Worthington Enterprises capped fiscal 2026 with its strongest year since becoming a standalone company, lifting revenue 20% to $1.4 billion and adjusted EBITDA 12% to $296 million.
The company said organic growth accounted for 9% of the revenue increase. Free cash flow reached $170 million, even after $25 million of capital spending on facility modernization, and cash flow conversion came in at 102%.
Margins also moved higher. EBITDA margins in wholly owned businesses expanded about 150 basis points in fiscal 2026, on top of a 500-basis-point increase over the prior two years since the separation from its steel business. SG&A fell to 190 basis points below the prior year as a percentage of sales.
The building products segment was the bigger growth engine. Management said it is the company’s largest business by revenue and has been growing the fastest. The segment benefited from both organic growth and acquisitions, including Logansport and Elgen. It also gained from emerging demand in data centers.
One of the clearest data points in that opportunity: Worthington generated $13 million of revenue in fiscal 2026 from liquid-cooling products for data centers and expects to do that much in just the first quarter of fiscal 2027.
Within the portfolio, the WAVE joint venture remained a major profit contributor. WAVE generated more than $500 million in revenue and about a 49% EBITDA margin. Worthington described it as a steady, consistent earnings driver.
ClarkDietrich was the weak spot. Worthington said ClarkDietrich produced $22 million in equity income in fiscal 2026, down $19 million from the prior year and down another $18 million from the year before that. Management said the business has been pressured by steel price volatility and softer new construction demand, though it believes results have troughed and could improve.
The consumer products segment generated about $500 million in revenue and continued to post high-teens to 20% EBITDA margins. Organic growth there was 4% last year. Key brands included Bernzomatic, Coleman camping gas cylinders, and Balloon Time, with newer growth coming from Level 5 and General Tools & Instruments.
Worthington also said it spent about $300 million on acquisitions during the year, adding to the company’s growth mix as it heads into fiscal 2027. The market has reacted to these announcements by moving the company's shares 0.86% to a price of $58.66. Check out the company's full 8-K submission here.
