American Woodmark Corporation (NASDAQ: AMWD), a leading cabinet manufacturer, saw its stock price plummet 13.58% in Thursday's pre-market trading session following a disappointing fiscal third-quarter earnings report and a gloomy outlook for the remainder of the year.

For the quarter ended January 31, 2025, the company reported a net income of $16.6 million, or $1.09 per diluted share, down from $21.2 million, or $1.32 per diluted share, in the same quarter last year. On an adjusted basis, earnings per share came in at $1.05, missing the analyst consensus estimate of $1.33 by a significant margin.

Net sales for the quarter declined 5.8% year-over-year to $397.6 million, falling short of the $405.7 million analysts had expected. The company attributed the weaker-than-anticipated performance to softer demand in the remodel market and a decline in new single-family construction activity as inventories were reduced.

"The quarter was impacted by softer demand in the remodel market and a decline in new construction single family activity as inventories were reduced," said Scott Culbreth, President and CEO of American Woodmark. "Demand trends are expected to remain challenging."

Looking ahead, the company revised its guidance for fiscal 2025, now expecting a mid single-digit decline in net sales year-over-year, compared to its previous forecast of a low single-digit decline. Additionally, American Woodmark projects adjusted EBITDA in the range of $210 million to $215 million for the full year, reflecting the ongoing challenges in the operating environment.