Quanex reported Q1 FY2026 net sales of USD 409.1 million, up 2.3% year-over-year, driven mainly by foreign exchange translation and the pass-through of tariffs. Gross margin was USD 98.5 million (24.1% of sales). The company posted a net loss of USD 4.1 million, or diluted EPS of USD -0.09, while adjusted net loss was USD 0.3 million (adjusted diluted EPS USD -0.01). Adjusted EBITDA was USD 27.4 million (6.7% margin). Cash used for operating activities was USD 20.2 million and free cash flow was USD 31.5 million (outflow). By segment in Q1, net sales were USD 189.1 million in Hardware Solutions, USD 139.8 million in Extruded Solutions and USD 89.1 million in Custom Solutions; Custom Solutions sales rose 4.8% year-over-year, while Extruded Solutions was essentially flat and Hardware Solutions increased 2.4%. Management cited inflationary pressures, high interest rates, tariff uncertainty and weaker consumer confidence as weighing on demand, alongside higher but temporary operational costs at its window and door hardware plant in Monterrey, Mexico. As of January 31, 2026, Quanex had total debt of USD 717.5 million and net debt of USD 655.2 million, with a net debt to LTM adjusted EBITDA leverage ratio of 2.8x. Liquidity was USD 331.6 million, including USD 62.3 million of cash. For FY2026, Quanex guided net sales of USD 1.84 billion to USD 1.87 billion and adjusted EBITDA of USD 240 million to USD 245 million, and said it expects the first half of FY2026 to be more challenging than the first half of FY2025, with improvement anticipated in the second half.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Quanex Building Products Corporation published the original content used to generate this news brief via GlobeNewswire (Ref. ID: 202603051615PRIMZONEFULLFEED9666888) on March 05, 2026, and is solely responsible for the information contained therein.