Commercial Metals Company Reports 23% Revenue Growth to $2.48 Billion in Latest Quarter

Commercial Metals Company (CMC) reported significant financial performance improvements in its latest quarterly filing for the three and nine months ended May 31, 2026. The company achieved net sales of $2.48 billion for the third quarter, a 23% increase from $2.02 billion in the same period last year. For the nine months, net sales rose to $6.74 billion, up 19% from $5.68 billion. The net earnings for the third quarter were $173 million, compared to $83 million in the prior year, while for the nine months, earnings reached $443 million, a substantial recovery from a net loss of $67 million in the same period last year.

The increase in revenue and profitability can be attributed to several factors, including the contributions from the newly acquired precast platform, which added $176 million and $320 million to net sales for the three and nine months, respectively. Additionally, the company experienced expansion in steel product metal margins within its North America Steel Group segment, alongside favorable changes in the timing of payments from government assistance programs in Europe. However, these gains were partially offset by increased interest expenses and employee-related costs.

Strategically, CMC completed two significant acquisitions in December 2025: Foley Products Company and Concrete Pipe and Precast, LLC. These acquisitions were aimed at enhancing CMC's precast concrete solutions and expanding its market presence. The company also restructured its Emerging Businesses Group into the Construction Solutions Group to better align with its strategic priorities. The acquisitions are expected to bolster CMC's growth trajectory and operational capabilities in the construction sector.

Operationally, CMC reported a total employee headcount increase due to the acquisitions, contributing to higher selling, general, and administrative expenses, which rose by $46.5 million and $129.9 million for the three and nine months, respectively. The company also noted a significant increase in capital expenditures, primarily driven by the construction of its fourth micro mill in West Virginia, which is expected to begin production in 2026.

Looking ahead, CMC anticipates continued growth driven by its strategic acquisitions and operational expansions. The company expects to maintain sufficient liquidity to support its operations, capital expenditures, and shareholder returns, with a capital spending estimate of approximately $550 million for 2026. However, CMC remains vigilant regarding macroeconomic uncertainties, including potential impacts from trade policies and geopolitical conditions, which could affect demand and pricing in the steel industry.