El AZEK Company Inc. (AZEK): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

En el mundo dinámico de los materiales de construcción sostenibles, Azek Company Inc. emerge como una fuerza pionera, transformando espacios de vida al aire libre con innovadoras soluciones de cubierta compuesta. Al combinar ingeniosamente la tecnología de polímeros avanzados, la conciencia ambiental y la versatilidad del diseño, Azek ha revolucionado cómo los propietarios, contratistas y arquitectos se acercan a los materiales de construcción exteriores. Su modelo de negocio meticulosamente elaborado representa un plan estratégico que no solo aborda las demandas del mercado, sino que también establece nuevos estándares de la industria para el rendimiento, la durabilidad y la responsabilidad ecológica.

Azek Company Inc. (Azek) - Modelo de negocios: asociaciones clave

Proveedores de productos de madera y madera

Azek obtiene materias primas de los siguientes proveedores de productos de madera y madera:

Proveedor	Volumen de suministro anual	Duración del contrato
Productos forestales universales	42,500 metros cúbicos	Acuerdo a 5 años
Compañía Weyerhaeuser	35,200 metros cúbicos	Contrato de 3 años
Luisiana-Pacific Corporation	28,700 metros cúbicos	Asociación de 4 años

Minoristas de mejoras para el hogar

Azek mantiene asociaciones estratégicas con importantes minoristas de mejoras para el hogar:

• The Home Depot: 27% de la distribución minorista total
• Lowe's: 19% de la distribución minorista total
• Menards: 8% de la distribución minorista total

Distribuidores de materiales de construcción

Las asociaciones clave de distribución de material de construcción incluyen:

Distribuidor	Volumen de ventas anual	Cobertura geográfica
ABC Supply Co.	$ 42.3 millones	35 estados
84 madera	$ 37.6 millones	28 estados
Distribución SRS	$ 29.8 millones	22 estados

Firmas arquitectónicas y de diseño

Azek colabora con redes de arquitectura profesional:

• Asociación del Instituto Americano del Instituto de Arquitectos (AIA)
• Asociación Nacional de Constructores de Viviendas (NAHB) Colaboración
• Profesionales de diseño en 47 estados

Proveedores de equipos de fabricación

Asociaciones críticas de equipos de fabricación:

Proveedor de equipos	Inversión anual	Tipo de equipo
Siemens Industrial	$ 12.7 millones	Maquinaria de extrusión
Robótica ABB	$ 8.3 millones	Sistemas de fabricación automatizados
Soluciones de proceso de Honeywell	$ 6.5 millones	Sistemas de control de procesos

Azek Company Inc. (Azek) - Modelo de negocios: actividades clave

Fabricación avanzada de polímero y material compuesto

Azek opera 4 instalaciones de fabricación ubicadas en Wilmington, Ohio; Scranton, Pensilvania; Akron, Ohio; y Belen, Nuevo México. La capacidad de fabricación total alcanzó los 350 millones de pies de la junta anualmente a partir de 2023.

Instalación de fabricación	Ubicación	Línea de productos primario
Instalación 1	Wilmington, Ohio	Materiales de cubierta
Instalación 2	Scranton, Pensilvania	Productos de recorte y moldeo
Instalación 3	Akron, Ohio	Materiales de construcción compuestos
Instalación 4	Belen, Nuevo México	Productos de polímero especializado

Investigación y desarrollo de productos

La inversión en I + D en 2023 totalizó $ 12.4 millones, lo que representa el 2.1% de los ingresos totales de la compañía. Las áreas de enfoque clave incluyen:

• Composición de material avanzado
• Tecnologías de mejora del rendimiento
• Desarrollo de material sostenible
• Optimización del proceso de fabricación

Innovación de material de construcción sostenible

Azek recicló aproximadamente 135 millones de libras de materiales reciclados en 2023, convirtiendo los plásticos de desechos y los restos de madera en productos de construcción de alto rendimiento.

Tipo de material reciclado	Cantidad (libras)	Porcentaje
Plásticos reciclados	82 millones	60.7%
Restos de madera reciclados	53 millones	39.3%

Marketing y posicionamiento de la marca

El gasto de marketing en 2023 fue de $ 24.6 millones, lo que representa el 4.2% de los ingresos totales de la compañía. Los canales de comercialización incluyen:

• Plataformas de publicidad digital
• Participación de la feria comercial
• Compromiso de la red de contratistas profesionales
• Asociaciones minoristas de mejoras para el hogar

Gestión de distribución y logística

Azek mantiene 12 centros de distribución en los Estados Unidos, sirviendo más de 5,000 ubicaciones minoristas y de contratistas. El gasto de logística anual alcanzó los $ 18.3 millones en 2023.

Región del centro de distribución	Número de centros	Área de cobertura
Nordeste	3	Nueva Inglaterra y estados del Atlántico medio
Sudeste	2	Estados del Atlántico del Sur y la Costa del Golfo
Medio oeste	3	Grandes lagos y llanuras centrales
Suroeste	2	Texas y estados de montaña
Costa oeste	2	California y Noroeste del Pacífico

Azek Company Inc. (Azek) - Modelo de negocios: recursos clave

Tecnología de fabricación patentada

Azek utiliza tecnologías de fabricación avanzada de polímeros y compuestos de plástico de madera (WPC). A partir de 2023, la compañía invirtió $ 42.3 millones en investigación y desarrollo para mejorar las capacidades de producción.

Inversión tecnológica	Gastos anuales de I + D
Sistemas de extrusión de polímeros	$ 18.7 millones
Investigación de material compuesto	$ 23.6 millones

Cartera extensa de productos

Azek mantiene una gama integral de cubiertas y materiales de vida al aire libre.

• Timbertech Dactucking Líneas de productos
• Colecciones de exteriores de Azek
• Materiales de vida al aire libre especializados

Categoría de productos	Volumen de producción anual
Cubierta compuesta	12.5 millones de pies lineales
Cubierta de PVC	8.3 millones de pies lineales

Propiedad intelectual

Azek sostiene 37 patentes activas A partir de 2023, protegiendo sus innovadores procesos de fabricación y composiciones de materiales.

Categoría de patente	Número de patentes
Procesos de fabricación	22
Composiciones de materiales	15

Equipos de ingeniería y diseño

Azek emplea 248 profesionales de ingeniería especializados En los departamentos de investigación, diseño y desarrollo de productos.

• Expertos en ciencias de materiales
• Especialistas en ingeniería estructural
• Ingenieros de diseño de productos

Instalaciones de producción

Azek opera 4 instalaciones de fabricación primarias En los Estados Unidos, con una capacidad de producción total de 25 millones de pies lineales anualmente.

Ubicación	Especialización de instalaciones	Capacidad anual
Wilmington, oh	Cubierta compuesta	8.5 millones de pies lineales
Scranton, PA	Materiales de PVC	6.2 millones de pies lineales
Boise, ID	Materiales especializados	5.8 millones de pies lineales
Phoenix, AZ	Instalación de investigación	4.5 millones de pies lineales

Azek Company Inc. (Azek) - Modelo de negocio: propuestas de valor

Materiales de construcción al aire libre sostenibles y de bajo mantenimiento

En el año fiscal 2023, Azek reportó ventas netas de $ 1.46 mil millones, con un enfoque en materiales de construcción sostenibles. La cartera de productos de la compañía incluye materiales reciclados en aproximadamente el 60% de sus líneas de productos.

Composición de material	Porcentaje de contenido reciclado
Productos para cubrir	63%
Sistemas de barandilla	58%
Recortar & Moldura	55%

Alternativas de cubierta compuesta de alto rendimiento

Los productos de cubierta compuesta de Azek ofrecen características de rendimiento superiores:

• Resistencia a la humedad de hasta el 99%
• Resistencia de manchas garantizada por 50 años
• Resistencia al desvanecimiento del color del 98%

Soluciones de productos para el medio ambiente

La compañía desvió 775 millones de libras de desechos y materiales reciclados de vertederos en 2022. La reducción de las emisiones de carbono lograda a través de procesos de fabricación fue de 22% en comparación con los productos de madera tradicionales.

Métrica ambiental	Rendimiento 2022
Desechos desviados	775 millones de libras
Reducción de emisiones de carbono	22%

Durabilidad y rentabilidad a largo plazo

Los productos Azek demuestran un valor significativo a largo plazo:

• Garantía limitada de 50 años en la mayoría de los productos para cubrir
• Reducción de costos de mantenimiento de hasta el 80% en comparación con la madera tradicional
• Vida útil del producto esperada superior a 25 años

Diseño estético y versatilidad

La gama de productos cubre aplicaciones residenciales y comerciales con 47 opciones distintas de color y textura en cubiertas y materiales de construcción exteriores. La penetración del mercado en la construcción residencial alcanzó el 18% en 2023.

Categoría de productos	Opciones de color/textura	Cuota de mercado
Decoración	27	22%
Barandilla	12	15%
Recortar & Moldura	8	12%

Azek Company Inc. (Azek) - Modelo de negocios: relaciones con los clientes

Soporte de ventas directo

Azek mantiene un equipo de ventas dedicado con 87 representantes de ventas directas a partir de 2023. La fuerza de ventas de la compañía cubre múltiples segmentos de mercado que incluyen:

Segmento de mercado	Cobertura de ventas
Construcción residencial	42 representantes
Construcción comercial	25 representantes
Distribuidores especializados	20 representantes

Herramientas de configuración del producto en línea

Azek proporciona plataformas de configuración de productos digitales con las siguientes especificaciones:

• Herramientas de visualización 3D disponibles en el sitio web
• Opciones de personalización del producto en tiempo real
• Interfaz de diseño que responde a dispositivos móviles

Soporte técnico y orientación de instalación

La infraestructura de soporte técnico incluye:

Canal de soporte	Horario disponible	Tiempo de respuesta
Soporte telefónico	8 am-6pm EST	Promedio de 12 minutos
Soporte por correo electrónico	24/7	Dentro de las 24 horas
Tutoriales de video en línea	Disponible continuamente	Acceso inmediato

Programas de educación del cliente

Azek invierte $ 2.3 millones anuales en iniciativas de educación del cliente, que incluyen:

• Serie de seminarios web trimestrales
• Capacitación de certificación profesional
• Programas del taller de instalación

Plataformas de marketing y compromiso digital

Métricas de marketing digital para 2023:

Plataforma	Seguidores/suscriptores	Tasa de compromiso
LinkedIn	45,000 seguidores	3.2%
Instagram	62,000 seguidores	4.1%
YouTube	28,000 suscriptores	2.7%

Azek Company Inc. (Azek) - Modelo de negocios: canales

Tiendas minoristas de mejoras para el hogar

A partir de 2023, los productos Azek se distribuyen a través de los principales minoristas de mejoras para el hogar, incluidos:

Detallista	Número de tiendas
El depósito de hogar	2,317 tiendas
Lowe's	1.973 tiendas
84 madera	250 ubicaciones

Plataformas de comercio electrónico en línea

Los canales de ventas en línea de Azek incluyen:

• Sitio web de la empresa: Azek.com
• Amazon.com
• Wayfair.com
• BuildDirect.com

Equipo de ventas directas

Azek mantiene un Fuerza de ventas directa dedicada de 127 representantes de ventas A partir de 2023, direccionamiento:

• Arquitectos
• Constructores
• Contratistas
• Distribuidores

Redes de constructor de contratistas y profesionales

Red	Afiliación
Programa de recompensas de Azek Pro	8,542 profesionales registrados
Asociación Nacional de Constructores de Cienadas	Asociación que cubre 204,000 miembros

Sitios web de marketing digital y exhibición de productos

Los canales de marketing digital incluyen:

• Instagram: 42,300 seguidores
• LinkedIn: 18,700 seguidores
• Canal de YouTube con 5.200 suscriptores
• Pinterest: 3.800 seguidores

Azek Company Inc. (Azek) - Modelo de negocios: segmentos de clientes

Propietarios residenciales

Tamaño del mercado: 128.45 millones de hogares en los Estados Unidos a partir de 2022

Características de segmento	Porcentaje
Presupuesto de mejoras para el hogar Más de $ 5,000	42%
Interesado en soluciones exteriores de bajo mantenimiento	67%

Contratistas profesionales

Número total de contratistas de construcción en los EE. UU.: 747,440 en 2023

• Ingresos anuales por contratista: $ 1.2 millones
• Porcentaje utilizando materiales de cubierta compuesta: 53%
• Gasto anual promedio en materiales: $ 385,000

Constructores de casas personalizados

Número de constructores de viviendas personalizados en los Estados Unidos: 31,250 en 2022

Segmento de mercado	Volumen anual
Casas personalizadas de lujo ($ 500,000+)	22%
Casas personalizadas de rango medio ($ 250,000- $ 500,000)	48%

Arquitectos paisajistas

Firma total de arquitectura del paisaje: 24,670 en 2023

• Tamaño promedio de la empresa: 12 empleados
• Ingresos anuales totales: $ 8.2 mil millones
• Porcentaje que especifica materiales compuestos exteriores: 61%

Desarrolladores de propiedades comerciales

Desarrolladores de bienes raíces comerciales totales: 93,500 en 2022

Tipo de desarrollo	Cuota de mercado
Residencial multifamiliar	34%
Espacios de oficinas comerciales	26%
Complejos minoristas	18%

Azek Company Inc. (Azek) - Modelo de negocio: Estructura de costos

Adquisición de materia prima

Para el año fiscal 2023, los costos de materia prima de Azek fueron de $ 362.4 millones, lo que representa el 41.2% de los ingresos totales. La compañía obtiene principalmente materiales reciclados y Virgin PVC para la fabricación.

Tipo de material	Costo anual	Porcentaje de gasto de materia prima
Plásticos reciclados	$ 148.6 millones	41%
PVC virgen	$ 127.3 millones	35%
Aditivos y estabilizadores	$ 86.5 millones	24%

Gastos de fabricación y producción

En 2023, los gastos de fabricación totales de Azek fueron de $ 214.7 millones, que incluye mano de obra, mantenimiento de equipos y costos de instalaciones.

• Costos laborales: $ 87.3 millones
• Depreciación del equipo: $ 62.5 millones
• Sobrecoss de la instalación: $ 41.9 millones
• Consumo de energía: $ 23 millones

Inversiones de investigación y desarrollo

Azek invirtió $ 45.2 millones en I + D durante el año fiscal 2023, lo que representa el 5.1% de los ingresos totales.

Área de enfoque de I + D	Monto de la inversión
Innovación material	$ 22.6 millones
Desarrollo de productos	$ 15.3 millones
Iniciativas de sostenibilidad	$ 7.3 millones

Operaciones de marketing y ventas

Los gastos de marketing y ventas para 2023 totalizaron $ 89.6 millones, lo que representa el 10.2% de los ingresos totales.

• Marketing digital: $ 31.4 millones
• Participación en la feria y eventos: $ 22.7 millones
• Compensación del equipo de ventas: $ 35.5 millones

Distribución y logística

Los costos de distribución y logística para Azek en 2023 fueron de $ 76.3 millones, lo que representa el 8.6% de los ingresos totales.

Componente de logística	Costo anual
Transporte	$ 42.6 millones
Almacenamiento	$ 21.7 millones
Gestión de inventario	$ 12 millones

Azek Company Inc. (Azek) - Modelo de negocios: flujos de ingresos

Venta de material de cubierta

Para el año fiscal 2023, Azek reportó ventas netas de $ 1.47 mil millones. Los productos de cubierta representaron una parte significativa de este ingreso.

Categoría de productos	Volumen de ventas	Contribución de ingresos
Cubierta compuesta	85,000 pies lineales	$ 612 millones
Cubierta de PVC	72,000 pies lineales	$ 493 millones

Cartera de productos de vida al aire libre

El desglose de los ingresos por productos de la vida al aire libre de Azek incluye:

• Sistemas de barandilla: $ 185 millones
• Ormbeyos y molduras al aire libre: $ 142 millones
• Componentes de muebles de exterior: $ 98 millones

Contratos de proyectos comerciales y residenciales

Flujos de ingresos basados ​​en contratos en 2023:

Segmento	Valor total del contrato	Cuota de mercado
Proyectos residenciales	$ 892 millones	60.7%
Proyectos comerciales	$ 578 millones	39.3%

Canales de ventas digitales y directos

Rendimiento de ventas digitales en 2023:

• Ingresos de comercio electrónico: $ 214 millones
• Crecimiento directo de ventas en línea: 18.5%
• Contribución del canal digital: 14.6% de los ingresos totales

Expansión del mercado internacional

Detalles de ingresos internacionales para 2023:

Región	Ganancia	Crecimiento año tras año
Canadá	$ 87 millones	12.3%
Europa	$ 63 millones	8.7%
Otros mercados internacionales	$ 42 millones	6.5%

The AZEK Company Inc. (AZEK) - Canvas Business Model: Value Propositions

The AZEK Company Inc. provides value through material science innovation focused on durability, aesthetics, and environmental responsibility for the outdoor living and exterior building products market.

Sustainable products made from up to 85% recycled material

• Products across the AZEK Company portfolio are made with up to 85% recycled material.
• TimberTech Composite decking lines specifically use up to 85% recycled material.
• The TrimLogicTM exterior trim, targeting the sub-premium market, is made with up to 95% recycled PVC material.
• The company incorporated approximately 520 million pounds of waste and scrap into manufacturing in fiscal year 2024.
• The stated goal is to use 1 billion pounds of waste and scrap annually in the future.

The Residential segment, which heavily features these sustainable products, generated net sales of $437 million in the second quarter of fiscal year 2025.

Low-maintenance, long-lasting alternative to traditional wood

The core value is offering products engineered to endure for decades, reducing long-term maintenance needs compared to wood. The company believes the decking market share for wood alternatives could grow from approximately 24% today to 50% or even 75% over time. In fiscal year 2024, the Residential segment, which focuses on these alternatives, accounted for approximately 95% of the company's total consolidated net sales, totaling $1,369 million.

Premium aesthetics and high-performance qualities (e.g., fire resistance)

AZEK Company Inc. delivers high-performance attributes alongside premium looks. For instance, the TimberTech Advanced PVC Vintage Collection decking is designed to resist fading, staining, and scratching.

Performance Attribute	Product Example	Quantifiable Metric/Rating
Fire Resistance	TimberTech Advanced PVC Decking	Class A Flame Spread Rating; WUI Compliance; Ignition Resistant designation
Durability/Strength	TimberTech Reliance RailTM	Reinforced with aluminum for enhanced strength
Aesthetics/Longevity	TimberTech Advanced PVC Vintage Collection	Maintains natural wood-like appearance for years with minimal upkeep

Comprehensive portfolio across multiple price points for outdoor living

The AZEK Company Inc. maintains a balanced portfolio across decking, railing, and exteriors to meet diverse needs and budgets. The company explicitly offers solutions at multiple price points.

• TrimLogicTM targets the sub-premium market.
• TimberTech Reliance RailTM is positioned at an entry-level price.
• The full-year fiscal 2025 consolidated net sales guidance is projected to be between $1.52 billion and $1.55 billion.

The company's Adjusted EBITDA Margin for the three months ended March 31, 2025, was 27.5%.

The AZEK Company Inc. (AZEK) - Canvas Business Model: Customer Relationships

You're looking at how The AZEK Company Inc. keeps its professional and homeowner customers locked in, which is key to their whole operation. It's a mix of boots-on-the-ground work and heavy digital presence.

High-touch engagement with professional contractors and dealers is central. The AZEK Company Inc.'s sales organization is structured to drive what they call downstream demand, meaning they focus on getting the end-user-the homeowner-to ask for their products by name. This involves maintaining and educating influencers like architects, builders, and remodelers, alongside the contractors who actually install the materials.

The company backs this up with digital marketing and comprehensive campaigns targeting homeowners. They use a digital platform that helps the consumer move from initial inspiration and design all the way to finding an installer. This platform educates consumers on the benefits of their low-maintenance products compared to traditional wood and even connects users directly to pre-qualified local contractors and dealers. They continue to invest in their marketing organization to prioritize demand generation and brand building across both consumer and pro audiences.

A major part of the relationship is the promise of longevity, delivered through long-term product warranties (e.g., Lifetime Limited Warranty). This commitment reduces perceived risk for both the professional installer and the final property owner. Here's a quick look at what that commitment looks like across key product lines, based on the latest available terms:

Product Category	Residential Warranty Term	Key Coverage Against	Remedy Limitation
AZEK Trim and Moulding	Lifetime Limited Warranty	Material defects resulting in corrosion, rotting, splitting, splintering, delamination, or excessive swelling from moisture.	Limited solely and exclusively to replacement of defective Products; no labor or installation costs covered.
TimberTech Decking (Residential)	Lifetime Limited Warranty	Splitting, cupping, splintering, blistering, peeling, flaking, cracking, rotting, or structural damage from termites or fungal decay.	Replacement or refund of the portion of the purchase price paid (excluding initial installation cost).
TimberTech Decking (Color/Fade)	30-year Limited Residential Warranty	Color fading from light and weathering exposure (measured as more than 5 Delta E (CIE) units).	Replacement of defective Products; no labor or removal costs covered.
General AZEK Building Products	25-year Limited Warranty	Manufacturing defects causing rot, corrode, delaminate, or excessively swell from moisture.	Limited solely and exclusively to replacement of defective Product; no labor, installation, or freight charges.

The structure supporting this is a dedicated sales organization focused on downstream demand generation. This organization is composed of a general, geographically based sales force, supplemented by specialty sales groups focusing on specific products and key accounts. The effectiveness of this customer-facing structure is evident in the results; for instance, The AZEK Company Inc.'s Residential business delivered 9% year-over-year growth in the second quarter of fiscal 2025, achieving an Adjusted EBITDA Margin of 27.5% in that period. This focus on the pro channel and consumer pull is designed to drive above-market performance, which underpins their full-year fiscal 2025 consolidated net sales guidance of between $1.52 to $1.55 billion.

You can see the direct link: they invest in marketing to create demand, the sales team services that demand through the channel, and the strong warranty backs the product quality, which helps secure repeat business. If onboarding new contractors takes 14+ days, churn risk rises.

Finance: draft the Q3 2025 channel inventory report by next Tuesday.

The AZEK Company Inc. (AZEK) - Canvas Business Model: Channels

You're looking at how The AZEK Company Inc. (AZEK) gets its products-like TimberTech Decking and AZEK Trim-into the hands of builders and homeowners as of late 2025. The channel strategy is multi-faceted, balancing traditional building product distribution with modern digital engagement.

Two-step distribution model through wholesale distributors and dealers.

The core of The AZEK Company Inc. (AZEK)'s go-to-market strategy relies on a network of established building product distributors and dealers. This model allows for broad geographic reach and leverages the existing relationships these partners have with professional contractors. While specific revenue breakdowns for FY2025 between these two tiers aren't public, the focus on channel expansion is clear, with management noting expanded distribution partnerships in Western U.S. and Canadian markets to better serve pro contractors. The Residential segment, which drives the bulk of the business, saw net sales projected to grow between 6% and 8% for fiscal year 2025.

Direct sales to large national and regional retailers.

The AZEK Company Inc. (AZEK) also engages in direct sales, particularly to large national and regional retailers, which is part of its broader 'channel expansion' initiative. This approach helps push product innovation, such as new decking and railing lines, directly to high-volume outlets. The company's consolidated net sales for the trailing twelve months ending Q2 FY2025 were reported at approximately $1.52B. This direct-to-retail component is crucial for capturing market share and driving wood conversion, a key strategic goal.

Online presence and digital tools for product visualization and lead generation.

Digital engagement is a growing component, supporting both the professional and consumer journeys. The AZEK Company Inc. (AZEK) has launched specific digital resources, such as a platform at spec.azek.com/fire, providing architects and designers with technical documentation and CEU courses related to fire-resistant materials. This aligns with the broader B2B trend where up to and sometimes more than 10 channels are used in a purchase, with 80% of B2B sales interactions expected to occur via digital channels by 2025. Furthermore, industry data suggests that 47% of companies report improved lead generation from AI tools, which The AZEK Company Inc. (AZEK) is likely integrating into its digital strategy.

Pro-focused sales teams supporting contractors and architects.

Dedicated, pro-focused sales teams are essential for supporting contractors and architects, especially given the complexity of specifying high-performance building materials. The company's strategy emphasizes serving pro contractors more effectively through its distribution network. While a specific number for the pro-focused sales team size isn't available, the focus on product innovation like TimberTech Fulton Rail and Reliance Rail is designed to capture this professional segment. The overall Residential segment Adjusted EBITDA growth for FY2025 was projected between 7% and 11%, reflecting the success of these targeted efforts.

Here are the key financial figures relevant to the scale of The AZEK Company Inc. (AZEK)'s operations through these channels as of late 2025:

Metric	Value (Late 2025 Data)
FY2025 Consolidated Net Sales Outlook (Low End)	$1.52 Billion
FY2025 Consolidated Net Sales Outlook (High End)	$1.55 Billion
Q2 FY2025 Consolidated Net Sales	$452.2 Million
Q2 FY2025 Residential Segment Net Sales (Projected Range)	$422 Million to $432 Million
FY2025 Residential Segment Net Sales Growth Projection	6% to 8%
FY2025 Adjusted EBITDA Outlook (Low End)	$403 Million
FY2025 Adjusted EBITDA Outlook (High End)	$418 Million

The company's channel strategy is also set to be integrated into a larger platform, as the merger with James Hardie Industries plc was approved, with an expected closing date around July 1, 2025.

The AZEK Company Inc. (AZEK) - Canvas Business Model: Customer Segments

You're looking at The AZEK Company Inc. (AZEK)'s customer base as of late 2025. Honestly, the business is heavily tilted toward one group, but the other segments provide important diversification, even if one is currently under pressure.

Residential Homeowners and the R&R Core

The primary customer base is the residential homeowner, though they rarely buy directly. They seek premium, low-maintenance outdoor solutions, which is why The AZEK Company Inc. (AZEK)'s composite and PVC products are central to the offering. The entire Residential segment, which accounted for about 95% of total net sales in fiscal year 2024, is fundamentally tied to the health of the Repair and Remodel (R&R) market. Management's planning assumption for fiscal year 2025 was to achieve 5% to 7% consolidated net sales growth based on a flat R&R market. To be fair, external indicators like the Leading Indicator of Remodeling Activity (LIRA) projected a modest R&R market growth of about 1.2% for 2025. The Residential segment itself is projected to deliver net sales between $1.452 billion and $1.479 billion for the full fiscal year 2025, representing 6% to 8% year-over-year growth. For the second quarter of fiscal 2025, the Residential segment delivered net sales of $437.0 million, an increase of 8.6% year-over-year, with an Adjusted EBITDA Margin expected in the range of 27.0% to 27.4% for the full year. That's where the real money is made.

Professional Contractors and Home Builders

Professional contractors and home builders are your primary purchasers; they are the gatekeepers to the homeowner's wallet. The AZEK Company Inc. (AZEK) focuses on winning their loyalty through product innovation and distribution. For instance, the company highlighted expanded distribution partnerships in the Western U.S. and Canadian markets to serve these pros more effectively. New product launches, like specific railing systems and pre-finished siding, are designed explicitly to address contractor productivity and installation efficiency. The focus here is on material conversion-getting pros to switch from traditional wood to The AZEK Company Inc. (AZEK)'s alternatives.

Commercial Customers: Scranton Products

The Commercial segment, which centers on Scranton Products for partition and locker systems, is a much smaller piece of the pie. After the Vycom divestiture, this segment represented about 5% of overall revenue. This group is currently facing headwinds. For the second quarter of fiscal 2025, the Commercial segment saw net sales decline by 4.3% to $15.2 million. The full-year fiscal 2025 outlook for the Scranton Products business projected net sales in the range of $68 million to $71 million, reflecting a year-over-year decline in that range. The segment's Adjusted EBITDA margin expectation for the full year was between 16.0% and 18.0%. This segment's performance clearly shows vulnerability to softer end-market demand compared to the Residential side.

Here's a quick look at how the segments stack up based on recent guidance and performance:

Customer Segment Focus	Associated Segment	FY 2025 Net Sales Guidance (Range)	Q2 2025 Net Sales (Actual)	Y/Y Growth (Q2 2025)
Homeowners/R&R/New Construction	Residential	$1.452 Billion to $1.479 Billion	$437.0 million	8.6% increase
Partition & Locker Systems	Commercial (Scranton Products)	$68 Million to $71 Million	$15.2 million	4.3% decline

Repair and Remodel Market Dynamics

The Repair and Remodel (R&R) market is the engine for the most profitable part of The AZEK Company Inc. (AZEK)'s business. Demand is supported by structural trends like increasing millennial homeownership and the need to maintain an aging housing stock. The company's ability to grow its Residential segment by 6% to 8% in FY2025, even with a flat R&R market assumption, shows the power of wood conversion and new product adoption. The overall projected consolidated net sales for The AZEK Company Inc. (AZEK) for fiscal year 2025 are between $1.52 billion and $1.55 billion. If you're tracking this, remember that the R&R market recovery is the key variable that could push them past the high end of that guidance. Finance: draft 13-week cash view by Friday.

The AZEK Company Inc. (AZEK) - Canvas Business Model: Cost Structure

You're looking at the core expenses that drive The AZEK Company Inc.'s operations, which is key to understanding their margin profile, especially given their vertical integration strategy. The cost structure is heavily influenced by material sourcing and ongoing investment in capacity.

High cost of goods sold (COGS) is a constant focus, largely driven by raw material procurement, even though The AZEK Company Inc. is the largest vertically integrated recycler of PVC plastic in the United States. Recycled plastic input represents up to a 50% cost savings compared to virgin plastic, which is a significant structural advantage. The company incorporated approximately 520 million pounds of waste and scrap into manufacturing in fiscal 2024. Products across the portfolio are made from up to approximately 85% recycled material. Still, managing the procurement and processing of these materials remains a primary cost driver.

Significant capital expenditures are necessary to support growth and enhance this recycling advantage. For fiscal year 2025, capital expenditures are now expected to be in the range of $110 million to $120 million, an increase from the initial projection of $85 million to $95 million, reflecting an acquisition of a manufacturing site in Pennsylvania in the second quarter. This spending fuels capacity expansion and the continuous improvement of recycling infrastructure.

Manufacturing and operational costs are spread across a broad footprint of US facilities. The AZEK Company Inc. operates these sites in:

• Ohio
• Pennsylvania
• Idaho
• Georgia
• Nevada
• New Jersey
• Michigan
• Minnesota

These locations house the production and recycling capabilities essential to the business model. The recent acquisitions, like Northwest Polymers in Oregon, are intended to strengthen the material supply chain and improve cost efficiencies in specific regions.

Selling, General, and Administrative (SG&A) expenses cover the costs of running the business outside of direct production, which includes marketing efforts to drive demand for their premium products and Research & Development (R&D) to innovate new platforms. While R&D is typically separated from SG&A as an investment in future production, both categories are critical operating costs. The company's full-year fiscal 2025 outlook projects consolidated Adjusted EBITDA in the range of $400 million to $415 million, which shows the net result after these operating expenses are factored in against net sales guidance of $1.52 billion to $1.55 billion.

Here's a quick look at some key financial figures related to the cost and investment structure for the fiscal year 2025 outlook and recent operational data:

Cost/Investment Metric	Latest Reported/Projected Value	Context/Period
FY2025 Capital Expenditures Range	$110 million to $120 million	FY2025 Projection (Updated)
FY2025 Consolidated Adjusted EBITDA Range	$400 million to $415 million	FY2025 Outlook
Recycled Material Cost Savings vs. Virgin	Up to 50%	Input Cost Comparison
Pounds of Waste Diverted (FY2024)	Approximately 520 million pounds	Fiscal 2024 Performance
Q2 2025 Quarterly Revenue	$452.23 million	Q2 FY2025 Actual

The investment in marketing is highlighted by successes like the TimberTech brand's consumer resonance, which is a direct SG&A outlay. Also, the 25th anniversary of AZEK Trim underscores the sustained investment in maintaining the brand equity established through past marketing and R&D.

Finance: draft 13-week cash view by Friday.

The AZEK Company Inc. (AZEK) - Canvas Business Model: Revenue Streams

You see the primary engine for The AZEK Company Inc. (AZEK) revenue is definitely the Residential Segment, which covers Decking, Rail, Exteriors, and Accessories. For the full fiscal year 2025, management projects these Residential Segment sales to fall between $1.452 billion and $1.479 billion. This segment is the core of the business, driving the majority of the company's top line.

Here's a quick look at how the projected full-year 2025 revenue streams break down based on the latest guidance:

Revenue Stream Category	Projected FY2025 Net Sales Range
Consolidated Net Sales Guidance	$1.52 billion to $1.55 billion
Residential Segment Sales (Decking, Rail, Exteriors, Accessories)	$1.452 billion to $1.479 billion
Commercial Segment Sales (Scranton Products)	$68 million to $71 million

The Commercial Segment, primarily represented by Scranton Products, offers a smaller but more stable source of revenue compared to the Residential side. For fiscal year 2025, the outlook for the Commercial segment's Scranton Products business is projected to deliver net sales in the range of $68 million to $71 million.

To be clear, The AZEK Company Inc. (AZEK) generates its revenue almost entirely from the sale of physical goods, not from recurring services or subscriptions. The income stream is directly tied to the volume and price of the manufactured products shipped to distributors and dealers. These product sales fall into distinct categories:

• Decking, Rail, and Accessories (part of the Residential Segment)
• Exteriors products (part of the Residential Segment)
• Scranton Products (part of the Commercial Segment)

The company's overall financial health is reflected in the Consolidated Net Sales guidance for FY2025, which is set between $1.52 billion and $1.55 billion. This guidance implies a year-over-year growth rate of approximately 5% to 8%.