Third quarter 2026
Filed Nov 5, 2026Net sales +54% with acquisition of OmniMax and Residential organic growth of 3.1%; Agtech project delays affected revenue and margin; 2026 guidance adjusted for a slower Residential outlook and Infrastructure reclassification into discontinued operations.
OmniMax lifted third-quarter net sales and adjusted EBITDA, while Residential delivered organic growth in a weak market. However, GAAP and adjusted EPS declined, Agtech revenue was affected by project delays, free cash flow declined sharply, and the company reduced its 2026 outlook for continuing operations.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 2026 net salesGAAP | $479.6M | – | 54.3% |
| Q3 2026 gross profitGAAP | $115.0M | – | – |
| Q3 2026 cost of salesGAAP | $364.5M | – | – |
| Q3 2026 selling, general, and administrative expenseGAAP | $65.79M | – | – |
| Q3 2026 operating incomeGAAP | $49.26M | – | – |
| Q3 2026 adjusted operating incomenon-GAAP | $59.12M | – | – |
| Q3 2026 operating marginGAAP | 10.3 % | – | – |
| Q3 2026 adjusted operating marginnon-GAAP | 12.3 % | – | – |
| Q3 2026 income from continuing operationsGAAP | $20.6M | – | (38.0)% |
| Q3 2026 adjusted net incomenon-GAAP | $30.1M | – | (11.5)% |
| Q3 2026 net incomeGAAP | $11.71M | – | – |
| Q3 2026 interest expense, netGAAP | $21.52M | – | – |
| Q3 2026 GAAP earnings per share, diluted, income from continuing operationsGAAP | $0.69 | – | (37.8)% |
| Q3 2026 adjusted EPS, dilutednon-GAAP | $1.01 | – | (11.4)% |
| Q3 2026 net income earnings per share, dilutedGAAP | $ 0.39 | – | – |
| Q3 2026 adjusted EBITDAnon-GAAP | $83.5M | – | 62.5% |
| Q3 2026 adjusted EBITDA marginnon-GAAP | 17.4 % | – | – |
| Q3 2026 cash flow from operating activitiesGAAP | $9.4M | – | – |
| Q3 2026 purchase of PPE, netGAAP | −$1.4M | – | – |
| Q3 2026 free cash flownon-GAAP | $7.96M | – | – |
| Q3 2026 free cash flow as a percentage of net salesnon-GAAP | 1.7 % | – | – |
| Nine months 2026 net salesGAAP | $1.35B | – | – |
| Nine months 2026 gross profitGAAP | $326.0M | – | – |
| Nine months 2026 operating incomeGAAP | $104.6M | – | – |
| Nine months 2026 income from continuing operationsGAAP | $35.91M | – | – |
| Nine months 2026 adjusted net incomenon-GAAP | $76.61M | – | – |
| Nine months 2026 GAAP earnings per share, diluted, income from continuing operationsGAAP | $ 1.20 | – | – |
| Nine months 2026 adjusted EPS, dilutednon-GAAP | $ 2.57 | – | – |
| Nine months 2026 adjusted EBITDAnon-GAAP | $220.5M | – | – |
| Nine months 2026 free cash flownon-GAAP | $6.76M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| ResidentialOmniMax contributed $160.7 million. Assuming OmniMax was owned in Q3 2025, Building Products grew 4.1%. Price and participation gains helped offset a slower than expected market; adjusted EBITDA margin was 18.9% versus 20.3%. | $399M | revenue decreasing 6.3% | 73.3% |
| AgtechCEA and Structures customers experienced construction permit delays affecting quarterly and second-half revenue. Adjusted EBITDA was $7.8 million versus $5.4 million and adjusted EBITDA margin was 13.2% versus 9.4%. | $59.3M | – | 3.0% |
| InfrastructureSales decreased $1.8 million and order backlog increased 10%. Margin was affected by lower volume and product mix. The company expects to divest D.S. Brown during the fourth quarter and reclassify the segment as discontinued operations. | $21.3M | – | (7.8)% |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Revised 2026 continuing operations excluding Infrastructure outlook
- Revenue$1.64 - $1.66
- NoteAdjusted EBITDA (in millions): $242 - $249
- NoteAdjusted EBITDA Margin: 14.7% - 15.0%
- NoteGAAP EPS – Diluted: $0.64 - $0.79
- NoteAdjusted EPS – Diluted: $2.25 - $2.40
- NoteRevised 2026 including Infrastructure net sales (in billions): $1.73 - $1.75
- NoteRevised 2026 including Infrastructure adjusted EBITDA (in millions): $264 - $271
- NoteRevised 2026 including Infrastructure adjusted EBITDA margin: 15.2% - 15.5%
- NoteRevised 2026 including Infrastructure GAAP EPS – Diluted: $1.12 - $1.27
- NoteRevised 2026 including Infrastructure Adjusted EPS – Diluted: $2.70 - $2.85
- NoteOriginal 2026 net sales (in billions): $1.76 - $1.83
- NoteOriginal 2026 adjusted EBITDA (in millions): $310 - $326
- NoteOriginal 2026 adjusted EBITDA margin: 17.6% - 17.8%
- NoteOriginal 2026 GAAP EPS – Diluted: $2.40 - $2.80
- NoteOriginal 2026 Adjusted EPS – Diluted: $3.65 - $4.05
Capital returns
- Purchase of common stock at market prices: $ (4,399) for the nine months ended September 30, 2026.
- Purchase of common stock at market prices: $ (63,740) for the nine months ended September 30, 2025.
What drove it
- Residential organic growth was 3.1% despite an end market that declined 13% in the quarter.
- OmniMax contributed $160.7 million to Residential third-quarter net sales.
- Residential recorded $7.8 million in synergies during the third quarter and $14.5 million year-to-date; Gibraltar increased its 2026 annualized synergy run rate commitment by $7.3 million to $36.5 million.
- Price and cost-reduction countermeasures helped offset lower Residential volume and incremental steel, logistics, and fuel inflation.
- Agtech net sales were affected by delays on two large CEA projects; one project recently received permitting approval and the company expects the second project to receive approval in December.
- Agtech backlog was $45.6 million at quarter-end, down 55%, and subsequently increased with recent project awards post quarter end.
Concerns
- Income from continuing operations declined 38.0% and GAAP diluted EPS from continuing operations declined 37.8%.
- Residential adjusted EBITDA margin declined to 18.9% from 20.3%, amid lower volume and incremental inflation in steel, logistics, and fuel.
- Agtech project delays shifted revenue and margin out of the quarter.
- Interest expense, net, was $ 21,522 versus $ 2 in the prior-year quarter.
- Third-quarter free cash flow was $7.961 million, versus $48.534 million in the prior-year quarter.
- The company reduced 2026 outlook, citing lower-than-expected third-quarter results, a lower fourth-quarter outlook, and Infrastructure's reclassification as discontinued operations.
What to watch
- Execution toward the $36.5 million 2026 annualized OmniMax synergy run rate commitment.
- Closing of the planned $208 million cash divestiture of D.S. Brown during the fourth quarter, subject to customary post-closing adjustments.
- Residential volume and margin performance if the market does not strengthen in the near term.
- Timing of permitting approval and revenue conversion for the delayed Agtech CEA projects.
- Agtech backlog conversion after the $45.6 million quarter-end backlog declined 55%.
- Cash generation and debt reduction under the stated policy of using excess cash flow to pay down debt.
Balance sheet and cash flow
- Cash and cash equivalents were $ 35,188 at September 30, 2026, versus $ 115,724 at December 31, 2025.
- Long-term debt was $ 1,238,384 at September 30, 2026.
- Net debt on the balance sheet was $1.2 billion and revolving credit facility availability was $451 million at quarter-end.
- Nine-month net cash provided by operating activities of continuing operations was $ 19,366, versus $ 105,380.
- Nine-month acquisitions, net of cash acquired, were $ (1,339,581).
- Nine-month proceeds from long-term debt were $ 1,340,000 and long-term debt payments were $ (75,000).
- Discontinued operations used $8.2 million in cash during the quarter.
Analysis
Gibraltar reported a substantial increase in third-quarter continuing-operations net sales to $479.6 million from $310.9 million, driven principally by the OmniMax acquisition. Residential generated $399.0 million of sales, including $160.7 million from OmniMax, while the company said Residential organic growth was 3.1% despite an end market that declined 13%. Agtech sales increased 3.0% to $59.3 million, but permit delays at CEA and Structures customers shifted expected revenue out of the quarter.
Profitability was mixed. Adjusted EBITDA increased 62.5% to $83.5 million and adjusted EBITDA margin improved to 17.4% from 16.5%, but GAAP income from continuing operations declined 38.0% to $20.6 million. GAAP diluted EPS from continuing operations was $0.69, down from $1.11, and adjusted EPS was $1.01, down from $1.14. The company cited $9.9 million of pretax expenses, or $0.32 per share, primarily for OmniMax acquisition integration and restructuring costs. Interest expense also increased to $21.5 million from $2.
Residential remained the principal earnings contributor, with adjusted EBITDA of $75.3 million and an 18.9% margin. Its adjusted EBITDA margin declined from 20.3%, although management said margin was essentially flat sequentially despite a 6.3% sequential revenue decrease. Price, participation gains, and cost actions partly offset volume pressure and higher steel, logistics, and fuel costs. The integration office generated $7.8 million of third-quarter synergies and raised the annualized 2026 synergy run rate commitment by $7.3 million to $36.5 million.
Agtech margins improved despite delayed projects, with adjusted EBITDA margin rising to 13.2% from 9.4%; however, quarter-end backlog was $45.6 million, down 55%. Infrastructure sales fell 7.8% to $21.3 million, and Gibraltar plans to divest D.S. Brown for $208 million in cash, subject to customary post-closing adjustments. The company expects the transaction to close in the fourth quarter and will reclassify Infrastructure as discontinued operations beginning in the fourth quarter.
Cash generation was weaker. Third-quarter free cash flow was $7.961 million, versus $48.534 million in the prior-year quarter, while cash and cash equivalents stood at $35.188 million and long-term debt at $1.238 billion at September 30, 2026. Gibraltar reduced its outlook for continuing operations, citing lower-than-expected third-quarter results, a lower fourth-quarter outlook, and the Infrastructure reclassification. Revised 2026 outlook excluding Infrastructure calls for net sales of $1.64 - $1.66, adjusted EBITDA of $242 - $249 million, GAAP diluted EPS of $0.64 - $0.79, and adjusted diluted EPS of $2.25 - $2.40.
Management, verbatim
Our residential business delivered solid revenue and margin performance in an end market that declined 13% in the quarter, slowing more than 2.5 times our expectation going into the quarter. Despite sector weakness, our Residential business generated organic growth of 3.1% and delivered 18.9% adjusted EBITDA margin.
Bill Bosway, Chairman and CEO
Our teams have the experience and skill to execute through prolonged, tough market environments and we are now significantly better positioned in combination with OmniMax to do so. Our revised outlook for continuing operations assumes the market will not strengthen in the near term, and we are taking all resulting integration, lean, simplification and pricing actions to serve our customers with excellence and preserve our margins.
Bill Bosway, Chairman and CEO
Not in the filing
stated, not guessed- Prior company outlook was not provided as a separate previous-release outlook; therefore, no actual-versus-prior-guidance comparison is presented.
- Q3 2026 gross margin was not printed.
- Q3 2026 GAAP and adjusted effective tax rates were not printed.
- Q3 2026 dividend amount was not reported.
- Q3 2026 share repurchases were not separately reported; repurchases were reported for the nine months ended September 30, 2026.
- A full balance-sheet debt schedule beyond long-term debt was not reported in the press-release summary.
- Guidance for gross margin, operating expenses, and tax rate was not reported.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.