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ADVANCED DRAINAGE SYSTEMS, INC. Q3 FY26 Results

WMSQ3 FY26 Results
Filing
MetricValue ($ M)Q2 FY26Q3 FY25
Revenue693.3518.5%0.4%
Total Income693.3518.5%0.4%
Expenditure556.5311.3%1.3%
PBT122.7441.0%13.1%
Net Profit93.6340.0%15.3%
OPM19.73%6.52pp1.36pp
NPM13.50%4.84pp1.74pp
EPS1.2040.3%14.3%
View full financials

Advanced Drainage Systems Reports Q3 FY26 Revenue Flat, Adj. EBITDA Margin Up 240 bps

04 May 2026 · 4 May, 1:24 am

Summary

Advanced Drainage Systems announced its Q3 Fiscal Year 2026 results, reporting flat revenue at $693 million. However, the adjusted EBITDA margin saw a significant increase of 240 bps, reaching 30.2%. The company completed the acquisition of NDS and approved a $1 billion share repurchase program. Updated fiscal year 2026 guidance includes the impact of the NDS acquisition, with expectations for net sales between $2.990 and $3.040 billion and adjusted EBITDA between $930 and $960 million.

Key Highlights

  1. 1

    Advanced Drainage Systems reported flat sales of $693 million in Q3 FY26 compared to Q3 FY25.

  2. 2

    Adjusted EBITDA margin increased by 240 bps to 30.2% in Q3 FY26, driven by favorable volume and price/cost performance.

  3. 3

    Allied product revenue increased by 9% due to growth in StormTech chambers, Nyloplast basins, and Water Quality products.

  4. 4

    The company closed the acquisition of NDS on February 2, 2026, for approximately $1 billion.

  5. 5

    A $1 billion share repurchase authorization was approved by the Board of Directors, bringing the total available to $1.148 billion.

  6. 6

    The company updated its FY26 guidance to reflect year-to-date results and the NDS acquisition.

  7. 7

    Year-to-date consolidated Free Cash Flow increased by $208 million to $582 million.

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