Gibraltar Industries Q2 Revenue Rises 13%, Backlog Up 43% YoY

Gibraltar Industries reported Q2 revenue of $309.5 million, a 13.1% increase from the prior year, but missed analyst estimates by 18.5%. Adjusted EPS rose 10.8% to $1.13, also below expectations. Backlog in project-driven businesses surged 43% YoY. The company's financial performance was held back by lower margins and integration costs from recent acquisitions.

Gibraltar Industries, Inc. (NASDAQ: ROCK) recently released its Q2 2025 financial results, showing mixed performance. The company reported revenue of $309.5 million, a 13.1% increase from the prior year, but this figure was 18.5% below analyst expectations [1]. Adjusted earnings per share (EPS) rose 10.8% to $1.13, also falling short of the expected $1.18 per share [2].

The quarter saw notable growth in backlog, with a 43% year-over-year (YoY) increase in project-driven businesses, primarily driven by the agtech segment [3]. However, the company's financial performance was held back by lower margins and integration costs stemming from recent acquisitions. These factors resulted in a 1.5 percentage point decline in the non-GAAP operating margin from 15.0% to 14.5% [3].

Within the residential segment, adjusted net sales reached $230.3 million, up 8.9% from the prior year, but the adjusted operating margin tightened by 90 basis points to 19.5% [3]. The agtech segment posted 56.8% growth in revenue, benefiting from the acquisition of Lane Supply, although organic sales in this area were lower. The infrastructure segment reported a 1.6% increase in GAAP net sales and a 300 basis-point improvement in operating margin to 28.1% [3].

Despite the mixed results, management reaffirmed its guidance for the full year, projecting GAAP net sales in the range of $1.15 to $1.20 billion and adjusted EPS between $4.20 and $4.45 [3]. Investors are urged to monitor the timing of new project starts, especially in agtech, as the company's order book is strong but actual sales depend on when major contracted work proceeds [3].

References:
[1] https://www.marketscreener.com/news/earnings-flash-rock-gibraltar-industries-inc-reports-q2-revenue-309-5m-vs-factset-est-of-379-ce7c5ed9df8ef025
[2] https://www.marketscreener.com/news/earnings-flash-rock-gibraltar-industries-inc-posts-q2-adjusted-eps-1-13-per-share-vs-factset-ce7c5ed9df8ef522
[3] https://www.nasdaq.com/articles/gibraltar-rock-q2-revenue-rises-13