Tecnoglass (TGLS) Q3 2026 earnings summary

Executive summary

• Q3 revenue reached a record $310.6M, up 19.2% YoY, driven by multifamily and commercial growth, market-share gains, and geographic expansion.

• Backlog reached a record $1.43B, up 13.2% YoY, with book-to-bill at 1.2x, supporting visibility into 2027.

• Profitability was pressured by peso appreciation, aluminum costs, tariffs, higher installation mix, and wage increases.

Financial highlights

• Net income was $22.8M and diluted EPS $0.51, versus $47.2M and $1.01 in Q3'25; adjusted net income was $27.3M and adjusted diluted EPS $0.61.

• Adjusted EBITDA was $47.7M versus $79.1M YoY; excluding the $8.4M non-cash inventory revaluation, it would have been $8.4M higher.

• Gross profit was $106.0M, down from $111.3M YoY; operating income was $31.9M versus $65.4M.

• Operating expenses were $74.0M, including $18.4M in U.S. import tariff expense; 9M expenses were $198.4M, including $38.0M in tariff expense net of a $1.9M recovery.

• 9M revenue was $854.9M, up 15.8% YoY; adjusted EBITDA was $160.9M versus $229.1M.

Outlook and guidance

• FY2026 guidance: revenue $1.10B–$1.14B and adjusted EBITDA $210M–$220M; excluding the $8.4M Q3 inventory revaluation, adjusted EBITDA guidance would be $8.4M higher.

• High-end assumptions include continued share gains, geographic and vinyl expansion, backlog execution without delays, aluminum below Q3 peak levels, and gradual peso depreciation; low-end assumptions include project shifts and continued peso strength.

• Q4 gross margin is expected to improve sequentially to 38%–39%, supported by pricing, lower aluminum costs, and less inventory revaluation, partly offset by a strong peso.

• May pricing is expected to flow into multifamily and commercial revenue as projects progress through backlog; automation savings and full-year pricing are expected to fully offset tariff impacts in 2027.

• Vinyl revenue is expected at ~$15M in 2026 and $3M–$5M monthly in 2027, subject to market conditions; product development is complete.