Joint VentureMay 7, 2026, 05:32 PM
Griffon Forms JV with ONCAP for AMES; Q1 EPS $0.43
AI Summary
Griffon Corporation announced a definitive agreement to form a joint venture with ONCAP, combining its AMES Companies' US and Canada businesses with Venanpri's tools and garden products. Griffon will receive $100 million in cash, a $161.1 million second-lien loan, and hold a 43% equity interest. Concurrently, AMES' US, Canada, Australia, and UK operations are reported as discontinued, with a $22.6 million loss on assets held for sale. For continuing operations, Q1 revenue was $421.86 million, and net income was $19.32 million, resulting in diluted EPS of $0.42.
Key Highlights
- Formed joint venture with ONCAP for AMES US & Canada businesses, holding 43% equity.
- Griffon to receive $100 million cash and a $161.1 million second-lien loan from JV.
- AMES' US, Canada, Australia, and UK operations reclassified as discontinued.
- Recorded a $22.6 million loss on assets held for sale for AMES US & Canada.
- Q1 2026 revenue from continuing operations was $421.86 million, down from $426.68 million YoY.
- Q1 2026 net income was $19.32 million, down from $56.76 million YoY.
- Q1 2026 diluted EPS was $0.42, down from $1.21 YoY.
- Cash and equivalents increased to $109.67 million at March 31, 2026 from $99.05 million.