Commercial Metals Company reported fiscal second‑quarter 2026 revenue of $2.132 billion, up 2% from $2.091 billion a year earlier. The modest growth was driven by a 3% increase in the North America Steel Group and a 5% rise in the Construction Solutions Group, offsetting a 1% decline in the Europe Steel Group. The company’s revenue beat analyst consensus of $1.98–$2.11 billion, a lift of roughly 7%.
Adjusted earnings for the quarter were $130.1 million, or $1.16 per diluted share, compared with $35.8 million, or $0.31 per diluted share, a year earlier. The adjusted EPS of $1.16 fell short of the consensus estimate of $1.28–$1.34, a miss of $0.12–$0.18 per share. The miss was largely attributable to a $37.1 million net after‑tax charge related to the Foley and CP&P acquisitions and a higher-than‑expected cost of raw materials.
Core EBITDA reached $297.5 million, a 52% year‑over‑year increase, and the core EBITDA margin expanded to 14.0% from 13.4% a year earlier. The margin growth reflects stronger pricing power in the steel market, the continued execution of the Transform, Advance, Grow (TAG) program, and the early contributions from the newly acquired precast concrete platform.
The precast segment generated $33.6 million of adjusted EBITDA in the quarter and is expected to contribute $165–$175 million of EBITDA for the full fiscal year. Management highlighted that the platform’s performance is a key driver of the company’s long‑term growth strategy and that the TAG program is delivering incremental operating leverage.
The company recorded a $37.1 million net after‑tax charge related to the Foley and CP&P acquisitions and repurchased 249,154 shares for $18.3 million during the quarter. It also increased its quarterly dividend by 11% to $0.20 per share, marking its 246th consecutive payment.
Investors focused on the adjusted EPS miss, which underscored margin pressure from acquisition-related charges and higher input costs. Despite the miss, the revenue beat, margin expansion, and strong precast outlook reinforce confidence in the company’s execution of its growth strategy and its ability to generate sustainable earnings.
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