| Metric | Value ($ M) | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Revenue | 1.9K | 28.9% | 2.6% |
| Total Income | 1.9K | 28.9% | 2.6% |
| Expenditure | 1.8K | 27.4% | 3.9% |
| PBT | 112.86 | 68.6% | 14.5% |
| Net Profit | 82.87 | 63.2% | 17.7% |
| OPM | 5.49% | 1.11pp | 1.21pp |
| NPM | 4.40% | 0.93pp | 1.09pp |
| EPS | 1.48 | 64.4% | 12.9% |
UFP Industries Announces Second Quarter 2026 Results
30 Jul 2026 · 30 Jul, 1:52 am
Summary
UFP Industries reported second quarter 2026 net sales of $1.88 billion, a 3% increase year-over-year, driven by organic unit growth and acquisitions. However, diluted earnings per share decreased to $1.48 from $1.70, and net earnings attributable to controlling interests fell to $83 million from $101 million, primarily impacted by higher freight costs. Adjusted EBITDA was $154.5 million, down from $174.1 million year-over-year, with the adjusted EBITDA margin at 8.2% compared to 9.5%. Management noted stabilization across most of their portfolio despite challenging market conditions including geopolitical tensions, a weak housing market, and rising input costs, and remains focused on cost-out programs and strategic investments for long-term growth.
Key Highlights
- 1
Net sales of $1.88 billion increased by 3 percent compared to $1.84 billion a year ago, driven by a 1 percent increase in organic units and a 2 percent increase due to acquisitions.
- 2
Diluted earnings per share were $1.48, compared to $1.70 a year ago, with Net Earnings Attributable to Controlling Interests at $83 million, down from $101 million.
- 3
Adjusted EBITDA was $154.5 million in the quarter, or 8.2 percent of net sales, compared to $174.1 million, or 9.5 percent of net sales, a year ago.
- 4
Cash flows from operating activities in the first six months of 2026 were $61 million, with free cash flow of $198 million used to repurchase nearly $142 million of shares.
- 5
The company expects to invest approximately $175 million to $200 million on capital projects for the balance of 2026.
- 6
During the second quarter, the company completed three acquisitions, expanding production capacity and geographic reach.
- 7
The company's full year 2026 outlook remains unchanged, expecting overall demand toward the lower end of prior guidance.
Management Comments
Will Schwartz
As we’ve discussed in prior quarters, we are seeing stabilization across the majority of our portfolio, and we believe our second quarter results reflect the progress we have made to strengthen our business and structurally improve our operations. The business environment remains challenging with geopolitical tensions, a weak housing market, rising input costs, and most recently, elevated transportation costs. We are actively managing these short-term disruptions while investing in initiatives that will improve our margin profile and drive above-market growth over the long term. We remain focused on the factors under our control and we are on track to deliver the remaining $25 million or more from our initial $60 million cost out program by year end. We also continue to strengthen our core businesses through organic investments and strategic M&A, positioning the company for long-term growth and returns as markets recover. Our balanced approach to our business has helped us navigate this uncertain environment while driving strong performance relative to market conditions. We continue to invest strategically by expanding geographically, improving operational efficiencies, and introducing innovative value-added products. To that point, the investments we’ve made to grow our Surestone products helped sales increase 37 percent from year ago levels, and our backlog remains robust. We also completed three acquisitions in the quarter that complement our core business and our M&A pipeline remains active. We will continue to make these investments in a targeted manner, while returning more of our free cash flow to shareholders through dividends and share repurchases. With $1.9 billion in liquidity at quarter end, we are confident in our ability to create shareholder value through prudent capital allocation.
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