Griffon (GFF) Q2 2026 earnings summary

Executive summary

• Strategic actions have refocused the company as a pure-play North American building products firm, consolidating operations and reporting AMES businesses as discontinued operations, with a joint venture for AMES U.S./Canada and exits from Australia and the UK.

• The company is a leading manufacturer and marketer of sectional and rolling steel doors, grilles, and ceiling fans, with strong positions in residential and commercial markets and a focus on innovation.

• Q2 2026 revenue was $421.9 million, down 1% year-over-year, with a 6% volume decline partially offset by a 5% improvement in price and mix.

• The company is managing well through soft U.S. housing and commercial construction markets, maintaining solid performance and benefiting from long-term trends in repair, remodeling, and housing demographics.

• Operations are now reported as a single segment focused on residential and commercial building products, with Hunter Fan integrated.

Financial highlights

• Trailing twelve months revenue reached $1.8 billion as of March 31, 2026; Q2 revenue was $421.9 million, down 1% year-over-year.

• Adjusted EBITDA for Q2 was $97.8 million (23.2% margin), down 4% year-over-year; trailing twelve months adjusted EBITDA was $452 million (25%+ margin).

• Gross profit for Q2 was $192 million (45.5% margin), compared to $198 million (46.5%) last year.

• GAAP income from continuing operations was $46.9 million ($1.03/share), compared to $49.8 million ($1.06/share) last year; adjusted net income was $48.1 million ($1.05/share), nearly flat year-over-year.

• Year-to-date free cash flow from continuing operations was $100.7 million, down from $114 million last year.

Outlook and guidance

• Fiscal 2026 guidance maintained: revenue of $1.8 billion and adjusted EBITDA of $458 million, with a 25%+ EBITDA margin.

• Free cash flow from continuing operations is expected to exceed net income, with $50 million in capital expenditures planned.

• Interest expense for fiscal 2026 is expected to be $93 million; normalized tax rate projected at 28%.

• Second half expected to mirror last year, with continued soft residential volume, flat commercial, and benefits from price/mix.

• Management expects to complete the AMES Australia review by year-end and close the AMES U.S./Canada joint venture by June 2026.