Full Transcript: Atkore Q3 2026 Earnings Call

Atkore (NYSE: ATKR ) released third-quarter financial results and hosted an earnings call on Tuesday. Read the complete transcript below. This transcript is brought to you APIs. For real-time access to our entire catalog, please visit for a consultation.

1% increase compared to the same period last year, driven by higher sales volume, increased average selling prices, and favorable foreign exchange impacts, partially offset by divestitures. 92. 8 billion. During the third quarter, Atkore completed divestitures of its HDPE business and its surface protection and powder coating business in Belgium, and settled a $50 million litigation agreement, impacting GAAP net income.

3 million, although margins were slightly affected by higher input costs. 1 million, with a decline in EBITDA margin due to recent divestitures. 33 per share, payable on August 28, 2026. Full Transcript Jeannie, Operator Good morning.

My name is Jeannie and I will be your conference operator today. At this time, I would like to welcome everyone to Atkore's third quarter fiscal year 2026 earnings conference call. All lines are in a listen-only mode. I would now like to turn the conference over to your host, Matthew Kline, Vice President - Treasury & Investor Relations.

You may begin. Matthew Kline, Vice President - Treasury & Investor Relations Thank you and good morning, everyone. Welcome to our third quarter 2026 earnings conference call. I am joined today by John Deitzer, our Chief Financial Officer.

Given our announcement earlier this week regarding the acquisition of the company, we will not be taking questions today. This call is being held in accordance with the terms of the indenture governing our Senior Notes due 2031. Please refer to our recent SEC filings, including our Form 10-Q filed earlier this week, and our quarterly press release, which we will use as reference for this discussion today. In addition, any reference in our discussion today to EBITDA means adjusted EBITDA and any reference to EPS or adjusted EPS means adjusted diluted earnings per share.

Adjusted EBITDA and adjusted diluted earnings per share are non-GAAP measures. Reconciliations of non-GAAP measures and a presentation of the most comparable GAAP measures are available in the appendix to the previously mentioned earnings press release. With that, I'll turn it over to John. John Deitzer, Chief Financial Officer Thanks, Matt, and good morning, everyone.

Today I'd like to provide an overview of Atkore's third quarter fiscal 2026 results for the quarter ended June 26, 2026 and highlight the key drivers behind our performance. 8 billion. As Bill Waltz mentioned in the announcement press release, we are pleased to have entered into an agreement with Prysmian that delivers value to Atkore shareholders, and we believe our solid quarterly results and this transaction are a testament to our team's focus and dedication. Before I review the third quarter operating results, I'd also like to mention the following.

During the third quarter, we completed the divestitures of our high-density polyethylene, or HDPE, business and the sale of our surface protection and powder coating business in Belgium, both of which were announced last May. As you may recall, we also completed the divestiture of our Tektron mechanical tube business earlier this year. In addition, the company entered into a settlement agreement with the last of three putative classes in an ongoing litigation matter for $50 million. 5 million.

Please note the payment for the third class of $50 million was made in the beginning of our fourth quarter. Now turning to our third quarter performance, we were pleased with our third quarter operational results. To summarize, we achieved net sales of $795 million and adjusted EBITDA of $105 million. 92.

All three metrics were sequentially better than our Q2 performance and an increase versus the prior year. Organic volume increased 9% year over year in the third quarter with contributions from both our Electrical and S&I segments. Turning now to the income statement, let me provide a bit more detail. 1% to $795 million compared with $735 million in the same quarter last year.

4 million from higher average selling prices and $8 million of favorable foreign exchange impacts. These gains were partially offset by $39 million related to divestitures. 7% to $105 million compared to $100 million last year, reflecting the improvement in gross profit and continued operational execution. 25 per diluted share in the prior year period.

The decline was primarily driven by the previously mentioned $50 million litigation settlement expense. Looking at our segment results, the Electrical segment continued to deliver strong growth. 3 million last year. The increase was driven by higher sales volume, favorable foreign exchange effects and increased average selling prices, partially offset by the impact of divestitures.

3 million. 6% in the prior year. While volume growth supported earnings expansion, margin was modestly affected as higher input costs outpaced pricing improvements. 8 million.

Growth was supported by higher average selling prices, increased volume and lower solar credit rebates, partially offset by the impact of recent divestitures. 7 million in the prior year quarter. 4%. 2 million in cash and cash equivalents.

33 per share. The dividend will be paid on August 28, 2026, to shareholders of record as of August 18, 2026. With that, thank you for your support and interest in our company. This concludes the call for today.

Operator This concludes today's conference call. You may now disconnect. Disclaimer: This transcript is provided for informational purposes only. While we strive for accuracy, there may be errors or omissions in this automated transcription.

For official company statements and financial information, please refer to the company's SEC filings and official press releases. Corporate participants' and analysts' statements reflect their views as of the date of this call and are subject to change without notice.