Perma-Pipe International Holdings (PPIH) Q2 2026 earnings summary

Executive summary

• Net sales increased to $47.9M for the quarter and $94.6M for the six months ended July 31, 2025, up 27.7% and 31.8% year-over-year, driven by higher sales volumes in the Middle East and North America.

• Gross profit rose to $14.4M for the quarter and $31.1M for the six months, reflecting increased activity, improved margins, and favorable product mix.

• Net income attributable to common stock was $0.9M for the quarter (down from $3.3M) and $5.8M for the six months (up from $4.7M), with the quarter impacted by a one-time $2.1M executive compensation charge.

• Backlog rose to $157.8M at July 31, 2025, more than double the prior year, with growth in both North America and MENA.

• The company transitioned from Smaller Reporting Company to Accelerated Filer status due to increased public float.

Financial highlights

• Quarterly net sales grew by $10.4M year-over-year; six-month net sales up $22.8M year-over-year.

• Quarterly gross profit increased by $0.9M; six-month gross profit up $7.1M year-over-year.

• General and administrative expenses rose to $10.0M for the quarter, including a one-time executive compensation charge.

• Net income attributable to common stock decreased by $2.4M for the quarter but increased by $1.1M for the six months year-over-year.

• Earnings per share for the quarter were $0.11 (basic), $0.10 (diluted); for six months, $0.73 (basic), $0.72 (diluted).

Outlook and guidance

• Management believes current cash, equivalents, and committed debt facilities are sufficient to meet business requirements for at least the next 12 months.

• Management remains confident in driving profitable growth and strengthening competitive position, supported by strong backlog and new awards in Qatar.

• Focus remains on delivering results and capitalizing on global demand for sustainable infrastructure during the strategic review.