Masterbrand | 8-K: FY2026 Q2 Revenue: USD 815.2 M

Revenue: As of FY2026 Q2, the actual value is USD 815.2 M.

EPS: As of FY2026 Q2, the actual value is USD -0.38.

EBIT: As of FY2026 Q2, the actual value is USD -27.7 M.

MasterBrand, Inc. reported its second quarter 2026 financial results, which included figures from American Woodmark following a merger on May 28, 2026, with prior year comparisons reflecting legacy MasterBrand, Inc. only .

Second Quarter 2026 Financial Performance

• Net Sales: Total net sales were $815.2 million, an increase of 11.5% from $730.9 million in the second quarter of 2025 . American Woodmark contributed $125.5 million to net sales . Legacy MasterBrand, Inc.’s net sales were $689.7 million, a decrease of 5.6% compared to the second quarter of 2025 .
• Gross Profit: Gross profit reached $205.5 million, including a $16.7 million contribution from American Woodmark . This represents a decrease of -14.3% from $239.7 million in the prior year . The gross profit margin was 25.2%, a decrease of -760 basis points from 32.8% . Legacy MasterBrand, Inc.’s gross profit was $188.8 million, and its gross profit margin decreased 540 basis points to 27.4% from 32.8% in the second quarter of 2025 .
• Net (Loss) Income: The company reported a net loss of - $57.6 million, with American Woodmark contributing - $28.9 million, resulting in a net loss margin of -7.1% . This was a decrease of -254.4% from a net income of $37.3 million in the prior year . Legacy MasterBrand, Inc. had a net loss of - $28.7 million, compared to a net income of $37.3 million in the second quarter of 2025, and its net loss margin was -4.2% compared to a net income margin of 5.1% in the prior year .
• Operating (Loss) Income: Operating loss for the quarter was - $27.8 million, a decrease from an operating income of $67.3 million in the prior year period .
• Adjusted EBITDA: Adjusted EBITDA was $62.5 million, including a $4.3 million contribution from American Woodmark . The adjusted EBITDA margin was 7.7%, a decrease of -680 basis points from 14.4% in the prior year . Legacy MasterBrand, Inc.’s adjusted EBITDA was $58.2 million, a decrease from $105.4 million in the prior year period, and its adjusted EBITDA margin was 8.4%, down 600 basis points .
• Operational Costs: SG&A was $216.7 million, an increase of 35.9% from $159.4 million in Q2 2025 . Interest expense was $20.8 million, up from $18.9 million in the prior year . Income tax expense was $9.1 million, compared to $11.7 million in the prior year . Depreciation and amortization expense was $34.4 million, compared to $24.2 million in the prior year . Restructuring charges were $9.2 million, up from $6.6 million in the prior year . Acquisition-related costs were $38.4 million, significantly higher than $1.9 million in the prior year, primarily due to the American Woodmark acquisition .

Twenty-Six Weeks Ended June 28, 2026 Financial Performance

• Net (Loss) Income: Net loss for the twenty-six weeks was - $73.0 million, compared to a net income of $50.6 million in the prior year period .
• Adjusted EBITDA: Adjusted EBITDA was $90.5 million, down from $172.5 million in the prior year period .
• Cash Flow from Operating Activities: Net cash provided by operating activities was $5.8 million, a decrease of -89.1% from $53.4 million for the twenty-six weeks ended June 29, 2025 .
• Free Cash Flow: Free cash flow was - $17.6 million, a decrease of -169.0% from $25.5 million in the prior-year period .
• Capital Expenditures: Capital expenditures were - $23.4 million, compared to - $27.9 million in the prior year period .
• Acquisition of Business, Net of Cash Acquired: This activity resulted in a cash outflow of - $330.3 million .

Balance Sheet Metrics (as of June 28, 2026)

• Cash and Cash Equivalents: The company held $241.6 million in cash and cash equivalents . Unrestricted cash was $241.6 million .
• Total Debt: Total debt was $1,390.3 million, compared to $998.7 million as of June 29, 2025 .
• Net Debt: Net debt was $1,148.7 million, compared to $878.6 million as of June 29, 2025 .
• Net Debt to Adjusted EBITDA Ratio: The ratio of net debt to adjusted EBITDA for the trailing twelve months was 3.9x, compared to 2.5x as of Q2 2025 . The company is on track towards a target of below 2.0x by the end of 2028 .
• Covenant Net Leverage: Covenant net leverage was 3.4x, compared to 2.4x as of Q2 2025 .
• Covenant Interest Coverage: Covenant interest coverage was 5.1x, compared to 5.0x as of Q2 2025 .
• Total Liquidity: Total liquidity was $635.5 million, including $393.9 million in revolver availability .

Combined Company Financial Profile (Q2 2026 Trailing Twelve Months)

• Net Revenue: $4.1 billion .
• Adjusted EBITDA: $294.5 million .
• Adjusted EBITDA Margin: 7.2% .

Operational Highlights and Synergies

MasterBrand, Inc. completed its merger with American Woodmark on May 28, 2026 . The company has completed approximately $30 million of annual synergy actions as of the end of July . MasterBrand, Inc. raised its combined-company annual run-rate cost synergy target to over $100 million, expected by the end of year three following the merger close . $15 million of savings from executed cost synergies are expected in the second half of 2026 .

Outlook and Guidance

MasterBrand, Inc. has introduced its financial outlook for the second half of 2026, reflecting the combined company including American Woodmark for the full period . The company expects net sales of $2.05 billion to $2.11 billion, and adjusted EBITDA between $129 million and $149 million, with an anticipated margin of 6.3% to 7.1% . Adjusted diluted earnings per share is forecasted to range from - $0.05 to $0.03, incorporating $15 million of synergy capture and approximately $11 million in IEEPA duty refunds . For the full year 2026, MasterBrand, Inc. reiterates its expectation for a mid-single-digit decline in its addressable market and anticipates free cash flow to exceed net income .