Gibraltar Industries (ROCK) Q1 2026 earnings summary

Executive summary

• Net sales rose 44.6% year-over-year to $356–$356.3 million, driven by the OmniMax and other acquisitions, despite softness in residential and Agtech markets.

• Integration of OmniMax is progressing ahead of plan, with $16.3 million in realized synergies and a raised target of $26 million for 2026.

• Adjusted EBITDA increased 16.1% to $49 million, but adjusted EPS declined 50% to $0.45 due to higher interest expense and unfavorable price/material economics.

• The company reaffirmed its 2026 guidance, expecting strong EBITDA and continued deleveraging.

• Net loss was $67.5 million, primarily due to a $55.4 million loss from discontinued operations.

Financial highlights

• Adjusted net sales were $356–$356.3 million, up 44.6% year-over-year, driven by acquisitions.

• Adjusted EBITDA margin was 13.8%, down from 17.1% in Q1 2025.

• Operating cash flow was negative $34.6–$35 million, with $70 million from eBOS divestiture applied to debt reduction.

• Net debt at quarter end was $1.2 billion; revolving credit facility availability was $466.6–$487 million.

• Gross margin declined to 22.1% from 28.4% year-over-year, impacted by product mix and acquisition-related amortization.

Outlook and guidance

• 2026 full-year guidance reaffirmed: net sales $1.76–$1.83 billion, adjusted EBITDA $310–$326 million (margin 17.6–17.8%), adjusted EPS $3.65–$4.05.

• Free cash flow expected at ~8% of sales; CapEx at 2–3% of sales.

• Deleveraging path targets net leverage ratio of ~2.5x adjusted EBITDA by Q1 2028.

• Residential segment off to a strong start in Q2, with April shipments and bookings ahead of 2025.