UFP Industries' fourth-quarter performance falls short of expectations, with weak demand dragging down results

LootboxPhobia · 2026-02-23T23:04:36+00:00

UFP Industries' Q4 earnings fell short of expectations, with adjusted earnings per share of $0.70 and revenue of $1.33 billion, both below analyst estimates. The company's overall business experienced a sales decline, and future demand is expected to remain flat or slightly decrease, facing market challenges.

LootboxPhobia

2026-02-23 23:04:36

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Grand Rapids, Michigan - UFP Industries, Inc. (NASDAQ: UFPI) reported fourth-quarter results that fell short of analyst expectations, with adjusted earnings per share of $0.70, compared to the consensus estimate of $1.05, a miss of $0.35. Revenue was $1.33 billion, also below the analyst forecast of $1.4 billion, representing a 9% decline from $1.46 billion in the same period last year.

Following the announcement, the stock price remained stable.

The company’s performance was impacted by higher estimated tax rates, year-end bonus adjustments, and certain non-cash transactions. Net sales declined due to a 2% decrease in prices and a 7% drop in organic volume. Adjusted EBITDA margin was 8.1% of net sales, down from 9.1% in the same period last year.

CEO and President Will Schwartz stated, “We continue to see stabilization in most of our business segments. Despite generally soft end-market demand, our sales and profits in the fourth quarter met internal expectations.”

Sales across all three business segments declined. UFP Retail sales fell 15.4% to $444 million, with ProWood organic volume down 13%, primarily due to a high base effect caused by increased storm-related demand in 2024. UFP Packaging sales decreased 1.4% to $370 million, while UFP Construction sales declined 9.7% to $440 million, with Site Built organic volume down 17%, driven by weakening single-family home construction activity in the core Western markets.

Looking ahead to 2026, the company expects overall demand across its segments to be flat or slightly declining, with markets related to new residential construction facing greater challenges. In 2025, UFP Industries returned $515 million to shareholders through share repurchases and dividends, ending the year with over $900 million in cash and a total liquidity of $2.2 billion.

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