Griffon Corporation Reports Decline in Revenue and Net Income for Q2 Fiscal 2026

Griffon Corporation reported its financial results for the second quarter of fiscal 2026, revealing a slight decline in revenue and net income compared to the same period last year. For the three months ended March 31, 2026, the company generated revenue of $421.9 million, a decrease of 1% from $426.7 million in the prior year. The decline was attributed to a 6% drop in volume, primarily in the residential segment, which was partially offset by a favorable price and mix effect of 5%. For the six months ended March 31, 2026, revenue increased by 1% to $876.1 million, driven by a 6% favorable price and mix, despite a 5% decrease in volume.

Net income for the second quarter was $19.3 million, or $0.42 per diluted share, down from $56.8 million, or $1.21 per diluted share, in the same quarter last year. The decrease in net income was largely due to a loss of $27.6 million from discontinued operations, which included the AMES Companies' U.S., Canada, Australia, and U.K. operations. The company recorded a loss of $22.6 million on assets held for sale, reflecting the carrying value of these operations exceeding their estimated fair value less costs to sell. Income from continuing operations was $46.9 million, or $1.03 per share, compared to $49.8 million, or $1.06 per share, in the prior year.

In terms of operational developments, Griffon announced a joint venture with ONCAP on February 5, 2026, aimed at creating a global provider of hand tools and home organization solutions. This joint venture will combine Griffon’s AMES Companies with several brands from Venanpri, with Griffon holding a 43% equity interest. The company expects to receive $100 million in cash upon closing, which is anticipated by the end of June 2026. Additionally, Griffon has initiated a strategic review of its AMES Australia operations and has ceased operations in the U.K., with plans to liquidate assets.

Griffon’s total assets as of March 31, 2026, were $2.07 billion, a slight decrease from $2.08 billion at the end of the previous fiscal year. Current assets included cash and equivalents of $109.7 million, up from $99.0 million, and accounts receivable of $200.9 million, compared to $197.0 million. The company’s total liabilities decreased to $1.97 billion from $2.00 billion, with long-term debt remaining relatively stable at $1.39 billion. The company’s liquidity position remains strong, with $436.8 million available under its revolving credit facility.

Looking ahead, Griffon anticipates continued challenges in the residential market but remains focused on executing its strategic initiatives, including the joint venture and the review of its international operations. The company aims to enhance its market position through innovation and operational efficiency while managing costs effectively.