Atkore (ATKR) Q1 2026 earnings summary

Executive summary

• Q1 2026 net sales were $655.5 million, a 0.9% decrease year-over-year, primarily due to lower average selling prices and divestitures, partially offset by higher volumes.

• Net income declined 67.6% to $15.0 million, driven by lower operating income, higher costs, and restructuring charges.

• Adjusted EBITDA was $69.1 million, down 30.3% year-over-year, and Adjusted EPS was $0.83, a 49.1% decline.

• Over $30 million in productivity savings were achieved year-over-year.

• The Tectron mechanical tube product line was divested, sharpening focus on electrical infrastructure.

Financial highlights

• Gross profit fell 26.4% to $125.9 million, with gross margin declining to 19.2% from 25.9% year-over-year.

• Adjusted EBITDA margin for the quarter was 10.5%, down from 15.0% year-over-year.

• Net income per diluted share was $0.44, down from $1.31; adjusted net income per diluted share was $0.83, down from $1.63.

• Free cash flow was negative $67.3 million, compared to positive $33.1 million in the prior year quarter.

• Net debt at quarter-end was $317.3 million, with net debt to trailing twelve months adjusted EBITDA of approximately 0.89x.

Outlook and guidance

• Full-year 2026 net sales expected between $2.95–$3.05 billion, with adjusted EBITDA guidance of $340–$360 million and adjusted EPS of $5.05–$5.55.

• Mid-single digit volume growth anticipated for FY 2026, weighted toward the back half of the year.

• Q2 adjusted EBITDA expected to be similar to or slightly better than Q1.

• Capital expenditures expected at $80–$90 million, down $5 million from prior guidance.

• Management expects sufficient liquidity for ongoing operations and capital needs.