Apogee Enterprises 2026 Q2 Earnings Misses Expectations with Sharp Drop in Net Income

Apogee Enterprises reported mixed results for Q2 2026, with revenue up but earnings down. The company raised its full-year sales and EPS guidance, signaling optimism for the back half of the year.

Revenue
Apogee Enterprises reported total revenue of $358.19 million in Q2 2026, a 4.6% increase compared to $342.44 million in the same period last year. The company’s Architectural Metals segment led the way with $140.92 million in revenue, while the Architectural Services segment contributed $100.49 million. The Architectural Glass segment generated $68.39 million, and the Performance Surfaces segment added $48.39 million to the total.

Earnings/Net Income
Apogee’s earnings per share (EPS) fell 21.4% to $1.10 in Q2 2026, down from $1.40 in Q2 2025. The company’s net income also declined, dropping to $23.65 million in the latest quarter from $30.57 million a year earlier, representing a 22.6% decrease. The significant drop in net income highlights the challenges faced by the company during the quarter.

Price Action
Apogee Enterprises has seen a mixed post-earnings stock performance. Over the latest trading day, the stock price fell 3.90%. The decline extended over the week, with a 6.46% drop in the most recent full trading week. Month-to-date, shares have edged down slightly by 0.29%, indicating a weak short-term market reaction.

Post-Earnings Price Action Review
Despite the earnings underperformance, management expressed confidence in the company’s long-term prospects. The CEO emphasized that the company delivered results ahead of internal expectations in the first quarter of the fiscal year, despite difficult market conditions and year-over-year challenges. Management attributed the earnings pressure to the impact of tariffs and outlined ongoing mitigation efforts. The company has raised its full-year net sales and adjusted diluted EPS outlook, signaling optimism for stronger performance in the second half of the year.

CEO Commentary
Ty R. Silberhorn, CEO of Apogee Enterprises, noted that the company delivered results ahead of internal expectations in Q1 of fiscal 2026 despite challenging market conditions. He highlighted the company’s ability to raise its fiscal year outlook for net sales and adjusted diluted EPS, projecting stronger performance in the second half of the year. Silberhorn acknowledged the adverse impact of tariffs on Q1 results but expressed confidence in the mitigation plans, stating that any material change in tariff policies would be necessary to disrupt the company’s progress.

Guidance
Apogee Enterprises has raised its fiscal year outlook for both net sales and adjusted diluted EPS, reflecting improved confidence in the business. The company’s guidance for the year now includes a stronger-than-expected second half driven by its long-term profitable growth strategy, improved execution, and higher returns.

Additional News
In a June 2025 quarterly report, Apogee Enterprises reported a diluted loss per share of $0.13 and adjusted diluted earnings per share of $0.56 for Q1 2026. The company raised its full-year net sales and adjusted diluted EPS outlook for the year amid ongoing efforts to mitigate the impact of tariffs. The report noted that tariffs had a negative effect on Q1 results, but the company remains confident in its mitigation plans and expects to reduce the impact in the second half of the fiscal year. No major M&A activity or dividend announcements were disclosed within the three-week period surrounding the earnings report.