Quanex Building Products Announces Second Quarter 2026 Results

Rhea-AI Impact

(Moderate)

Rhea-AI Sentiment

(Neutral)

Rhea-AI Summary

Quanex (NYSE:NX) reported Q2 2026 net sales of $462.4 million, up 2.2% year-over-year, driven mainly by pricing and FX benefits. Gross margin fell to 25.5% from 29.0%, and net income declined to $3.4 million with diluted EPS of $0.07.

Adjusted EBITDA was $44.2 million versus $63.1 million, with a 9.6% margin. Total debt was $715.0 million, leverage was 3.1x Net Debt/LTM Adjusted EBITDA, and liquidity totaled $328.6 million, including $63.7 million in cash.

AI-generated analysis. Not financial advice.

Positive

Net sales up 2.2% year-over-year to $462.4 million
Custom Solutions segment net sales up 6.6%
Avoided being a net borrower in a seasonally weak quarter
Liquidity of $328.6 million as of April 30, 2026
Leverage ratio at 3.1x Net Debt to LTM Adjusted EBITDA

Negative

Gross margin down from 29.0% to 25.5% year-over-year
Net income declined to $3.4 million from $20.5 million
Adjusted EBITDA fell to $44.2 million from $63.1 million
Free cash flow down to $7.9 million from $13.6 million
LTM net loss of $257.2 million due to prior goodwill impairment
Higher transportation and raw material costs from Middle East conflict and inflation

Key Figures

Net sales: $462.4M Gross margin %: 25.5% Net income: $3.4M +5 more

8 metrics

Net sales $462.4M Q2 2026 net sales vs $452.5M in Q2 2025

Gross margin % 25.5% Q2 2026 vs 29.0% in Q2 2025

Net income $3.4M Q2 2026 net income vs $20.5M in Q2 2025

Diluted EPS $0.07 Q2 2026 diluted EPS vs $0.44 in Q2 2025

Adjusted EBITDA $44.2M Q2 2026 adjusted EBITDA vs $63.1M in Q2 2025

Adj. EBITDA margin 9.6% Q2 2026 adjusted EBITDA margin vs 14.0% in Q2 2025

Total debt $715.0M Total debt as of April 30, 2026

Liquidity $328.6M Liquidity as of April 30, 2026

Market Reality Check

Price: $18.13 Vol: Volume 332,373 is roughly...

normal vol

$18.13 Last Close

Volume Volume 332,373 is roughly in line with the 20-day average of 347,691 (rel. 0.96x). normal

Technical Price $18.13 is trading above the 200-day MA of $17.19 and 21.1% below the 52-week high.

Peers on Argus

NX fell about 1.4% while peers were mixed: JELD up 2.5%, ASPN down 5.3%, APOG do...

1 Up

NX fell about 1.4% while peers were mixed: JELD up 2.5%, ASPN down 5.3%, APOG down 2.74%, SWIM up 0.76%, JBI flat. The pattern points to a company-specific reaction to earnings rather than a broad sector move.

Previous Earnings Reports

5 past events · Latest: Mar 05 (Negative)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Mar 05	Q1 2026 earnings	Negative	-7.7%	Q1 2026 results with small net loss and new full-year guidance.
Dec 11	FY 2025 results	Positive	+9.6%	Strong FY2025 growth from Tyman and higher operating cash flow.
Sep 04	Q3 2025 earnings	Negative	-13.1%	Q3 2025 results with large goodwill-impairment-driven net loss.
Jun 05	Q2 2025 earnings	Positive	+10.6%	Q2 2025 results with strong sales growth and margin expansion.
Mar 10	Q1 2025 earnings	Negative	-9.2%	Q1 2025 results highlighting Tyman-driven growth and higher leverage.

Pattern Detected

Earnings releases have produced sizable moves, with an average same-tag move of -1.97% and reactions alternating between strong gains and sharp selloffs.

Recent Company History

Recent earnings history for Quanex shows sizable swings around results. Q1 2026 earnings and guidance on Mar 5, 2026 were followed by a -7.71% move. FY2025 results on Dec 11, 2025 brought strong growth and a 9.55% gain. Q3 2025 results on Sep 4, 2025 combined higher sales with a goodwill-driven loss and a -13.06% move. Earlier 2025 quarters also triggered double‑digit gains or high‑single‑digit declines.

Historical Comparison

-2.0% avg move · Past earnings releases for NX led to volatile moves averaging -1.97%, with both double‑digit gains a...

earnings

-2.0%

Average Historical Move earnings

Past earnings releases for NX led to volatile moves averaging -1.97%, with both double‑digit gains and losses, framing expectations for how this Q2 2026 report might be absorbed.

Earnings updates trace the integration of Tyman, with net sales climbing from Q1 2025 into FY2025, while goodwill impairments and leverage metrics, such as 2.6x–3.6x net debt to LTM Adjusted EBITDA, remained key themes.

Market Pulse Summary

The stock is up +7.7% following this news. A strong positive reaction aligns with Quanex’s history o...

Analysis

The stock is up +7.7% following this news. A strong positive reaction aligns with Quanex’s history of large moves on earnings, where past reports have swung as much as double digits and averaged about -1.97%. Investors would likely weigh modest net sales growth against compressed margins and elevated leverage. Any sustained strength could depend on execution of cost actions, working capital management, and how quickly price versus cost imbalances normalize.

Key Terms

adjusted net income, adjusted diluted eps, adjusted ebitda, free cash flow, +4 more

8 terms

adjusted net income financial

"Adjusted Net Income | $11.3 | | $29.1 |"

Adjusted net income is a company's reported profit after removing unusual, one-time, or non-operational items so the number reflects the business’s regular earning power. Investors use it like a cleaned-up scorecard — similar to judging a player’s season performance without a few fluke games — to compare companies or assess trends without being misled by rare gains or losses that won’t affect future cash flow.

adjusted diluted eps financial

"Adjusted Diluted EPS | $0.25 | | $0.63 |"

Adjusted diluted EPS is a company’s profit per share after adding back or removing one-time items (like restructuring costs or gains) and dividing by the number of shares including potential shares from options and convertible securities. Investors use it as a cleaner view of ongoing earnings—like looking at a car’s regular fuel efficiency rather than a trip boosted by downhill coasting—to judge underlying performance and compare companies without temporary distortions.

adjusted ebitda financial

"Adjusted EBITDA | $44.2 | | $63.1 |"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

free cash flow financial

"Free Cash Flow | $7.9 | | $13.6 |"

Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.

non-gaap financial

"(See Non-GAAP Terminology Definitions and Disclaimers section"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

leverage ratio financial

"Quanex’s leverage ratio of Net Debt to LTM Adjusted EBITDA was 3.1x."

Leverage ratio measures how much a company relies on borrowed money compared with its own funds or assets, typically expressed as debt relative to equity or total assets. Like a homeowner with a mortgage, higher leverage can amplify returns when business is strong but also raises the chance of big losses or default if revenue falls, so investors use it to judge financial risk and resilience.

ltm financial

"Quanex’s leverage ratio of Net Debt to LTM Adjusted EBITDA was 3.1x."

Last twelve months (LTM) is a way of measuring a company's financial performance using the most recent 12 months of results rather than a fixed calendar or fiscal year. Investors use LTM to see the company's current trend — like looking at the last 12 months on a rolling odometer — which helps compare firms with different reporting cycles and spot recent improvements or declines in revenue, profit, or cash flow.

senior secured revolving credit facility financial

"availability under its Senior Secured Revolving Credit Facility due 2029"

A senior secured revolving credit facility is a multi‑use bank lending line that a company can draw, repay and redraw as needed, backed by specific assets and ranked first in repayment order if the company defaults. Think of it like a collateralized credit card that gives flexible short‑term cash while lenders hold priority to recover their money; investors watch it because it affects a company’s liquidity, borrowing cost, and who gets paid first in financial distress.

AI-generated analysis. Not financial advice.

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06/04/2026 - 04:15 PM

Net Sales Growth of ~2% Year-Over-Year
Volumes Tracking Normal Seasonality Patterns
Price vs Cost Imbalance Being Addressed
Executing on Working Capital Management

HOUSTON, June 04, 2026 (GLOBE NEWSWIRE) -- Quanex Building Products Corporation (NYSE:NX) (“Quanex” or the “Company”) today announced its results for the three months ended April 30, 2026.

The Company reported the following selected financial results:

	Three Months Ended April 30,						Six Months Ended April 30,
($ in millions, except per share data)		2026			2025			2026			2025
Net Sales	$	462.4		$	452.5		$	871.5		$	852.5
Gross Margin	$	117.8		$	131.4		$	216.3		$	223.7
Gross Margin %		25.5	%		29.0	%		24.8	%		26.2	%
Net Income (Loss)	$	3.4		$	20.5		$	(0.7	)	$	5.6
Diluted EPS	$	0.07		$	0.44		$	(0.02	)	$	0.12

Adjusted Net Income	$	11.3		$	29.1		$	11.0		$	38.1
Adjusted Diluted EPS	$	0.25		$	0.63		$	0.24		$	0.81
Adjusted EBITDA	$	44.2		$	63.1		$	71.6		$	101.7
Adjusted EBITDA Margin %		9.6	%		14.0	%		8.2	%		11.9	%

Cash Provided By (Used For) Operating Activities	$	18.9		$	28.5		$	(1.3	)	$	16.0
Free Cash Flow	$	7.9		$	13.6		$	(23.6	)	$	(10.6	)

(See Non-GAAP Terminology Definitions and Disclaimers section, Non-GAAP Financial Measure Disclosure table, Selected Segment Data table and reconciliation tables for additional information)

George Wilson, Chairman, President and Chief Executive Officer, commented, “Despite the headwinds our industry is facing, demand for the products we manufacture was as expected during the second quarter of 2026. Rapid inflationary pressures related to macroeconomic concerns and the ongoing conflict in the Middle East led to an unfavorable price versus cost dynamic, which pressured our margins. As previously disclosed, we utilize surcharges to respond to rapid increases in costs and we have index pricing mechanisms in place in North America to handle fluctuations in major raw material costs, but when costs increase quickly there is a timing lag and margins are negatively impacted. We are addressing the current price versus cost imbalance to minimize further negative impact and expect to recover some of the shortfall to date during the second half of this year, assuming volumes continue to track the normal seasonality of our business, and the rate of inflationary pressure subsides.

“We expected to be a net borrower during the second quarter due to the seasonality of our business, coupled with the longer cash conversion cycle of the legacy Tyman business, but continued execution on managing working capital, coupled with the seasonal uptick in volumes, enabled us to avoid being a net borrower for the quarter. We intend to prioritize debt repayment and opportunistic share repurchases as we generate cash in the second half. In addition, we will continue to focus on the things we can control, which includes identifying operational efficiencies and commercial synergies that we believe will benefit us when consumer confidence improves and demand rebounds.”

Second Quarter 2026 Results Summary

Quanex reported net sales of $462.4 million during the three months ended April 30, 2026, which represents an increase of 2.2% compared to $452.5 million for the same period in 2025, mainly due to favorable impacts from pricing, including tariff-related price recoveries, and foreign exchange translation. The Hardware Solutions and Extruded Solutions segments each reported modest increases in net sales for the second quarter of 2026, as lower volumes were offset by favorable impacts from pricing, including tariff-related recoveries and foreign exchange translation. Quanex reported an increase of 6.6% in net sales for the second quarter of 2026 in its Custom Solutions segment, largely due to increased volume and improved pricing. (See Sales Analysis table for additional information)

On a consolidated basis, the decrease in adjusted earnings for the second quarter of 2026 compared to the second quarter of 2025 was mainly due to reduced operating leverage from lower volumes related to ongoing macroeconomic uncertainty combined with weak consumer confidence, tariff-related costs and inflationary pressures. More specifically, due to the ongoing war in the Middle East, the Company realized a significant increase in transportation and raw material costs during the quarter.

Balance Sheet & Liquidity Update

As of April 30, 2026, the Company had total debt of $715.0 million and Quanex’s leverage ratio of Net Debt to LTM Adjusted EBITDA was 3.1x. As of April 30, 2026, Quanex reported a LTM Net Loss of $257.2 million, mainly due to the non-cash goodwill impairment charge recorded in the third quarter of 2025, and LTM Adjusted EBITDA of $212.8 million (See Non-GAAP Terminology Definitions and Disclaimers section, Net Debt Reconciliation table and Last Twelve Months Adjusted EBITDA Reconciliation table for additional information)

The Company’s liquidity was $328.6 million as of April 30, 2026, consisting of $63.7 million in cash on hand plus availability under its Senior Secured Revolving Credit Facility due 2029, less letters of credit outstanding.

Conference Call and Webcast Information

The Company has scheduled a conference call for Friday, June 5, 2026, at 11:00 a.m. ET (10:00 a.m. CT) to discuss the release. A link to the live audio webcast will be available on Quanex’s website at http://www.quanex.com in the Investors section under Presentations & Events.

Participants can pre-register for the conference call using the following link: https://register-conf.media-server.com/register/BIcb9c8924a43d483f9a1238134ae8964f

Registered participants will receive an email containing conference call details for dial-in options. To avoid delays, it is recommended that participants dial into the conference call ten minutes ahead of the scheduled start time. A replay will be available for a limited time on the Company’s website at http://www.quanex.com in the Investors section under Presentations & Events.

About Quanex

Quanex is a global manufacturer with core capabilities and broad applications across various end markets. The Company currently collaborates and partners with leading OEMs to provide innovative solutions in the window, door, solar, refrigeration, custom mixing, building access and cabinetry markets. Looking ahead, Quanex plans to leverage its material science expertise and process engineering to expand into adjacent markets.

Contact:

Scott Zuehlke
SVP, Chief Financial Officer & Treasurer
713-877-5327
scott.zuehlke@quanex.com

Non-GAAP Terminology Definitions and Disclaimers

Adjusted Net Income (defined as net income further adjusted to exclude amortization of step-up for purchase price adjustments on inventory, asset impairment charges, transaction, advisory fees and reorganization costs, restructuring charges related to severance and disposal of software, amortization expense related to intangible assets, pension settlement refund and other net adjustments related to foreign currency transaction gain/loss and effective tax rates reflecting impacts of adjustments on a with and without basis) and Adjusted EPS are non-GAAP financial measures that Quanex believes provide a consistent basis for comparison between periods and more accurately reflect operational performance, as they are not influenced by certain income or expense items not affecting ongoing operations. EBITDA (defined as net income or loss before interest, taxes, depreciation and amortization and other, net), Adjusted EBITDA and LTM Adjusted EBITDA (defined as EBITDA further adjusted to exclude purchase price accounting inventory step-ups, transaction costs, certain severance charges, gain/loss on the sale of certain fixed assets, restructuring charges and asset impairment charges) are non-GAAP financial measures that the Company uses to measure operational performance and assist with financial decision-making. Net Debt is defined as total debt (outstanding balance on the revolving credit facility plus financial lease obligations) less cash and cash equivalents. The leverage ratio of Net Debt to LTM Adjusted EBITDA is a financial measure that the Company believes is useful to investors and financial analysts in evaluating Quanex’s leverage. In addition, with certain limited adjustments, this leverage ratio is the basis for a key covenant in the Company’s credit agreement.

Free Cash Flow is a non-GAAP measure calculated using cash provided by operating activities less capital expenditures. Quanex uses the Free Cash Flow metric to measure operational and cash management performance and assist with financial decision-making. Free Cash Flow is measured before application of certain contractual commitments (including capital lease obligations), and accordingly is not a true measure of the Company’s residual cash flow available for discretionary expenditures. Quanex believes Free Cash Flow is useful to investors in understanding and evaluating the Company’s financial and cash management performance.

Quanex believes that the presented non-GAAP measures provide a consistent basis for comparison between periods and will assist investors in understanding the Company’s financial performance when comparing results to other investment opportunities. These measures allow management and investors to evaluate operational performance and trends without the impact of certain non-cash charges, acquisition-related costs, and other items that may vary significantly from period to period and may not be reflective of Quanex’s core operating results. The presented non-GAAP measures may not be the same as those used by other companies. The Company does not intend for this information to be considered in isolation or as a substitute for other measures prepared in accordance with U.S. GAAP.

Forward Looking Statements

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that use the words “estimated,” “expect,” “could,” “should,” “believe,” “will,” “might,” “anticipate,” “intend,” “plan,” “project,” “seek,” “would,” “may,” or similar words reflecting future expectations or beliefs are forward-looking statements. The forward-looking statements include, but are not limited to, the following: Quanex’s future operating results, future financial condition, future uses of cash and other expenditures, expenses and tax rates, expectations relating to the Company’s industry, expectations regarding the recovery of price versus cost imbalances, anticipated debt repayment and share repurchase activity, expected operational efficiencies and synergies and the Company’s future growth, including any guidance discussed in this press release. The statements and guidance set forth in this release are based on current expectations. Actual results or events may differ materially from those expressed or implied in these forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. For a complete discussion of factors that may affect the Company’s future performance, please refer to Quanex’s Annual Report on Form 10-K for the fiscal year ended October 31, 2025, and the Company’s Quarterly Reports on Form 10-Q under the sections entitled “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors”. Any forward-looking statements in this press release are made as of the date hereof, and the Company undertakes no obligation to update or revise any forward-looking statements, whether written or oral, to reflect new information, developments or events.


CONDENSED CONSOLIDATED STATEMENTS OF INCOME (In thousands, except per share data) (Unaudited)

	Three Months Ended April 30,						Six Months Ended April 30,
		2026			2025			2026			2025

Net sales	$	462,367		$	452,478		$	871,456		$	852,522
Cost of sales		344,575			321,096			655,137			628,824
Selling, general and administrative		74,432			70,333			145,858			136,983
Restructuring charges		-			936			-			8,840
Depreciation and amortization		24,650			19,192			48,899			43,932
Operating income		18,710			40,921			21,562			33,943
Interest expense		(12,042	)		(13,940	)		(24,409	)		(28,126	)
Other, net		448			(159	)		6,065			1,070
Income before income taxes		7,116			26,822			3,218			6,887
Income tax expense		(3,766	)		(6,307	)		(3,939	)		(1,257	)
Net income (loss)	$	3,350		$	20,515		$	(721	)	$	5,630

Earnings (loss) per common share, basic	$	0.07		$	0.44		$	(0.02	)	$	0.12
Earnings (loss) per common share, diluted	$	0.07		$	0.44		$	(0.02	)	$	0.12

Weighted average common shares outstanding:
Basic		45,483			46,483			45,469			46,753
Diluted		45,658			46,563			45,469			46,868

Cash dividends per share	$	0.08		$	0.08		$	0.16		$	0.16

QUANEX BUILDING PRODUCTS CORPORATION CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands) (Unaudited)

	April 30, 2026			October 31, 2025
ASSETS
Current assets:
Cash and cash equivalents	$	63,671		$	76,018
Restricted Cash		2,313			2,100
Accounts receivable, net		211,088			205,384
Inventories		278,047			254,122
Income taxes receivable		6,121			-
Prepaid assets		39,542			32,387
Other current assets		3,651			3,764
Total current assets		604,433			573,775
Property, plant and equipment, net		399,190			411,591
Operating lease right-of-use assets		176,809			154,866
Deferred tax assets		250			2,706
Goodwill		274,750			271,346
Intangible assets, net		533,395			549,137
Other assets		4,348			4,812
Total assets	$	1,993,175		$	1,968,233

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable	$	127,709		$	131,307
Accrued liabilities		85,666			95,155
Income taxes payable		6,289			12,076
Current maturities of long-term debt		26,545			27,561
Current operating lease liabilities		18,911			15,446
Total current liabilities		265,120			281,545
Long-term debt		678,932			665,268
Noncurrent operating lease liabilities		164,958			145,459
Deferred income taxes		141,104			135,993
Other liabilities		15,703			13,789
Total liabilities		1,265,817			1,242,054
Stockholders’ equity:
Common stock		512			512
Additional paid-in-capital		696,391			700,029
Retained earnings		156,641			164,710
Accumulated other comprehensive loss		(27,897	)		(35,439	)
Treasury stock at cost		(98,289	)		(103,633	)
Total stockholders’ equity		727,358			726,179
Total liabilities and stockholders' equity	$	1,993,175		$	1,968,233

QUANEX BUILDING PRODUCTS CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW (In thousands) (Unaudited)

	Six Months Ended April 30,
		2026			2025
Operating activities:
Net (loss) income	$	(721	)	$	5,630
Adjustments to reconcile net loss to cash used for operating activities:
Depreciation and amortization		48,899			43,932
Stock-based compensation		2,402			1,825
Deferred income tax		918			1,250
Other, net		3,800			7,243
Changes in assets and liabilities:
(Increase) decrease in accounts receivable		(4,479	)		5,322
Increase in inventory		(21,719	)		(1,333	)
Increase in other current assets		(6,200	)		(7,828	)
Decrease in accounts payable		(2,459	)		(14,771	)
Decrease in accrued liabilities		(10,411	)		(14,048	)
Change in income taxes		(12,005	)		(5,471	)
Other, net		689			(5,764	)
Cash (used for) provided by operating activities		(1,286	)		15,987
Investing activities:
Capital expenditures		(22,322	)		(26,544	)
Proceeds from disposition of capital assets		29			376
Cash used for investing activities		(22,293	)		(26,168	)
Financing activities:
Borrowings under credit facilities		119,000			125,000
Repayments of credit facility borrowings		(99,500	)		(117,500	)
Repayments of other long-term debt		(1,762	)		(1,888	)
Common stock dividends paid		(7,277	)		(7,552	)
Purchase of treasury stock		-			(27,194	)
Other, net		(696	)		(1,186	)
Cash provided by (used for) financing activities		9,765			(30,320	)
Effect of exchange rate changes on cash and cash equivalents		1,680			2,303
Decrease in cash, cash equivalents and restricted cash		(12,134	)		(38,198	)
Cash, cash equivalents and restricted cash at beginning of period		78,118			102,995
Cash, cash equivalents and restricted cash at end of period	$	65,984		$	64,797

QUANEX BUILDING PRODUCTS CORPORATION FREE CASH FLOW AND NET DEBT RECONCILIATION (In thousands) (Unaudited)

The following table reconciles the Company's calculation of Free Cash Flow, a non-GAAP measure, to its most directly comparable GAAP measure. The Company defines Free Cash Flow as cash provided by operating activities less capital expenditures.

	Three Months Ended April 30,					Six Months Ended April 30,
	2026			2025		2026		2025
Cash (used for) provided by operating activities	18,922		$	28,497		(1,286	)	15,987
Capital expenditures	(11,028	)		(14,920	)	(22,322	)	(26,544	)
Free Cash Flow	7,894		$	13,577		(23,608	)	(10,557	)

The following table reconciles the Company's Net Debt which is defined as total debt principal of the Company plus finance lease obligations minus cash.

	As of April 30,
		2026		2025
Term loan facility	$	456,250	$	481,205
Revolving credit facility		204,500		242,500
Finance lease obligations (1)		54,294		61,272
Total debt (2)		715,044		784,977
Less: Cash and cash equivalents		63,671		62,626
Net Debt		651,373		722,351

(1) Includes $48.6 million and $57.4 million in real estate lease liabilities considered finance leases under U.S. GAAP as of April 30, 2026 and 2025, respectively.
(2) Excludes outstanding letters of credit.


QUANEX BUILDING PRODUCTS CORPORATION NON-GAAP FINANCIAL MEASURE DISCLOSURE LAST TWELVE MONTHS ADJUSTED EBITDA RECONCILIATION (In thousands, except per share data) (Unaudited)

Reconciliation of Last Twelve Months Adjusted EBITDA	Three Months Ended April 30, 2026			Three Months Ended January 31, 2026			Three Months Ended October 31, 2025			Three Months Ended July 31, 2025			Total
	Reconciliation			Reconciliation			Reconciliation			Reconciliation			Reconciliation
Net income (loss) as reported	$	3,350		$	(4,071	)	$	19,571		$	(276,007	)	$	(257,157	)
Income tax expense (benefit)		3,766			173			15,147			(8,191	)		10,895
Other, net		(448	)		(5,617	)		(5,246	)		(855	)		(12,166	)
Interest expense		12,042			12,367			13,468			14,218			52,095
Depreciation and amortization		24,650			24,249			25,630			33,882			108,411
Asset impairment charges		-			-			-			302,284			302,284
EBITDA		43,360			27,101			68,570			65,331			204,362
Cost of sales (1)		121			407			308			148			984
Selling, general and administrative (1),(2)		688			(126	)		2,056			3,449			6,067
Restructuring (credit) charges (3)		-			-			(16	)		1,367			1,351
Adjusted EBITDA	$	44,169		$	27,382		$	70,918		$	70,295		$	212,764

(1) Expense related to plant closure/relocation.
(2) Transaction, advisory fees, reorganization costs and product recall expenses.
(3) Restructuring (credit) charges related to severance.


QUANEX BUILDING PRODUCTS CORPORATION NON-GAAP FINANCIAL MEASURE DISCLOSURE (In thousands, except per share data) (Unaudited)

Reconciliation of Adjusted Net Income and Adjusted EPS	Three Months Ended April 30, 2026								Three Months Ended April 30, 2025								Six Months Ended April 30, 2026								Six Months Ended April 30, 2025
	Net Income			Diluted EPS					Net Income			Diluted EPS					Net Income			Diluted EPS					Net Income			Diluted EPS
Net income (loss) as reported	$	3,350		$	0.07				$	20,515		$	0.44				$	(721	)	$	(0.02	)			$	5,630		$	0.12
Net income reconciling items from below		7,913		$	0.18					8,597		$	0.19					11,714		$	0.26					32,444		$	0.69
Adjusted net income and adjusted EPS	$	11,263		$	0.25				$	29,112		$	0.63				$	10,993		$	0.24				$	38,074		$	0.81

Reconciliation of Adjusted EBITDA	Three Months Ended April 30, 2026								Three Months Ended April 30, 2025								Six Months Ended April 30, 2026								Six Months Ended April 30, 2025
	Reconciliation								Reconciliation								Reconciliation								Reconciliation
Net income (loss) as reported	$	3,350							$	20,515							$	(721	)						$	5,630
Income tax expense		3,766								6,307								3,939								1,257
Other, net		(448	)							159								(6,065	)							(1,070	)
Interest expense		12,042								13,940								24,409								28,126
Depreciation and amortization		24,650								19,192								48,899								43,932
EBITDA		43,360								60,113								70,461								77,875
EBITDA reconciling items from below		809								3,022								1,090								23,802
Adjusted EBITDA	$	44,169							$	63,135							$	71,551							$	101,677

Reconciling Items	Three Months Ended April 30, 2026								Three Months Ended April 30, 2025								Six Months Ended April 30, 2026								Six Months Ended April 30, 2025
	Income Statement			Reconciling Items					Income Statement			Reconciling Items					Income Statement			Reconciling Items					Income Statement			Reconciling Items
Net sales	$	462,367		$	-				$	452,478		$	-				$	871,456		$	-				$	852,522		$	-
Cost of sales		344,575			(121	)	(1	)		321,096			(976	)	(1	)		655,137			(528	)	(1	)		628,824			(9,983	)
Selling, general and administrative		74,432			(688	)	(1),(3)			70,333			(1,110	)	(1),(3)			145,858			(562	)	(1),(3)			136,983			(4,979	)
Restructuring charges		-			-					936			(936	)	(4	)		-			-		(5	)		8,840			(8,840	)
EBITDA		43,360			809					60,113			3,022					70,461			1,090					77,875			23,802
Depreciation and amortization		24,650			(9,776	)	(5	)		19,192			(6,454	)	(5	)		48,899			(19,533	)	(7	)		43,932			(17,104	)
Operating income		18,710			10,585					40,921			9,476					21,562			20,623					33,943			40,906
Interest expense		(12,042	)		-					(13,940	)		-					(24,409	)		-					(28,126	)		-
Other, net		448			(158	)	(6	)		(159	)		1,003		(6	)		6,065			(5,230	)	(6	)		1,070			831
Income before income taxes		7,116			10,427					26,822			10,479					3,218			15,393					6,887			41,737
Income tax expense		(3,766	)		(2,514	)	(7	)		(6,307	)		(1,882	)	(7	)		(3,939	)		(3,679	)	(7	)		(1,257	)		(9,293	)
Net income (loss)	$	3,350		$	7,913				$	20,515		$	8,597				$	(721	)	$	11,714				$	5,630		$	32,444

Diluted earnings per share	$	0.07							$	0.44							$	(0.02	)						$	0.12

(1) Expense related to plant closure/relocation.
(2) Amortization of step-up for purchase price adjustments on inventory.
(3) Transaction, advisory fees, reorganization costs and product recall expenses.
(4) Restructuring charges related to severance and disposal of software.
(5) Amortization expense related to intangible assets.
(6) Foreign currency transaction (gains) losses.
(7) Tax impact of net income reconciling items.

QUANEX BUILDING PRODUCTS CORPORATION
SELECTED SEGMENT DATA
(In thousands)
(Unaudited)

This table provides gross margin, operating income (loss), EBITDA, and Adjusted EBITDA by reportable segment. Non-operating expense and income tax expense are not allocated to the reportable segments.

	Hardware Solutions			Extruded Solutions			Custom Solutions			Unallocated Corp & Other			Total
Three months ended April 30, 2026
Net sales	$	203,019		$	164,949		$	103,913		$	(9,514	)	$	462,367
Cost of sales		162,392			112,881			79,017			(9,715	)		344,575
Gross Margin		40,627			52,068			24,896			201			117,792
Gross Margin %		20.0	%		31.6	%		24.0	%					25.5	%
Selling, general and administrative (1)		35,763			21,664			13,889			3,116			74,432
Depreciation and amortization		11,693			7,341			5,404			212			24,650
Operating (loss) income		(6,829	)		23,063			5,603			(3,127	)		18,710
Depreciation and amortization		11,693			7,341			5,404			212			24,650
EBITDA		4,864			30,404			11,007			(2,915	)		43,360
Expense related to plant relocation (Cost of sales)		121			-			-			-			121
Expense related to plant relocation (SG&A)		134			-			-			-			134
Reorganization costs		75			-			1			478			554
Adjusted EBITDA	$	5,194		$	30,404		$	11,008		$	(2,437	)	$	44,169
Adjusted EBITDA Margin %		2.6	%		18.4	%		10.6	%					9.6	%

Three months ended April 30, 2025
Net sales	$	202,935		$	163,967		$	97,507		$	(11,931	)	$	452,478
Cost of sales		145,533			111,637			73,702			(9,776	)		321,096
Gross Margin		57,402			52,330			23,805			(2,155	)		131,382
Gross Margin %		28.3	%		31.9	%		24.4	%					29.0	%
Selling, general and administrative (1)		32,259			21,673			10,850			5,551			70,333
Restructuring charges		896			-			-			40			936
Depreciation and amortization		10,361			7,437			5,437			(4,043	)		19,192
Operating income (loss)		13,886			23,220			7,518			(3,703	)		40,921
Depreciation and amortization		10,361			7,437			5,437			(4,043	)		19,192
EBITDA		24,247			30,657			12,955			(7,746	)		60,113
Expense related to plant relocation (Cost of sales)		976			-			-			-			976
Expense related to plant relocation (SG&A)		246			-			-			-			246
Transaction, advisory fees, reorganization costs, and product recall expenses		593			19			-			252			864
Restructuring charges		896			-			-			40			936
Adjusted EBITDA	$	26,958		$	30,676		$	12,955		$	(7,454	)	$	63,135
Adjusted EBITDA Margin %		13.3	%		18.7	%		13.3	%					14.0	%

Six months ended April 30, 2026
Net sales	$	392,131		$	304,749		$	193,055		$	(18,479	)	$	871,456
Cost of sales		313,116			210,590			150,441			(19,010	)		655,137
Gross Margin		79,015			94,159			42,614			531			216,319
Gross Margin %		20.2	%		30.9	%		22.1	%					24.8	%
Selling, general and administrative (1)		69,943			42,805			27,039			6,071			145,858
Depreciation and amortization		23,240			14,680			10,626			353			48,899
Operating (loss) income		(14,168	)		36,674			4,949			(5,893	)		21,562
Depreciation and amortization		23,240			14,680			10,626			353			48,899
EBITDA		9,072			51,354			15,575			(5,540	)		70,461
Expense related to plant relocation (Cost of sales)		528			-			-			-			528
Credit related to plant relocation (SG&A)		(8	)		-			-			-			(8	)
Reorganization costs		146			-			1			423			570
Adjusted EBITDA	$	9,738		$	51,354		$	15,576		$	(5,117	)	$	71,551
Adjusted EBITDA Margin %		2.5	%		16.9	%		8.1	%					8.2	%

Six months ended April 30, 2025
Net sales	$	387,675		$	303,597		$	182,545		$	(21,295	)	$	852,522
Cost of sales		296,318			209,317			142,000			(18,811	)		628,824
Gross Margin		91,357			94,280			40,545			(2,484	)		223,698
Gross Margin %		23.6	%		31.1	%		22.2	%					26.2	%
Selling, general and administrative (1)		65,616			40,181			22,448			8,738			136,983
Restructuring charges		7,015			-			-			1,825			8,840
Depreciation and amortization		21,831			15,077			10,977			(3,953	)		43,932
Operating (loss) income		(3,105	)		39,022			7,120			(9,094	)		33,943
Depreciation and amortization		21,831			15,077			10,977			(3,953	)		43,932
EBITDA		18,726			54,099			18,097			(13,047	)		77,875
Expense related to plant closure (Cost of sales)		976			-			-			-			976
Gain related to plant closure (SG&A)		247			-			-			-			247
Amortization of step-up for purchase price adjustments on inventory and accounts receivable		7,509			352			1,146			-			9,007
Transaction and advisory fees		683			176			-			3,873			4,732
Restructuring charges		7,015			-			-			1,825			8,840
Adjusted EBITDA	$	35,156		$	54,627		$	19,243		$	(7,349	)	$	101,677
Adjusted EBITDA Margin %		9.1	%		18.0	%		10.5	%					11.9	%

(1) Includes stock-based compensation expense for the three and six months ended April 30, 2026, respectively of $1.5 million and $4.6 million and $0.6 million and $1.8 million for the comparable prior year periods.

QUANEX BUILDING PRODUCTS CORPORATION
SELECTED SEGMENT DATA RECONCILIATION
(In thousands)
(Unaudited)

This table reconciles our segment presentation, as previously reported in Exhibit 99.1 to our Current Report Form 8-K dated June 5, 2025 for the three and six months ended April 30, 2025, to the current presentation.


	NA Fenestration			EU Fenestration			NA Cabinet Components			Tyman			Unallocated Corp & Other			Total
Three months ended April 30, 2025
Net sales	$	151,026		$	61,257		$	51,237		$	190,107		$	(1,149	)	$	452,478
Cost of sales		113,760			39,001			42,405			126,743			(813	)		321,096
Gross Margin		37,266			22,256			8,832			63,364			(336	)		131,382
Gross Margin %		24.7	%		36.3	%		17.2	%		33.3	%					29.0	%
Selling, general and administrative		15,938			9,038			5,725			37,271			2,361			70,333
Restructuring charges		-			-			-			936			-			936
Depreciation and amortization		4,667			2,659			3,015			8,775			76			19,192
Operating income (loss)		16,661			10,559			92			16,382			(2,773	)		40,921
Depreciation and amortization		4,667			2,659			3,015			8,775			76			19,192
EBITDA		21,328			13,218			3,107			25,157			(2,697	)		60,113
Expense related to plant relocation (Cost of sales)		976			-			-			-			-			976
Expense related to plant relocation (SG&A)		246			-			-			-			-			246
Transaction, advisory fees, and reorganization costs		-			-			-			675			189			864
Restructuring charges related to severance and disposal of software		-			-			-			936			-			936
Adjusted EBITDA	$	22,550		$	13,218		$	3,107		$	26,768		$	(2,508	)	$	63,135
Adjusted EBITDA Margin %		14.9	%		21.6	%		6.1	%		14.1	%					14.0	%

	Hardware Solutions(1)			Extruded Solutions(2)			Custom Solutions(3)			Tyman			Unallocated Corp & Other			Total
Three months ended April 30, 2025
Net sales	$	202,935		$	163,967		$	97,507		$	-		$	(11,931	)	$	452,478
Cost of sales		145,533			111,637			73,702			-			(9,776	)		321,096
Gross Margin		57,402			52,330			23,805			-			(2,155	)		131,382
Gross Margin %		28.3	%		31.9	%		24.4	%								29.0	%
Selling, general and administrative		32,259			21,673			10,850						5,551			70,333
Restructuring charges		896			-			-			-			40			936
Depreciation and amortization		10,361			7,437			5,437			-			(4,043	)		19,192
Operating (loss) income		13,886			23,220			7,518			-			(3,703	)		40,921
Depreciation and amortization		10,361			7,437			5,437			-			(4,043	)		19,192
EBITDA		24,247			30,657			12,955			-			(7,746	)		60,113
Expense related to plant relocation (Cost of sales)		976			-			-			-			-			976
Expense related to plant relocation (SG&A)		246			-			-			-			-			246
Transaction, advisory fees, and reorganization costs		593			19			-			-			252			864
Restructuring charges related to severance and disposal of software		896			-			-			-			40			936
Adjusted EBITDA	$	26,958		$	30,676		$	12,955		$	-		$	(7,454	)	$	63,135
Adjusted EBITDA Margin %		13.3	%		18.7	%		13.3	%								14.0	%

	NA Fenestration			EU Fenestration			NA Cabinet Components			Tyman			Unallocated Corp & Other			Total
Six months ended April 30, 2025
Net sales	$	285,359		$	109,728		$	95,047		$	365,783		$	(3,395	)	$	852,522
Cost of sales		220,327			69,638			81,821			259,539			(2,501	)		628,824
Gross Margin		65,032			40,090			13,226			106,244			(894	)		223,698
Gross Margin %		22.8	%		36.5	%		13.9	%		29.0	%					26.2	%
Selling, general and administrative		32,071			16,959			10,992			71,649			5,312			136,983
Restructuring charges		-			-			-			8,840			-			8,840
Depreciation and amortization		9,446			5,269			6,024			23,038			155			43,932
Asset impairment charges		-			-			-			-			-			-
Operating income (loss)		23,515			17,862			(3,790	)		2,717			(6,361	)		33,943
Depreciation and amortization		9,446			5,269			6,024			23,038			155			43,932
EBITDA		32,961			23,131			2,234			25,755			(6,206	)		77,875
Expense related to plant relocation (Cost of sales)		976			-			-			-			-			976
Expense related to plant relocation (SG&A)		247			-			-			-			-			247
Amortization of step-up for purchase price adjustments on inventory and accounts receivable		-			-			-			9,007			-			9,007
Transaction, advisory fees, and reorganization costs		-			-			-			2,142			2,590			4,732
Restructuring charges related to severance and disposal of software		-			-			-			8,840			-			8,840
Adjusted EBITDA	$	34,184		$	23,131		$	2,234		$	45,744		$	(3,616	)	$	101,677
Adjusted EBITDA Margin %		12.0	%		21.1	%		2.4	%		12.5	%					11.9	%

	Hardware Solutions(1)			Extruded Solutions(2)			Custom Solutions(3)			Tyman			Unallocated Corp & Other			Total
Six months ended April 30, 2025
Net sales	$	387,675		$	303,597		$	182,545		$	-		$	(21,295	)	$	852,522
Cost of sales		296,318			209,317			142,000			-			(18,811	)		628,824
Gross Margin		91,357			94,280			40,545			-			(2,484	)		223,698
Gross Margin %		23.6	%		31.1	%		22.2	%								26.2	%
Selling, general and administrative		65,616			40,181			22,448			-			8,738			136,983
Restructuring charges		7,015			-			-						1,825			8,840
Depreciation and amortization		21,831			15,077			10,977			-			(3,953	)		43,932
Operating income (loss)		(3,105	)		39,022			7,120			-			(9,094	)		33,943
Depreciation and amortization		21,831			15,077			10,977			-			(3,953	)		43,932
EBITDA		18,726			54,099			18,097			-			(13,047	)		77,875
Expense related to plant relocation (Cost of sales)		976			-			-			-			-			976
Expense related to plant relocation (SG&A)		247			-			-			-			-			247
Amortization of step-up for purchase price adjustments on inventory and accounts receivable		7,509			352			1,146			-			-			9,007
Transaction and advisory fees		683			176			-			-			3,873			4,732
Restructuring charges		7,015			-			-						1,825			8,840
Adjusted EBITDA	$	35,156		$	54,627		$	19,243		$	-		$	(7,349	)	$	101,677
Adjusted EBITDA Margin %		9.1	%		18.0	%		10.5	%								11.9	%

(1) The Hardware Solutions segment contains a portion of the previously reported NA Fenestration segment.
(2) The Extruded Solutions segment contains a portion of the previously reported NA Fenestration and the EU Fenestration segments.
(3) The Custom Solutions segment contains a portion of the previously reported NA Fenestration and the NA Cabinet Components segments.


QUANEX BUILDING PRODUCTS CORPORATION SALES ANALYSIS (In thousands) (Unaudited)

	Three Months Ended April 30,						Six Months Ended April 30,
		2026			2025			2026			2025

Hardware Solutions:(1)
Window and door hardware	$	109,377		$	104,887		$	234,078		$	227,240
Screens		91,482			95,860			154,081			156,414
Other		2,160			2,188			3,972			4,021
	$	203,019		$	202,935		$	392,131		$	387,675
Extruded Solutions:(2)
Window profiles	$	72,542		$	70,009		$	130,897		$	129,854
Seals and gaskets		19,530			19,401			37,164			37,442
Spacers		52,526			50,671			100,128			93,532
Solar		5,312			7,062			9,917			12,585
Flashing Tape		3,228			1,599			4,746			3,713
Window and door hardware		8,470			11,177			15,982			20,635
Other		3,341			4,048			5,915			5,836
	$	164,949		$	163,967		$	304,749		$	303,597
Custom Solutions:(3)
Wood solutions	$	56,906		$	51,237		$	103,560		$	95,047
Access solutions		26,455			23,880			49,501			46,788
Mixing solutions		20,552			22,390			39,994			40,710
	$	103,913		$	97,507		$	193,055		$	182,545

Unallocated Corporate & Other:
Eliminations	$	(9,514	)	$	(11,931	)	$	(18,479	)	$	(21,295	)
	$	(9,514	)	$	(11,931	)	$	(18,479	)	$	(21,295	)

Net Sales	$	462,367		$	452,478		$	871,456		$	852,522

(1) Reflects an increase of $4.4 million and $6.7 million in revenue associated with foreign currency exchange rate impacts for the three and six months ended April 30, 2026, respectively.
(2) Reflects an increase of $5.9 million and $8.6 million in revenue associated with foreign currency exchange rate impacts for the three and six months ended April 30, 2026, respectively.
(3) Reflects an increase of $0.5 million and $0.3 million in revenue associated with foreign currency exchange rate impacts for the three and six months ended April 30, 2026, respectively.

FAQ

How did Quanex (NYSE:NX) perform in its Q2 2026 earnings results?

Quanex reported modest revenue growth but weaker profitability in Q2 2026. According to Quanex, net sales rose 2.2% year-over-year to $462.4 million, while gross margin, net income, adjusted EBITDA, and free cash flow all declined compared with the prior-year quarter.

What were Quanex (NYSE:NX) Q2 2026 EPS and net income figures?

Quanex reported Q2 2026 diluted EPS of $0.07 and net income of $3.4 million. According to Quanex, adjusted diluted EPS was $0.25, while in the prior-year quarter diluted EPS was $0.44 and adjusted diluted EPS was $0.63.

How did Quanex segment revenue change in Q2 2026 for NX stock investors?

Quanex saw mixed segment growth in Q2 2026, with pricing offsetting softer volumes. According to Quanex, Hardware Solutions and Extruded Solutions delivered modest net sales increases, while Custom Solutions achieved 6.6% net sales growth from higher volume and improved pricing.

What is Quanex debt level and liquidity as of April 30, 2026?

Quanex ended April 30, 2026 with significant debt but solid liquidity. According to Quanex, total debt was $715.0 million, the Net Debt to LTM Adjusted EBITDA leverage ratio was 3.1x, and total liquidity was $328.6 million, including $63.7 million of cash.

How are inflation and the Middle East conflict affecting Quanex (NX) margins?

Quanex indicates that inflation and the Middle East conflict are pressuring margins through higher costs. According to Quanex, rapid increases in transportation and raw material expenses created an unfavorable price-versus-cost dynamic, with timing lags in surcharges and index pricing negatively affecting gross margin in Q2 2026.