Worthington Enterprises (NYSE: WOR) boosts sales 20%, hikes dividend and adds Brad Southern to board
Rhea-AI Filing Summary
Worthington Enterprises reported strong fiscal 2026 results, with fourth-quarter net sales of $371.5 million, up 16.9%, and net earnings rising to $48.1 million from $3.6 million. Diluted EPS increased to $0.97, while adjusted EPS held at $0.97.
For the full year, net sales grew 20% to $1.38 billion and net earnings rose 63% to $155.0 million. Adjusted EBITDA increased 12% to $295.8 million, supported by contributions from the Elgen and LSI acquisitions and 9% organic growth. Operating cash flow was $226.1 million and free cash flow reached $170.2 million.
The company repurchased 350,000 shares for $18.2 million and quarter-end cash was $27.7 million with $500.0 million of revolving credit capacity available. The board raised the quarterly dividend 5% to $0.20 per share and appointed former Louisiana-Pacific CEO W. Bradley Southern to the board, while signaling three long-tenured directors will retire at the 2026 annual meeting.
Positive
- Strong fiscal 2026 performance: Net sales grew 20% to $1.38 billion and net earnings increased 63% to $155.0 million, with adjusted EBITDA up 12% to $295.8 million.
- Robust cash generation and balance sheet: Operating cash flow reached $226.1 million and free cash flow $170.2 million, while the company ended the year with $500.0 million of undrawn revolver capacity.
- Shareholder returns increased: The quarterly dividend was raised 5% to $0.20 per share and the company repurchased 350,000 shares for $18.2 million in the fourth quarter.
- Strategic expansion in building products: Completed Elgen and LSI acquisitions, lifting Building Products net sales and supporting the company’s position across the building envelope.
Negative
- None.
Insights
Worthington posts double-digit growth, higher dividend, and adds an experienced building-products leader to its board.
Worthington Enterprises delivered fiscal 2026 net sales of $1.38 billion, up 20%, with net earnings up 63% to $155.0 million. Adjusted EBITDA rose 12% to $295.8 million, helped by the Elgen and LSI acquisitions and 9% organic growth.
Free cash flow of $170.2 million and available revolver capacity of $500.0 million support capital allocation that included $43.7 million of share repurchases in the year and a 5% dividend increase to $0.20 per share. Building Products showed strong top-line growth, while Consumer Products improved margins.
Governance-wise, adding former Louisiana-Pacific CEO Brad Southern brings deep building-products experience as three directors approach mandatory retirement under the company’s age policy. Subsequent filings and calls may provide more detail on integration of recent acquisitions and the outlook for fiscal 2027.
8-K Event Classification
Key Figures
Key Terms
Adjusted EBITDA financial
free cash flow financial
non-GAAP financial measures financial
equity in net income of unconsolidated affiliates financial
impairment of long-lived assets financial
revolving credit facility financial
Earnings Snapshot
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
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
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Trading |
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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. ☐
Item 2.02. |
Results of Operations and Financial Condition. |
The following information is furnished pursuant to Item 2.02:
On June 23, 2026, Worthington Enterprises, Inc. ("we," "our," and "us") issued a news release (the “Financial Release”) reporting results for the three-month period ended May 31, 2026 (our fiscal 2026 fourth quarter). A copy of the Financial Release is furnished herewith as Exhibit 99.1 and is incorporated herein by this reference.
We have included both financial measures prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and non-GAAP financial measures in the Financial Release to provide investors with additional information that we believe allows for increased comparability of the performance of our ongoing operations from period to period. Please see the Financial Release for further explanations of why we use the non-GAAP financial measures and the reconciliations to the most comparable GAAP financial measures.
Item 5.02. |
Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. |
Appointment of Directors
On June 23, 2026, our Board of Directors (the “Board”), in accordance with our Code of Regulations and upon the recommendation of its Nominating and Governance Committee, increased the number of authorized directors from 13 to 14, and appointed W. Bradley Southern as a director to serve as a member of the class of directors whose terms expire at our 2026 annual meeting of shareholders, filling the vacancy created by the increase in the number of authorized directors. Mr. Southern’s appointment was immediately effective. Mr. Southern, 66, served as Chief Executive Officer of Louisiana-Pacific Corporation (LP), a leading building solutions company, from 2017 through 2026, and as Chair of the Board from 2020 to 2026. Mr. Southern previously served as LP’s Chief Operating Officer from 2016 to 2017, Executive Vice President and General Manager, OSB from 2015 to 2016, Senior Vice President and General Manager, Siding and Moulding from 2004 to 2015, and in various other operational and financial leadership roles since joining LP in 1999. Prior to joining LP, Mr. Southern held a variety of operational, strategic planning, and financial management positions with MacMillan Bloedel from 1984 to 1999. Mr. Southern currently serves as chair of the board of directors of the Nashville Branch of the Federal Reserve Bank of Atlanta. He previously served on the boards of GMS, Inc., Astec Industries, Inc., Keller Group, Saltco Land and Timber Company, and the Land Trust of Tennessee. Mr. Southern holds a Master of Forest Resources and a Bachelor of Science in Forest Resources from the University of Georgia. Mr. Southern’s extensive executive leadership experience in manufacturing operations, capital allocation, strategic planning, and public company governance make him well-qualified to serve on the Board. Mr. Southern has not been appointed to any committee of the Board.
Mr. Southern will participate, on a pro-rated basis, in the compensation program for our non-employee directors described in our definitive proxy statement filed with the Securities and Exchange Commission (the “SEC”) on August 13, 2025. Mr. Southern will also enter into an indemnification agreement with us, the form of which is disclosed as Exhibit 10.35 to our Annual Report on Form 10-K, filed with the SEC on July 30, 2024. There are no arrangements or understandings between Mr. Southern and any person pursuant to which Mr. Southern was selected as a director, and no family relationships exist between Mr. Southern and any of our directors or executive officers. Mr. Southern is not a party to any transaction to which we are or were a participant and in which Mr. Southern has a direct or indirect material interest subject to disclosure under Item 404(a) of Regulation S-K.
Pursuant to our Corporate Governance Guidelines, the Board shall not nominate any individual to serve as a non-employee director if such individual will reach age 75 as of the date of the relevant shareholders’ meeting. Accordingly, the Board does not plan to nominate for re-election Michael J. Endres, Ozey K. Horton, Jr., and Virgil L. Winland, whose terms expire at our 2026 annual meeting of shareholders, as each individual will be age 75 or older at such meeting. With the appointment of Mr. Southern, the Board plans to reduce the number of authorized directors to 11 contemporaneous with the retirements of Messrs. Endres, Horton and Winland.
Item 8.01. |
Other Events. |
On June 23, 2026, we issued a news release (the “Dividend Release”) reporting that the Board declared a quarterly cash dividend of $0.20 per share in respect of our common shares. The dividend was declared on June 23, 2026, and is payable on September 29, 2026 to shareholders of record at the close of business on September 15, 2026. A copy of the Dividend Release is included with this Form 8‑K as Exhibit 99.4 and is incorporated herein by reference.
Item 9.01. |
Financial Statements and Exhibits. |
(d) Exhibits: The following exhibits are included with this Form 8‑K:
Exhibit No. |
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Description |
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99.1 |
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News Release issued by Worthington Enterprises, Inc. on June 23, 2026 (Financial Release) |
99.2 |
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News Release issued by Worthington Enterprises, Inc. on June 23, 2026 (Dividend Release) |
104 |
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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.
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WORTHINGTON ENTERPRISES, INC. |
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Date: |
June 23, 2026 |
By: |
/s/Patrick J. Kennedy |
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Patrick J. Kennedy, Vice President - |
Worthington Enterprises Reports Fourth Quarter and Full-Year Fiscal 2026 Results
COLUMBUS, Ohio (June 23, 2026) – Worthington Enterprises Inc. (NYSE: WOR), a designer and manufacturer of market-leading building and consumer products that improve everyday life by elevating spaces and experiences, today reported results for its fiscal 2026 fourth quarter and full-year ended May 31, 2026.
Recent Developments and Highlights (comparisons to the prior-year period unless otherwise stated)
Fourth Quarter fiscal 2026
Full-Year fiscal 2026
“We closed fiscal 2026 with another quarter of solid performance, delivering positive organic growth and strong free cash flow while continuing to execute our strategy,” said Worthington Enterprises President and CEO Joe Hayek. “For the full year, our teams drove double-digit growth in adjusted EBITDA, expanded margins in our wholly owned businesses and maintained a strong balance sheet. I want to thank my colleagues around the world for their continued commitment to serving our customers and delivering value for our shareholders. Their dedication continues to strengthen our business.”
Worthington Enterprises
June 23, 2026
Page 2
Financial highlights for the current year and prior year quarters are as follows:
(U.S. dollars in millions, except per share amounts) |
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4Q 2026 |
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4Q 2025 |
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GAAP Financial Measures |
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Net sales |
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$ |
371.5 |
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$ |
317.9 |
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Operating income (loss) |
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23.2 |
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(30.4 |
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Earnings before income taxes |
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59.8 |
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8.3 |
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Net earnings |
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48.1 |
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3.6 |
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EPS – diluted |
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0.97 |
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0.08 |
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Net cash provided by operating activities |
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71.6 |
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62.4 |
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Non-GAAP Financial Measures (1) |
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Adjusted operating income |
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$ |
25.5 |
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$ |
21.8 |
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Adjusted EBITDA |
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83.5 |
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85.1 |
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Adjusted net earnings |
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47.7 |
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53.1 |
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Adjusted EPS – diluted |
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0.97 |
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1.06 |
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Free cash flow |
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55.1 |
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49.3 |
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Consolidated Quarterly Results
Net sales for the fourth quarter of fiscal 2026 increased $53.6 million, or 16.9%, over the prior year quarter to $371.5 million. Recent acquisitions contributed $44.1 million to net sales in the current year quarter. Excluding the impact of acquisitions, net sales increased $9.5 million, or 3.0%, compared to the prior year quarter.
Operating income increased $53.6 million to $23.2 million. Results in the prior year quarter included nonrecurring items totaling $52.2 million, resulting primarily from the non-cash write-down of intangible assets in the General Tools & Instruments (“GTI”) business. On an adjusted basis, operating income increased $3.7 million in the quarter to $25.5 million, reflecting contributions from recent acquisitions.
Equity in net income of unconsolidated affiliates decreased $4.6 million from the prior year quarter to $38.1 million, primarily due to lower contributions from ClarkDietrich, which were down $6.8 million. Contributions from WAVE remained strong at $32.3 million and were largely consistent with the prior year quarter, while higher contributions from the Workhorse and SES joint ventures partially offset the decline. Equity income in the prior year quarter included a $3.4 million non-cash impairment charge at the SES joint venture.
Income tax expense was $11.7 million in the fourth quarter of fiscal 2026, compared to $4.7 million in the prior year quarter. The increase was driven by higher pre-tax earnings. Income tax expense in the fourth quarter of fiscal 2026 reflects an annual effective rate of 22.9%, compared to 26.1% in the prior year, which was impacted by certain discrete items. On an adjusted basis, the annual effective tax rate was 23.3%, compared to 23.0% in the prior year.
Worthington Enterprises
June 23, 2026
Page 3
Balance Sheet and Cash Flow
Total debt at quarter end was $305.9 million, consisting entirely of long-term debt, an increase of $3.0 million from May 31, 2025, primarily due to the remeasurement of the company’s euro-denominated notes. The company had no borrowings under its revolving credit facility as of May 31, 2026, leaving $500.0 million available for future use and providing substantial liquidity.
The company ended the quarter with cash of $27.7 million, a decrease of $222.4 million from May 31, 2025, primarily reflecting the acquisitions of Elgen and LSI. During the fourth quarter of fiscal 2026, the company generated operating cash flow of $71.6 million, of which $16.5 million was invested in capital expenditures, resulting in free cash flow of $55.1 million, up from $49.3 million in the prior year quarter. Capital expenditures in the current year quarter included approximately $6.6 million related to ongoing facility modernization projects, which remain on track and are expected to be completed during fiscal 2027.
Quarterly Segment Results
Building Products generated net sales of $245.3 million in the current year quarter, an increase of $53.0 million, or 27.6%, over the prior year quarter. The increase was primarily driven by the impact of acquisitions, which contributed $44.1 million to net sales in the current year quarter. Excluding the impact of acquisitions, net sales increased $8.9 million, or 4.6% compared to the prior year quarter. Adjusted EBITDA decreased $2.7 million, mainly driven by a $6.8 million decline in equity income contributions from ClarkDietrich and less favorable product mix compared to the prior year quarter.
Consumer Products generated net sales of $126.1 million in the current year quarter, up $0.6 million from the prior year quarter, driven by higher average selling prices, which were mostly offset by lower volume. Adjusted EBITDA increased $3.5 million to $24.3 million, driven by gross margin improvement and lower SG&A expense.
Outlook
“As we enter fiscal 2027, we are building on the momentum we created this year,” Hayek said. “Our teams remain focused on innovation, transformation and strategic M&A as we continue to strengthen our market positions, integrate recent acquisitions, expand our capabilities and deliver value for our customers. Supported by strong free cash flow generation and a healthy balance sheet, we are excited about the opportunities ahead and remain focused on creating long-term shareholder value.”
Conference Call
The company will review fiscal 2026 fourth quarter and full-year results during its quarterly conference call on June 24, 2026, at 8:30 a.m. Eastern Time. Details regarding the conference call can be found on the company website at www.WorthingtonEnterprises.com.
About Worthington Enterprises
Worthington Enterprises (NYSE: WOR) is a designer and manufacturer of market-leading brands that improve everyday life by elevating spaces and experiences. The company operates with two primary business segments: Building Products and Consumer Products. The Building Products segment includes heating and cooling, cooking, construction and water solutions, and building systems including HVAC and metal roofing components, architectural and acoustical grid ceilings, and metal framing and accessories. The Consumer Products segment provides solutions for the tools, outdoor living and celebrations categories. Product brands within the Worthington Enterprises portfolio include Balloon Time®, Bernzomatic®, BPD, Coleman® (propane cylinders), CoMet®, Elgen, Garden Weasel®, General®, HALO™, Hawkeye™,
Worthington Enterprises
June 23, 2026
Page 4
LEVEL5 Tools®, Logan Stampings, Mag Torch®, NEXI™, Pactool International®, PowerCore™, Ragasco®, Roof Hugger®, Well-X-Trol® and XLite™, among others.
Headquartered in Columbus, Ohio, Worthington Enterprises and its joint ventures employ approximately 6,000 people throughout North America and Europe.
Founded in 1955 as Worthington Industries, Worthington Enterprises follows a people-first Philosophy with earning money for its shareholders as its first corporate goal. Worthington Enterprises achieves this outcome by empowering its employees to innovate, thrive and grow with leading brands in attractive markets that improve everyday life. The company engages deeply with local communities where it has operations through volunteer efforts and The Worthington Companies Foundation, participates actively in workforce development programs and reports annually on its corporate citizenship and sustainability efforts. For more information, visit worthingtonenterprises.com.
Safe Harbor Statement
Selected statements contained in this release constitute “forward-looking statements,” as that term is used in the Private Securities Litigation Reform Act of 1995 (the “Act”). We wish to take advantage of the safe harbor provisions included in the Act. Forward-looking statements reflect the company’s current expectations, estimates or projections concerning future results or events. These statements are often identified by the use of forward-looking words or phrases such as “believe,” “expect,” “anticipate,” “may,” “could,” “should,” “would,” “intend,” “plan,” “will,” “likely,” “estimate,” “project,” “position,” “strategy,” “target,” “aim,” “seek,” “foresee” and similar words or phrases. These forward-looking statements include, without limitation, statements relating to: future or expected cash positions, liquidity and ability to access financial markets and capital; outlook, strategy or business plans; future or expected growth, growth potential, forward momentum, performance, competitive position, sales, volumes, cash flows, earnings, margins, balance sheet strengths, debt, financial condition or other financial measures; pricing trends for raw materials and finished goods and the impact of pricing changes; the ability to improve or maintain margins; expected demand or demand trends; additions to product lines and opportunities to participate in new markets; expected benefits from transformation and innovation efforts; the ability to improve performance and competitive position; anticipated working capital needs, capital expenditures and asset sales; anticipated improvements and efficiencies in costs, operations, sales, inventory management, sourcing and the supply chain and the results thereof; projected profitability potential; the ability to make acquisitions and the projected timing, results, benefits, costs, charges and expenditures related to acquisitions, joint ventures, headcount reductions and facility dispositions, shutdowns and consolidations; projected capacity and the alignment of operations with demand; the ability to operate profitably and generate cash in down markets; the ability to capture and maintain market share and to develop or take advantage of future opportunities, customer initiatives, new businesses, new products and new markets; expectations for inventories, jobs and orders; expectations for the economy and markets or improvements therein; expectations for generating improving and sustainable earnings, earnings potential, margins or shareholder value; effects of judicial rulings; effects of pandemics and widespread health crises and the various responses of governmental and nongovernmental authorities thereto on economies and markets, and on the company’s customers, counterparties, employees and third-party service providers; and other non-historical matters.
Because they are based on beliefs, estimates and assumptions, forward-looking statements are inherently subject to risks and uncertainties that could cause actual results to differ materially from those projected. Any number of factors could affect actual results, including, without limitation, those that follow: the effect of conditions in national and worldwide financial markets, including inflation, increases in interest rates and economic recession, and with respect to the ability of financial institutions to provide capital; the impact of tariffs, the adoption of trade restrictions affecting the company’s products or suppliers, a United States withdrawal from or significant renegotiation of trade agreements, the occurrence of trade wars, the closing of border crossings, and other changes in trade regulations or relationships; changing oil prices and/or supply; product demand and pricing; changes in product mix, product substitution and market acceptance of the company’s products; volatility or fluctuations in the pricing, quality or availability of raw materials (particularly steel), supplies, transportation, utilities, labor and other items required by operations; effects of sourcing and supply chain constraints; the outcome of adverse claims experience with respect to workers’ compensation, product recalls or product liability, casualty events or other matters; effects of facility closures and the consolidation of operations; the effect of financial difficulties, consolidation and other changes within the steel, automotive, construction and other industries in which we participate; failure to maintain appropriate levels of inventories; financial difficulties (including bankruptcy filings) of original equipment manufacturers, end-users and customers, suppliers, joint venture partners and others with whom we do business; the ability to realize targeted expense reductions from headcount reductions, facility closures and other cost reduction efforts; the ability to realize cost savings and operational, sales and sourcing improvements and efficiencies, and other expected benefits from transformation initiatives, on a timely basis; the overall success of, and the ability to integrate, newly-acquired businesses and joint ventures, maintain and develop their customers, and achieve synergies and other expected benefits and cost savings therefrom; capacity levels and efficiencies, within facilities, within major product markets and
Worthington Enterprises
June 23, 2026
Page 5
within the industries in which we participate as a whole; the effect of disruption in the business of suppliers, customers, facilities and shipping operations due to adverse weather, casualty events, equipment breakdowns, labor shortages, interruption in utility services, civil unrest, international conflicts, terrorist activities or other causes; changes in customer demand, inventories, spending patterns, product choices, and supplier choices; risks associated with doing business internationally, including economic, political and social instability, foreign currency exchange rate exposure and the acceptance of the company’s products in global markets; the ability to improve and maintain processes and business practices to keep pace with the economic, competitive and technological environment; the effect of inflation, interest rate increases and economic recession, which may negatively impact the company’s operations and financial results; deviation of actual results from estimates and/or assumptions used in the application of its significant accounting policies; the level of imports and import prices in the company’s markets; the impact of environmental laws and regulations or the actions of the United States Environmental Protection Agency or similar regulators which increase costs or limit the company’s ability to use or sell certain products; the impact of increasing environmental, greenhouse gas emission and sustainability regulations and considerations; the impact of judicial rulings and governmental regulations, both in the United States and abroad, including those adopted by the United States Securities and Exchange Commission and other governmental agencies as contemplated by the Coronavirus Aid, Relief and Economic Security (CARES) Act, the Consolidated Appropriations Act, 2021, the American Rescue Plan Act of 2021, and the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010; the effect of healthcare laws in the United States and potential changes for such laws, which may increase the company’s healthcare and other costs and negatively impact the company’s operations and financial results; the effects of tax laws in the United States and potential changes for such laws, which may increase the company’s costs and negatively impact the company’s operations and financial results; cyber security risks; the effects of privacy and information security laws and standards; and other risks described from time to time in the company’s filings with the United States Securities and Exchange Commission, including those described in “Part I – Item 1A. – Risk Factors” of the Annual Report on Form 10-K for the fiscal year ended May 31, 2025.
Forward-looking statements should be construed in the light of such risks. We note these factors for investors as contemplated by the Act. It is impossible to predict or identify all potential risk factors. Consequently, readers should not consider the foregoing list to be a complete set of all potential risks and uncertainties. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date made. We do not undertake, and hereby disclaim, any obligation to update any forward-looking statements, whether as a result of new information, future developments or otherwise, except as required by applicable law.
WORTHINGTON ENTERPRISES, INC.
CONSOLIDATED STATEMENTS OF EARNINGS
(In thousands, except per common share amounts)
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Three Months Ended |
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Twelve Months Ended |
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May 31, |
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May 31, |
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2026 |
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2025 |
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2026 |
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2025 |
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Net sales |
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$ |
371,456 |
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$ |
317,884 |
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$ |
1,381,292 |
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$ |
1,153,762 |
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Cost of goods sold |
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269,568 |
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224,650 |
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1,003,017 |
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834,727 |
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Gross profit |
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101,888 |
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93,234 |
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378,275 |
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319,035 |
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Selling, general and administrative expense |
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77,935 |
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71,454 |
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294,966 |
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268,413 |
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Impairment of long-lived assets |
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- |
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50,813 |
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- |
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50,813 |
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Restructuring and other expense, net |
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794 |
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1,372 |
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7,100 |
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10,524 |
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Operating income (loss) |
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23,159 |
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(30,405 |
) |
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76,209 |
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(10,715 |
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Other income (expense): |
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Miscellaneous income (expense), net |
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1,358 |
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(4,031 |
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(3,244 |
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(3,222 |
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Interest (expense) income, net |
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(2,885 |
) |
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60 |
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(6,248 |
) |
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(2,090 |
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Equity in net income of unconsolidated affiliates |
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38,141 |
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42,707 |
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134,631 |
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144,836 |
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Earnings before income taxes |
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59,773 |
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8,331 |
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201,348 |
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128,809 |
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Income tax expense |
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11,708 |
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4,717 |
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46,313 |
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33,839 |
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Net earnings |
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48,065 |
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3,614 |
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155,035 |
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94,970 |
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Net loss attributable to noncontrolling interest |
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(81 |
) |
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(263 |
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(1,050 |
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(1,083 |
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Net earnings attributable to controlling interest |
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$ |
48,146 |
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$ |
3,877 |
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$ |
156,085 |
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$ |
96,053 |
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Basic |
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Weighted average common shares outstanding |
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48,795 |
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49,253 |
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49,073 |
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49,395 |
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Earnings per share attributable to controlling interest |
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$ |
0.99 |
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$ |
0.08 |
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$ |
3.18 |
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$ |
1.94 |
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Diluted |
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Weighted average common shares outstanding |
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49,404 |
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49,997 |
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49,716 |
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50,131 |
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Earnings per share attributable to controlling interest |
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$ |
0.97 |
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$ |
0.08 |
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$ |
3.14 |
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$ |
1.92 |
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|
|
|
|
|
|
|
|
|
|
|
||||
Cash dividends declared per common share |
|
$ |
0.19 |
|
|
$ |
0.17 |
|
|
$ |
0.76 |
|
|
$ |
0.68 |
|
WORTHINGTON ENTERPRISES, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands)
|
|
May 31, |
|
|||||
|
|
2026 |
|
|
2025 |
|
||
Assets |
|
|
|
|
|
|
||
Current assets: |
|
|
|
|
|
|
||
Cash and cash equivalents |
|
$ |
27,725 |
|
|
$ |
250,075 |
|
Receivables, less allowances of $1,310 and $907, respectively |
|
|
228,168 |
|
|
|
215,824 |
|
Inventories |
|
|
|
|
|
|
||
Raw materials |
|
|
110,536 |
|
|
|
80,522 |
|
Work in process |
|
|
9,490 |
|
|
|
9,408 |
|
Finished products |
|
|
87,270 |
|
|
|
79,463 |
|
Total inventories |
|
|
207,296 |
|
|
|
169,393 |
|
Income taxes receivable |
|
|
20,016 |
|
|
|
12,720 |
|
Prepaid expenses and other current assets |
|
|
41,269 |
|
|
|
37,358 |
|
Total current assets |
|
|
524,474 |
|
|
|
685,370 |
|
Investments in unconsolidated affiliates |
|
|
118,048 |
|
|
|
129,262 |
|
Operating lease assets |
|
|
42,888 |
|
|
|
22,699 |
|
Goodwill |
|
|
500,784 |
|
|
|
376,480 |
|
Other intangible assets, net of accumulated amortization of $106,944 and $88,887, respectively |
|
|
322,761 |
|
|
|
190,398 |
|
Other assets |
|
|
28,215 |
|
|
|
20,717 |
|
Property, plant and equipment: |
|
|
|
|
|
|
||
Land |
|
|
8,732 |
|
|
|
8,703 |
|
Buildings and improvements |
|
|
136,441 |
|
|
|
132,742 |
|
Machinery and equipment |
|
|
411,030 |
|
|
|
372,798 |
|
Construction in progress |
|
|
66,509 |
|
|
|
33,326 |
|
Total property, plant and equipment |
|
|
622,712 |
|
|
|
547,569 |
|
Less: accumulated depreciation |
|
|
311,818 |
|
|
|
277,343 |
|
Total property, plant and equipment, net |
|
|
310,894 |
|
|
|
270,226 |
|
Total assets |
|
$ |
1,848,064 |
|
|
$ |
1,695,152 |
|
|
|
|
|
|
|
|
||
Liabilities and equity |
|
|
|
|
|
|
||
Current liabilities: |
|
|
|
|
|
|
||
Accounts payable |
|
$ |
115,203 |
|
|
$ |
103,205 |
|
Accrued compensation, contributions to employee benefit plans and related taxes |
|
|
41,728 |
|
|
|
43,864 |
|
Dividends payable |
|
|
9,814 |
|
|
|
9,172 |
|
Other accrued items |
|
|
45,832 |
|
|
|
34,478 |
|
Current operating lease liabilities |
|
|
7,982 |
|
|
|
6,014 |
|
Income taxes payable |
|
|
867 |
|
|
|
109 |
|
Total current liabilities |
|
|
221,426 |
|
|
|
196,842 |
|
Other liabilities |
|
|
56,657 |
|
|
|
53,364 |
|
Distributions in excess of investment in unconsolidated affiliate |
|
|
105,349 |
|
|
|
103,767 |
|
Long-term debt |
|
|
305,896 |
|
|
|
302,868 |
|
Noncurrent operating lease liabilities |
|
|
35,883 |
|
|
|
17,173 |
|
Deferred income taxes, net |
|
|
95,813 |
|
|
|
82,901 |
|
Total liabilities |
|
|
821,024 |
|
|
|
756,915 |
|
Shareholders' equity - controlling interest |
|
|
1,027,040 |
|
|
|
937,187 |
|
Noncontrolling interest |
|
|
- |
|
|
|
1,050 |
|
Total equity |
|
|
1,027,040 |
|
|
|
938,237 |
|
Total liabilities and equity |
|
$ |
1,848,064 |
|
|
$ |
1,695,152 |
|
WORTHINGTON ENTERPRISES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
|
|
Three Months Ended |
|
|
Twelve Months Ended |
|
||||||||||
|
|
May 31, |
|
|
May 31, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net earnings |
|
$ |
48,065 |
|
|
$ |
3,614 |
|
|
$ |
155,035 |
|
|
$ |
94,970 |
|
Adjustments to reconcile net earnings to net cash provided by operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Depreciation and amortization |
|
|
15,870 |
|
|
|
12,555 |
|
|
|
57,272 |
|
|
|
48,262 |
|
Impairment of long-lived assets |
|
|
- |
|
|
|
50,813 |
|
|
|
- |
|
|
|
50,813 |
|
Provision for (benefit from) deferred income taxes |
|
|
627 |
|
|
|
(7,568 |
) |
|
|
8,439 |
|
|
|
(18,439 |
) |
Impairment of investment in note receivable |
|
|
- |
|
|
|
5,000 |
|
|
|
- |
|
|
|
5,000 |
|
Bad debt expense (income) |
|
|
246 |
|
|
|
(31 |
) |
|
|
358 |
|
|
|
3,158 |
|
Equity in net income of unconsolidated affiliates, net of distributions |
|
|
(3,630 |
) |
|
|
(2,041 |
) |
|
|
5,361 |
|
|
|
8,769 |
|
Net loss on sale of assets |
|
|
295 |
|
|
|
824 |
|
|
|
3,290 |
|
|
|
277 |
|
Stock-based compensation |
|
|
3,230 |
|
|
|
3,399 |
|
|
|
13,734 |
|
|
|
16,186 |
|
Unrealized (gain) loss on investment in marketable securities |
|
|
(610 |
) |
|
|
- |
|
|
|
975 |
|
|
|
- |
|
Changes in assets and liabilities, net of impact of acquisitions: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Receivables |
|
|
3,836 |
|
|
|
(13,238 |
) |
|
|
7,706 |
|
|
|
(22,261 |
) |
Inventories |
|
|
(9,858 |
) |
|
|
(4,058 |
) |
|
|
(11,557 |
) |
|
|
11,500 |
|
Accounts payable |
|
|
7,185 |
|
|
|
13,219 |
|
|
|
3,820 |
|
|
|
619 |
|
Accrued compensation and employee benefits |
|
|
(1,166 |
) |
|
|
6,435 |
|
|
|
(1,986 |
) |
|
|
1,807 |
|
Other operating items, net |
|
|
7,511 |
|
|
|
(6,509 |
) |
|
|
(16,328 |
) |
|
|
9,083 |
|
Net cash provided by operating activities |
|
|
71,601 |
|
|
|
62,414 |
|
|
|
226,119 |
|
|
|
209,744 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investing activities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment in property, plant and equipment |
|
|
(16,492 |
) |
|
|
(13,086 |
) |
|
|
(55,913 |
) |
|
|
(50,580 |
) |
Acquisitions, net of cash acquired |
|
|
278 |
|
|
|
(6,862 |
) |
|
|
(304,148 |
) |
|
|
(95,018 |
) |
Proceeds from sale of assets, net of selling costs |
|
|
227 |
|
|
|
11 |
|
|
|
245 |
|
|
|
13,455 |
|
Investment in non-marketable equity securities, net of distributions |
|
|
(138 |
) |
|
|
(85 |
) |
|
|
(251 |
) |
|
|
(2,958 |
) |
Net cash used by investing activities |
|
|
(16,125 |
) |
|
|
(20,022 |
) |
|
|
(360,067 |
) |
|
|
(135,101 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Financing activities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Dividends paid |
|
|
(9,350 |
) |
|
|
(8,396 |
) |
|
|
(36,890 |
) |
|
|
(33,903 |
) |
Purchase of common shares |
|
|
(18,382 |
) |
|
|
(9,831 |
) |
|
|
(43,710 |
) |
|
|
(30,883 |
) |
Net repayments of short-term borrowings |
|
|
(4,792 |
) |
|
|
- |
|
|
|
- |
|
|
|
- |
|
Principal payments on long-term obligations |
|
|
(1,094 |
) |
|
|
- |
|
|
|
(1,854 |
) |
|
|
- |
|
Proceeds from issuance of common shares, net of tax withholdings |
|
|
(112 |
) |
|
|
3,066 |
|
|
|
(5,948 |
) |
|
|
(4,007 |
) |
Net cash used by financing activities |
|
|
(33,730 |
) |
|
|
(15,161 |
) |
|
|
(88,402 |
) |
|
|
(68,793 |
) |
Increase (decrease) in cash and cash equivalents |
|
|
21,746 |
|
|
|
27,231 |
|
|
|
(222,350 |
) |
|
|
5,850 |
|
Cash and cash equivalents at beginning of period |
|
|
5,979 |
|
|
|
222,844 |
|
|
|
250,075 |
|
|
|
244,225 |
|
Cash and cash equivalents at end of period |
|
$ |
27,725 |
|
|
$ |
250,075 |
|
|
$ |
27,725 |
|
|
$ |
250,075 |
|
WORTHINGTON ENTERPRISES, INC.
SEGMENT INFORMATION
(Dollars in thousands)
|
|
Three Months Ended |
|
|
Twelve Months Ended |
|
||||||||||
|
|
May 31, |
|
|
May 31, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Net sales |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Building Products |
|
$ |
245,309 |
|
|
$ |
192,316 |
|
|
$ |
861,456 |
|
|
$ |
654,137 |
|
Consumer Products |
|
|
126,147 |
|
|
|
125,568 |
|
|
|
519,836 |
|
|
|
499,625 |
|
Consolidated |
|
$ |
371,456 |
|
|
$ |
317,884 |
|
|
$ |
1,381,292 |
|
|
$ |
1,153,762 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Building Products |
|
$ |
68,544 |
|
|
$ |
71,253 |
|
|
$ |
240,310 |
|
|
$ |
212,831 |
|
Consumer Products |
|
|
24,270 |
|
|
|
20,791 |
|
|
|
91,157 |
|
|
|
82,676 |
|
Total reportable segments |
|
|
92,814 |
|
|
|
92,044 |
|
|
|
331,467 |
|
|
|
295,507 |
|
Other (1) |
|
|
(228 |
) |
|
|
638 |
|
|
|
(5,309 |
) |
|
|
(2,672 |
) |
Unallocated Corporate |
|
|
(9,063 |
) |
|
|
(7,622 |
) |
|
|
(30,330 |
) |
|
|
(27,869 |
) |
Consolidated |
|
$ |
83,523 |
|
|
$ |
85,060 |
|
|
$ |
295,828 |
|
|
$ |
264,966 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Adjusted EBITDA margin |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Building Products |
|
|
27.9 |
% |
|
|
37.0 |
% |
|
|
27.9 |
% |
|
|
32.5 |
% |
Consumer Products |
|
|
19.2 |
% |
|
|
16.6 |
% |
|
|
17.5 |
% |
|
|
16.5 |
% |
Consolidated |
|
|
22.5 |
% |
|
|
26.8 |
% |
|
|
21.4 |
% |
|
|
23.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Equity income by unconsolidated affiliate |
|
|
|
|
|
|
|
|
|
|
|
|
||||
WAVE (2) |
|
$ |
32,285 |
|
|
$ |
32,622 |
|
|
$ |
118,063 |
|
|
$ |
110,100 |
|
ClarkDietrich (2) |
|
|
6,084 |
|
|
|
12,836 |
|
|
|
21,877 |
|
|
|
40,795 |
|
Other (1) |
|
|
(228 |
) |
|
|
(2,751 |
) |
|
|
(5,309 |
) |
|
|
(6,059 |
) |
Consolidated |
|
$ |
38,141 |
|
|
$ |
42,707 |
|
|
$ |
134,631 |
|
|
$ |
144,836 |
|
|
WORTHINGTON ENTERPRISES, INC.
GAAP / NON-GAAP RECONCILIATIONS
(Dollars in thousands, except per share amounts)
For more information regarding the non-GAAP financial measures, refer to the “Use of Non-GAAP Financial Measures and Definitions” section of this release.
Consolidated Results – Adjusted Earnings per Share – Diluted
|
Three Months Ended May 31, 2026 |
|
|||||||||||||||||||||
|
|
|
|
Earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
Before |
|
|
Income |
|
|
|
|
|
|
|
|
Effective |
|
||||||
|
Operating |
|
|
Income |
|
|
Tax |
|
|
Net |
|
|
Diluted |
|
|
Tax |
|
||||||
|
Income |
|
|
Taxes |
|
|
Expense |
|
|
Earnings (1) |
|
|
EPS (1) |
|
|
Rate (1) |
|
||||||
GAAP |
$ |
23,159 |
|
|
$ |
59,773 |
|
|
$ |
11,708 |
|
|
$ |
48,146 |
|
|
$ |
0.97 |
|
|
|
19.6 |
% |
Amortization of inventory step-up (2) |
|
1,500 |
|
|
|
1,500 |
|
|
|
(321 |
) |
|
|
1,179 |
|
|
|
0.02 |
|
|
|
|
|
Restructuring and other expense, net (3) |
|
794 |
|
|
|
794 |
|
|
|
(133 |
) |
|
|
661 |
|
|
|
0.02 |
|
|
|
|
|
Non-cash gains in miscellaneous income, net (4) |
|
- |
|
|
|
(610 |
) |
|
|
157 |
|
|
|
(453 |
) |
|
|
- |
|
|
|
|
|
Discrete tax item (8) |
|
- |
|
|
|
- |
|
|
|
(1,837 |
) |
|
|
(1,837 |
) |
|
|
(0.04 |
) |
|
|
|
|
Non-GAAP |
$ |
25,453 |
|
|
$ |
61,457 |
|
|
$ |
13,842 |
|
|
$ |
47,696 |
|
|
$ |
0.97 |
|
|
|
22.5 |
% |
|
Three Months Ended May 31, 2025 |
|
|||||||||||||||||||||
|
|
|
|
Earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Operating |
|
|
Before |
|
|
Income |
|
|
|
|
|
|
|
|
Effective |
|
||||||
|
Income |
|
|
Income |
|
|
Tax |
|
|
Net |
|
|
Diluted |
|
|
Tax |
|
||||||
|
(Loss) |
|
|
Taxes |
|
|
Expense |
|
|
Earnings (1) |
|
|
EPS (1) |
|
|
Rate (1) |
|
||||||
GAAP |
$ |
(30,405 |
) |
|
$ |
8,331 |
|
|
$ |
4,717 |
|
|
$ |
3,877 |
|
|
$ |
0.08 |
|
|
|
54.9 |
% |
Impairment of long-lived assets (3) |
|
50,813 |
|
|
|
50,813 |
|
|
|
(10,387 |
) |
|
|
40,426 |
|
|
|
0.81 |
|
|
|
|
|
Restructuring and other expense, net (3) |
|
1,372 |
|
|
|
1,372 |
|
|
|
(164 |
) |
|
|
1,208 |
|
|
|
0.02 |
|
|
|
|
|
Non-cash losses in miscellaneous expense, net (4) |
|
- |
|
|
|
5,000 |
|
|
|
- |
|
|
|
5,000 |
|
|
|
0.10 |
|
|
|
|
|
Non-recurring loss in equity income (5) |
|
- |
|
|
|
3,387 |
|
|
|
(801 |
) |
|
|
2,586 |
|
|
|
0.05 |
|
|
|
|
|
Non-GAAP |
$ |
21,780 |
|
|
$ |
68,903 |
|
|
$ |
16,069 |
|
|
$ |
53,097 |
|
|
$ |
1.06 |
|
|
|
23.2 |
% |
|
Twelve Months Ended May 31, 2026 |
|
|||||||||||||||||||||
|
|
|
|
Earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
|
Before |
|
|
Income |
|
|
|
|
|
|
|
|
Effective |
|
||||||
|
Operating |
|
|
Income |
|
|
Tax |
|
|
Net |
|
|
Diluted |
|
|
Tax |
|
||||||
|
Income |
|
|
Taxes |
|
|
Expense |
|
|
Earnings (1) |
|
|
EPS (1) |
|
|
Rate (1) |
|
||||||
GAAP |
$ |
76,209 |
|
|
$ |
201,348 |
|
|
$ |
46,313 |
|
|
$ |
156,085 |
|
|
$ |
3.14 |
|
|
|
22.9 |
% |
Amortization of inventory step-up (2) |
|
5,151 |
|
|
|
5,151 |
|
|
|
(1,209 |
) |
|
|
3,942 |
|
|
|
0.08 |
|
|
|
|
|
Restructuring and other expense, net (3) |
|
7,100 |
|
|
|
7,100 |
|
|
|
(1,425 |
) |
|
|
5,675 |
|
|
|
0.12 |
|
|
|
|
|
Non-cash losses in miscellaneous expense, net (4) |
|
- |
|
|
|
3,925 |
|
|
|
(229 |
) |
|
|
3,696 |
|
|
|
0.07 |
|
|
|
|
|
Discrete tax item (8) |
|
- |
|
|
|
- |
|
|
|
(1,837 |
) |
|
|
(1,837 |
) |
|
|
(0.04 |
) |
|
|
|
|
Non-GAAP |
$ |
88,460 |
|
|
$ |
217,524 |
|
|
$ |
51,013 |
|
|
$ |
167,561 |
|
|
$ |
3.37 |
|
|
|
23.3 |
% |
|
Twelve Months Ended May 31, 2025 |
|
|||||||||||||||||||||
|
|
|
|
Earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
Operating |
|
|
Before |
|
|
Income |
|
|
|
|
|
|
|
|
Effective |
|
||||||
|
Income |
|
|
Income |
|
|
Tax |
|
|
Net |
|
|
Diluted |
|
|
Tax |
|
||||||
|
(Loss) |
|
|
Taxes |
|
|
Expense |
|
|
Earnings (1) |
|
|
EPS (1) |
|
|
Rate (1) |
|
||||||
GAAP |
$ |
(10,715 |
) |
|
$ |
128,809 |
|
|
$ |
33,839 |
|
|
$ |
96,053 |
|
|
$ |
1.92 |
|
|
|
26.1 |
% |
Amortization of inventory step-up (2) |
|
1,477 |
|
|
|
1,477 |
|
|
|
(350 |
) |
|
|
1,127 |
|
|
|
0.02 |
|
|
|
|
|
Impairment of long-lived assets (3) |
|
50,813 |
|
|
|
50,813 |
|
|
|
(10,387 |
) |
|
|
40,426 |
|
|
|
0.81 |
|
|
|
|
|
Restructuring and other expense, net (3) |
|
10,524 |
|
|
|
10,524 |
|
|
|
(796 |
) |
|
|
9,728 |
|
|
|
0.19 |
|
|
|
|
|
Non-cash losses in miscellaneous expense, net (4) |
|
- |
|
|
|
5,000 |
|
|
|
- |
|
|
|
5,000 |
|
|
|
0.10 |
|
|
|
|
|
Non-recurring loss in equity income (5) |
|
- |
|
|
|
3,387 |
|
|
|
(801 |
) |
|
|
2,586 |
|
|
|
0.05 |
|
|
|
|
|
Non-GAAP |
$ |
52,099 |
|
|
$ |
200,010 |
|
|
$ |
46,173 |
|
|
$ |
154,920 |
|
|
$ |
3.09 |
|
|
|
23.0 |
% |
Consolidated Results – Adjusted EBITDA
|
|
Three Months Ended |
|
|
Twelve Months Ended |
|
||||||||||
|
|
May 31, |
|
|
May 31, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Net earnings (GAAP) |
|
$ |
48,065 |
|
|
$ |
3,614 |
|
|
$ |
155,035 |
|
|
$ |
94,970 |
|
Plus: Net loss attributable to noncontrolling interest |
|
|
81 |
|
|
|
263 |
|
|
|
1,050 |
|
|
|
1,083 |
|
Net earnings attributable to controlling interest |
|
|
48,146 |
|
|
|
3,877 |
|
|
|
156,085 |
|
|
|
96,053 |
|
Interest expense (income), net |
|
|
2,885 |
|
|
|
(60 |
) |
|
|
6,248 |
|
|
|
2,090 |
|
Income tax expense |
|
|
11,708 |
|
|
|
4,717 |
|
|
|
46,313 |
|
|
|
33,839 |
|
EBIT (6) |
|
|
62,739 |
|
|
|
8,534 |
|
|
|
208,646 |
|
|
|
131,982 |
|
Amortization of inventory step-up (2) |
|
|
1,500 |
|
|
|
- |
|
|
|
5,151 |
|
|
|
1,477 |
|
Impairment of long-lived assets (3) |
|
|
- |
|
|
|
50,813 |
|
|
|
- |
|
|
|
50,813 |
|
Restructuring and other expense, net (3) |
|
|
794 |
|
|
|
1,372 |
|
|
|
7,100 |
|
|
|
10,524 |
|
Non-cash (gains) losses in miscellaneous (income) expense, net (4) |
|
|
(610 |
) |
|
|
5,000 |
|
|
|
3,925 |
|
|
|
5,000 |
|
Non-recurring loss in equity income (5) |
|
|
- |
|
|
|
3,387 |
|
|
|
- |
|
|
|
3,387 |
|
Adjusted EBIT (6) |
|
|
64,423 |
|
|
|
69,106 |
|
|
|
224,822 |
|
|
|
203,183 |
|
Depreciation and amortization |
|
|
15,870 |
|
|
|
12,555 |
|
|
|
57,272 |
|
|
|
48,262 |
|
Stock-based compensation (7) |
|
|
3,230 |
|
|
|
3,399 |
|
|
|
13,734 |
|
|
|
13,521 |
|
Adjusted EBITDA (non-GAAP) |
|
$ |
83,523 |
|
|
$ |
85,060 |
|
|
$ |
295,828 |
|
|
$ |
264,966 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net earnings margin (GAAP) |
|
|
12.9 |
% |
|
|
1.1 |
% |
|
|
11.2 |
% |
|
|
8.2 |
% |
Adjusted EBITDA margin (non-GAAP) |
|
|
22.5 |
% |
|
|
26.8 |
% |
|
|
21.4 |
% |
|
|
23.0 |
% |
|
Consolidated Results - Free Cash Flow
The following tables provide a reconciliation of net cash provided by operating activities to free cash flow and the calculation of operating cash flow conversion to free cash flow conversion for the three and 12 months ended May 31, 2026 and 2025.
|
|
Three Months Ended |
|
|
Twelve Months Ended |
|
||||||||||
|
|
May 31, |
|
|
May 31, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Net cash provided by operating activities (GAAP) |
|
$ |
71,601 |
|
|
$ |
62,414 |
|
|
$ |
226,119 |
|
|
$ |
209,744 |
|
Investment in property, plant, and equipment |
|
|
(16,492 |
) |
|
|
(13,086 |
) |
|
|
(55,913 |
) |
|
|
(50,580 |
) |
Free cash flow (non-GAAP) |
|
$ |
55,109 |
|
|
$ |
49,328 |
|
|
$ |
170,206 |
|
|
$ |
159,164 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net earnings attributable to controlling interest (GAAP) |
|
$ |
48,146 |
|
|
$ |
3,877 |
|
|
$ |
156,085 |
|
|
$ |
96,053 |
|
Adjusted net earnings attributable to controlling interest (non-GAAP) |
|
$ |
47,696 |
|
|
$ |
53,097 |
|
|
$ |
167,561 |
|
|
$ |
154,920 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Operating cash flow conversion (GAAP) (1) |
|
|
149 |
% |
|
|
1,610 |
% |
|
|
145 |
% |
|
|
218 |
% |
Free cash flow conversion (non-GAAP) |
|
|
116 |
% |
|
|
93 |
% |
|
|
102 |
% |
|
|
103 |
% |
|
WORTHINGTON ENTERPRISES, INC.
USE OF NON-GAAP FINANCIAL MEASURES AND DEFINITIONS
NON-GAAP FINANCIAL MEASURES. These materials include certain financial measures that are not calculated and presented in accordance with accounting principles generally accepted in the United States (“GAAP”). Non-GAAP financial measures typically exclude items that management believes are not reflective of, and thus should not be included when evaluating the performance of the company’s ongoing operations. Management uses these non-GAAP financial measures to evaluate ongoing performance, engage in financial and operational planning, and determine incentive compensation. Management believes these non-GAAP financial measures provide useful supplemental information regarding the performance of the company’s ongoing operations and should not be considered as an alternative to the comparable GAAP financial measure. Additionally, management believes these non-GAAP financial measures allow for meaningful comparisons and analysis of trends in the company’s businesses and enables investors to evaluate operations and future prospects in the same manner as management.
The following provides an explanation of each non-GAAP financial measure presented in these materials:
Adjusted operating income (loss) is defined as operating income (loss) excluding the items listed below, to the extent naturally included in operating income (loss).
Adjusted net earnings is defined as net earnings attributable to controlling interest excluding the after-tax effect of the excluded items outlined below.
Adjusted EPS – diluted is defined as adjusted net earnings divided by diluted weighted-average common shares outstanding for the applicable period.
Adjusted EBITDA is the measure by which management evaluates segment performance and overall profitability. EBITDA is defined as earnings before interest, taxes, depreciation, and amortization. Adjusted EBITDA excludes additional items including, but not limited to, those listed below, as well as other items that management believes are not reflective of, and thus should not be included when evaluating the performance of ongoing operations. Adjusted EBITDA also excludes stock-based compensation due to its non-cash nature, which is consistent with how management assesses operating performance and determines incentive compensation. At the segment level, adjusted EBITDA includes expense allocations for centralized corporate back-office functions that exist to support the day-to-day business operations. Public company and other governance costs are held at the corporate level within the unallocated corporate and other category.
Adjusted EBITDA margin is calculated by dividing adjusted EBITDA by net sales.
Free cash flow is a non-GAAP financial liquidity measure that is used by the company to assess its ability to generate cash beyond what is required for its business operations and capital expenditures. The company defines free cash flow as net cash flows from operating activities less investment in property, plant, and equipment.
Free cash flow conversion is a non-GAAP financial measure that is used by the company to measure how much of its adjusted net earnings attributable to controlling interest is converted into cash. The company defines free cash flow conversion as free cash flow divided by adjusted net earnings.
EXCLUSIONS FROM NON-GAAP FINANCIAL MEASURES
Management believes it is useful to exclude the following items from its non-GAAP financial measures for its own and investors’ assessment of the business for the reasons identified below. Additionally, management may exclude other items from non-GAAP financial measures that do not occur in the ordinary course of the company’s ongoing business operations and note them in the reconciliation from net earnings to the non-GAAP financial measure adjusted EBITDA.
Worthington Enterprises Increases Quarterly Dividend by 5%;
Adds Brad Southern to Board of Directors
COLUMBUS, OHIO (June 23, 2026) – The Worthington Enterprises Inc. (NYSE: WOR) board of directors today declared a quarterly dividend of $0.20 per share, which represents an increase of $0.01 per share or 5% from the prior quarter. The dividend is payable on September 29, 2026, to shareholders of record on September 15, 2026. The company has paid a quarterly dividend since its initial public offering in 1968.
The board of directors also appointed accomplished manufacturing and building products executive Brad Southern as its newest member. Southern retired as Chairman and CEO of Louisiana-Pacific Corporation (LP) Building Solutions earlier this year. He joined LP in 1999, became CEO in 2017 and Chairman in 2020. Prior to joining LP, Southern held operational, financial and strategic planning leadership roles with MacMillan Bloedel. He is currently Chairman of the board of directors of the Nashville branch of the Federal Reserve Bank of Atlanta. He previously served on the boards of GMS Inc., Astec Industries, Keller Group, and several nonprofit and industry organizations.
Worthington Enterprises Board Chairman John Blystone said, “Brad brings our board of directors more than 40 years of leadership experience across operations, strategy, finance and corporate governance. Throughout his career, he led large-scale building products, manufacturing and commercial organizations with responsibility for multi-billion-dollar revenue operations and a broad portfolio of engineered solutions. We are grateful for his commitment and confident that his expertise will positively impact our strategies to create value and grow Worthington Enterprises.”
Worthington Enterprises will hold its quarterly earnings conference call tomorrow at 8:30 a.m. ET. The company will discuss its fiscal fourth quarter results, which will be released after the market closes this afternoon.
LIVE CONFERENCE CALL DETAILS
Date: Wednesday, June 24, 2026
Webcast Link: https://events.q4inc.com/attendee/686020142
Starting Time: 8:30 a.m. ET
Domestic Participants: 833-461-5787
Conference ID: 686020142
About Worthington Enterprises
Worthington Enterprises (NYSE: WOR) is a designer and manufacturer of market-leading brands that improve everyday life by elevating spaces and experiences. The company operates with two primary business segments: Building Products and Consumer Products. The Building Products segment includes
heating and cooling, cooking, construction and water solutions, and building systems including HVAC and metal roofing components, architectural and acoustical grid ceilings, and metal framing and accessories. The Consumer Products segment provides solutions for the tools, outdoor living and celebrations categories. Product brands within the Worthington Enterprises portfolio include Balloon Time®, Bernzomatic®, BPD, Coleman® (propane cylinders), CoMet®, Elgen, Garden Weasel®, General®, HALO™, Hawkeye™, LEVEL5 Tools®, Logan Stampings, Mag Torch®, NEXI™, Pactool International®, PowerCore™, Ragasco®, Roof Hugger®, Well-X-Trol® and XLite™, among others.
Headquartered in Columbus, Ohio, Worthington Enterprises employs approximately 4,000 people throughout North America and Europe.
Founded in 1955 as Worthington Industries, Worthington Enterprises follows a people-first Philosophy with earning money for its shareholders as its first corporate goal. Worthington Enterprises achieves this outcome by empowering its employees to innovate, thrive and grow with leading brands in attractive markets that improve everyday life. The company engages deeply with local communities where it has operations through volunteer efforts and The Worthington Companies Foundation, participates actively in workforce development programs and reports annually on its corporate citizenship and sustainability efforts. For more information, visit worthingtonenterprises.com.
Forward-Looking Statements
Statements by Worthington Enterprises that are not limited to historical information constitute “forward-looking statements” under federal securities laws. Forward-looking statements are subject to various risks, uncertainties and other factors that may cause actual results to differ materially from those expected by Worthington Enterprises. Readers should evaluate forward-looking statements in the context of such risks, uncertainties and other factors, many of which are described in Worthington Enterprises’ filings with the Securities and Exchange Commission (“SEC”). Forward-looking statements are qualified by the cautionary statements included in Worthington Enterprises’ SEC filings and other public communications. This press release speaks only as of the date hereof. Worthington Enterprises does not undertake any obligation to update or revise its forward-looking statements except as required by applicable law or regulation.
###