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Star Equity (STRR) investor relations material
Star Equity Q3 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 revenue was $53.9M (+12.4% reported YoY) and gross profit was $23.2M (+12.6%); growth reflected a full quarter of acquired businesses following the 2025 merger.
On a pro forma basis, Q3 revenue fell 13%, gross profit declined 8% and Adjusted EBITDA fell 50% to $1.5M; reported prior-year Adjusted EBITDA was $1.3M.
Annualized merger synergies reached $3.1M, above the initial $2M expectation; 2027 priorities include organic growth, profitability, cash generation and disciplined capital allocation.
Financial highlights
Q3 Adjusted net loss attributable to common shareholders was $1.0M versus Adjusted net income of $0.7M; Adjusted diluted EPS was $(0.26) versus $0.18.
9M revenue rose 37.8% reported to $158.9M but declined 5% on a pro forma basis; net loss attributable to common shareholders widened to $9.0M from $4.3M.
Q3 operating cash flow was $0.9M versus $2.7M used in Q3 2025; net CapEx was $0.3M, generating positive free cash flow.
Quarter-end cash was $7.8M including $1.6M restricted; Q3 corporate costs were $1.8M versus $2.6M pro forma, excluding non-recurring expenses of $0.7M and $1.3M, respectively.
Outlook and guidance
Building Solutions views $20M quarterly revenue, 25% gross margin and 10%–15% EBITDA margin as mid-cycle levels; it targets quarterly new orders of at least $20M, with management hoping to exceed that level in 2027.
Management sees 2027 profitability paths through acquisitions, a stronger Energy Services platform, resilient Business Services, a growing Building Solutions backlog, cost management and disciplined capital allocation.
Two real estate transactions are expected to generate over $9M gross proceeds; both closings were hoped for before year-end. A $215M NOL was cited as a potential asset for future growth initiatives and transactions.
Harte Hanks remained subject to SEC clearance, shareholder approval and bank approvals, with closing hoped for by year-end or early 2027; a GEE Group sale process was underway.
- Three linked divestitures would leave a public business focused on RPO.STRR
Proxy filing - Three linked sales would refocus operations on RPO, subject to stockholder approval and financing.STRR
Proxy filing - Governance changes and NOL defenses headline a proxy amid a CEO transition.STRR
Proxy filing - Nine proposals pair governance changes and NOL safeguards with a planned CEO transition.STRR
Proxy filing - Constant-currency Q3 revenue growth offset by margin pressure; 9M results remained loss-making.STRR
Q3 2016 - Shareholders were asked to approve a 2.4 million-share plan increase amid below-target FY2015 results.STRR
Proxy filing - Divestitures weighed on revenue, while losses narrowed and liquidity remained substantial.STRR
Q1 2016 - $20.0M in divestiture and exit gains drove Q2 net income to $13.9M.STRR
Q2 2015 - Divestiture gains lifted nine-month earnings as Q3 revenue declined and Asia Pacific grew.STRR
Q3 2015
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