Worthington Enterprises Inc. (NYSE: WOR) reported fiscal 2026 third‑quarter results on March 24, 2026, with net sales rising 24.4% year‑over‑year to $378.7 million. Operating income increased to $31.5 million, while adjusted operating income reached $35.2 million, reflecting stronger performance across both Building Products and Consumer Products segments. The company also announced a quarterly dividend of $0.19 per share, payable June 29, 2026, to shareholders of record on June 15, 2026.
The quarter ended February 28, 2026, and the earnings conference call was held on March 25, 2026. Adjusted earnings per share of $0.98 beat the consensus estimate of $0.95 by $0.03, a 3.16% beat. GAAP earnings per share were $0.92, up from $0.79 in the same quarter a year earlier, and also beat the $0.95 estimate by $0.03. Revenue exceeded the $348.45 million estimate by $30.25 million, an 8.68% beat.
Segment performance highlighted the impact of the January acquisition of LSI Group. Building Products’ adjusted EBITDA margin contracted to 26.3% from 32.3% year‑over‑year, largely due to inventory step‑up costs associated with the LSI acquisition. In contrast, Consumer Products’ margin expanded to 22.9% from 20.5%, driven by operational efficiencies and a favorable product mix. Overall adjusted EBITDA margin for the quarter was 22.3%, down from 24.2% a year earlier, reflecting the mix shift and acquisition-related costs.
"We delivered another quarter of strong, resilient performance, achieving year‑over‑year growth in adjusted EPS and EBITDA for the sixth consecutive quarter." – Joe Hayek, President and CEO, Worthington Enterprises. "Our teams delivered solid organic growth across both segments, driving meaningfully higher sales and earnings." – Joe Hayek. "We were happy to welcome the LSI team to Worthington when the acquisition closed in January, and we are excited about the contributions they are already making to our Building Products segment." – Joe Hayek. "We delivered strong financial results in Q3, recording GAAP earnings of $0.92 per share, compared to $0.79 per share in the prior year period. The current quarter included $0.06 per share of restructuring and other non‑recurring items, primarily related to acquisition costs and the non‑cash amortization of a portion of the inventory step‑up associated with our recent acquisition of LSI. The prior year quarter included $0.12 per share of restructuring and other expenses." – Colin Souza, Chief Financial Officer, Worthington Enterprises.
Management guidance for the fourth quarter of fiscal 2026 and the full year remains positive. The company reiterated its expectation of a Q4 adjusted EPS of $1.15, consistent with the trend of six consecutive quarters of year‑over‑year growth in adjusted EPS and EBITDA. The guidance signals confidence in sustaining organic volume growth and the continued integration of LSI’s product lines, particularly in the data‑center cooling niche, which the company identifies as a high‑growth opportunity.
Investors responded positively to the earnings beat, though concerns about margin compression in the Building Products segment tempered enthusiasm. The company’s dividend policy and ongoing share‑repurchase program reinforce its commitment to shareholder returns, while the acquisition of LSI and focus on data‑center cooling position Worthington for continued growth in a diversified portfolio of building and consumer products.
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