Atkore Inc. SEC 10-K Report

Atkore Inc., a leading provider of electrical and safety infrastructure solutions, has released its annual Form 10-K report, detailing the company's financial performance, business operations, strategic initiatives, and the challenges it faces. The report provides a comprehensive overview of Atkore's activities and future outlook, reflecting its position in the highly competitive market of non-residential construction and renovation.

Financial Highlights

• Net sales: $2,850.4 million, decreased by 11.0% from the previous year primarily due to decreased average selling prices and divestitures.
• Gross profit: $676.1 million, a decrease of 37.3% from the previous year, impacted by lower average selling prices and increased freight costs.
• Operating income: $23.2 million, a significant decrease of 96.3% from the previous year, primarily due to asset impairment charges and lower gross profit.
• Net income: $(15.2) million, a decrease from $472.9 million in the previous year, driven by asset impairment charges and lower operating income.
• Net (loss) income per share - Basic: $(0.45), compared to $12.83 in the previous year, reflecting the overall decrease in net income.
• Net (loss) income per share - Diluted: $(0.45), compared to $12.69 in the previous year, consistent with the basic earnings per share.

Business Highlights

• Revenue Segments: Atkore operates through two main segments: Electrical and Safety & Infrastructure. The Electrical segment focuses on products used in electrical power systems, while the Safety & Infrastructure segment provides solutions for critical infrastructure protection.
• Geographical Performance: In fiscal 2025, approximately 88% of Atkore's net sales were from the United States, with the remaining 12% from international markets, including significant contributions from Canada, Australia, and the United Kingdom.
• Sales Units: The Electrical segment experienced a decrease in net sales by 15.1% in fiscal 2025, primarily due to lower average selling prices, while the Safety & Infrastructure segment saw a slight increase in net sales by 0.5%, driven by higher sales volumes.
• New Product Launches: Atkore introduced innovations such as the expansion of the patented MC Glide Tuff armored cable and the 20’ Kwik-Fit Steel Conduit, which enhance installation efficiency.
• New Production Launches: Atkore announced the closure of three facilities in fiscal 2026 as part of a strategic restructuring to optimize production capabilities.
• Future Outlook: Atkore anticipates continued demand for its products driven by trends in renewable energy, digital infrastructure, and electrification of buildings and transportation, despite economic uncertainties and geopolitical tensions.

Strategic Initiatives

• Restructuring Plan: Atkore Inc. announced a restructuring plan on September 29, 2025, aimed at reducing costs through headcount reductions, site closures, and strategic divestitures. The company recognized a $66.7 million impairment charge related to the potential sale of the HDPE business.
• Capital Management: Atkore's capital management activities included a share repurchase program, with $328.1 million remaining available under the plan as of September 30, 2025. The company also announced a quarterly dividend program, with the intention to pay quarterly cash dividends on its common stock. As of September 30, 2025, Atkore had $506.7 million in cash and cash equivalents, with $106.6 million held at non-U.S. subsidiaries. The company has access to a $325.0 million ABL Credit Facility, with no outstanding borrowings as of September 30, 2025.
• Future Outlook: Atkore plans to continue its focus on strategic divestitures and cost reduction initiatives in fiscal 2026. The company expects to incur additional restructuring costs and may face further losses related to divestiture activities. Atkore aims to leverage its competitive advantages in the renewable energy sector and digital infrastructure to drive future growth. The company believes it has sufficient liquidity to support ongoing operations, invest in future growth, and create value for stockholders.

Challenges and Risks

• Economic Conditions: The company’s performance is sensitive to general business and economic conditions, including economic recessions, fluctuations in interest and currency exchange rates, supply chain disruptions, and inflation. A downturn in the non-residential construction industry, which is a significant portion of its business, could adversely affect its financial position.
• Raw Material Price Fluctuations: The company is exposed to changes in commodity prices, primarily steel, copper, and resin. Price increases may not be fully passed on to customers, while price decreases could lead to pricing pressure.
• Competition: Atkore operates in a competitive landscape with both national and regional manufacturers. Increased competition could lead to reduced market share and profitability.
• Cybersecurity Threats: The company’s operations rely heavily on IT systems, making it vulnerable to cyberattacks that could disrupt operations and lead to financial losses.
• Regulatory Changes: Changes in regulations, such as those related to environmental laws and trade policies, could increase operational costs and affect demand for products.
• Climate Change: Physical impacts of climate change, such as extreme weather events, could disrupt operations and supply chains.
• Labor Risks: The company faces risks related to labor disputes, increased labor costs, and the ability to attract and retain skilled employees.
• Indebtedness: Atkore’s significant level of indebtedness could limit its financial flexibility and ability to respond to market changes.

SEC Filing: Atkore Inc. [ ATKR ] - 10-K - Nov. 25, 2025