What changed in this filing

/stocks — the workspaceLOADING

Item 1. Financial Statements

2026-10-06 compared with 2026-06-30 · 217 added, 109 removed, 352 unchanged (48% of the section changed)

1 unchanged sentence

CONSOLIDATED BALANCE SHEETS

(In thousands, except stock data) May 30, 2026 February 28, 2026

(In thousands, except stock data) August 29, 2026 February 28, 2026

Current assets

36 unchanged sentences

CONSOLIDATED RESULTS OF OPERATIONS

Three Months Ended

(In thousands, except per share data) May 30, 2026 May 31, 2025

Three Months Ended Six Months Ended

(In thousands, except per share data) August 29, 2026 August 30, 2025 August 29, 2026 August 30, 2025

Net sales $ 391,135 $ 358,194 $ 733,820 $ 704,816

4 unchanged sentences

Interest expense, net 3,554 4,075 6,388 7,921

Other expense, net 73 682

Other income, net 485 5,140 412 4,458

Earnings before income taxes 30,417 27,953 46,350 30,356

Income tax expense 8,037 4,304 12,433 9,394

Net earnings (loss) $ 11,535 $ ( 2,688 )

Basic earnings (loss) per share $ 0.55 $ ( 0.13 )

Diluted earnings (loss) per share $ 0.54 $ ( 0.13 )

Net earnings $ 22,380 $ 23,649 $ 33,917 $ 20,962

Basic earnings per share $ 1.08 $ 1.10 $ 1.62 $ 0.98

Diluted earnings per share $ 1.07 $ 1.10 $ 1.61 $ 0.97

Weighted average basic shares outstanding 20,722 21,408 20,884 21,373

2 unchanged sentences

CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS

Three Months Ended

(In thousands) May 30, 2026 May 31, 2025

Net earnings (loss) $ 11,535 $ ( 2,688 )

Other comprehensive earnings (loss):

Three Months Ended Six Months Ended

(In thousands) August 29, 2026 August 30, 2025 August 29, 2026 August 30, 2025

Net earnings $ 22,380 $ 23,649 $ 33,917 $ 20,962

Other comprehensive earnings:

Unrealized (loss) gain on marketable securities, net of $( 24 ), ( 2 ), ( 53 ) and $ 8 of tax (benefit) expense, respectively

Unrealized gain (loss) on derivative instruments, net of $ 840 and $( 32 ) of tax expense (benefit), respectively

( 91 ) ( 7 ) ( 199 ) 28

Unrealized (loss) gain on derivative instruments, net of $( 483 ), ( 144 ), 357 and $( 176 ) of tax (benefit) expense, respectively

( 1,441 ) ( 388 ) 1,021 ( 482 )

Foreign currency translation adjustments ( 36 ) 479 264 3,146

Other comprehensive earnings 2,654 2,608

Total comprehensive earnings (loss) $ 14,189 $ ( 80 )

Other comprehensive (loss) earnings ( 1,568 ) 84 1,086 2,692

Total comprehensive earnings $ 20,812 $ 23,733 $ 35,003 $ 23,654

See accompanying notes to consolidated financial statements.

CONSOLIDATED STATEMENTS OF CASH FLOWS

Three Months Ended

(In thousands) May 30, 2026 May 31, 2025

Six Months Ended

(In thousands) August 29, 2026 August 30, 2025

Operating Activities

Net earnings (loss) $ 11,535 $ ( 2,688 )

Net earnings $ 33,917 $ 20,962

Adjustments to reconcile net earnings to net cash provided by (used in) operating activities:

3 unchanged sentences

Impairment of long-lived assets — 7,418

Settlement of New Markets Tax Credit transaction — ( 4,597 )

Non-cash lease expense 6,064 5,474

10 unchanged sentences

Other current assets and liabilities ( 2,453 ) ( 20,477 )

Net cash provided by (used in) operating activities 7,430 ( 19,782 )

Net cash provided by operating activities 43,259 37,280

Investing Activities

1 unchanged sentence

Purchases of marketable securities ( 7,418 ) ( 200 )

Acquisition of business, net of cash acquired ( 99,574 ) —

Other, net 2,957 1,144

7 unchanged sentences

Other, net ( 1,117 ) ( 3,087 )

Net cash (used in) provided by financing activities ( 11,146 ) 17,645

Net cash provided by (used in) financing activities 74,875 ( 29,130 )

Effect of exchange rates on cash 702 811

17 unchanged sentences

Balance at May 30, 2026 21,062 $ 7,021 $ 159,043 $ 374,103 $ ( 28,148 ) $ 512,019

Net earnings — — — 22,380 — 22,380

Other comprehensive loss, net of tax — — — — ( 1,568 ) ( 1,568 )

Issuance of stock, net of cancellations 1 — ( 91 ) — — ( 91 )

Share-based compensation — — 2,618 — — 2,618

Share repurchases ( 169 ) ( 57 ) ( 1,526 ) ( 4,862 ) — ( 6,445 )

Other share retirements ( 1 ) — ( 5 ) ( 29 ) — ( 34 )

Cash dividends, $ 0.27 per share

— — — ( 5,545 ) — ( 5,545 )

Balance at August 29, 2026 20,893 $ 6,964 $ 160,039 $ 386,047 $ ( 29,716 ) $ 523,334

(In thousands) Common Shares Outstanding Common Stock at Par Value Additional Paid-In Capital Retained Earnings Accumulated Other Comprehensive (Loss) Income Total Shareholders' Equity

8 unchanged sentences

Balance at May 31, 2025 21,533 $ 7,178 $ 157,788 $ 349,501 $ ( 32,684 ) $ 481,783

Net loss — — — 23,649 — 23,649

Other comprehensive income, net of tax — — — — 84 84

Cancellations of stock, net of issuance ( 16 ) ( 5 ) ( 184 ) — — ( 189 )

Share-based compensation — 474 — — 474

Other share retirements ( 2 ) ( 1 ) ( 13 ) ( 49 ) — ( 63 )

Cash dividends, $ 0.26 per share

— — — ( 5,523 ) — ( 5,523 )

Balance at August 30, 2025 21,515 $ 7,172 $ 158,065 $ 367,578 $ ( 32,600 ) $ 500,215

See accompanying notes to consolidated financial statements.

7 unchanged sentences

All adjustments necessary for a fair presentation of quarterly and year to date operating results are reflected herein.

The results of operations for the three month period ended May 30, 2026, are not necessarily indicative of the results to be expected for the full year.

The results of operations for the three and six month period ended August 29, 2026, are not necessarily indicative of the results to be expected for the full year.

Accounting standards not yet adopted

6 unchanged sentences

The following table disaggregates total revenue by timing of recognition (see Note 12 for disclosure of revenue by segment):

Three Months Ended

(In thousands) May 30, 2026 May 31, 2025

Three Months Ended Six Months Ended

(In thousands) August 29, 2026 August 30, 2025 August 29, 2026 August 30, 2025

Recognized at shipment $ 214,752 $ 171,681 $ 380,762 $ 329,837

8 unchanged sentences

An account is written off when it is determined that the amount is no longer collectible.

(In thousands) May 30, 2026 February 28, 2026

(In thousands) August 29, 2026 February 28, 2026

Trade accounts $ 147,505 $ 111,679

3 unchanged sentences

Receivables, net $ 206,327 $ 198,516

The following table summarizes the activity in the allowance for credit losses for the three months ended May 30, 2026:

(In thousands) May 30, 2026

The following table summarizes the activity in the allowance for credit losses for the six months ended August 29, 2026:

(In thousands) August 29, 2026

Beginning balance $ 1,608

1 unchanged sentence

Deductions from allowance, net of recoveries ( 97 )

Allowance for credit losses from acquisitions 520

Ending balance $ 2,183

5 unchanged sentences

In certain parts of our business that recognize revenue over time, progress billings follow an agreed-upon schedule of values.

(In thousands) May 30, 2026 February 28, 2026

(In thousands) August 29, 2026 February 28, 2026

Contract assets $ 68,806 $ 59,512

1 unchanged sentence

Other contract-related disclosures

Three Months Ended

(In thousands) May 30, 2026 May 31, 2025

Three Months Ended Six Months Ended

(In thousands) August 29, 2026 August 30, 2025 August 29, 2026 August 30, 2025

Revenue recognized related to contract liabilities from prior year-end $ 8,933 $ 21,499 $ 51,537 $ 28,329

1 unchanged sentence

Some of our contracts have an expected duration of longer than a year, with performance obligations extending over that time frame.

The transaction price associated with performance obligations that were not yet satisfied as of May 30, 2026, will be recognized as revenue in the following estimated time periods:

(In thousands) May 30, 2026

The transaction price associated with performance obligations that were not yet satisfied as of August 29, 2026, will be recognized as revenue in the following estimated time periods:

(In thousands) August 29, 2026

Within one year

8 unchanged sentences

The net cumulative catch-up adjustments on our longer-term contracts for changes in estimates had the following effect on the respective periods shown:

(in thousands, except earnings per share data) Three Months Ended

May 30, 2026 May 31, 2025

(in thousands, except earnings per share data) Three Months Ended Six Months Ended

August 29, 2026 August 30, 2025 August 29, 2026 August 30, 2025

Operating income $ 1,532 $ 731 $ 863 $ 799

$ ( 669 ) $ 67

Earnings per share:

$ ( 0.02 ) $ 0.00

(In thousands) May 30, 2026 February 28, 2026

Basic 0.06 0.03 0.03 0.03

Diluted 0.06 0.03 0.03 0.03

Supplemental Balance Sheet Information

Inventories August 29, 2026 February 28, 2026

Raw materials $ 53,740 $ 43,441

2 unchanged sentences

Total inventories, net $ 116,760 $ 98,059

Financial Instruments

Financial Assets and Liabilities

Marketable securities

2 unchanged sentences

(In thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated

May 30, 2026 $ 18,456 $ 3 $ 211 $ 18,248

August 29, 2026 $ 19,420 $ 3 $ 326 $ 19,097

February 28, 2026 14,989 23 94 14,918

1 unchanged sentence

The reinsurance carrier requires Prism to maintain fixed-maturity investments, for the purpose of providing collateral for Prism's obligations under the reinsurance agreements.

The amortized cost and estimated fair values of these investments at May 30, 2026, by contractual maturity, are shown below.

The amortized cost and estimated fair values of these investments at August 29, 2026, by contractual maturity, are shown below.

Expected maturities may differ from contractual maturities, as borrowers may have the right to call or prepay obligations with or without penalty.

4 unchanged sentences

Due after one year through five years 9,186 9,044

Due after five years through 10 years 4,270 4,128

Total $ 19,420 $ 19,097

4 unchanged sentences

We have also entered into multiple aluminum commodity swap contracts with an aggregate notional value of $ 27.2 million to hedge a portion of our exposure to variability in cash flows associated with forecasted aluminum purchases.

These swap contracts mature over the next twelve months, with final settlements occurring by March 2027.

These swap contracts mature over the next twelve months, with final settlements occurring by May 2027.

The mark-to-market adjustments on these derivative instruments are recorded within our Consolidated Balance Sheets within other current assets or other current liabilities.

10 unchanged sentences

(Level 2) Total Fair Value

August 29, 2026

Money market funds $ 24,546 $ — $ 24,546

2 unchanged sentences

Interest rate swap contracts — 603 603

Interest rate swap contracts — 124 124

February 28, 2026

9 unchanged sentences

Derivative instruments

The interest rate swaps are measured at fair value using other observable market inputs, based off benchmark interest rates.

Forward foreign exchange and forward purchase aluminum contracts are measured at fair value using other observable market inputs, such as quotations on forward foreign exchange points, foreign currency exchange rates and forward purchase aluminum prices.

Interest rate swaps are measured at fair value using other observable market inputs, based off benchmark interest rates.

Forward purchase aluminum contracts are measured at fair value using other observable market inputs.

Derivative positions are primarily valued using standard calculations and models that use as their basis readily observable market parameters.

3 unchanged sentences

These assets, initially recorded at fair value upon acquisition or purchase, are evaluated periodically, and if impairment indicators exist, we compare their carrying values to their estimated fair values and recognize an impairment charge for any excess carrying value.

See Note 1 for further information on impairment of long-lived assets.

We are party to a Credit Agreement (the Credit Agreement) with Bank of America, N.A., as administrative agent, and other lenders.

1 unchanged sentence

Borrowings under the revolving credit facility can be in Canadian dollars (CAD) limited to $ 25.0 million USD.

The term loan facility may be utilized in up to two draw downs, which are available to be made within one year after the closing date.

The senior credit facility has a term of five years with a maturity date of July 19, 2029.

The Credit Agreement contains two maintenance financial covenants that require our Consolidated Leverage Ratio (as defined in the Credit Agreement) to be less than 3.50 and our Consolidated Interest Coverage Ratio (as defined in the Credit Agreement) to exceed 3.00 .

At May 30, 2026, we were in compliance with all covenants as defined under the terms of the Credit Agreement.

At August 29, 2026, we were in compliance with all covenants as defined under the terms of the Credit Agreement.

Borrowings under the Credit Agreement bear floating interest at either the Base Rate or Term Secured Overnight Financing Rate (SOFR), or, for CAD borrowings, Canadian Overnight Repo Rate Average (CORRA), plus a margin based on the Consolidated Leverage Ratio (as defined in the Credit Agreement).

1 unchanged sentence

For Term SOFR and CORRA borrowings, the margin ranges from 1.25 % to 1.75 %, with an incremental Term SOFR and CORRA adjustment of 0.10 % and 0.29547 %, respectively.

Outstanding borrowings under the term loan facility and current floating rate revolving facility were $ 209.4 million and $ 28.0 million, respectively, as of May 30, 2026.

At May 30, 2026, we had a total of $ 2.6 million of ongoing letters of credit related to the senior credit facility, construction contracts and insurance collateral that expire in fiscal 2027 and reduce borrowing capacity under the floating rate revolving credit facility to an amount of $ 419.4 million.

Interest payments under the credit facilities were $ 3.0 million and $ 4.5 million for the three months ended May 30, 2026 and May 31, 2025, respectively.

The weighted average interest rates on borrowings outstanding, inclusive of the impact of our interest rate swaps as of May 30, 2026, and February 28, 2026, were 4.43 % and 4.44 %, respectively.

Three Months Ended

(In thousands) May 30, 2026 May 31, 2025

Outstanding borrowings under the term loan facility and current floating rate revolving facility were $ 206.5 million and $ 129.0 million, respectively, as of August 29, 2026.

At August 29, 2026, we had a total of $ 2.6 million of ongoing letters of credit related to the senior credit facility, construction contracts and insurance collateral that expire in fiscal 2027 and reduce borrowing capacity under the floating rate revolving credit facility to an amount of $ 318.4 million.

Interest payments under the credit facilities were $ 6.7 million and $ 9.0 million for the six months ended August 29, 2026 and August 30, 2025, respectively.

The weighted average interest rates on borrowings outstanding, inclusive of the impact of our interest rate swaps as of August 29, 2026, and February 28, 2026, were 4.45 % and 4.44 %, respectively.

Three Months Ended Six Months Ended

(In thousands) August 29, 2026 August 30, 2025 August 29, 2026 August 30, 2025

Interest on debt $ 3,988 $ 4,612 $ 7,038 $ 9,094

Interest rate swap expense (gain) 85 ( 181 )

Interest rate swap expense (income) 113 ( 132 ) 198 ( 313 )

Other interest expense 102 187 294 302

2 unchanged sentences

$ 3,554 $ 4,076 $ 6,388 $ 7,920

The fair value of our senior credit facility approximated carrying value at May 30, 2026, and would be classified as Level 2 within the fair value hierarchy described in Note 4, due to the variable interest rates on these instruments.

The fair value of our senior credit facility approximated carrying value at August 29, 2026, and would be classified as Level 2 within the fair value hierarchy described in Note 4, due to the variable interest rates on these instruments.

Commitments and Contingent Liabilities

1 unchanged sentence

In the ordinary course of business, predominantly in our Architectural Services Segment, we are required to provide surety or performance bonds that commit payments to our customers for non-performance against our contracts.

At May 30, 2026, $ 1.1 billion of these types of bonds were outstanding, of which $ 239.8 million is in our backlog.

At August 29, 2026, $ 1.2 billion of these types of bonds were outstanding, of which $ 264.3 million is in our backlog.

These bonds have expiration dates that align with the completion of these contracts.

4 unchanged sentences

Factors that could have an impact on these accruals in any given period include changes in manufacturing quality, changes in product mix, and any significant changes in sales volume.

Three Months Ended

(In thousands) May 30, 2026

Six Months Ended

(In thousands) August 29, 2026

Beginning balance $ 12,903

Additional provision 3,790

Acquired reserves from acquisitions 1,479

Claims paid ( 2,449 )

3 unchanged sentences

Letters of credit

At May 30, 2026, we had $ 2.6 million of ongoing letters of credit as discussed in Note 5.

At August 29, 2026, we had $ 2.6 million of ongoing letters of credit as discussed in Note 5.

Purchase obligations

Purchase obligations for raw material commitments and capital expenditures totaled $ 14.9 million as of May 30, 2026.

Purchase obligations for raw material commitments and capital expenditures totaled $ 33.5 million as of August 29, 2026.

The Company is a party to various legal proceedings incidental to its normal operating activities.

1 unchanged sentence

We have in the past and are currently subject to product liability and warranty claims, including certain legal claims related to a commercial sealant product formerly incorporated into our products.

One such claim was resolved and paid during the first quarter of fiscal 2026, resulting in a payment of $ 24.7 million, which was reserved for during fiscal 2025.

The Company is also subject to litigation arising out of areas such as employment practices, workers compensation and general liability matters.

5 unchanged sentences

The balances owed are reflected in accounts payable in the Consolidated Balance Sheets and are reflected in operating activities in our Consolidated Statements of Cash Flows when settled.

The following table summarizes the obligation activity and outstanding balance for the three months ended May 30, 2026, that we have confirmed as valid to the administrators of our program:

(In thousands) May 30, 2026

The following table summarizes the obligation activity and outstanding balance for the six months ended August 29, 2026, that we have confirmed as valid to the administrators of our program:

(In thousands) August 29, 2026

Balance at beginning of period $ 7,857

3 unchanged sentences

Shareholders' Equity

We paid dividends totaling $ 5.6 million ($ 0.27 per share) in the first three months of fiscal 2027, compared to dividends paid of $ 5.5 million ($ 0.26 per share) in the comparable prior year period.

We paid dividends totaling $ 11.2 million ($ 0.54 per share) in the first six months of fiscal 2027, compared to dividends paid of $ 11.0 million ($ 0.52 per share) in the comparable prior year period.

During fiscal 2004, the Board of Directors authorized a share repurchase program allowing us to repurchase shares of our outstanding common stock, with subsequent increases in authorization.

During the three months ended May 30, 2026, we repurchased 269,500 shares under the program, for a total of $ 9.7 million.

No shares were repurchased during the three months ended May 31, 2025.

During the six months ended August 29, 2026, we repurchased 428,220 shares under the program, for a total of $ 16.1 million.

No shares were repurchased during the six months ended August 30, 2025.

We have repurchased a total of 12,880,009 shares, at a total cost of $ 469.3 million, since the inception of this program in fiscal 2004.

3 unchanged sentences

Additionally, shares withheld from the vesting of restricted awards, or the settlement of performance-based awards, are treated as purchases and retirements, and are included within Other, net in the financing activities section in the Consolidated Statement of Cash Flows.

The Company maintains a Junior Preferred Stock plan, under which 200,000 shares of $ 1.00 par value junior preferred stock are authorized, with zero shares issued and outstanding as of May 30, 2026.

The Company maintains a Junior Preferred Stock plan, under which 200,000 shares of $ 1.00 par value junior preferred stock are authorized, with zero shares issued and outstanding as of August 29, 2026.

Share-Based Compensation

1 unchanged sentence

We have a 2019 Stock Incentive Plan and a 2019 Non-Employee Director Stock Plan (the Plans) that provide for the issuance of 2,950,000 and 300,000 shares, respectively, for various forms of stock-based compensation to employees and non-employee directors.

Awards under these Plans may be in the form of incentive stock options (to employees only), non-statutory options, stock-settled stock appreciation rights (SARs), restricted stock awards, or

performance share unit awards, all of which are granted at a price or with an exercise price equal to the fair market value of the Company’s stock at the date of award.

The table below sets forth the number of stock-based compensation awards granted during the three months ended May 30, 2026, along with the weighted average grant date fair value:

Awards under these Plans may be in the form of incentive stock options (to employees only), non-statutory options, stock-settled stock appreciation rights (SARs), restricted stock awards, or performance share unit awards, all of which are granted at a price or with an exercise price equal to the fair market value of the Company’s stock at the date of award.

We recorded share-based compensation expense, in which we account for any forfeitures as they occur, as follows:

Three Months Ended Six Months Ended

(In thousands) August 29,

2026 August 30,

2025 August 29,

2026 August 30,

Restricted stock awards and restricted stock units $ 2,390 $ 1,598 $ 4,472 $ 3,186

Performance share units 227 ( 1,124 ) 455 ( 413 )

Share-based compensation expense

$ 2,617 $ 474 $ 4,927 $ 2,773

At August 29, 2026, there was $ 13.0 million of total unrecognized compensation cost related to nonvested share and nonvested share unit awards, which is expected to be recognized over a weighted average period of approximately 1.7 years.

The total fair value of shares vested during the six months ended August 29, 2026, was $ 3.3 million.

The table below sets forth the number of stock-based compensation awards granted during the six months ended August 29, 2026, along with the weighted average grant date fair value:

Awards Number of Awards Weighted Average Grant Date Fair Value

6 unchanged sentences

These grants allow for the right to receive a variable number of shares, between 0 % and 200 % of target, dependent on being employed at the end of the performance period and achieving defined performance goals for average adjusted return on invested capital and cumulative adjusted earnings per share.

We recorded share-based compensation expense, in which we account for any forfeitures as they occur, as follows:

(In thousands) May 30,

Restricted stock awards and restricted stock units $ 2,082 $ 1,588

Performance share units 227 712

Share-based compensation expense

$ 2,309 $ 2,300

At May 30, 2026, there was $ 14.9 million of total unrecognized compensation cost related to nonvested share and nonvested share unit awards, which is expected to be recognized over a weighted average period of approximately 2.1 years.

The total fair value of shares vested during the three months ended May 30, 2026, was $ 3.0 million.

The Company files income tax returns in the U.S.

2 unchanged sentences

federal examination for fiscal year 2023.

The effective tax rate for the three months ended May 30, 2026 was 27.6 %, compared to 211.9 % for the same period last year.

In the prior year-quarter, pretax income was low, resulting in a disproportionately high effective tax rate due to the impact of unfavorable discrete tax items.

For the three months ended August 29, 2026, income tax expense as a percentage of earnings before income taxes was 26.4 %, compared to 15.4 % for the same period last year.

The increase in the effective tax rate was primarily attributable to non-recurring favorable discrete tax items recognized in the prior year.

For the six months ended August 29, 2026, income tax expense as a percentage of earnings before income tax was 26.8 % compared to 30.9 % for the same period last year due to lower earnings before income tax in the prior year.

Earnings per Share

2 unchanged sentences

The following table presents a reconciliation of the share amounts used in the computation of basic and diluted earnings per share:

Three Months Ended

(In thousands) May 30, 2026 May 31, 2025

Basic earnings per share – weighted average common shares outstanding 21,045 21,338

Three Months Ended Six Months Ended

(In thousands) August 29, 2026 August 30, 2025 August 29, 2026 August 30, 2025

Basic earnings per share – weighted common shares outstanding 20,722 21,408 20,884 21,373

Weighted average effect of nonvested share grants and assumed exercise of stock options 179 182 130 189

Diluted earnings (loss) per share – weighted average common shares and potential common shares outstanding 21,312 21,338

Stock awards excluded from the calculation of earnings (loss) per share because the effect was anti-dilutive (award price greater than average market price of the shares) 343 224

Diluted earnings per share – weighted common shares and potential common shares outstanding 20,901 21,590 21,014 21,562

Stock awards excluded from the calculation of earnings per share because the exercise price was greater than the average market price of the common shares 79 230 118 215

Business Segment Data

7 unchanged sentences

The CODM utilizes segment net sales and adjusted EBITDA to assess segment performance and make decisions about the allocation of operating and capital resources by analyzing recent results, trends, and variances of each segment in relation to forecasts and historical performance.

Net sales, adjusted cost of sales, adjusted SG&A, adjusted other expense, net, adjusted depreciation and amortization and the resulting adjusted EBITDA for each of the Company’s four reportable segments are presented below.

Net sales, adjusted cost of sales, adjusted SG&A, adjusted other expense, net, depreciation and amortization and the resulting adjusted EBITDA for each of the Company’s four reportable segments are presented below.

Segment net sales is defined as net sales of the segment including sales related to intersegment transactions.

2 unchanged sentences

We report these unallocated corporate costs in Corporate and Other.

Three Months Ended May 30, 2026

(In thousands) Architectural Metals Architectural Services Architectural Glass Performance Surfaces Total

Three Months Ended August 29, 2026

(In thousands) Architectural Metals Architectural Services Architectural Glass Performance Surfaces

Net sales to external customers $ 143,520 $ 108,464 $ 83,894 $ 55,257

5 unchanged sentences

( 23,020 ) ( 11,060 ) ( 12,558 ) ( 9,355 )

Adjusted other expense, net — — ( 56 ) — ( 56 )

Adjusted depreciation and amortization 3,554 798 3,499 3,950 11,801

Depreciation and amortization 3,511 801 4,207 3,929

Adjusted EBITDA $ 22,116 $ 6,249 $ 12,992 $ 12,410

Three Months Ended May 31, 2025

(In thousands) Architectural Metals Architectural Services Architectural Glass Performance Surfaces Total

Three Months Ended August 30, 2025

(In thousands) Architectural Metals Architectural Services Architectural Glass Performance Surfaces

Net sales to external customers $ 140,922 $ 100,490 $ 68,392 $ 48,390

5 unchanged sentences

( 23,681 ) ( 10,417 ) ( 10,644 ) ( 9,017 )

Adjusted other expense, net — — ( 58 ) — ( 58 )

Adjusted depreciation and amortization 3,813 1,073 3,270 3,550 11,706

Depreciation and amortization 3,752 911 3,323 3,789

Adjusted EBITDA $ 20,828 $ 5,016 $ 11,647 $ 11,221

Adjusted cost of sales excludes $ 6.9 million related to acquisition and restructuring expense for the three months ended May 31, 2025.

(2) Adjusted SG&A expense excludes $ 5.8 million related to acquisition and restructuring expense for the three months ended May 31, 2025.

Six Months Ended August 29, 2026

(In thousands) Architectural Metals Architectural Services Architectural Glass Performance Surfaces

Net sales to external customers $ 265,954 $ 223,700 $ 144,585 $ 99,581

Intersegment net sales 9 — 10,552 —

Total segment net sales 265,963 223,700 155,137 99,581

Adjusted cost of sales (1)

( 191,948 ) ( 190,866 ) ( 120,959 ) ( 69,334 )

Adjusted SG&A (2)

( 45,264 ) ( 22,048 ) ( 22,998 ) ( 19,139 )

Depreciation and amortization 7,065 1,599 7,705 7,879

Adjusted EBITDA $ 35,816 $ 12,385 $ 18,885 $ 18,987

Six Months Ended August 30, 2025

(In thousands) Architectural Metals Architectural Services Architectural Glass Performance Surfaces

Net sales to external customers $ 269,519 $ 206,995 $ 137,662 $ 90,640

Intersegment net sales 40 — 7,792 —

Total segment net sales 269,559 206,995 145,454 90,640

Adjusted cost of sales (1)

( 197,782 ) ( 176,630 ) ( 104,973 ) ( 60,157 )

Adjusted SG&A (2)

( 49,148 ) ( 21,264 ) ( 22,010 ) ( 18,642 )

Depreciation and amortization 7,566 1,983 6,593 7,338

Adjusted EBITDA $ 30,195 $ 11,084 $ 25,064 $ 19,179

There were no adjustments to cost of sales related to acquisition expense for the three and six months ended August 29, 2026, and adjusted cost of sales excludes $ 3.3 million and $ 10.3 million related to acquisition and restructuring expense for the three and six months ended August 30, 2025.

(2) Adjusted SG&A expense excludes $ 1.0 million related to acquisition expense for the three and six months ended August 29, 2026, and excludes $ 1.0 million and $ 7.0 million related to acquisition and restructuring expense for the three and six months ended August 30, 2025.

Adjusted SG&A includes adjusted Other income and (expense).

The following table presents the reconciliation of adjusted EBITDA to net earnings, the nearest measurement under U.S.

Three Months Ended

(In thousands) May 30,

Three Months Ended Six Months Ended

(In thousands) August 29,

2026 August 30,

2025 August 29,

2026 August 30,

Segment adjusted EBITDA $ 53,767 $ 48,712 $ 86,073 $ 85,522

2 unchanged sentences

Segment acquisition-related costs (2)

( 1,038 ) ( 1,187 ) ( 1,038 ) ( 1,464 )

Segment restructuring costs (3)

— ( 3,113 ) — ( 15,832 )

Depreciation and amortization ( 13,191 ) ( 12,507 ) ( 25,769 ) ( 24,943 )

Other income (4)

— 4,597 — 4,597

Interest expense, net ( 3,554 ) ( 4,075 ) ( 6,388 ) ( 7,921 )

Income tax expense ( 8,037 ) ( 4,304 ) ( 12,433 ) ( 9,394 )

Net earnings (loss) $ 11,535 $ ( 2,688 )

Includes $ 0.8 million in acquisition related costs incurred at Corporate for the pending Keller Companies, Inc.

acquisition in the three months ended May 30, 2026.

Includes $ 2.6 million of restructuring costs in the three months ended May 31, 2025.

(2) Acquisition-related costs incurred to integrate the UW Solutions acquisition.

(3) Segment restructuring charges related to Project Fortify Phase 2.

Net earnings $ 22,380 $ 23,649 $ 33,917 $ 20,962

Includes $1.3 million and $2.1 million in acquisition related costs incurred at Corporate for the Keller Companies, Inc.

(Kalwall) in the three and six months ended August 29, 2026.

Includes $ 0.1 million and $ 0.2 million of acquisition related costs and $ 0.0 million and $ 2.6 million of restructuring costs in the three and six months ended August 30, 2025.

(2) Acquisition-related costs incurred to integrate Kalwall during the three and six months ended August 29, 2026, and UW Solutions during the three and six months ended August 30, 2025.

(3) Restructuring charges related to Project Fortify.

(4) New Markets Tax Credit (NMTC) gain recognized in the three and six months ended August 30, 2025.

On July 1, 2026, we completed the acquisition of Kalwall for $ 104.7 million in cash and an estimated $ 7.5 million of contingent consideration in the form of an earn-out.

Kalwall is a U.S.-based, vertically integrated manufacturer of high-performance translucent day lighting solutions.

The Kalwall business activity is included in our Glass Segment.

The total purchase consideration was $ 112.2 million of cash and contingent consideration, net of a preliminary net working capital adjustment of $ 0.8 million and cash acquired of $ 5.1 million.

The acquisition was funded with borrowings under our existing credit facility.

During the three-month and six-month period ended August 29, 2026, we incurred acquisition costs of $ 1.6 million and $ 2.4 million, respectively, which are included in selling, general and administrative expenses in our Consolidated Results of Operations.

The purchase of Kawall includes contingent consideration of up to $ 10 million, which may be earned this fiscal year upon achieving certain financial targets.

As of August 29, 2026, fair value of this contingent consideration is estimated to be $ 7.5 million, which is included in other current liabilities in our Consolidated Balance Sheet.

We accounted for the acquisition as a purchase of a business and recorded the excess of the purchase price over the estimated fair value of the assets acquired and liabilities assumed as goodwill of $ 18.9 million.

The goodwill recognized is attributable primarily to expected synergies and by providing a more comprehensive glass and substrate offering for the building envelope market by integrating Kalwall into our Glass Segment.

The transaction was structured as a stock acquisition;

therefore, the associated goodwill is not deductible for tax purposes.

We have provisionally determined the fair values of the acquired intangible assets and the economic lives of the assets acquired.

We assigned $ 34.3 million to customer relationships to be amortized over a 15-year expected life, based on Kalwall's historical customer attrition rates.

We assigned $ 13.1 million to trade names to be amortized over a 15-year expected life.

We assigned $ 2.4 million to contract backlog to be amortized over a 6-month expected life.

The following table presents the preliminary estimated fair values of assets acquired and liabilities assumed at the acquisition date:

(In thousands)

Cash and cash equivalents $ 5,105

Receivables, net 12,460

Inventories, net 8,735

Other current assets 2,042

Property, plant, and equipment 27,282

Intangible assets 49,800

Goodwill 18,936

Total Assets 124,360

Accounts payable 2,314

Accrued compensation and benefits 2,893

Other current liabilities 13,558

Other non-current liabilities 918

Total Liabilities 19,683

Net assets recorded $ 104,677

The impact of the acquisition of Kalwall on our consolidated results of operations for the three-month and six-month period ended on August 29, 2026 was $ 16.4 million of net sales and $ 0.9 million of net earnings.

The net sales and net earnings represent approximately eight weeks of operating results, and include transaction and integration-related costs, interest and the net tax effect.

Restructuring

Project Fortify, announced in the fourth quarter of fiscal 2024, was a restructuring program designed to streamline operations, improve cost efficiency, and enhance the Company’s operating model, primarily within the Architectural Metals Segment.

The program also included process and resource optimization within the Architectural Services Segment and Corporate and Other and was completed in the fourth quarter of fiscal 2025.

A second phase of Project Fortify (Phase 2) was announced on April 23, 2025, focused on driving additional cost efficiencies and further optimizing the Company’s operating footprint and resource alignment.

The actions associated with Phase 2 were substantially completed in the fourth quarter of fiscal 2026, and therefore no further activity occurred during the first quarter of fiscal 2027.

During the first quarter of fiscal 2026, we incurred $ 15.3 million of pre-tax costs associated with Phase 2, of which $ 6.9 million was included in cost of sales and $ 8.4 million was included within SG&A.

The SG&A charges include a $ 5.0 million non-cash intangible asset impairment charge in the Architectural Services Segment and $ 2.6 million of a non-cash asset write-off and other charges in Corporate and Other.

The table below reflects the pretax impact of Project Fortify for the quarter ended May 31, 2025.

The program was completed in the fourth quarter of fiscal 2025.

A second phase of Project Fortify (Phase 2) was announced during the first quarter of fiscal 2026, and focused on driving additional cost efficiencies and further optimizing the Company’s operating footprint and resource alignment.

During the second quarter of fiscal 2026, we incurred $ 3.1 million of pre-tax costs associated with Phase 2, of which $ 3.0 million was included in cost of sales and $ 0.1 million was included within SG&A.

During the first six months of fiscal 2026, we incurred $ 18.5 million of pre-tax costs associated with Phase 2, of which, $ 9.9 million was included in cost of sales and $ 8.6 million was included within SG&A.

During the first six months of fiscal 2026, SG&A charges include a $ 5.0 million non-cash intangible asset impairment charge in the Architectural Services Segment and a $ 2.6 million non-cash asset write-off and other charges in Corporate and Other.

The actions associated with Phase 2 were substantially completed in the fourth quarter of fiscal 2026, and therefore no further activity occurred during the first six months of fiscal 2027.

The table below reflects the pretax impact of Project Fortify Phase 2 for the quarter ended August 30, 2025.

(In thousands) Architectural Metals

Architectural Services Corporate and Other

August 30, 2025

Termination benefits $ — $ 476 $ — $ 476

Contract termination costs 201 1,659 — 1,860

Other restructuring charges 154 623 10 787

Total restructuring charges $ 355 $ 2,758 $ 10 $ 3,123

The table below reflects the pretax impact of Project Fortify Phase 2 for the six months ended August 30, 2025.

(In thousands) Architectural Metals

Architectural Services Corporate and Other

August 30, 2025

Termination benefits $ 805 $ 6,424 $ — $ 7,229

Contract termination costs 802 1,932 — 2,734

Other restructuring charges 218 5,650 2,641 8,509

Total restructuring charges $ 1,825 $ 14,006 $ 2,641 $ 18,472

The following table summarizes our restructuring related accrual balances included within accrued payroll and related benefits and other current liabilities in the Consolidated Balance Sheets.

4 unchanged sentences

Other adjustments ( 182 ) ( 67 ) — ( 249 )

Balance at May 30, 2026 $ 2,294 $ 2,199 $ 407 $ 4,900

Balance at August 29, 2026 $ 1,823 $ 1,947 $ 126 $ 3,896

Subsequent Events

On September 18, 2026, we completed the acquisition of SIA “Alzette”, the parent company of SIA “GroGlass” (“Groglass”), a Latvia-based provider of high-performance glass surface solutions specializing in anti-reflective and other advanced coating technologies, for up to € 62.5 million on a cash-free, debt-free basis, subject to certain customary purchase price adjustments.

The purchase price includes up to € 10 million in contingent consideration payable based on Groglass achieving specified financial performance targets during the three-year period following closing.

The acquisition was funded with borrowings under our existing credit facility.

Groglass will be integrated into our Performance Surfaces Segment, and its results will be included in our consolidated results of operations from the acquisition date.

Due to the proximity of the acquisition date to the filing date of this Form 10-Q, the Company has not yet completed the valuation analyses necessary to determine the fair value of assets acquired and liabilities assumed and as a result, the disclosures required by ASC 805 are not yet complete.

The Company expects to finalize purchase accounting during the measurement period and provide required disclosure information in future filings.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements