Atkore Inc. (ATKR) reported fiscal 2025 fourth‑quarter results that included a net loss of $54.4 million, a sharp reversal from the $73.1 million net income recorded in the same quarter a year earlier. Net sales for the quarter were $752.0 million, a 4.6 % decline from $788.3 million in Q4 2024, but the company still achieved a 1.9 % organic volume growth that helped offset the impact of lower average selling prices. Full‑year net sales reached $2.850 billion, matching the $2.9 billion figure previously reported and representing a 1.9 % increase in volume over FY 2024.
The quarter’s adjusted EBITDA fell to $100.0 million, a 54.7 % drop from the $340.0 million reported in Q4 2024. The compression was driven by a $66.7 million impairment charge on long‑lived assets in the HDPE business, a $18.9 million goodwill impairment, and a $5.8 million inventory adjustment. Lower average selling prices and higher raw‑material costs further eroded margins, reducing the adjusted EBITDA margin from 17.8 % in the prior year to 9.4 % in Q4 2025.
Segment performance was uneven. The Electrical segment, which accounts for the majority of sales, saw net sales decline 8.1 % to $1.12 billion and adjusted EBITDA plunge 54.7 % to $12.5 million, reflecting pricing pressure and a shift toward lower‑margin products. In contrast, the Safety & Infrastructure segment grew 4 % in sales to $1.02 billion and saw adjusted EBITDA rise 80 % to $87.5 million, driven by strong demand for safety‑related infrastructure projects and a higher mix of high‑margin services.
President and CEO Bill Waltz highlighted that the company’s net sales of $2.850 billion and continued organic volume growth for the third consecutive year demonstrate resilience in core markets. He noted that the company returned $144 million to shareholders through share repurchases and dividends, and that it is actively exploring strategic alternatives, including a potential sale, to maximize shareholder value amid current headwinds.
For fiscal 2026, Atkore guided full‑year net sales to $3.0 billion–$3.1 billion, exceeding the consensus estimate of $2.82 billion. Adjusted EBITDA guidance of $340 million–$360 million is above analyst expectations of $347 million, but the EPS guidance of $5.05–$5.55 falls short of the consensus of $6.56, signaling caution about near‑term profitability. The company’s guidance reflects confidence in demand recovery in the electrical end markets while acknowledging the need for continued cost discipline.
Investors reacted to the earnings miss on adjusted EPS, which came in at $0.69 versus the consensus of $1.30, a shortfall of $0.61. The revenue beat of $752.0 million versus the consensus range of $733.6 million–$748.6 million was offset by the lower EPS guidance and the announcement of a strategic review, leading to a muted market response. The EPS miss and guidance downgrade were the primary drivers of investor concern, while the revenue beat provided a partial counterbalance.
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