Trex Company's (NYSE: TREX) stock soared 5.37% in after-hours trading on Monday, following the release of its better-than-expected Q4 2024 results and optimistic 2025 guidance.

The leading manufacturer of wood-alternative decking and railing products reported Q4 2024 net sales of $167.63 million, surpassing analysts' estimates of $160.37 million. The company's Q4 EPS of $0.09 also exceeded Wall Street's consensus of $0.05.

The strong performance was driven by robust demand for Trex's premium product lines and stable sequential trends for its value-priced offerings. The company's continuous focus on product innovation and cost optimization programs contributed to the significant EBITDA outperformance in the fourth quarter.

Looking ahead, Trex expects net sales in the range of $1.21 billion to $1.23 billion for the full year 2025, implying year-over-year growth of around 6% at the midpoint. This guidance was in line with analysts' consensus estimate of $1.21 billion. The company anticipates continued strong sell-through of its premium decking products, improved demand for entry-level offerings, and double-digit growth in railing product sales.