Commercial Metals Company (NYSE: CMC) reported fiscal second-quarter 2026 results that missed earnings expectations, despite exceeding revenue forecasts. Shares declined more than 2% intra-day Thursday following the release.
The company reported adjusted earnings of $1.16 per diluted share for the quarter ended February 28, below the consensus estimate of $1.30. Revenue reached $2.13 billion, surpassing the $2.09 billion estimate and increasing 21.5% year over year from $1.75 billion.
The company credited its performance to strong execution, progress in its Transform, Advance, Grow (TAG) strategy, favorable market conditions, and contributions from its recently acquired precast business.
Core EBITDA increased approximately 114% year over year to $297.5 million, with margin expanding 610 basis points to 14.0%. The precast segment contributed $33.6 million in adjusted EBITDA, or $40.3 million excluding a $6.7 million purchase accounting adjustment.
For the third quarter of fiscal 2026, Commercial Metals expects consolidated core EBITDA to rise meaningfully compared to the second quarter, driven by seasonal factors and continued margin strength.
The Construction Solutions Group is projected to nearly double its results compared to the prior quarter.
The company reaffirmed its full-year outlook for the precast business, expecting EBITDA in the range of $165 million to $175 million, with a midpoint of $170 million. No direct comparison to analyst estimates was provided.
