Eagle Materials (EXP) Q4 2026 earnings summary

Executive summary

• Achieved record annual revenue of $2.3 billion in fiscal 2026, up 2% year-over-year, with diluted EPS of $13.16, despite a 4% decline due to lower wallboard sales and prices.

• Returned $414 million to shareholders through dividends and share repurchases, reducing fully diluted shares by 5% and repurchasing 1.7 million shares for $382 million.

• Maintained a strong safety record, with a total recordable incident rate below industry average for five years and a 24% increase in hazard observation reporting.

• Strengthened balance sheet by issuing $750 million of 10-year notes at 5% interest, enhancing liquidity and supporting long-term growth investments.

• Advanced modernization projects at key cement and wallboard plants to increase capacity and reduce costs.

Financial highlights

• Fiscal 2026 revenue reached $2.3 billion, up 2% from the prior year; Q4 revenue was $479 million.

• Gross profit margin for the year was 28.3%; annual EPS was $13.16, down 4% year-over-year.

• Operating cash flow increased 12% to $614 million.

• Adjusted EBITDA for FY26 was $774.5 million, down 5% year-over-year.

• Ended FY26 with $1.5 billion in net debt and a net leverage ratio of 1.9x.

Outlook and guidance

• Fiscal 2027 capital expenditures expected to range from $490 million to $525 million as major projects near completion.

• Long-term outlook remains favorable, supported by infrastructure spending and significant IIJA funds.

• Wallboard volumes expected to rebound mid-term as housing market normalizes; June 1st price increase planned.

• Ongoing investments in plant modernization expected to enhance capacity, reduce costs, and improve competitive position.

• Growth in private non-residential manufacturing projects expected to continue.