Omega Flex, Inc. Announces Third Quarter 2026 Earnings

Higher material and marketing costs weighed on earnings despite quarterly sales growth, with inventory-related spending set to continue.

Rhea-AI Summary

Omega Flex (OFLX) reported third-quarter 2026 net income of $2,359,000, down 36.0% from the same period in 2025. Quarterly sales rose 6.0% to $25,697,000, while basic and diluted earnings per share fell to $0.23 from $0.37.

For the nine months ended September 30, 2026, sales declined 0.3% to $72,847,000. Net income fell 37.7% to $7,111,000, and earnings per share dropped to $0.70 from $1.13. Higher raw material costs, including inbound transportation and tariffs, and marketing spending weighed on earnings; lower product liability reserves and expenses partly offset these pressures.

Omega Flex expects higher costs to continue as it builds inventory and markets its re-engineered fitting, introduced July 1, 2026, but believes they will normalize over time. Costs associated with inventory procurement and the fitting accounted for approximately 52% of the nine-month earnings decline and 102% of the quarterly decline. Equipment and facility investments continue.

3 points · 0 major

NegativeiHow this balance works

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Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

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0 major · 7 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate pointThird-quarter 2026 net sales rose 6.0% to $25,697,000 from $24,234,000 a year earlier.
• Minor pointLower product liability reserves and expenses partly offset higher material costs and marketing spending.
• Minor point. Forward-looking: it has not happened yet and may not happen.Equipment and facility investments continue, intended to expand capacity, improve efficiency and support geographic growth.

Negative

• Moderate pointThird-quarter 2026 net income fell 36.0% to $2,359,000 from $3,688,000 a year earlier.
• Moderate point. Forward-looking: it has not happened yet and may not happen.Higher material costs and marketing spending will continue; Omega Flex believes these costs will normalize over time.
• Minor pointThird-quarter basic and diluted earnings per share fell to $0.23 from $0.37 a year earlier.
• Minor pointNine-month 2026 net income fell 37.7% to $7,111,000 from $11,412,000 a year earlier.
• Minor pointNine-month basic and diluted earnings per share fell to $0.70 from $1.13 a year earlier.

2 minor points

• Minor pointNine-month 2026 sales declined 0.3% to $72,847,000 from $73,089,000 a year earlier.
• Minor pointInventory- and fitting-related costs explained approximately 52% of the nine-month earnings decline and 102% of the quarterly decline.

Key Figures

Q3 net sales: $25,697,000 vs. $24,234,000 (+6.0%) Q3 net income: $2,359,000 vs. $3,688,000 (-36.0%) Nine-month net sales: $72,847,000 vs. $73,089,000 (-0.3%) +2 more

Q3 net sales

$25,697,000 vs. $24,234,000 (+6.0%)

Three months ended September 30, 2026 vs. 2025

Q3 net income

$2,359,000 vs. $3,688,000 (-36.0%)

Three months ended September 30, 2026 vs. 2025

Nine-month net sales

$72,847,000 vs. $73,089,000 (-0.3%)

Nine months ended September 30, 2026 vs. 2025

Nine-month net income

$7,111,000 vs. $11,412,000 (-37.7%)

Nine months ended September 30, 2026 vs. 2025

Q3 earnings per share

$0.23 vs. $0.37

Basic and diluted, three months ended September 30, 2026 vs. 2025

Previous Earnings Reports

5 past events · Latest: Aug 12

Same Type 5 events

1. Aug 12

   2Q26 earnings

   24h Move

   -4.2%

   Six-month net income fell 38.5%; higher input and marketing costs were among the cited pressures.

2. Apr 29

   1Q26 earnings

   24h Move

   -6.0%

   Quarterly net income fell year over year as raw material, tariff, and marketing costs increased.

3. Mar 04

   4Q25 earnings

   24h Move

   -16.8%

   Full-year net income declined 17.7%, with fourth-quarter net income down 27.1%.

4. Oct 29

   3Q25 earnings

   24h Move

   -1.5%

   Third-quarter net income fell 20.1%, while nine-month net income declined 14.4%.

5. Jul 30

   2Q25 earnings

   24h Move

   -1.0%

   Six-month net income fell 11.4% despite a 3.7% second-quarter sales increase.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

earnings per share, weighted average shares, forward-looking statements

3 terms

earnings per share financial

"Earnings Per Share Basic and Diluted"

Earnings per share represent the amount of profit a company makes for each share of its stock, similar to how a pie’s total size can be divided into slices for each person. It helps investors understand how profitable the company is on a per-share basis, making it easier to compare its performance over time or against other companies. Higher earnings per share generally indicate better profitability and can influence a company's stock value.

View in glossary

weighted average shares financial

"Weighted Average Shares Basic and Diluted"

Weighted average shares is the average number of a company’s shares outstanding over a reporting period, calculated by giving each share count the proportion of time it was in effect—so shares issued or bought back partway through the period count only for the time they existed. Investors use it to turn totals like profit into per-share measures (e.g., earnings per share), making performance comparable over time; think of it like averaging daily car use to report a fair miles-per-day figure.

forward-looking statements regulatory

"INFORMATION CONCERNING FORWARD-LOOKING STATEMENTS"

Forward-looking statements are predictions or plans that companies share about what they expect to happen in the future, like estimating sales or profits. They matter because they help investors understand a company's outlook, but since they are based on guesses and assumptions, they can sometimes be wrong.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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EXTON, Pa., Oct. 28, 2026 (GLOBE NEWSWIRE) --

	OMEGA FLEX, INC. (OFLX)
	Nine Months Ended September 30,						Three Months Ended September 30,
	2026			2025			2026			2025
Net Sales	$72,847,000			$73,089,000			$25,697,000			$24,234,000
Net Income attributable to Omega Flex, Inc.	$7,111,000			$11,412,000			$2,359,000			$3,688,000
Earnings Per Share – Basic and Diluted	$0.70			$1.13			$0.23			$0.37
Weighted Average Shares – Basic and Diluted		10,094,322			10,094,322			10,094,322			10,094,322

Dean W. Rivest, Chief Executive Officer of Omega Flex, Inc. (the “Company”), announced that net sales of the Company for the nine months ended September 30, 2026 and 2025 were $72,847,000 and $73,089,000, respectively, decreasing by $242,000 or 0.3%. Net sales for the three months ended September 30, 2026 were 6.0% higher than net sales for the three months ended September 30, 2025.

Net income for the nine months ended September 30, 2026 was $7,111,000, compared to net income of $11,412,000 for the nine months ended September 30, 2025, decreasing by $4,301,000 or 37.7% (the “Nine Month Decrease”). Net income for the three months ended September 30, 2026 was 36.0% below net income for the same period in 2025 (the “Three Month Decrease”). The decrease in net income was mainly due to higher raw material costs (including inbound transportation costs and tariffs) and marketing efforts. The higher costs and expenses described above were partly offset by lower product liability reserves and expenses.

Approximately 52% of the Nine Month Decrease, and 102% of the Three Month Decrease, was due to the above-described higher raw material costs (including inbound transportation costs and tariffs) and marketing efforts that were attributable to the procurement of inventory and introduction of the new re-engineered flexible gas piping fitting described below. These higher costs will continue as the Company procures raw materials to achieve targeted inventory levels and markets the new fitting. However, the Company believes that these higher costs will be limited in duration and will normalize over time.

During the nine months ended September 30, 2026, the Company continued to pursue product enhancements intended to strengthen its market position. On July 1, 2026, the Company introduced a re-engineered flexible gas piping fitting designed to support a broader range of applications across both residential and commercial construction markets. The new TracPipe^® System branded fitting is designed to ease installation while enhancing overall safety and reliability. The Company believes that in the commercial sector, the fitting is particularly well suited for larger diameter systems, including sizes up to two inches, helping to address the requirements of more demanding installations. The Company continues to make targeted investments in equipment and facilities intended to expand capacity, enhance operational efficiency, and support geographic growth by improving its ability to serve customers and distribution partners across existing and new markets.

INFORMATION CONCERNING FORWARD-LOOKING STATEMENTS – This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company’s financial condition, results of operations, future performance, growth strategies, business initiatives and anticipated trends. Forward-looking statements can generally be identified by words such as “may,” “should,” “will,” “could,” “estimates,” “predicts,” “potential,” “continue,” “anticipates,” “believes,” “plans,” “expects,” “future,” “intends,” “projects,” the negative of these terms, or other comparable terminology. These forward-looking statements may include the Company’s projections, statements related to the Company’s anticipated growth strategies, descriptions of business initiatives and anticipated trends in the Company’s business. Forward-looking statements are neither historical facts nor assurances of future performance. Rather, they are based on current beliefs, expectations and assumptions regarding the Company’s business, strategies and anticipated events and trends. These statements are subject to inherent risks, uncertainties and changes in circumstances that are difficult to predict, many of which are outside of our control, and actual results could differ materially from those expressed or implied in the forward-looking statements. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date of this press release. The Company undertakes no obligation, other than as required by law, to update or revise any forward-looking statements to reflect events or circumstances after the date hereof. Further information regarding risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements is included in the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission (the “SEC”) and in the Company’s subsequent reports and filings with the SEC, as applicable.

Contact: Dean W. Rivest
(610) 524-7272

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Omega Flex's third-quarter 2026 earnings and sales?

Omega Flex reported net income of $2,359,000, down 36.0% from the same quarter in 2025, while sales rose 6.0% to $25,697,000. Basic and diluted earnings per share were $0.23, compared with $0.37 a year earlier.

Why did Omega Flex's earnings fall in the first nine months of 2026?

Higher raw material costs, including inbound transportation costs and tariffs, and marketing efforts were the main drivers of the earnings decline. Costs tied to inventory procurement and the new fitting accounted for approximately 52% of the nine-month decrease. Lower product liability reserves and expenses partly offset the pressures.