Revenue: GAAP up 5.9%, Adjusted up 6.4%

EPS: GAAP up 28.6%, Adjusted up 19.1%

Raising Lower End and Narrowing Range of GAAP and Adjusted EPS Outlook

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 September 30, 2022.

"2022 is unfolding in line with our expectations as our focus on simplifying operations and margin recovery pays off. Our operating performance across our businesses was strong in the third quarter, with our Renewables and Agtech businesses showing continuing margin improvement as we anticipated, and the Residential and Infrastructure businesses both generating solid revenue and margin results," stated Chairman and CEO Bill Bosway.

Third Quarter 2022 Consolidated Results from Continuing Operations

Below are third quarter 2022 consolidated results from continuing operations:

	Three Months Ended September 30, 2022
$Millions, except EPS	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$391.3	$369.4	5.9%	$389.0	$365.5	6.4%
Net Income	$34.3	$27.9	22.9%	$35.7	$31.2	14.4%
Diluted EPS	$1.08	$0.84	28.6%	$1.12	$0.94	19.1%

Revenue increased 5.9% to $391.3 million and adjusted revenue increased 6.4% to $389.0 million. Approximately half of the increase was organic growth with the remainder from the acquisition of Quality Aluminum Products (QAP). Revenue growth was driven by participation gains, price management, and the acquisition of Quality Aluminum Products in the Residential segment, offset by continuing end market supply chain challenges and project delays in the Renewables and Agtech segments.

GAAP earnings increased 22.9% to $34.3 million, or $1.08 per share, and adjusted earnings increased 14.4% to $35.7 million, or $1.12 per share. EPS growth of 28.6% and 19.1% in the quarter on a GAAP and adjusted basis, respectively, was driven by participation gains, price management, business mix, and 80/20 initiatives and the share repurchase program.

Adjusted measures exclude charges for restructuring initiatives, acquisition-related items, senior leadership transition costs, and the results of the Processing business, which was classified as held for sale in the first quarter of 2022, as further described in the appended reconciliation of adjusted financial measures.

Third Quarter Segment Results

Renewables

For the third quarter, the Renewables segment reported:

	Three Months Ended September 30, 2022
$Millions	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$111.1	$130.2	(14.7)%	$111.1	$130.2	(14.7)%
Operating Income	$14.2	$12.2	16.4%	$14.3	$14.8	(3.4)%
Operating Margin	12.8%	9.4%	340 bps	12.9%	11.4%	150 bps

Segment revenue was down 14.7% and backlog decreased 9%. The timing and progress of solar projects depend upon the supply of solar panels, and solar installations continue to be impacted by supply constraints due to the Uyghur Forced Labor Prevention Act (UFLPA), which was enacted in June, and a three-month delay by the U.S. Department of Commerce for its preliminary ruling on its solar panel anti-dumping / countervailing duties (AD/CVD) anticircumvention investigation.

Despite the effects of this trade environment, adjusted operating margin improved as expected, increasing 150 basis points year-over-year and 590 basis points sequentially, driven by improved project management, price / cost alignment, and field operations efficiencies.

Residential

For the third quarter, the Residential segment reported:

	Three Months Ended September 30, 2022
$Millions	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$215.6	$171.5	25.7%	$215.6	$171.5	25.7%
Operating Income	$35.8	$29.5	21.4%	$36.3	$29.6	22.6%
Operating Margin	16.6%	17.2%	(60) bps	16.8%	17.2%	(40) bps

Revenue increased 25.7%, the segment's ninth consecutive quarter of double-digit growth, with organic revenue up 19.0% and the acquisition of Quality Aluminum Products contributing 6.7% of the growth. Organic revenue growth was driven by pricing, participation gains and market demand.

Adjusted operating income grew 22.6% and adjusted operating margin was flat on an organic basis. The recent acquisition of Quality Aluminum Products drove the 40 basis point decrease to 16.8%. We expect QAP margins to improve as 80/20 is implemented.

Agtech

For the third quarter, the Agtech segment reported:

	Three Months Ended September 30, 2022
$Millions	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$44.2	$49.0	(9.8)%	$41.9	$45.2	(7.3)%
Operating Income	$3.8	$2.2	72.7%	$4.5	$3.9	15.4%
Operating Margin	8.5%	4.5%	400 bps	10.7%	8.7%	200 bps

GAAP revenue decreased 9.8%, with adjusted revenue down 7.3% due to Produce project movement partially offset by strong Commercial business. While quote activity remains robust, backlog decreased 7% on a challenging year-over-year comparison.

GAAP operating margin improved 400 basis points and adjusted operating margin 200 basis points. On a sequential basis, adjusted operating margin improved 400 basis points. Margin performance was driven by good business mix, improving price / cost management, supply chain improvement, and 80/20 initiatives.

Infrastructure

For the third quarter, the Infrastructure segment reported:

	Three Months Ended September 30, 2022
$Millions	GAAP			Adjusted
	2022	2021	% Change	2022	2021	% Change
Net Sales	$20.4	$18.7	9.1%	$20.4	$18.7	9.1%
Operating Income	$2.6	$1.6	62.5%	$2.6	$1.6	62.5%
Operating Margin	12.6%	8.8%	380 bps	12.6%	8.8%	380 bps

Revenue increased 9.1% as bidding activity remained very strong and backlog increased 11%. Management expects continued positive impact from increased infrastructure spending related to the Infrastructure Investment and Jobs Act through the end of this year and into 2023.

Operating income increased 62.5% and operating margins improved 380 basis points driven by price material cost alignment, volume leverage, positive mix and improved operating execution.

Business Outlook

Gibraltar is raising the lower end and narrowing the range of its EPS outlook for the full year 2022, with consolidated revenue still expected to range between $1.38 billion and $1.43 billion. GAAP EPS is expected to be between $2.90 and $3.00, and adjusted EPS expected to be between $3.30 and $3.40. Previous GAAP and Adjusted EPS guidance ranges were $2.80 to $3.00 and $3.20 to $3.40, respectively.

"Given our performance to date and our demand profile entering the fourth quarter, we remain confident in delivering our full-year EPS outlook. We remain very focused on simplifying our operations, executing for our customers and controlling the things we can control," said Mr. Bosway.

Third 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 third 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, adverse effects of inflation, 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 and the Uyghur Forced Labor Prevention Act (UFLPA)), 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 and nine-month periods ending September 30, 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 September 30,					Nine Months Ended September 30,
		2022		2021			2022		2021
Net sales	$	391,291	$	369,353		$	1,076,105	$	1,005,334
Cost of sales		296,735		286,101			826,434		781,133
Gross profit		94,556		83,252			249,671		224,201
Selling, general, and administrative expense		47,160		45,274			140,941		141,999
Income from operations		47,396		37,978			108,730		82,202
Interest expense		1,048		491			2,189		1,180
Other expense (income)		363		72			797		(4,279	)
Income before taxes		45,985		37,415			105,744		85,301
Provision for income taxes		11,690		9,561			26,686		20,578
Income from continuing operations		34,295		27,854			79,058		64,723
Discontinued operations:
(Loss) income before taxes		—		(201	)		—		1,867
Provision for income taxes		—		97			—		323
(Loss) income from discontinued operations		—		(298	)		—		1,544
Net income	$	34,295	$	27,556		$	79,058	$	66,267
Net earnings per share – Basic:
Income from continuing operations	$	1.08	$	0.85		$	2.44	$	1.97
(Loss) income from discontinued operations		—		(0.01	)		—		0.05
Net income	$	1.08	$	0.84		$	2.44	$	2.02
Weighted average shares outstanding – Basic		31,707		32,802			32,396		32,791
Net earnings per share – Diluted:
Income from continuing operations	$	1.08	$	0.84		$	2.43	$	1.96
(Loss) income from discontinued operations		—		(0.01	)		—		0.05
Net income	$	1.08	$	0.83		$	2.43	$	2.01
Weighted average shares outstanding – Diluted		31,812		33,050			32,503		33,055

GIBRALTAR INDUSTRIES, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except per share data)

	September 30, 2022			December 31, 2021
	(unaudited)
Assets
Current assets:
Cash and cash equivalents	$	21,919		$	12,849
Accounts receivable, net of allowance of $3,847 and $3,738, respectively		275,704			236,444
Inventories, net		204,000			176,207
Prepaid expenses and other current assets		37,578			21,467
Total current assets		539,201			446,967
Property, plant, and equipment, net		105,097			96,885
Operating lease assets		24,850			18,120
Goodwill		510,866			510,942
Acquired intangibles		145,374			141,504
Other assets		875			483
	$	1,326,263		$	1,214,901
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable	$	157,167		$	172,286
Accrued expenses and other current liabilities		82,789			67,993
Billings in excess of cost		42,412			46,711
Total current liabilities		282,368			286,990
Long-term debt		121,840			23,781
Deferred income taxes		40,257			40,278
Non-current operating lease liabilities		17,956			11,390
Other non-current liabilities		20,351			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; 34,034 shares and 33,799 shares issued and outstanding in 2022 and 2021		340			338
Additional paid-in capital		320,428			314,541
Retained earnings		624,630			545,572
Accumulated other comprehensive (loss) income		(6,769	)		187
Treasury stock, at cost, 2,530 and 1,107 shares in 2022 and 2021		(95,138	)		(35,380	)
Total stockholders' equity		843,491			825,258
	$	1,326,263		$	1,214,901

GIBRALTAR INDUSTRIES, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) (unaudited)

	Nine Months Ended September 30,
		2022			2021
Cash Flows from Operating Activities
Net income	$	79,058		$	66,267
Income from discontinued operations		—			1,544
Income from continuing operations		79,058			64,723
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization		19,192			23,958
Stock compensation expense		5,889			6,769
Exit activity costs, non-cash		1,427			1,193
Provision for (benefit of) deferred income taxes		181			(689	)
Other, net		3,620			1,274
Changes in operating assets and liabilities, excluding the effects of acquisitions:
Accounts receivable		(25,538	)		(65,297	)
Inventories		(19,840	)		(65,906	)
Other current assets and other assets		393			(316	)
Accounts payable		(24,756	)		32,029
Accrued expenses and other non-current liabilities		(1,065	)		(12,261	)
Net cash provided by (used in) operating activities of continuing operations		38,561			(14,523	)
Net cash used in operating activities of discontinued operations		—			(2,002	)
Net cash provided by (used in) operating activities		38,561			(16,525	)
Cash Flows from Investing Activities
Acquisitions, net of cash acquired		(51,621	)		4,143
Purchases of property, plant, and equipment		(15,704	)		(13,251	)
Net proceeds from sale of business		—			38,062
Net cash (used in) provided by investing activities of continuing operations		(67,325	)		28,954
Net cash used in investing activities of discontinued operations		—			(176	)
Net cash (used in) provided by investing activities		(67,325	)		28,778
Cash Flows from Financing Activities
Proceeds from long-term debt		197,800			58,500
Long-term debt payments		(100,000	)		(83,636	)
Purchase of common stock at market prices		(58,125	)		(6,161	)
Net proceeds from issuance of common stock		—			1,021
Net cash provided by (used in) financing activities		39,675			(30,276	)
Effect of exchange rate changes on cash		(1,841	)		(97	)
Net increase (decrease) in cash and cash equivalents		9,070			(18,120	)
Cash and cash equivalents at beginning of year		12,849			32,054
Cash and cash equivalents at end of period	$	21,919		$	13,934

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

	Three Months Ended September 30,2022
	As Reported In GAAP Statements			Restructuring & Senior Leadership Transition Costs			Acquisition Related Items			Portfolio Management			Adjusted Financial Measures
Net Sales
Renewables	$	111,119		$	—		$	—		$	—		$	111,119
Residential		215,592			—			—			—			215,592
Agtech		44,217			—			—			(2,326	)		41,891
Infrastructure		20,363			—			—			—			20,363
Consolidated sales		391,291			—			—			(2,326	)		388,965

Income from operations
Renewables		14,216			(42	)		126			—			14,300
Residential		35,802			12			476			—			36,290
Agtech		3,777			232			—			481			4,490
Infrastructure		2,572			—			—			—			2,572
Segments Income		56,367			202			602			481			57,652
Unallocated corporate expense		(8,971	)		82			522			—			(8,367	)
Consolidated income from operations		47,396			284			1,124			481			49,285

Interest expense		1,048			—			—			—			1,048
Other expense		363			—			—			—			363
Income before income taxes		45,985			284			1,124			481			47,874
Provision for income taxes		11,690			74			285			124			12,173
Income from continuing operations	$	34,295		$	210		$	839		$	357		$	35,701
Income from continuing operations per share - diluted	$	1.08		$	0.01		$	0.02		$	0.01		$	1.12

Operating margin
Renewables		12.8	%		—	%		0.1	%		—	%		12.9	%
Residential		16.6	%		—	%		0.2	%		—	%		16.8	%
Agtech		8.5	%		0.5	%		—	%		1.1	%		10.7	%
Infrastructure		12.6	%		—	%		—	%		—	%		12.6	%
Segments Margin		14.4	%		0.1	%		0.1	%		0.1	%		14.8	%
Consolidated		12.1	%		0.1	%		0.3	%		0.1	%		12.7	%

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

	Three Months Ended September 30, 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	$	130,162		$	—		$	—		$	130,162		$	—		$	130,162
Residential		171,545			—			—			171,545			—			171,545
Agtech		48,975			—			—			48,975			(3,825	)		45,150
Infrastructure		18,671			—			—			18,671			—			18,671
Consolidated sales		369,353			—			—			369,353			(3,825	)		365,528

Income from operations
Renewables		12,206			523			2,064			14,793			—			14,793
Residential		29,482			83			—			29,565			—			29,565
Agtech		2,227			293			—			2,520			1,387			3,907
Infrastructure		1,640			—			—			1,640			—			1,640
Segments Income		45,555			899			2,064			48,518			1,387			49,905
Unallocated corporate expense		(7,577	)		41			53			(7,483	)		—			(7,483	)
Consolidated income from operations		37,978			940			2,117			41,035			1,387			42,422

Interest expense		491			—			—			491			—			491
Other expense		72			—			—			72			—			72
Income before income taxes		37,415			940			2,117			40,472			1,387			41,859
Provision for income taxes		9,561			198			515			10,274			355			10,629
Income from continuing operations	$	27,854		$	742		$	1,602		$	30,198		$	1,032		$	31,230
Income from continuing operations per share - diluted	$	0.84		$	0.02		$	0.05		$	0.91		$	0.03		$	0.94

Operating margin
Renewables		9.4	%		0.4	%		1.6	%		11.4	%		—	%		11.4	%
Residential		17.2	%		—	%		—	%		17.2	%		—	%		17.2	%
Agtech		4.5	%		0.6	%		—	%		5.1	%		3.6	%		8.7	%
Infrastructure		8.8	%		—	%		—	%		8.8	%		—	%		8.8	%
Segments Margin		12.3	%		0.2	%		0.5	%		13.1	%		0.6	%		13.7	%
Consolidated		10.3	%		0.2	%		0.5	%		11.1	%		0.5	%		11.6	%

*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)

	Nine Months Ended September 30, 2022
	As Reported In GAAP Statements			Restructuring & Senior Leadership Transition Charges			Acquisition Related Items			Portfolio Management			Adjusted Financial Measures
Net Sales
Renewables	$	291,451		$	—		$	—		$	—		$	291,451
Residential		595,322			—			—			—			595,322
Agtech		130,325			—			—			(6,897	)		123,428
Infrastructure		59,007			—			—			—			59,007
Consolidated sales		1,076,105			—			—			(6,897	)		1,069,208

Income from operations
Renewables		14,061			2,343			731			—			17,135
Residential		104,901			1,594			476			—			106,971
Agtech		5,350			320			—			4,115			9,785
Infrastructure		6,640			(63	)		—			—			6,577
Segments Income		130,952			4,194			1,207			4,115			140,468
Unallocated corporate expense		(22,222	)		531			529			—			(21,162	)
Consolidated income from operations		108,730			4,725			1,736			4,115			119,306

Interest expense		2,189			—			—			—			2,189
Other expense		797			—			—			100			897
Income before income taxes		105,744			4,725			1,736			4,015			116,220
Provision for income taxes		26,686			1,177			437			1,003			29,303
Income from continuing operations	$	79,058		$	3,548		$	1,299		$	3,012		$	86,917
Income from continuing operations per share - diluted	$	2.43		$	0.11		$	0.04		$	0.09		$	2.67

Operating margin
Renewables		4.8	%		0.8	%		0.3	%		—	%		5.9	%
Residential		17.6	%		0.2	%		0.1	%		—	%		18.0	%
Agtech		4.1	%		0.2	%		—	%		3.2	%		7.9	%
Infrastructure		11.3	%		(0.1	) %		—	%		—	%		11.1	%
Segments Margin		12.2	%		0.4	%		0.1	%		0.4	%		13.1	%
Consolidated		10.1	%		0.4	%		0.2	%		0.4	%		11.2	%

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

	Nine Months Ended September 30, 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	$	323,425		$	—		$	—		$	323,425		$	—		$	323,425
Residential		475,971			—			—			475,971			—			475,971
Agtech		149,410			—			—			149,410			(16,062	)		133,348
Infrastructure		56,528			—			—			56,528			—			56,528
Consolidated sales		1,005,334			—			—			1,005,334			(16,062	)		989,272

Income from operations
Renewables		21,195			6,280			5,822			33,297			—			33,297
Residential		79,571			177			—			79,748			—			79,748
Agtech		4,133			1,784			—			5,917			2,689			8,606
Infrastructure		7,863			—			—			7,863			—			7,863
Segments Income		112,762			8,241			5,822			126,825			2,689			129,514
Unallocated corporate expense		(30,560	)		1,407			968			(28,185	)		—			(28,185	)
Consolidated income from operations		82,202			9,648			6,790			98,640			2,689			101,329

Interest expense		1,180			—			—			1,180			—			1,180
Other (income) expense		(4,279	)		—			4,747			468			—			468
Income before income taxes		85,301			9,648			2,043			96,992			2,689			99,681
Provision for income taxes		20,578			2,389			73			23,040			700			23,740
Income from continuing operations	$	64,723		$	7,259		$	1,970		$	73,952		$	1,989		$	75,941
Income from continuing operations per share - diluted	$	1.96		$	0.22		$	0.06		$	2.24		$	0.06		$	2.30

Operating margin
Renewables		6.6	%		1.9	%		1.8	%		10.3	%		—	%		10.3	%
Residential		16.7	%		—	%		—	%		16.8	%		—	%		16.8	%
Agtech		2.8	%		1.2	%		—	%		4.0	%		2.5	%		6.5	%
Infrastructure		13.9	%		—	%		—	%		13.9	%		—	%		13.9	%
Segments Margin		11.2	%		0.8	%		0.6	%		12.6	%		0.5	%		13.1	%
Consolidated		8.2	%		1.0	%		0.7	%		9.8	%		0.4	%		10.2	%

*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 September 30,2022
	Consolidated			Renewables			Residential			Agtech			Infrastructure

Net Sales	$	391,291		$	111,119		$	215,592		$	44,217		$	20,363
Less: Processing Revenues*		(2,326	)		—			—			(2,326	)		—
Adjusted Net Sales	$	388,965		$	111,119		$	215,592		$	41,891		$	20,363

Income From Continuing Operations		34,295
Provision for Income Taxes		11,690
Interest Expense		1,048
Other Expense		363
Operating Profit		47,396			14,216			35,802			3,777			2,572
Adjusted Measures**		1,889			84			488			713			—
Adjusted Operating Profit		49,285			14,300			36,290			4,490			2,572
Adjusted Operating Margin		12.7	%		12.9	%		16.8	%		10.7	%		12.6	%
Adjusted Other Expense & Loss on Sale of PPE		364			—			—			—			—
Depreciation & Amortization		6,515			2,088			2,296			1,015			789
Less: Held for Sale Depreciation & Amortization		—			—			—			—			—
Adjusted Depreciation & Amortization		6,515			2,088			2,296			1,015			789
Stock Compensation Expense		1,764			296			313			142			55
Less: Senior Leadership Transition Related Stock Compensation Recovery		—			—			—			—			—
Adjusted Stock Compensation Expense		1,764			296			313			142			55

Adjusted EBITDA		57,200			16,684			38,899			5,647			3,416

Adjusted EBITDA Margin		14.7	%		15.0	%		18.0	%		13.5	%		16.8	%
*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 September 30, 2021
	Consolidated			Renewables			Residential			Agtech			Infrastructure

Net Sales	$	369,353		$	130,162		$	171,545		$	48,975		$	18,671
Less: Processing Revenues*		(3,825	)		—			—			(3,825	)		—
Adjusted Net Sales	$	365,528		$	130,162		$	171,545		$	45,150		$	18,671

Income From Continuing Operations		27,854
Provision for Income Taxes		9,561
Interest Expense		491
Other Expense		72
Operating Profit		37,978			12,206			29,482			2,227			1,640
Adjusted Measures**		4,444			2,587			83			1,680			—
Adjusted Operating Profit		42,422			14,793			29,565			3,907			1,640
Adjusted Operating Margin		11.6	%		11.4	%		17.2	%		8.7	%		8.8	%
Adjusted Other Expense		72			—			—			—			—
Depreciation & Amortization		7,944			3,625			2,150			1,337			775
Less: Held for Sale Depreciation & Amortization		(331	)		—			—			(331	)		—
Less: Acquisition-Related Amortization		(1,568	)		(1,568	)		—			—			—
Adjusted Depreciation & Amortization		6,045			2,057			2,150			1,006			775
Stock Compensation Expense		1,834			224			264			175			27
Less: Senior Leadership Transition Related Stock Compensation Expense		(125	)		—			—			(36	)		—
Adjusted Stock Compensation Expense		1,709			224			264			139			27

Adjusted EBITDA		50,104			17,074			31,979			5,052			2,442

Adjusted EBITDA Margin		13.7	%		13.1	%		18.6	%		11.2	%		13.1	%
*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)

	Nine Months Ended September 30, 2022
	Consolidated			Renewables			Residential			Agtech			Infrastructure

Net Sales	$	1,076,105		$	291,451		$	595,322		$	130,325		$	59,007
Less: Processing Revenues*		(6,897	)		—			—			(6,897	)		—
Adjusted Net Sales	$	1,069,208		$	291,451		$	595,322		$	123,428		$	59,007

Income From Continuing Operations		79,058
Provision for Income Taxes		26,686
Interest Expense		2,189
Other Expense		797
Operating Profit		108,730			14,061			104,901			5,350			6,640
Adjusted Measures**		10,576			3,074			2,070			4,435			(63	)
Adjusted Operating Profit		119,306			17,135			106,971			9,785			6,577
Adjusted Operating Margin		11.2	%		5.9	%		18.0	%		7.9	%		11.1	%
Adjusted Other Expense & Loss on Sale of PPE		888			—			—			—			—
Depreciation & Amortization		19,192			6,344			6,374			3,347			2,364
Less: Held for Sale Depreciation & Amortization		(332	)		—			—			(332	)		—
Adjusted Depreciation & Amortization		18,860			6,344			6,374			3,015			2,364
Stock Compensation Expense		5,889			744			745			319			129
Less: Senior Leadership Transition Related Stock Compensation Recovery		155			—			—			—			—
Adjusted Stock Compensation Expense		6,044			744			745			319			129

Adjusted EBITDA		143,322			24,223			114,090			13,119			9,070

Adjusted EBITDA Margin		13.4	%		8.3	%		19.2	%		10.6	%		15.4	%
*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)

	Nine Months Ended September 30, 2021
	Consolidated			Renewables			Residential			Agtech			Infrastructure

Net Sales	$	1,005,334		$	323,425		$	475,971		$	149,410		$	56,528
Less: Processing Revenues*		(16,062	)		—			—			(16,062	)		—
Adjusted Net Sales	$	989,272		$	323,425		$	475,971		$	133,348		$	56,528

Income From Continuing Operations		64,723
Provision for Income Taxes		20,578
Interest Expense		1,180
Other Income		(4,279	)
Operating Profit		82,202			21,195			79,571			4,133			7,863
Adjusted Measures**		19,127			12,102			177			4,473			—
Adjusted Operating Profit		101,329			33,297			79,748			8,606			7,863
Adjusted Operating Margin		10.2	%		10.3	%		16.8	%		6.5	%		13.9