Compass Diversified Reports Third Quarter 2025 Financial Results

Core Insights - Compass Diversified (CODI) has reported its consolidated operating results for the three and nine months ended September 30, 2025, and confirmed compliance with SEC filing requirements for 2025 [1][2]. Financial Performance - For Q3 2025, CODI reported net sales of $472.6 million, an increase from $456.6 million in Q3 2024, representing a growth of approximately 3% [14]. - The gross profit for Q3 2025 was $207.7 million, compared to $196.6 million in Q3 2024, indicating a year-over-year increase of about 5.7% [14]. - Operating income for Q3 2025 was a loss of $11.1 million, down from an operating income of $8.3 million in Q3 2024 [15]. - The net loss attributable to Holdings for Q3 2025 was $74.0 million, compared to a net loss of $36.0 million in Q3 2024 [16]. Adjusted Financial Metrics - The company expects full-year 2025 subsidiary Adjusted EBITDA to be between $335 million and $355 million, excluding Lugano Holding, Inc. [3]. - Adjusted EBITDA for Q3 2025 was reported at $30.3 million, down from $48.6 million in Q3 2024 [17]. - For the nine months ended September 30, 2025, Adjusted EBITDA totaled $122.4 million, compared to $137.0 million for the same period in 2024 [21]. Balance Sheet Highlights - As of September 30, 2025, total assets were $3.25 billion, a decrease from $3.30 billion as of December 31, 2024 [12]. - Total liabilities increased to $2.93 billion from $2.77 billion at the end of 2024 [12]. - Stockholders' equity attributable to Holdings decreased to $519.2 million from $678.6 million at the end of 2024 [12]. Management Commentary - The CEO expressed confidence in the company's compliance with SEC requirements and highlighted the solid performance of its operating subsidiaries, excluding Lugano, amidst a challenging macroeconomic environment [2]. - The focus remains on strategic priorities aimed at delivering long-term shareholder value through performance enhancement and growth investments [2].