Quanex Building Products Corp. reported third-quarter adjusted earnings per share of $0.79, exceeding the $0.65 consensus estimate, while revenue reached $501.8 million, ahead of the $498.4 million forecast. Revenue rose 1.3% from $495.3 million in the same period a year earlier.
Gross margin widened to 28.2% from 27.9% in the prior-year quarter, reflecting improved pricing and operational efficiency. Shares gained 1.4% in after-hours trading following the results.
Net sales in the Extruded Solutions segment increased 2.8%, while the Custom Solutions segment posted an 8.5% rise driven by higher volumes and pricing. The Hardware Solutions segment recorded a 2.7% decline in net sales due to lower volumes and tariff reimbursements under the International Emergency Economic Powers Act, though margins expanded across consolidated operations.
The company repaid $42.25 million of debt during the quarter, reducing total debt to $672.2 million as of July 31, 2026. The net debt to trailing 12-month adjusted EBITDA leverage ratio stood at 2.8x. Liquidity increased 10.5% to $363.1 million, comprising $62.1 million in cash and availability under its revolving credit facility.
Quanex repurchased 99,786 shares for approximately $1.7 million at an average price of $17.10 per share. George Wilson, chairman, president and CEO, noted volumes followed typical seasonal patterns and that progress had been made in addressing prior margin pressures.
