Q1 2026 CODI (NYSE: CODI) preferred share distributions declared
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Compass Diversified Holdings announced quarterly cash distributions on its three preferred share series for the first quarter of 2026. Holders of the 7.250% Series A Preferred Shares will receive a distribution of $0.453125 per share. Holders of the 7.875% Series B and 7.875% Series C Preferred Shares will each receive $0.4921875 per share.
These distributions cover the period from January 30, 2026 up to, but excluding, April 30, 2026, and are payable on April 30, 2026 to holders of record as of April 15, 2026. The company notes that preferred cash distributions generally qualify as “qualified dividends” for U.S. federal income tax purposes when paid from earnings and profits, with any excess treated first as a non-taxable return of capital and then as capital gain.
Positive
- None.
Negative
- None.
8-K Event Classification
2 items: 8.01, 9.01
2 items
Item 8.01
Other Events
Other
Voluntary disclosure of events the company deems important to shareholders but not covered by other items.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Series A quarterly distribution: $0.453125 per share
Series B quarterly distribution: $0.4921875 per share
Series C quarterly distribution: $0.4921875 per share
+2 more
5 metrics
Series A quarterly distribution
$0.453125 per share
7.250% Series A Preferred Shares, Q1 2026 period
Series B quarterly distribution
$0.4921875 per share
7.875% Series B Preferred Shares, Q1 2026 period
Series C quarterly distribution
$0.4921875 per share
7.875% Series C Preferred Shares, Q1 2026 period
Record date
April 15, 2026
Holders of record eligible for Q1 2026 preferred payouts
Payment date
April 30, 2026
Cash distributions on Series A, B and C preferred shares
Key Terms
qualified dividends, return of capital, capital gain, permanent capital base, +1 more
5 terms
qualified dividends financial
"CODI’s preferred cash distributions should generally constitute “qualified dividends” for U.S. federal income tax purposes"
Dividends that meet tax rules allowing them to be taxed at the lower long-term capital gains rates instead of higher ordinary income rates. For investors, that means more of the payment stays in your pocket; it influences which dividend-paying stocks you buy and how long you hold them, similar to getting a discount for meeting a store’s membership conditions.
return of capital financial
"will first be treated as a non- taxable return of capital to the extent of the holder’s adjusted tax basis"
Return of capital is when an investor receives money from their investment that is not considered profit or earnings but rather a portion of the original amount they invested. It’s similar to getting back part of your initial savings rather than gains from it. This matters because it can affect how much money an investor still has in the investment and may have tax implications.
capital gain financial
"thereafter be treated as a capital gain from the sale or exchange of such shares"
A capital gain is the profit an investor earns when they sell an asset — such as a stock, bond, or property — for more than they originally paid. Think of it like selling a used car for more than you bought it: the difference is your gain. Capital gains matter because they increase an investor’s overall return and can affect taxable income, which influences net profit from an investment.
permanent capital base financial
"CODI leverages its permanent capital base and long-term disciplined approach"
forward-looking statements regulatory
"This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933"
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.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): April 1, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||||||||
COMPASS GROUP DIVERSIFIED HOLDINGS LLC
(Exact name of registrant as specified in its charter)
| Delaware | 001-34926 | 20-3812051 | ||||||||||||
| (State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||||||||
(Address of principal executive offices and zip code)
Registrant’s telephone number, including area code: (203 ) 221-1703
Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class | Trading Symbol(s) | Name of Each Exchange on Which Registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
| Emerging growth company | |||||||||||||||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Section 8 Other Events
Item 8.01 Other Events
Compass Group Diversified Holdings LLC and Compass Diversified Holdings (NYSE: CODI) reported that CODI will make a distribution on their 7.250% Series A Preferred Shares (the "Series A Preferred Shares"), their 7.875% Series B Preferred Shares (the "Series B Preferred Shares") and their 7.875% Series C Preferred Shares (the "Series C Preferred Shares"). The distribution for the Series A Preferred Shares, Series B Preferred Shares and Series C Preferred Shares covers the period from and including January 30, 2026, up to, but excluding April 30, 2026. The distribution for such period is payable on April 30, 2026 to all holders of record of the Series A Preferred Shares, Series B Preferred Shares and Series C Preferred Shares as of April 15, 2026. A copy of the press release announcing such distribution is attached hereto as Exhibit 99.1 and is incorporated by reference herein.
Section 9 Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
| Exhibit Number | Description | |||||||
| 99.1 | Press Release of CODI, dated April 1, 2026, regarding quarterly distributions | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Date: April 1, 2026 | COMPASS DIVERSIFIED HOLDINGS | ||||||||||
| By: | /s/ Stephen Keller | ||||||||||
| Stephen Keller | |||||||||||
| Regular Trustee | |||||||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Date: April 1, 2026 | COMPASS GROUP DIVERSIFIED HOLDINGS LLC | ||||||||||
| By: | /s/ Stephen Keller | ||||||||||
| Stephen Keller | |||||||||||
| Chief Financial Officer | |||||||||||
Exhibit 99.1
Compass Diversified Declares First Quarter 2026 Distributions on Series A, B and C Preferred Shares
WESTPORT, Conn., April 1, 2026 (GLOBE NEWSWIRE) -- Compass Diversified (NYSE: CODI) (“CODI” or the “Company”), an owner of leading middle market businesses, announced today that its Board of Directors (the “Board”) has declared a quarterly cash distribution for each of its three preferred share series.
The Board declared a quarterly cash distribution of $0.453125 per share on the Company’s 7.250% Series A Preferred Shares (the “Series A Preferred Shares”). The distribution on Series A Preferred Shares covers the period from, and including, January 30, 2026, up to, but excluding, April 30, 2026. The distribution for such period is payable on April 30, 2026, to all holders of record of Series A Preferred Shares as of April 15, 2026.
The Board also declared a quarterly cash distribution of $0.4921875 per share on the Company’s 7.875% Series B Preferred Shares (the “Series B Preferred Shares”). The distribution on Series B Preferred Shares covers the period from, and including, January 30, 2026, up to, but excluding, April 30, 2026. The distribution for such period is payable on April 30, 2026, to all holders of record of Series B Preferred Shares as of April 15, 2026.
The Board also declared a quarterly cash distribution of $0.4921875 per share on the Company’s 7.875% Series C Preferred Shares (the “Series C Preferred Shares”). The distribution on Series C Preferred Shares covers the period from, and including, January 30, 2026, up to, but excluding, April 30, 2026. The distribution for such period is payable on April 30, 2026, to all holders of record of Series C Preferred Shares as of April 15, 2026.
CODI’s preferred cash distributions should generally constitute “qualified dividends” for U.S. federal income tax purposes to the extent they are paid from “earnings and profits” (as determined under U.S. federal income tax principles), provided that the requisite holding period is met. To the extent that the amount of cash distributions exceeds earnings and profits, such distribution will first be treated as a non- taxable return of capital to the extent of the holder’s adjusted tax basis in the shares and thereafter be treated as a capital gain from the sale or exchange of such shares.
About Compass Diversified (“CODI”)
CODI leverages its permanent capital base and long-term disciplined approach, maintaining controlling ownership interests in each of its subsidiaries and maximizing its ability to impact long-term cash flow generation and value creation. The Company provides both debt and equity capital for its subsidiaries, contributing to their financial and operating flexibility. CODI utilizes the cash flows generated by its subsidiaries to invest in the long-term growth of the Company and seeks to generate strong returns through its culture of transparency, alignment and accountability.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including without limitation, CODI’s expectations with respect to payment of its quarterly
distributions and timing related to the same. Such forward-looking statements may be identified by, among other things, the use of forward-looking terminology such as “believe,” “expect,” “may,” “could,” “would,” “plan,” “intend,” “estimate,” “predict,” “future,” “potential,” “continue,” “should” or “anticipate” or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties. These statements are based on beliefs and assumptions by CODI’s Board of Directors and management, and on information currently available to CODI’s Board of Directors and management. These statements involve risk and uncertainties that could cause actual results and outcomes to differ, perhaps materially, including but not limited to: changes in the economy, financial markets and political environment, including changes in inflation, interest rates and U.S. tariff and import/export regulations; risks associated with possible disruption in CODI’s operations or the economy generally due to terrorism, war, natural disasters, or social, civil or political unrest; future changes in laws or regulations (including the interpretation of these laws and regulations by regulatory authorities); environmental risks affecting the business or operations of our subsidiaries; disruption in the global supply chain, labor shortages and labor costs; our business prospects and the prospects of our subsidiaries; the impact of, and ability to successfully complete and integrate, acquisitions that we have made or may make; the ability to successfully complete when we’ve executed divestitures agreements; the dependence of our future success on the general economy and its impact on the industries in which we operate; the ability of our subsidiaries to achieve their objectives; the adequacy of our cash resources and working capital; the timing of cash flows, if any, from the operations of our subsidiaries; CODI’s ability to comply with NYSE continued listing requirements; the cooperation of, and future concessions granted by, CODI’s lenders; control deficiencies identified or that may be identified in the future that have resulted or will result in material weaknesses in CODI’s internal control over financial reporting; and litigation relating to the Lugano Holding, Inc. (“Lugano”) investigation, including CODI’s representations regarding its financial statements, and current and future litigation, enforcement actions or investigations relating to CODI’s internal controls, restatement reviews, the Lugano investigation or related matters. Please see CODI’s Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on February 27, 2026 for other risk factors that you should consider in connection with such forward-looking statements. Investors are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date such statements have been made. Except as required by law, CODI does not undertake any public obligation to update any forward-looking statements to reflect events, circumstances, or new information after the date of this press release, or to reflect the occurrence of unanticipated events.
Compass Diversified Investor Relations
irinquiry@compassdiversified.com
FAQ
What is the record date for CODI’s Q1 2026 preferred distributions?
The record date for Compass Diversified’s Q1 2026 preferred distributions is April 15, 2026. Investors holding Series A, Series B, or Series C Preferred Shares on that date will be entitled to receive the corresponding cash distribution on the stated April 30, 2026 payment date.
How are CODI’s preferred distributions generally treated for U.S. tax purposes?
CODI states its preferred cash distributions generally qualify as “qualified dividends” for U.S. federal income tax when paid from earnings and profits, assuming holding period rules are met. Amounts exceeding earnings and profits are first a non-taxable return of capital, then taxed as capital gain.
Which Compass Diversified preferred series are covered by this 8-K announcement?
The announcement covers all three of Compass Diversified’s preferred share series: the 7.250% Series A Preferred Shares, the 7.875% Series B Preferred Shares, and the 7.875% Series C Preferred Shares, each receiving its own specified quarterly cash distribution per share.
What time period do CODI’s Q1 2026 preferred distributions cover?
The Q1 2026 preferred distributions cover the period from January 30, 2026 up to, but excluding, April 30, 2026. This applies to the Series A, Series B, and Series C Preferred Shares, aligning one full quarterly distribution period for each preferred series.