Perma-Pipe International Holdings (PPIH) Q3 2026 earnings summary

Executive summary

• Net sales for the quarter ended October 31, 2025, rose 47% year-over-year to $61.1 million, driven by higher sales volumes in the Middle East and North America.

• Net income attributable to common stock for Q3 was $6.3 million, a 152% increase year-over-year; year-to-date net income was $12.1 million, up from $7.2 million.

• Backlog at October 31, 2025, was $148.9 million, up 7.8% from January 31, 2025, and over 30% higher than the prior year's Q3.

• Year-to-date revenues nearly matched full-year 2024 levels, with net income already surpassing last year's total.

Financial highlights

• Gross profit for the quarter was $21.0 million (34% margin), up from $14.1 million year-over-year; year-to-date gross profit was $52.2 million, up $14.1 million.

• General and administrative expenses increased to $8.3 million in Q3 and $26.1 million year-to-date, mainly due to higher payroll, professional fees, and a $2.0 million one-time CEO departure charge.

• Diluted EPS was $0.77 for Q3 and $1.49 year-to-date, compared to $0.31 and $0.90, respectively, in the prior year.

• Cash and cash equivalents as of October 31, 2025, were $27.2 million, up from $15.7 million at January 31, 2025.

• Net cash provided by operating activities for the nine months was $16.0 million, up from $7.9 million year-over-year.

Outlook and guidance

• Backlog growth and strong demand in North America and MENA support a positive outlook.

• Investment in the new Qatar facility has secured over $5 million in awards for execution in the remainder of the year.

• Management believes current cash, operating cash flows, and available credit facilities are sufficient to meet business requirements for at least the next 12 months.

• Management remains focused on profitable growth and enhancing competitive positioning.