Superior Group of Companies (SGC) Q1 2026 earnings summary

Executive summary

• Net sales increased 2.8% year-over-year to $140.9 million in Q1 2026, driven by growth in Branded Products and Healthcare Apparel, partially offset by a decline in Contact Centers.

• EBITDA rose to $4.8 million from $3.5 million last year, with margin improving to 3.4% from 2.6%.

• Net income was $0.8 million, reversing a net loss of $0.8 million in the prior year, and EPS turned positive at $0.06.

• Operates three diversified businesses: Healthcare Apparel, Branded Products, and Contact Centers, each in large, growing markets with high demand.

• Board declared a $0.14 per share quarterly dividend, continuing capital returns to shareholders.

Financial highlights

• Consolidated revenue reached $141 million, up 3% year-over-year.

• Branded Products net sales grew 5.1% year-over-year to $90.9 million; Healthcare Apparel up 4.9% to $28.6 million; Contact Centers declined 8.1% to $22.3 million.

• Gross margin improved to 37.1%, up 30 basis points from last year, with Q1 2026 gross profit at $52.3 million.

• EBITDA margin increased to 3.4%, and net income per diluted share was $0.06, up from a loss of $0.05 per share.

• Operating cash flow improved to $9.4 million, with cash and equivalents at $23.2 million at quarter-end.

Outlook and guidance

• Full-year 2026 net sales expected between $572 million and $585 million, up from $566.2 million in 2025.

• Diluted EPS guidance maintained at $0.54–$0.66, up from $0.46 last year.

• Results anticipated to be back half weighted for both revenue and EPS.

• Management expects continued growth in Branded Products and Healthcare Apparel, with Contact Centers positioned for future expansion.

• Ongoing dividend payments and continued share repurchases are anticipated as financial conditions permit.