Trex
23 named things its latest annual report says its results depend on, each in the company's own words. 11 of them are also named by other companies we've read.
Customers
Three largest customers (incl. Home Depot and Lowe's)
concentrated in · approximately 73%, 81%, and 72%named as a riskFor the years ended December 31, 2025, 2024, and 2023, three customers of Trex represented approximately 73%, 81%, and 72%, respectively, of the Company’s total net sales.Risk factors (Item 1A)
Wholesale distributors
earns fromnamed as a riskWe sell most of our composite decking and railing products through our network of wholesale distributors who, in turn, sell to retail lumber outlets.Risk factors (Item 1A)
Lowe's
earns fromHome Depot and Lowe’s purchase products directly from us for stocking on their shelves.Business (Item 1)
Suppliers
Flatbed truck transportation
depends onnamed as a riskIn particular, a significant portion of our finished goods are transported by flatbed trucks, which are occasionally in high demand (especially at the end of calendar quarters) and/or subject to price fluctuations based on market conditions and the price of fuel.Risk factors (Item 1A)
Partners and platforms
PolyWood, Inc.
earns fromA line of outdoor furniture products manufactured and sold by PolyWood, Inc.Business (Item 1)
Other companies
Senior credit facility (revolving line of credit)
depends on · $133.5 million in debt outstandingnamed as a riskAt December 31, 2025, we had $133.5 million in debt outstanding under our revolving line of credit.Market risk (Item 7A)
Home improvement market
earns fromnamed as a riskThe demand for our products is influenced by the home improvement market and could be adversely affected by conditions that negatively impact this market.Risk factors (Item 1A)
Competitors
Wood decking products
competes withnamed as a riskOur primary competition consists of wood products, which constitute a substantial majority of decking, railing, fencing, and deck framing sales.Risk factors (Item 1A)
Azek (James Hardie Industries PLC)
competes withOur principal competitors include Azek (a division of James Hardie Industries PLC), Deckorators (a division of UFP Industries, Inc.), and Fiberon (a division of Fortune Brands, Inc.).Business (Item 1)
Deckorators (UFP Industries, Inc.)
competes withOur principal competitors include Azek (a division of James Hardie Industries PLC), Deckorators (a division of UFP Industries, Inc.), and Fiberon (a division of Fortune Brands, Inc.).Business (Item 1)
Fiberon (Fortune Brands, Inc.)
competes withOur principal competitors include Azek (a division of James Hardie Industries PLC), Deckorators (a division of UFP Industries, Inc.), and Fiberon (a division of Fortune Brands, Inc.).Business (Item 1)
Places
Little Rock, Arkansas
operates in · approximately 300 acresnamed as a riskIn October 2021, the Company announced plans to add a third manufacturing facility located in Little Rock, Arkansas (Little Rock), that will sit on approximately 300 acres of land.Business (Item 1)
Also named by HRL
Nevada
operates innamed as a riskWe continue to receive and settle claims and maintain a warranty reserve related to decking, railing, and accessory products sold, including decking products produced at our Nevada facility prior to 2007 that exhibits surface flaking.Risk factors (Item 1A)
Hazards
Adverse weather
named as a riskSeasonal, erratic, or prolonged adverse weather conditions may reduce the level of home improvement and construction activity and can shift sales of our products to a later period or decrease overall sales in affected locations, which could have a negative impact on our results of operations and liquidity.Risk factors (Item 1A)
Commodities and inputs
Scrap polyethylene
depends onnamed as a riskThe manufacture of our composite decking and railing products requires substantial amounts of wood fiber and scrap polyethylene.Risk factors (Item 1A)
Reclaimed wood fiber
depends onnamed as a riskThe production of most of our decking products requires a supply of reclaimed wood fiber and scrap polyethylene.Business (Item 1)
Regulators
U.S. Occupational Safety and Health Administration (OSHA)
subject toOur operations also are subject to workplace safety regulation by the U.S. Occupational Safety and Health Administration, the Commonwealth of Virginia, and the States of Nevada and Arkansas.Business (Item 1)
Also named by BLDR, CSW, CTOS, ECG, FIX, GVA, HLIO, IBP and 7 more
Virginia Department of Environmental Quality
subject toThe emissions of particulates and other substances from our manufacturing facilities must meet federal and state air quality standards implemented through air permits issued to us by the Department of Environmental Quality of the Commonwealth of Virginia, the Division of Environmental Protection of Nevada’s Department of Conservation and Natural Resources, and the Division of Environmental Quality of Arkansas’ Department of Energy and Environment.Business (Item 1)
Laws and programs
Leadership in Energy and Environmental Design (LEED)
up to four pointsTrex decking can add up to four points to a project in the Materials and Resources category for being composed of 95% recycled and reclaimed materials.Business (Item 1)
U.S. tariffs and trade policy
subject tonamed as a riskThe imposition of tariffs and other potential changes in U.S. trade policy have increased the cost and/or limited the availability of raw materials, which has adversely impacted our business, financial condition and results of operations and could hurt our competitive position.Risk factors (Item 1A)
Also named by ADSK, CTAS, EMR, EXP, FDX, FLR, GWW, HPE and 8 more
Technology
Trex wood/polyethylene composite material
concentrated in · substantially all of our revenuesnamed as a riskIn addition, substantially all of our revenues are derived from sales of our proprietary wood/polyethylene composite material.Risk factors (Item 1A)