What American Woodmark Corp. told the SEC could break it.

American Woodmark's cabinets depend on wood species (hard maple, cherry, beech) and wood panels (particle board, MDF/HDF, plywood) plus paint and components, exposing margins to lumber/panel commodity price swings.

“The primary raw materials used in our products are various wood species, including hard maple, cherry, and beech, particle board, medium density fiberboard, high density fiberboard, and plywood.”

Demand for American Woodmark's cabinets depends on new home construction and remodeling; existing home sales remain at thirty-year lows, pressuring volumes (the company cut headcount and closed its Orange, Virginia plant in fiscal 2025).

“While existing home sales remain at thirty-year lows, the median price of existing homes sold in the U.S. rose by 4.1% during the Company's fiscal 2025, according to data provided by the National Association of Realtors; and existing home sales decreased 0.6% during the Company's fiscal 2025 compared to”

American Woodmark sources components from Asia and Europe and manufactures in Mexico (Tijuana, Monterrey); import tariffs have already raised raw-material and component prices and additional tariffs could drive further increases and supply-chain interruptions.

“Import tariffs or other adverse trade actions have led to increases in prices of raw materials and components which are critical to our business, and additional tariffs or other adverse trade actions could result in further price increases.”

American Woodmark relies heavily — in some cases exclusively — on outside suppliers for certain key components, so the loss of a major supplier could raise costs and disrupt production until an alternative source is qualified.

“Furthermore, we rely heavily or, in certain cases, exclusively, on outside suppliers for some of our key components.”