Net Sales Growth
Volumes Continue to Track Normal Seasonality Patterns
Margin Expansion Realized in Hardware Solutions Segment and on Consolidated Basis
$42.25 Million of Debt Repaid in 3Q26
Continued Progress and Execution on Working Capital Management
HOUSTON, Sept. 03, 2026 (GLOBE NEWSWIRE) -- Quanex Building Products Corporation (NYSE:NX) (“Quanex” or the “Company”) today announced its results for the three months ended July 31, 2026.
The Company reported the following selected financial results:
Three Months Ended July 31, Nine Months Ended July 31,($ in millions, except per share data) 2026 2025 2026 2025Net Sales $501.8 $495.3 $1,373.3 $1,347.8Gross Margin $141.5 $138.0 $357.8 $361.7Gross Margin % 28.2% 27.9% 26.1% 26.8%Operating Income (Loss) $46.5 ($270.8) $68.1 ($236.9)Net Income (Loss) $26.5 ($276.0) $25.8 ($270.4)Diluted EPS $0.58 ($6.04) $0.57 ($5.83) Adjusted Net Income $36.0 $31.6 $47.0 $68.4Adjusted Diluted EPS $0.79 $0.69 $1.03 $1.47Adjusted EBITDA $72.7 $70.3 $144.3 $172.0Adjusted EBITDA Margin % 14.5% 14.2% 10.5% 12.8% Cash Provided By Operating Activities $58.6 $60.7 $57.3 $76.6Free Cash Flow $47.8 $46.2 $24.2 $35.6(See Non-GAAP Terminology Definitions and Disclaimers section, Non-GAAP Financial Measure Disclosure table, Selected Segment Data table and reconciliation tables for additional information)
George Wilson, Chairman, President and Chief Executive Officer, stated, “Volumes continued to track normal seasonality patterns during the third quarter of 2026, and we made meaningful progress addressing the price versus cost imbalance that impacted our margins in the second quarter of 2026. Inflationary pressures related to macroeconomic concerns and the ongoing conflict in the Middle East are still having an impact, but the initial rate and magnitude of these pressures have somewhat subsided.
“We stayed focused on managing our working capital during the third quarter of 2026, which when coupled with the seasonal uptick in volumes, enabled us to repay $42.25 million of debt and buy back some of our shares. We will continue to prioritize repaying debt and opportunistically repurchasing our shares as we generate cash in the fourth quarter of 2026. In addition, we will continue to identify operational efficiencies and commercial synergies that we believe will benefit us when consumer confidence and demand improve.”
Third Quarter 2026 Results Summary
Quanex reported net sales of $501.8 million during the three months ended July 31, 2026, which represents an increase of 1.3% compared to $495.3 million for the same period in 2025, mainly due to favorable impacts from pricing, partially offset by the impact of IEEPA tariff reimbursements to customers. The Hardware Solutions segments reported a 2.7% decline in net sales for the third quarter of 2026, driven by lower volumes and the impact of IEEPA tariff reimbursements to customers, which were somewhat offset by favorable impacts from pricing. The Extruded Solutions segments reported net sales growth of 2.8% for the third quarter of 2026, as lower volumes were more than offset by favorable impacts from pricing. Quanex reported an increase of 8.5% in net sales for the third quarter of 2026 in its Custom Solutions segment, largely due to increased volume and improved pricing. (See Sales Analysis table for additional information)
On a consolidated basis, the increase in reported earnings for the third quarter of 2026 compared to the third quarter of 2025 was mainly due to improved pricing, lower depreciation and amortization expense and lower interest expense. Results for the third quarter of 2025 were also impacted by a $302.3 million non-cash goodwill impairment.
Balance Sheet & Liquidity Update
As of July 31, 2026, the Company had total debt of $672.2 million and Quanex’s leverage ratio of Net Debt to LTM Adjusted EBITDA was 2.8x. As of July 31, 2026, Quanex reported LTM Net Income of $45.4 million and LTM Adjusted EBITDA of $215.2 million (See Non-GAAP Terminology Definitions and Disclaimers section, Net Debt Reconciliation table and Last Twelve Months Adjusted EBITDA Reconciliation table for additional information)
The Company’s liquidity increased by 10.5% to $363.1 million as of July 31, 2026, consisting of $62.1 million in cash on hand plus availability under its Senior Secured Revolving Credit Facility due 2029, less letters of credit outstanding.
Share Repurchases
Quanex’s Board authorized a $75 million share repurchase program in December of 2021. Repurchases under this program will be made in open market transactions or privately negotiated transactions, subject to market conditions, applicable legal requirements, and other relevant factors. The Company repurchased 99,786 shares of common stock for approximately $1.7 million at an average price of $17.10 per share during the three months ended July 31, 2026. As of July 31, 2026, approximately $28.7 million remained under the existing share repurchase authorization.
Conference Call and Webcast Information
The Company has scheduled a conference call for Friday, September 4, 2026, at 11:00 a.m. ET (10:00 a.m. CT) to discuss the release. A link to the live audio webcast will be available on Quanex’s website at http://www.quanex.com in the Investors section under Presentations & Events.
Participants can pre-register for the conference call using the following link:
https://register-conf.media-server.com/register/BIac7900426be941999342c141e5049229
Registered participants will receive an email containing conference call details for dial-in options. To avoid delays, it is recommended that participants dial into the conference call ten minutes ahead of the scheduled start time. A replay will be available for a limited time on the Company’s website at http://www.quanex.com in the Investors section under Presentations & Events.
About Quanex
Quanex is a global manufacturer with core capabilities and broad applications across various end markets. The Company currently partners with leading OEMs to provide innovative solutions in window, door, solar, refrigeration, custom mixing, building access and cabinetry markets. Looking ahead, Quanex plans to leverage its material science expertise and process engineering to expand into adjacent markets.
Non-GAAP Terminology Definitions and Disclaimers
Adjusted Net Income (defined as net income further adjusted to exclude amortization of step-up for purchase price adjustments on inventory, asset impairment charges, transaction, advisory fees and reorganization costs, restructuring charges related to severance and disposal of software, amortization expense related to intangible assets, pension settlement refund and other net adjustments related to foreign currency transaction gain/loss and effective tax rates reflecting impacts of adjustments on a with and without basis) and Adjusted EPS are non-GAAP financial measures that Quanex believes provide a consistent basis for comparison between periods and more accurately reflect operational performance, as they are not influenced by certain income or expense items not affecting ongoing operations. EBITDA (defined as net income or loss before interest, taxes, depreciation and amortization and other, net), Adjusted EBITDA and LTM Adjusted EBITDA (defined as EBITDA further adjusted to exclude purchase price accounting inventory step-ups, transaction costs, certain severance charges, gain/loss on the sale of certain fixed assets, restructuring charges and asset impairment charges) are non-GAAP financial measures that the Company uses to measure operational performance and assist with financial decision-making. Net Debt is defined as total debt (outstanding balance on the revolving credit facility plus financial lease obligations) less cash and cash equivalents. The leverage ratio of Net Debt to LTM Adjusted EBITDA is a financial measure that the Company believes is useful to investors and financial analysts in evaluating Quanex’s leverage. In addition, with certain limited adjustments, this leverage ratio is the basis for a key covenant in the Company’s credit agreement.
Free Cash Flow is a non-GAAP measure calculated using cash provided by operating activities less capital expenditures. Quanex uses the Free Cash Flow metric to measure operational and cash management performance and assist with financial decision-making. Free Cash Flow is measured before application of certain contractual commitments (including capital lease obligations), and accordingly is not a true measure of the Company’s residual cash flow available for discretionary expenditures. Quanex believes Free Cash Flow is useful to investors in understanding and evaluating the Company’s financial and cash management performance.
Quanex believes that the presented non-GAAP measures provide a consistent basis for comparison between periods and will assist investors in understanding the Company’s financial performance when comparing results to other investment opportunities. These measures allow management and investors to evaluate operational performance and trends without the impact of certain non-cash charges, acquisition-related costs, and other items that may vary significantly from period to period and may not be reflective of Quanex’s core operating results. The presented non-GAAP measures may not be the same as those used by other companies. The Company does not intend for this information to be considered in isolation or as a substitute for other measures prepared in accordance with U.S. GAAP.
Forward Looking Statements
This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that use the words “estimated,” “expect,” “could,” “should,” “believe,” “will,” “might,” “anticipate,” “intend,” “plan,” “project,” “seek,” “would,” “may,” or similar words reflecting future expectations or beliefs are forward-looking statements. The forward-looking statements include, but are not limited to, the following: Quanex’s future operating results, future financial condition, future uses of cash and other expenditures, expenses and tax rates, expectations relating to the Company’s industry, expectations regarding the recovery of price versus cost imbalances, anticipated debt repayment and share repurchase activity, expected operational efficiencies and synergies and the Company’s future growth, including any guidance discussed in this press release. The statements and guidance set forth in this release are based on current expectations. Actual results or events may differ materially from those expressed or implied in these forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. For a complete discussion of factors that may affect the Company’s future performance, please refer to Quanex’s Annual Report on Form 10-K for the fiscal year ended October 31, 2025, and the Company’s Quarterly Reports on Form 10-Q under the sections entitled “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors”. Any forward-looking statements in this press release are made as of the date hereof, and the Company undertakes no obligation to update or revise any forward-looking statements, whether written or oral, to reflect new information, developments or events.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME(In thousands, except per share data)
(Unaudited) Three Months Ended July 31, Nine Months Ended July 31, 2026
2025
2026
2025
Net sales $501,845 $495,273 $1,373,301 $1,347,795 Cost of sales 360,380 357,305 1,015,517 986,129 Selling, general and administrative 70,837 71,270 216,695 208,253 Restructuring charges - 1,367 - 10,207 Depreciation and amortization 24,138 33,882 73,037 77,814 Asset impairment charges - 302,284 - 302,284 Operating income (loss) 46,490 (270,835) 68,052 (236,892)Interest expense (11,978) (14,218) (36,387) (42,344)Other, net (93) 855 5,972 1,925 Income (loss) before income taxes 34,419 (284,198) 37,637 (277,311)Income tax (expense) benefit (7,915) 8,191 (11,854) 6,934 Net income (loss) $26,504 $(276,007) $25,783 $(270,377) Earnings (loss) per common share, basic $0.58 $(6.04) $0.57 $(5.83)Earnings (loss) per common share, diluted $0.58 $(6.04) $0.57 $(5.83) Weighted average common shares outstanding: Basic 45,461 45,691 45,466 46,395 Diluted 45,648 45,691 45,607 46,395 Cash dividends per share $0.08 $0.08 $0.24 $0.24
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited) July 31, 2026 October 31, 2025ASSETS Current assets: Cash and cash equivalents $62,094 $76,018 Restricted Cash 2,123 2,100 Accounts receivable, net 214,768 205,384 Inventories 276,396 254,122 Income taxes receivable 5,603 - Prepaid assets 37,452 32,387 Other current assets 3,847 3,764 Total current assets 602,283 573,775 Property, plant and equipment, net 394,021 411,591 Operating lease right-of-use assets 171,552 154,866 Deferred tax assets 300 2,706 Goodwill 273,765 271,346 Intangible assets, net 522,218 549,137 Other assets 4,552 4,812 Total assets $1,968,691 $1,968,233 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $127,030 $131,307 Accrued liabilities 88,209 95,155 Income taxes payable 9,300 12,076 Current maturities of long-term debt 26,551 27,561 Current operating lease liabilities 18,822 15,446 Other liabilities - - Total current liabilities 269,912 281,545 Long-term debt 636,814 665,268 Noncurrent operating lease liabilities 160,290 145,459 Deferred pension benefits Deferred income taxes 137,766 135,993 Liabilities for uncertain tax positions 1,857 - Other liabilities 16,608 13,789 Total liabilities 1,223,247 1,242,054 Stockholders’ equity: Common stock 512 512 Additional paid-in-capital 697,598 700,029 Retained earnings 179,472 164,710 Accumulated other comprehensive loss (32,142) (35,439)Treasury stock at cost (99,996) (103,633)Total stockholders’ equity 745,444 726,179 Total liabilities and stockholders' equity $1,968,691 $1,968,233
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW
(In thousands)
(Unaudited) Nine Months Ended July 31, 2026
2025
Operating activities: Net (loss) income$25,783 $(270,377)Adjustments to reconcile net loss to cash used for operating activities: Depreciation and amortization 73,037 77,814 Stock-based compensation 3,617 2,762 Deferred income tax 664 (26,440)Goodwill impairment charge - 302,284 Other, net 4,640 9,203 Changes in assets and liabilities: Increase in accounts receivable (8,685) (1,727)(Increase) decrease in inventory (21,129) 5,261 Increase in other current assets (4,430) (7,228)(Decrease) increase in accounts payable (2,365) 144 Decrease in accrued liabilities (7,601) (9,725)Change in income taxes (6,629) (21)Other, net 366 (5,307)Cash provided by operating activities 57,268 76,643 Investing activities: Capital expenditures (33,066) (40,996)Proceeds from disposition of capital assets 62 361 Cash used for investing activities (33,004) (40,635)Financing activities: Borrowings under credit facilities 141,500 170,000 Repayments of credit facility borrowings (164,250) (213,750)Repayments of other long-term debt (3,316) (1,962)Common stock dividends paid (10,916) (11,233)Purchase of treasury stock (1,707) (29,248)Other, net (704) (1,186)Cash used for financing activities (39,393) (87,379)Effect of exchange rate changes on cash and cash equivalents 1,228 16,302 Decrease in cash, cash equivalents and restricted cash (13,901) (35,069)Cash, cash equivalents and restricted cash at beginning of period 78,118 102,995 Cash, cash equivalents and restricted cash at end of period$64,217 $67,926
FREE CASH FLOW AND NET DEBT RECONCILIATION
(In thousands)
(Unaudited) The following table reconciles the Company's calculation of Free Cash Flow, a non-GAAP measure, to its most directly comparable GAAP measure. The Company defines Free Cash Flow as cash provided by operating activities less capital expenditures.
Three Months Ended July 31,
Nine Months Ended July 31,
2026
2025
2026
2025
Cash provided by operating activities$58,554 $60,656 $57,268 $76,643 Capital expenditures(10,744) (14,452) (33,066) (40,996)Free Cash Flow$47,810 $46,204 $24,202 $35,647 The following table reconciles the Company's Net Debt which is defined as total debt principal of the Company plus finance lease obligations minus cash.
As of July 31,
2026
2025
Term loan facility$450,000 $475,000 Revolving credit facility168,500 197,500 Finance lease obligations (1)53,697 61,194 Total debt (2)672,197 733,694 Less: Cash and cash equivalents62,094 66,272 Net Debt$610,103 $667,422 (1) Includes $47.9 million and $58.9 million in real estate lease liabilities considered finance leases under U.S. GAAP as of July 31, 2026 and 2025, respectively.
(2) Excludes outstanding letters of credit.
NON-GAAP FINANCIAL MEASURE DISCLOSURE
LAST TWELVE MONTHS ADJUSTED EBITDA RECONCILIATION
(In thousands, except per share data)
(Unaudited) Reconciliation of Last Twelve Months Adjusted EBITDA Three Months Ended July 31, 2026
Three Months Ended April 30, 2026 Three Months Ended January 31, 2026 Three Months Ended October 31, 2025 Total Reconciliation
Reconciliation Reconciliation Reconciliation ReconciliationNet income (loss) as reported $26,504 $3,350 $(4,071) $19,571 $45,354 Income tax expense (benefit) 7,915 3,766 173 15,147 27,001 Other, net 93 (448) (5,617) (5,246) (11,218)Interest expense 11,978 12,042 12,367 13,468 49,855 Depreciation and amortization 24,138 24,650 24,249 25,630 98,667 EBITDA 70,628 43,360 27,101 68,570 209,659 Cost of sales (1) 1,223 121 407 308 2,059 Selling, general and administrative (1),(2) 894 688 (126) 2,040 3,496 Adjusted EBITDA $72,745 $44,169 $27,382 $70,918 $215,214 (1) Severance and other expenses related to manufacturing footprint and performance optimization.
(2) Transaction, advisory fees, severance and reorganization costs.
NON-GAAP FINANCIAL MEASURE DISCLOSURE
(In thousands, except per share data)
(Unaudited) Reconciliation of Adjusted Net Income and Adjusted EPS Three Months Ended July 31, 2026 Three Months Ended July 31, 2025 Nine Months Ended July 31, 2026 Nine Months Ended July 31, 2025 Net Income Diluted EPS Net Income Diluted EPS Net Income Diluted EPS Net Income Diluted EPS Net income (loss) as reported $26,504 $0.58 $(276,007) $(6.04) $25,783 $0.57 $(270,377) $(5.83) Net income(loss) reconciling items from below 9,507 $0.21 307,578 $6.73 21,221 $0.46 338,756 $7.30 Adjusted net income and adjusted EPS $36,011 $0.79 $31,571 $0.69 $47,004 $1.03 $68,379 $1.47 Reconciliation of Adjusted EBITDA Three Months Ended July 31, 2026 Three Months Ended July 31, 2025 Nine Months Ended July 31, 2026 Nine Months Ended July 31, 2025 Reconciliation Reconciliation Reconciliation Reconciliation Net income (loss) as reported $26,504 $(276,007) $25,783 $(270,377) Income tax expense 7,915 (8,191) 11,854 (6,934) Other, net 93 (855) (5,972) (1,925) Interest expense 11,978 14,218 36,387 42,344 Depreciation and amortization 24,138 33,882 73,037 77,814 Asset impairment charges - 302,284 - 302,284 EBITDA 70,628 65,331 141,089 143,206 EBITDA reconciling items from below 2,117 4,964 3,207 28,766 Adjusted EBITDA $72,745 $70,295 $144,296 $171,972 Reconciling Items Three Months Ended July 31, 2026 Three Months Ended July 31, 2025 Nine Months Ended July 31, 2026 Nine Months Ended July 31, 2025 Income Statement Reconciling Items Income Statement Reconciling Items Income Statement Reconciling Items Income Statement Reconciling Items Net sales $501,845 $- $495,273 $- $1,373,301 $- $1,347,795 $- Cost of sales 360,380 (1,223)(1) 357,305 (148)(1) 1,015,517 (1,751)(1) 986,129 (1,124)(1)Selling, general and administrative 70,837 (894)(1),(3) 71,270 (3,449)(1),(3) 216,695 (1,456)(1),(3) 208,253 (17,435)(1),(2),(3)Restructuring charges - - 1,367 (1,367)(4) - - 10,207 (10,207)(4)EBITDA 70,628 2,117 65,331 4,964 141,089 3,207 143,206 28,766 Asset impairment charges - - 302,284 (302,284)(5) - - 302,284 (302,284)(5)Depreciation and amortization 24,138 (9,758)(6) 33,882 (19,604)(6) 73,037 (29,291)(6) 77,814 (36,708)(6)Operating income (loss) 46,490 11,875 (270,835) 326,852 68,052 32,498 (236,892) 367,758 Interest expense (11,978) - (14,218) - (36,387) - (42,344) - Other, net (93) 288 (7) 855 (949)(7) 5,972 (4,942)(7) 1,925 (118)(7)Income (loss) before income taxes 34,419 12,163 (284,198) 325,903 37,637 27,556 (277,311) 367,640 Income tax (expense) benefit (7,915) (2,656)(8) 8,191 (18,325)(8) (11,854) (6,335)(8) 6,934 (28,884)(8)Net income (loss) $26,504 9,507 $(276,007) $307,578 $25,783 21,221 $(270,377) $338,756 Diluted earnings (loss) per share $0.58 $(6.04) $0.57 $(5.83) (1) Severance and other expenses related to manufacturing footprint and performance optimization.
(2) Amortization of step-up for purchase price adjustments on inventory.
(3) Transaction, advisory fees, and severance and reorganization costs.
(4) Restructuring charges related to severance and disposal of software.
(5) Goodwill impairment.
(6) Amortization expense related to intangible assets.
(7) Foreign currency transaction (gains) losses.
(8) Tax impact of net income reconciling items.
SELECTED SEGMENT DATA
(In thousands)
(Unaudited) This table provides gross margin, operating income (loss), EBITDA, and Adjusted EBITDA by reportable segment. Non-operating expense and income tax expense are not allocated to the reportable segments. Hardware Solutions Extruded Solutions Custom Solutions Unallocated Corp & Other TotalThree months ended July 31, 2026 Net sales $220,923 $179,291 $111,007 $(9,376) $501,845 Cost of sales 162,056 121,389 85,861 (8,926) 360,380 Gross Margin 58,867 57,902 25,146 (450) 141,465 Gross Margin % 26.6% 32.3% 22.7% 28.2%Selling, general and administrative (1) 33,162 22,279 13,143 2,253 70,837 Depreciation and amortization 11,386 7,213 5,330 209 24,138 Operating (loss) income 14,319 28,410 6,673 (2,912) 46,490 Depreciation and amortization 11,386 7,213 5,330 209 24,138 EBITDA 25,705 35,623 12,003 (2,703) 70,628 Expense related to plant relocation and closure (Cost of sales) 1,223 - - - 1,223 Reorganization and severance costs 127 1 - 766 894 Adjusted EBITDA $27,055 $35,624 $12,003 $(1,937) $72,745 Adjusted EBITDA Margin % 12.2% 19.9% 10.8% 14.5% Three months ended July 31, 2025 Net sales $227,116 $174,427 $102,264 $(8,534) $495,273 Cost of sales 170,282 116,597 77,755 (7,329) 357,305 Gross Margin 56,834 57,830 24,509 (1,205) 137,968 Gross Margin % 25.0% 33.2% 24.0% 27.9%Selling, general and administrative (1) 32,954 20,740 11,708 5,868 71,270 Restructuring charges 1,140 34 26 167 1,367 Depreciation and amortization 16,987 6,989 4,716 5,190 33,882 Asset impairment charges 163,198 54,934 84,152 - 302,284 Operating income (loss) (157,445) (24,867) (76,093) (12,430) (270,835)Depreciation and amortization 16,987 6,989 4,716 5,190 33,882 Asset impairment charges 163,198 54,934 84,152 - 302,284 EBITDA 22,740 37,056 12,775 (7,240) 65,331 Expense related to plant relocation and closure (Cost of sales) 148 - - - 148 Transaction, advisory fees, reorganization costs, and product recall expenses 715 - 50 2,684 3,449 Restructuring charges 1,140 34 26 167 1,367 Adjusted EBITDA $24,743 $37,090 $12,851 $(4,389) $70,295 Adjusted EBITDA Margin % 10.9% 21.3% 12.6% 14.2% Nine months ended July 31, 2026 Net sales $613,054 $484,040 $304,062 $(27,855) $1,373,301 Cost of sales 475,172 331,979 236,302 (27,936) 1,015,517 Gross Margin 137,882 152,061 67,760 81 357,784 Gross Margin % 22.5% 31.4% 22.3% 26.1%Selling, general and administrative (1) 103,105 65,084 40,182 8,324 216,695 Depreciation and amortization 34,626 21,893 15,956 562 73,037 Operating (loss) income 151 65,084 11,622 (8,805) 68,052 Depreciation and amortization 34,626 21,893 15,956 562 73,037 EBITDA 34,777 86,977 27,578 (8,243) 141,089 Expense related to plant relocation and closure (Cost of sales) 1,751 - - - 1,751 Credit related to plant relocation (SG&A) (8) - - - (8)Reorganization and severance costs 273 1 1 1,189 1,464 Adjusted EBITDA $36,793 $86,978 $27,579 $(7,054) $144,296 Adjusted EBITDA Margin % 6.0% 18.0% 9.1% 10.5% Nine months ended July 31, 2025 Net sales $614,791 $478,024 $284,809 $(29,829) $1,347,795 Cost of sales 466,600 325,914 219,755 (26,140) 986,129 Gross Margin 148,191 152,110 65,054 (3,689) 361,666 Gross Margin % 24.1% 31.8% 22.8% 26.8%Selling, general and administrative (1) 98,570 60,921 34,156 14,606 208,253 Restructuring charges 8,155 34 26 1,992 10,207 Depreciation and amortization 38,818 22,066 15,693 1,237 77,814 Asset impairment charges 163,198 54,934 84,152 - 302,284 Operating (loss) income (160,550) 14,155 (68,973) (21,524) (236,892)Depreciation and amortization 38,818 22,066 15,693 1,237 77,814 Asset impairment charges 163,198 54,934 84,152 - 302,284 EBITDA 41,466 91,155 30,872 (20,287) 143,206 Expense related to plant closure (Cost of sales) 1,124 - - - 1,124 Gain related to plant closure (SG&A) 247 - - - 247 Amortization of step-up for purchase price adjustments on inventory and accounts receivable 7,276 1,428 302 - 9,006 Transaction and advisory fees 1,397 177 50 6,558 8,182 Restructuring charges 8,155 34 26 1,992 10,207 Adjusted EBITDA $59,665 $92,794 $31,250 $(11,737) $171,972 Adjusted EBITDA Margin % 9.7% 19.4% 11.0% 12.8% (1) Includes stock-based compensation expense for the three and nine months ended July 31 2026 of $0.9 million and 5.5 million, respectively, and $1.8 million and $3.6 million for the comparable prior year periods.
SALES ANALYSIS
(In thousands)
(Unaudited) Three Months Ended July 31,
Nine Months Ended July 31, 2026
2025
2026
2025
Hardware Solutions:(1) Window and door hardware$133,038 $148,303 $387,047 $405,497 Screens 85,830 76,809 219,980 203,269 Other 2,055 2,004 6,027 6,025 $220,923 $227,116 $613,054 $614,791 Extruded Solutions:(2) Window profiles$75,684 $76,775 $206,581 $206,629 Seals and gaskets 20,241 20,415 57,405 57,857 Spacers 59,996 55,201 160,124 148,733 Solar 5,375 5,250 15,292 17,835 Flashing Tape 2,821 3,038 7,567 6,751 Window and door hardware 10,079 10,676 26,061 31,311 Other 5,095 3,072 11,010 8,908 $179,291 $174,427 $484,040 $478,024 Custom Solutions:(3) Wood solutions$59,282 $53,409 $162,841 $148,456 Access solutions 29,483 27,370 78,984 74,158 Mixing solutions 22,242 21,485 62,237 62,195 $111,007 $102,264 $304,062 $284,809 Unallocated Corporate & Other: Eliminations$(9,376) $(8,534) $(27,855) $(29,829) $(9,376) $(8,534) $(27,855) $(29,829) Net Sales$501,845 $495,273 $1,373,301 $1,347,795 (1) Reflects an unfavorable $0.2 million and favorable $6.5 million impact on revenue associated with foreign currency exchange rate impacts for the three and nine months ended July 31, 2026, respectively.(2) Reflects an unfavorable $0.1 million and favorable $8.3 million impact on revenue associated with foreign currency exchange rate impacts for the three and nine months ended July 31, 2026, respectively.(3) Reflects no impact and favorable $0.3 million impact on revenue associated with foreign currency exchange rate impacts for the three and nine months ended July 31, 2026, respectively.