Griffon Corporation delivered third-quarter results showing revenue expansion and improved profitability as the company continued its strategic transformation into a pure-play building products business. Revenue increased 7% year over year to $481 million, supported by a 6% favorable price and mix contribution alongside a 1% volume increase. Adjusted earnings per share rose to $1.51 from $1.39 in the prior-year period, while adjusted EBITDA climbed 2% to $125 million with a margin of 25.9%.
Despite operating in a challenging environment marked by weakness in U.S. housing and commercial construction, the company reaffirmed its fiscal 2026 guidance for $1.8 billion in revenue and $458 million in adjusted EBITDA from continuing operations. Capital allocation activities during the quarter included $53 million in stock repurchases representing 626,000 shares at an average price of $85 per share. The board authorized a quarterly dividend of $0.22 per share, marking the company’s 60th consecutive quarterly dividend and reflecting a 19% annualized compounded growth rate since dividend payments began in 2012.
Balancesheet strengthening represented a key element of the quarter’s strategic progress. The company closed its Australasia joint venture, receiving $181 million in cash and a $49 million note receivable along with a 49% equity interest. Following the quarter, Griffon repaid the remaining $285 million balance on its term loan B, reducing pro forma net leverage to approximately 2.0 times on a pro forma basis for the Australasia transaction. As of June 30, net debt stood at $1.2 billion with net debt-to-EBITDA leverage of 2.2 times, improving from 2.5 times a year earlier.
Operational performance reflected mixed market dynamics across product categories. Door volume declined slightly during the quarter driven by residential demand, while fan volume more than offset that decline and left commercial volume flat. The company implemented a price increase during the quarter to address higher raw material, labor, energy, distribution and logistics costs, with expectations that the increase would support EBITDA margins above 25% as it works through backlog. Management noted that the Clopay division remained focused on the premium repair-and-remodel market, which continued to perform well despite broader housing market sluggishness.
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