Griffon(US:GFF)2026-02-05 12:51Revenue and Income - Revenue for Q1 2026 totaled $649.1 million, a 3% increase from $632.4 million in Q1 2025[2] - Net income for Q1 2026 was $64.4 million, or $1.41 per share, compared to $70.9 million, or $1.49 per share in Q1 2025[3] - Revenue for the three months ended December 31, 2025, was $649,088,000, an increase from $632,371,000 in 2024, representing a growth of 2.3%[27] - Net income for Q4 2025 was $64,387,000, compared to $70,851,000 in Q4 2024, reflecting a decline of 9.1%[27] - Basic earnings per share for Q4 2025 was $1.44, a decrease from $1.56 in Q4 2024, representing a decline of 7.7%[27] Adjusted Metrics - Adjusted EBITDA for Q1 2026 was $129.6 million, a 1% decrease from $131.2 million in Q1 2025[4] - Adjusted net income for Q4 2025 was $66,302,000, compared to $65,873,000 in Q4 2024, indicating a slight increase of 0.7%[32] Segment Performance - Home and Building Products segment revenue increased 3% to $408.0 million, driven by favorable pricing and mix[5] - Consumer and Professional Products segment revenue increased 2% to $241.1 million, primarily due to price and mix[7] Cash Flow and Expenditures - Free cash flow for Q1 2026 was $99 million, with capital expenditures of $7.7 million[5][9] - Free cash flow (FCF) for Q4 2025 was $99,330,000, down from $142,686,000 in Q4 2024, a decrease of 30.4%[24] Debt and Leverage - Total debt outstanding as of December 31, 2025, was $1.35 billion, with net debt of $1.26 billion[9] - The leverage ratio (net debt to EBITDA) improved to 2.3x as of December 31, 2025, down from 2.4x in both September 30, 2025, and December 31, 2024[24] Shareholder Returns - Share repurchases in Q1 2026 totaled 0.2 million shares for $18.1 million, with $280.0 million remaining under the repurchase program[10] - The company paid dividends of $0.22 per share in Q4 2025, up from $0.18 per share in Q4 2024[27] Assets and Cash Position - Total assets as of December 31, 2025, were $2,054,802,000, a slight decrease from $2,063,637,000 as of September 30, 2025[29] - Cash and equivalents at the end of Q4 2025 were $95,280,000, down from $151,952,000 at the end of Q4 2024[31] Future Outlook - Griffon expects fiscal 2026 revenue from continuing operations to be $1.8 billion and Adjusted EBITDA to be $520 million[13] - The company announced a joint venture with ONCAP for CPP's AMES U.S. and Canada businesses[11] Non-Cash Charges and Tax Provisions - For the three months ended December 31, 2025, the company recognized a non-cash charge of $1,609 related to the establishment of a retiree medical plan[33] - The company will recognize an additional non-cash charge of $5,362 ratably over the first 10 months of fiscal 2026[33] - The tax impact for reconciling adjustments from GAAP net income to non-GAAP adjusted net income is determined by comparing the company's tax provision including adjustments to the tax provision excluding such adjustments[34] - Discrete tax provisions primarily relate to the impact of a rate differential between statutory and annual effective tax rates on items impacting the quarter[34]