume and field management inefficiencies related to project delays and disruptions. These factors began to abate in March and Gibraltar expects significant sequential margin improvement in the second quarter.

Residential

For the first quarter, the Residential segment reported:

	Three Months Ended March 31,
$Millions	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$179.5	$140.2	28.0%	$179.5	$140.2	28.0%
Operating Income	$33.4	$22.9	45.9%	$33.7	$23.0	46.5%
Operating Margin	18.6%	16.4%	220 bps	18.8%	16.4%	240 bps

Revenue increased 28.0%, marking the seventh consecutive quarter of double-digit growth. Revenue was driven by market, price and participation gains both in the building products and mail and package businesses.

Adjusted operating income grew 46.5% and adjusted operating margin improved 240 basis points to 18.8% as price/cost management, segment mix, and 80/20 initiatives continue to drive year-over-year margin improvement.

Agtech

Gibraltar has classified the processing equipment business, which accounted for 10% of the Agtech segment's 2021 revenue, as held-for-sale with first quarter 2022 results and has removed the related revenues and expenses of this business from its adjusted results. This market has been significantly impacted by industry conditions and the pandemic over the last two years, and its recovery projection no longer fits Gibraltar's timetable for growth and return generation. This decision will enable the Agtech team to focus on accelerating in its more profitable greenhouse structures markets - Produce, Commercial, and Cannabis.

For the first quarter, the Agtech segment reported:

	Three Months Ended March 31,
$Millions	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$42.4	$46.7	(9.2)%	$40.6	$41.8	(2.9)%
Operating Income	$0.0	$0.9	(100.0)%	$2.5	$2.0	25.0%
Operating Margin	0.1%	2.0%	(190) bps	6.3%	4.7%	160 bps

GAAP revenue decreased 9.2% and adjusted revenue decreased 2.9% as projects were delayed as states and local agencies continue to work through respective construction permit backlogs and scheduled timing of projects. Despite these delays, market demand in Produce, Commercial, and Cannabis continues to grow with order backlog increasing 18% in the quarter.

Adjusted operating margin improved 160 basis points versus last year on continued execution 80/20 and lean enterprise initiatives, integration activities, improved business mix, and supply chain optimization projects.

Infrastructure

For the first quarter, the Infrastructure segment reported:

	Three Months Ended March 31,
$Millions	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$17.2	$15.1	13.9%	$17.2	$15.1	13.9%
Operating Income	$1.2	$2.0	(40.0)%	$1.2	$2.0	(40.0)%
Operating Margin	6.9%	13.5%	(660) bps	6.9%	13.5%	(660) bps

Revenue increased 13.9%, driven by growth in fabricated products. While order backlog declined 7% on timing of orders and revenues, pipeline and bidding activity remain strong. Management continues to expect a positive impact of incremental government spending on infrastructure toward the end of 2022.

Adjusted operating margin decreased year-over-year but remained flat sequentially as steel inflation impacted fixed price projects booked in 2020 and early 2021. The fabrication business also experienced challenges with labor availability and inefficiencies related to adding second shift capacity to support increased demand. Margins are expected to improve through 2022 as incremental capacity becomes more efficient and orders for higher margin, non-fabricated product continue to improve.

Business Outlook

Gibraltar is reaffirming guidance for revenue and earnings for the full year 2022, with consolidated revenue expected to range between $1.38 billion and $1.43 billion. GAAP EPS is expected to be between $2.80 and $3.00, and adjusted EPS expected to be between $3.20 and $3.40.

"Given our solid start to the year and current demand across the business, our outlook for the year remains unchanged. We expect our Renewables segment to improve in the second quarter and are working closely with customers to assess potential exposure to the Department of Commerce's solar panel anti-circumvention investigation. We expect solid performance in our Residential segment as we continue to execute on demand, manage price/cost, and gain additional participation. We look for the Agtech segment's performance to continue to improve as it executes on higher margin backlog and benefits from 80/20 and lean initiatives. We expect Infrastructure to have a solid year with favorable business mix, good volume, and improved efficiency in its operations," said Mr. Bosway.

Recast of 2021 Financial Information

Gibraltar has provided a recast of Consolidated and Agtech segment results reflecting the removal of the processing equipment business for the four quarters and full year of 2021 on the Quarterly Results page of its website, which can be accessed through the Investor section by clicking on Reports & Presentations.

First Quarter 2022 Conference Call Details

Gibraltar will host a conference call today starting at 9:00 a.m. ET to review its results for the first quarter of 2022. Interested parties may access the webcast through the Investors section of the Company's website at www.gibraltar1.com, where related presentation materials will also be posted prior to the conference call. The call may also be accessed by dialing into the call at (877) 407-3088 or (201) 389-0927. For interested individuals unable to join the live conference call, a webcast replay will be available on the Company's website for one year.

About Gibraltar

Gibraltar is a leading manufacturer and provider of products and services for the renewable energy, residential, agtech, and infrastructure markets. Gibraltar's mission, to make life better for people and the planet, is fueled by advancing the disciplines of engineering, science, and technology. Gibraltar is innovating to reshape critical markets in comfortable living, sustainable power, and productive growing throughout North America. For more please visit www.gibraltar1.com.

Forward-Looking Statements

Certain information set forth in this news release, other than historical statements, contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that are based, in whole or in part, on current expectations, estimates, forecasts, and projections about the Company's business, and management's beliefs about future operations, results, and financial position. These statements are not guarantees of future performance and are subject to a number of risk factors, uncertainties, and assumptions. Actual events, performance, or results could differ materially from the anticipated events, performance, or results expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from current expectations include, among other things, the availability and pricing of our principal raw materials and component parts, supply chain challenges causing project delays and field operations inefficiencies and disruptions, availability of labor at our manufacturing and distribution facilities or on our project sites, further impacts of COVID-19 on our customers, suppliers, employees, operations, business, liquidity and cash flows, the loss of any key customers, other general economic conditions and conditions in the particular markets in which we operate, changes in customer demand and capital spending, competitive factors and pricing pressures, our ability to develop and launch new products in a cost-effective manner, our ability to realize synergies from newly acquired businesses, disruptions to our IT systems, the impact of regulation (including the Department of Commerce's solar panel anti-circumvention investigation), rebates, credits and incentives and variations in government spending and our ability to derive expected benefits from restructuring, productivity initiatives, liquidity enhancing actions, and other cost reduction actions. Before making any investment decisions regarding our company, we strongly advise you to read the section entitled "Risk Factors" in our most recent annual report on Form 10-K and Quarterly Report on Form 10-Q which can be accessed under the "SEC Filings" link of the "Investor Info" page of our website at www.Gibraltar1.com. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable law or regulation.

Adjusted Financial Measures

To supplement Gibraltar's consolidated financial statements presented on a GAAP basis, Gibraltar also presented certain adjusted financial measures in this news release, including adjusted revenues, adjusted operating income and margin, adjusted net income, adjusted earnings per share (EPS) and adjusted earnings before interest, taxes, depreciation and amortization (Adjusted EBITDA) each a non-GAAP financial measure. Adjusted revenue reflects the removal of revenue associated with our Processing business, which has been classified as held-for-sale. Adjusted net income, operating income and margin excludes special charges consisting of restructuring costs primarily associated with 80/20 simplification or lean initiatives, senior leadership transition costs, acquisition related costs and the operating losses generated by our processing business that has been classified as held-for-sale. These special charges are excluded since they may not be considered directly related to the Company's ongoing business operations. The adjusted measures now exclude the results of the Processing business since it was classified as held for sale as of March 31, 2022. Our adjusted financial measures as of and for the three-month period ending March 31, 2021 have been recast to reflect this additional adjustment as detailed in the appended reconciliation of adjusted financial measures. The results of the Processing business are considered non-recurring due to the Company's commitment during the first quarter of 2022 to a plan to sell the Processing business. The aforementioned exclusions along with other adjustments to other income below operating profit are excluded from adjusted EPS. Adjusted EBITDA further excludes depreciation, amortization and stock compensation. In evaluating its business, the Company considers and uses these non-GAAP financial measures as supplemental measures of its operating performance. The Company believes that the presentation of results excluding these items provides meaningful supplemental data to investors that are indicative of the Company's core operating results and facilitates comparison of operating results across reporting periods as well as comparison with other companies. Adjusted EBITDA is also a useful measure of the Company's ability to service debt and is one of the measures used for determining the Company's debt covenant compliance.

Adjustments to the most directly comparable financial measures presented on a GAAP basis are quantified in the reconciliation of adjusted financial measures excluding special charges provided in the supplemental financial schedules that accompany this news release. These adjusted measures should not be viewed as a substitute for the Company's GAAP results and may be different than adjusted measures used by other companies and our presentation of non-GAAP financial measures should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items.

Reconciliations of non-GAAP measures related to full-year 2022 guidance have not been provided due to the unreasonable efforts it would take to provide such reconciliations due to the high variability, complexity and uncertainty with respect to forecasting and quantifying certain amounts that are necessary for such reconciliations.

GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share data)
(unaudited)
	Three Months Ended March 31,
		2022		2021
Net Sales	$	317,865	$	287,592
Cost of sales		253,021		227,574
Gross profit		64,844		60,018
Selling, general, and administrative expense		43,649		47,203
Income from operations		21,195		12,815
Interest expense		485		444
Other expense		153		315
Income before taxes		20,557		12,056
Provision for income taxes		5,101		1,560
Income from continuing operations		15,456		10,496
Discontinued operations:
Income before taxes		—		2,570
Provision for income taxes		—		304
Income from discontinued operations		—		2,266
Net income	$	15,456	$	12,762
Net earnings per share – Basic:
Income from continuing operations	$	0.47	$	0.32
Income from discontinued operations		—		0.07
Net income	$	0.47	$	0.39
Weighted average shares outstanding – Basic		32,913		32,771
Net earnings per share – Diluted:
Income from continuing operations	$	0.47	$	0.32
Income from discontinued operations		—		0.07
Net income	$	0.47	$	0.39
Weighted average shares outstanding – Diluted		33,022		33,104

GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)
	March 31, 2022		December 31, 2021
	(unaudited)
Assets
Current assets:
Cash and cash equivalents	$	15,573	$	12,849
Accounts receivable, net of allowance of $4,433 and $3,738, respectively		245,807		236,444
Inventories, net		187,255		176,207
Prepaid expenses and other current assets		36,836		21,467
Total current assets		485,471		446,967
Property, plant, and equipment, net		97,720		96,885
Operating lease assets		16,082		18,120
Goodwill		510,540		510,942
Acquired intangibles		132,107		141,504
Other assets		420		483
	$	1,242,340	$	1,214,901
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	159,214	$	172,286
Accrued expenses and other current liabilities		67,495		67,993
Billings in excess of cost		60,992		46,711
Total current liabilities		287,701		286,990
Long-term debt		42,367		23,781
Deferred income taxes		40,221		40,278
Non-current operating lease liabilities		9,377		11,390
Other non-current liabilities		24,272		27,204
Stockholders' equity:
Preferred stock, $0.01 par value; authorized 10,000 shares; none outstanding		—		—
Common stock, $0.01 par value; authorized 100,000 shares in 2022 and 2021; 33,972 shares and 33,799 shares issued and outstanding in 2022 and 2021		340		338
Additional paid-in capital		315,891		314,541
Retained earnings		561,028		545,572
Accumulated other comprehensive (loss) income		(16)		187
Cost of 1,179 and 1,107 common shares held in treasury in 2022 and 2021		(38,841)		(35,380)
Total stockholders' equity		838,402		825,258
	$	1,242,340	$	1,214,901

GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)
	Three Months Ended March 31,
		2022		2021
Cash Flows from Operating Activities
Net income	$	15,456	$	12,762
Income from discontinued operations		—		2,266
Income from continuing operations		15,456		10,496
Adjustments to reconcile net income to net cash used in operating activities:
Depreciation and amortization		6,336		7,974
Stock compensation expense		1,352		2,368
Exit activity costs, non-cash		1,198		1,193
Provision for deferred income taxes		17		—
Other, net		1,395		(162)
Changes in operating assets and liabilities, excluding the effects of acquisitions:
Accounts receivable		(11,101)		(2,522)
Inventories		(20,937)		(15,262)
Other current assets and other assets		731		(435)
Accounts payable		(11,962)		1,470
Accrued expenses and other non-current liabilities		9,761		(6,334)
Net cash used in operating activities of continuing operations		(7,754)		(1,214)
Net cash used in operating activities of discontinued operations		—		(2,011)
Net cash used in operating activities		(7,754)		(3,225)
Cash Flows from Investing Activities
Acquisitions, net of cash acquired		—		(2)
Net proceeds from sale of property and equipment		7		—
Purchases of property, plant, and equipment		(4,409)		(4,389)
Net proceeds from sale of business		—		26,991
Net cash (used in) provided by investing activities of continuing operations		(4,402)		22,600
Net cash used in investing activities of discontinued operations		—		(176)
Net cash (used in) provided by investing activities		(4,402)		22,424
Cash Flows from Financing Activities
Proceeds from long-term debt		47,500		20,000
Long-term debt payments		(29,000)		(46,636)
Purchase of common stock at market prices		(3,461)		(4,662)
Net proceeds from issuance of common stock		—		910
Net cash provided by (used in) financing activities		15,039		(30,388)
Effect of exchange rate changes on cash		(159)		(134)
Net increase (decrease) in cash and cash equivalents		2,724		(11,323)
Cash and cash equivalents at beginning of year		12,849		32,054
Cash and cash equivalents at end of period	$	15,573	$	20,731

GIBRALTAR INDUSTRIES, INC.
Reconciliation of Adjusted Financial Measures
(in thousands, except per share data)
(unaudited)

	Three Months Ended March 31,2022

	As Reported In GAAP Statements		Restructuring Charges		Senior Leadership Transition Costs		Acquisition Related Items		Portfolio Management		Adjusted Financial Measures
Net Sales
Renewables	$	78,783	$	—	$	—	$	—	$	—	$	78,783
Residential		179,485		—		—		—		—		179,485
Agtech		42,428		—		—		—		(1,823)		40,605
Infrastructure		17,169		—		—		—		—		17,169
Consolidated sales		317,865		—		—		—		(1,823)		316,042

Income from operations
Renewables		(6,984)		2,526		(209)		390		—		(4,277)
Residential		33,435		3		284		—		—		33,722
Agtech		31		(9)		—		—		2,525		2,547
Infrastructure		1,181		(63)		—		—		—		1,118
Segments Income		27,663		2,457		75		390		2,525		33,110
Unallocated corporate expense		(6,468)		20		255		7		—		(6,186)
Consolidated income from operations		21,195		2,477		330		397		2,525		26,924

Interest expense		485		—		—		—		—		485
Other expense		153		—		—		—		—		153
Income before income taxes		20,557		2,477		330		397		2,525		26,286
Provision for income taxes		5,101		622		83		100		634		6,540
Income from continuing operations	$	15,456	$	1,855	$	247	$	297	$	1,891	$	19,746
Income from continuing operations per share - diluted	$	0.47	$	0.05	$	0.01	$	0.01	$	0.06	$	0.60

Operating margin
Renewables		(8.9) %		3.2 %		(0.3) %		0.5 %		— %		(5.4) %
Residential		18.6 %		— %		0.2 %		— %		— %		18.8 %
Agtech		0.1 %		— %		— %		— %		6.0 %		6.3 %
Infrastructure		6.9 %		(0.4) %		— %		— %		— %		6.5 %
Segments Margin		8.7 %		0.8 %		— %		0.1 %		0.8 %		10.5 %
Consolidated		6.7 %		0.8 %		0.1 %		0.1 %		0.8 %		8.5 %

GIBRALTAR INDUSTRIES, INC.
Reconciliation of Adjusted Financial Measures
(in thousands, except per share data)
(unaudited)

	Three Months Ended March 31, 2021

	As Reported In GAAP Statements		Restructuring & Senior Leadership Transition Costs		Acquisition Related Items		Adjusted Financial Measures		Portfolio Management*		Adjusted Financial Measures*
Net Sales
Renewables	$	85,512	$	—	$	—	$	85,512	$	—	$	85,512
Residential		140,217		—		—		140,217		—		140,217
Agtech		46,739		—		—		46,739		(4,973)		41,766
Infrastructure		15,124		—		—		15,124		—		15,124
Consolidated sales		287,592		—		—		287,592		(4,973)		282,619

Income from operations
Renewables		(521)		4,971		1,900		6,350		—		6,350
Residential		22,934		65		—		22,999		—		22,999
Agtech		929		204		—		1,133		836		1,969
Infrastructure		2,037		—		—		2,037		—		2,037
Segments Income		25,379		5,240		1,900		32,519		836		33,355
Unallocated corporate expense		(12,564)		1,289		883		(10,392)		—		(10,392)
Consolidated income from operations		12,815		6,529		2,783		22,127		836		22,963

Interest expense		444		—		—		444		—		444
Other expense		315		—		—		315		—		315
Income before income taxes		12,056		6,529		2,783		21,368		836		22,204
Provision for income taxes		1,560		1,679		707		3,946		221		4,167
Income from continuing operations	$	10,496	$	4,850	$	2,076	$	17,422	$	615	$	18,037
Income from continuing operations per share - diluted	$	0.32	$	0.15	$	0.06	$	0.53	$	0.01	$	0.54

Operating margin
Renewables		(0.6) %		5.8 %		2.2 %		7.4 %		— %		7.4 %
Residential		16.4 %		— %		— %		16.4 %		— %		16.4 %
Agtech		2.0 %		0.4 %		— %		2.4 %		2.3 %		4.7 %
Infrastructure		13.5 %		— %		— %		13.5 %		— %		13.5 %
Segments Margin		8.8 %		1.8 %		0.7 %		11.3 %		0.5 %		11.8 %
Consolidated		4.5 %		2.2 %		1.0 %		7.7 %		0.4 %		8.1 %
*Recast to exclude processing equipment business which was reclassified as held for sale as of March 31, 2022.

GIBRALTAR INDUSTRIES, INC.
Reconciliation of Adjusted Financial Measures
(in thousands, except per share data)
(unaudited)

	Twelve Months Ended December 31, 2021

	As Reported In GAAP Statements		Restructuring & Intangible Asset Impairment Charges		Acquisition Related Items & Senior Leadership Transition Costs		Adjusted Financial Measures		Portfolio Management*		Adjusted Financial Measures *
Net Sales
Renewables	$	432,096	$	—	$	—	$	432,096	$	—	$	432,096
Residential		635,505		—		—		635,505		—		635,505
Agtech		199,161		—		—		199,161		(20,328)		178,833
Infrastructure		73,021		—		—		73,021		—		73,021
Consolidated sales		1,339,783		—		—		1,339,783		(20,328)		1,319,455

Income from operations
Renewables		20,158		5,962		8,610		34,730		—		34,730
Residential		105,821		393		—		106,214		—		106,214
Agtech		(931)		9,987		—		9,056		3,539		12,595
Infrastructure		8,911		26		—		8,937		—		8,937
Segments Income		133,959		16,368		8,610		158,937		3,539		162,476
Unallocated corporate expense		(36,971)		145		2,282		(34,544)		—		(34,544)
Consolidated income from operations		96,988		16,513		10,892		124,393		3,539		127,932

Interest expense		1,639		—		—		1,639		—		1,639
Other expense		(4,213)		—		4,747		534		—		534
Income before income taxes		99,562		16,513		6,145		122,220		3,539		125,759
Provision for income taxes		25,046		4,150		1,059		30,255		926		31,181
Income from continuing operations	$	74,516	$	12,363	$	5,086	$	91,965	$	2,613	$	94,578
Income from continuing operations per share - diluted	$	2.25	$	0.38	$	0.15	$	2.78	$	0.08	$	2.86

Operating margin
Renewables		4.7 %		1.4 %		2.0 %		8.0 %		— %		8.0 %
Residential		16.7 %		0.1 %		— %		16.7 %		— %		16.7 %
Agtech		(0.5) %		5.0 %		— %		4.5 %		2.5 %		7.0 %
Infrastructure		12.2 %		— %		— %		12.2 %		— %		12.2 %
Segments Margin		10.0 %		1.2 %		0.6 %		11.9 %		0.4 %		12.3 %
Consolidated		7.2 %		1.2 %		0.7 %		9.3 %		0.4 %		9.7 %

*Recast to exclude processing equipment business which was reclassified as held for sale as of March 31, 2022.

GIBRALTAR INDUSTRIES, INC.
Reconciliation of Income From Continuing Operations to Adjusted EBITDA
(in thousands)
(unaudited)

	Three Months Ended March 31,2022

	Consolidated		Renewables		Residential		Agtech		Infrastructure

Net Sales	$	317,865	$	78,783	$	179,485	$	42,428	$	17,169
Less: Processing Revenues*		(1,823)		—		—		(1,823)		—
Adjusted Net Sales	$	316,042	$	78,783	$	179,485	$	40,605	$	17,169

Income From Continuing Operations		15,456
Provision for Income Taxes		5,101
Interest Expense		485
Other Expense		153
Operating Profit		21,195		(6,984)		33,435		31		1,181

Adjusted Measures**		5,729		2,707		287		2,516		(63)
Adjusted Operating Profit		26,924		(4,277)		33,722		2,547		1,118
Adjusted Operating Margin		8.5 %		(5.4) %		18.8 %		6.3 %		6.5 %
Adjusted Other Expense		153		—		—		—		—
Depreciation & Amortization		6,336		2,143		2,053		1,319		783
Less: Held for Sale Depreciation & Amortization		(332)		—		—		(332)		—
Adjusted Depreciation & Amortization		6,004		2,143		2,053		987		783
Stock Compensation Expense		1,352		253		191		70		33
Less: Senior Leadership Transition Related Stock Compensation Recovery		155		—		—		—		—
Adjusted Stock Compensation Expense		1,507		253		191		70		33

Adjusted EBITDA		34,282		(1,881)		35,966		3,604		1,934

Adjusted EBITDA Margin		10.8 %		(2.4) %		20.0 %		8.9 %		11.3 %
*To remove revenues of processing equipment business classified as held for sale
** Adjusted Measures details are presented on the corresponding Reconciliation of Adjusted Financial Measures

GIBRALTAR INDUSTRIES, INC.
Reconciliation of Income From Continuing Operations to Adjusted EBITDA
(in thousands)
(unaudited)

	Three Months Ended March 31, 2021

	Consolidated		Renewables		Residential		Agtech		Infrastructure

Net Sales	$	287,592	$	85,512	$	140,217	$	46,739	$	15,124
Less: Processing Revenues*		(4,973)		—		—		(4,973)		—
Adjusted Net Sales	$	282,619	$	85,512	$	140,217	$	41,766	$	15,124

Income From Continuing Operations		10,496
Provision for Income Taxes		1,560
Interest Expense		444
Other Expense		315
Operating Profit		12,815		(521)		22,934		929		2,037

Adjusted Measures**		10,148		6,871		65		1,040		—
Adjusted Operating Profit		22,963		6,350		22,999		1,969		2,037
Adjusted Operating Margin		8.1 %		7.4 %		16.4 %		4.7 %		13.5 %
Adjusted Other Expense		315		—		—		—		—
Depreciation & Amortization		7,974		3,591		2,215		1,348		768
Less: Held for Sale Depreciation & Amortization		(330)		—		—		(330)		—
Less: Acquisition-Related Amortization		(1,575)		(1,575)		—		—		—
Adjusted Depreciation & Amortization		6,069		2,016		2,215		1,018		768
Stock Compensation Expense		2,368		154		220		151		28
Less: Senior Leadership Transition Related Stock Compensation Expense		(504)		—		—		—		—
Adjusted Stock Compensation Expense		1,864		154		220		151		28

Adjusted EBITDA		30,581		8,520		25,434		3,138		2,833

Adjusted EBITDA Margin		10.8 %		10.0 %		18.1 %		7.5 %		18.7 %
*To remove revenues of processing equipment business classified as held for sale
** Adjusted Measures details are presented on the corresponding Reconciliation of Adjusted Financial Measures

GIBRALTAR INDUSTRIES, INC.
Reconciliation of Income From Continuing Operations to Adjusted EBITDA
(in thousands)
(unaudited)

	Twelve Months Ended December 31, 2021

	Consolidated		Renewables		Residential		Agtech		Infrastructure

Net Sales	$	1,339,783	$	432,096	$	635,505	$	199,161	$	73,021
Less: Processing Revenues*		(20,328)		—		—		(20,328)		—
Adjusted Net Sales	$	1,319,455	$	432,096	$	635,505	$	178,833	$	73,021

Income From Continuing Operations		74,516
Provision for Income Taxes		25,046
Interest Expense		1,639
Other Income		(4,213)
Operating Profit		96,988		20,158		105,821		(931)		8,911
Adjusted Measures**		30,944		14,572		393		13,526		26
Adjusted Operating Profit		127,932		34,730		106,214		12,595		8,937
Adjusted Operating Margin		9.7 %		8.0 %		16.7 %		7.0 %		12.2 %
Adjusted Other Income		534		—		—		—		—
Depreciation & Amortization		31,966		14,682		8,694		5,279		3,092
Less: Held for Sale Depreciation & Amortization		(1,324)		—		—		(1,324)		—
Less: Acquisition-Related Amortization		(6,273)		(6,273)		—		—		—
Adjusted Depreciation & Amortization		24,369		8,409		8,694		3,955		3,092
Stock Compensation Expense		8,652		772		990		635		104
Less: Senior Leadership Transition Related Stock Compensation Expense		(757)		—		—		(36)		—
Adjusted Stock Compensation Expense		7,895		772		990		599		104

Adjusted EBITDA		159,662		43,911		115,898		17,149		12,133

Adjusted EBITDA Margin		12.1 %		10.2 %		18.2 %		9.6 %		16.6 %
*To remove revenues of processing equipment business classified as held for sale
** Adjusted Measures details are presented on the corresponding Reconciliation of Adjusted Financial Measures

View source version on businesswire.com: https://www.businesswire.com/news/home/20220504005217/en/

Gibraltar Announces First Quarter 2022 Financial Results