Revenue has stabilized near $424M after a 10.5% year-over-year decline in 2026Q3, while gross margin of 46.9% and operating margin of 7.5% suggest pricing strength is being largely absorbed by overhead costs.
Compass Diversified (CODI) annual income statement — 21-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 |
|---|
| Sales/Revenue | 1.74B | 1.87B | 1.79B | 1.69B | 1.76B | 1.72B | 1.45B | 1.26B | 1.36B | 1B | 978.31M | 727.98M | 636.67M | 740.71M | 884.72M | 606.64M | 504.66M | 1.25B | 1.54B | 841.79M | 395.17M | 0 |
| Revenue Growth % | -10.82% | 4.79% | 5.8% | -3.81% | 1.93% | 19.06% | 14.59% | -6.93% | 35.36% | 2.5% | 34.39% | 14.34% | -14.05% | -16.28% | 45.84% | 20.21% | -59.59% | -18.83% | 82.76% | 113.02% | - | - |
| Cost of Goods Sold | 952.45M | 1.15B | 1.04B | 1.02B | 1.11B | 1.06B | 913.84M | 806.37M | 887.48M | 641.39M | 651.74M | 487.24M | 431.66M | 504.55M | 605.87M | 427.5M | 366.3M | 976.99M | 1.2B | 636.01M | 307.01M | 0 |
| COGS % of Revenue | - | 61.5% | 58.03% | 60.07% | 63.03% | 61.61% | 63.13% | 63.83% | 65.38% | 63.96% | 66.62% | 66.93% | 67.8% | 68.12% | 68.48% | 70.47% | 72.58% | 78.24% | 77.75% | 75.55% | 77.69% | - |
| Gross Profit | 789.93M | 721.24M | 750.42M | 674.72M | 649.43M | 661.58M | 533.8M | 456.93M | 469.84M | 361.39M | 326.57M | 240.74M | 205.02M | 236.16M | 278.85M | 179.14M | 138.36M | 271.75M | 342.27M | 205.78M | 88.16M | 0 |
| Gross Margin % | 45.34% | 38.5% | 41.97% | 39.93% | 36.97% | 38.39% | 36.87% | 36.17% | 34.62% | 36.04% | 33.38% | 33.07% | 32.2% | 31.88% | 31.52% | 29.53% | 27.42% | 21.76% | 22.25% | 24.45% | 22.31% | - |
| Gross Profit Growth % | - | -3.89% | 11.22% | 3.89% | -1.84% | 23.94% | 16.82% | -2.75% | 30.01% | 10.66% | 35.65% | 17.42% | -13.19% | -15.31% | 55.66% | 29.47% | -49.08% | -20.6% | 66.32% | 133.42% | - | - |
| Operating Expenses | 664.57M | 678.61M | 765.29M | 744.13M | 604.99M | 538.5M | 455.8M | 430.94M | 413.21M | 336.89M | 307.51M | 190.82M | 173.13M | 131.35M | 225.04M | 187.94M | 184.53M | 316.41M | 314.4M | 180.83M | 98.38M | 1K |
| OpEx % of Revenue | - | 36.22% | 42.8% | 44.03% | 34.44% | 31.24% | 31.49% | 34.11% | 30.44% | 33.6% | 31.43% | 26.21% | 27.19% | 17.73% | 25.44% | 30.98% | 36.57% | 25.34% | 20.44% | 21.48% | 24.89% | - |
| Selling, General & Admin | 565.58M | 660.67M | 587.52M | 502.01M | 441.63M | 418.38M | 359.61M | 308.4M | 320.08M | 261.52M | 217.83M | 136.4M | 128.19M | 125.69M | 161.14M | 110.03M | 81.58M | 232M | 289.79M | 168.15M | 92.56M | 1K |
| SG&A % of Revenue | - | 35.26% | 32.86% | 29.71% | 25.14% | 24.27% | 24.84% | 24.41% | 23.58% | 26.08% | 22.27% | 18.74% | 20.13% | 16.97% | 18.21% | 18.14% | 16.17% | 18.58% | 18.84% | 19.98% | 23.42% | - |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.46M | 1.81M | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 0.17% | 0.46% | - |
| Other Operating Expenses | 2M | 17.94M | 177.77M | 242.12M | 163.36M | 120.12M | 96.18M | 122.54M | 93.13M | 75.37M | 89.68M | 54.42M | 44.94M | 5.66M | 63.9M | 77.91M | 102.95M | 84.41M | 24.61M | 11.22M | 4.01M | 0 |
| Operating Income | 125.36M | 42.63M | -14.87M | -69.41M | 44.44M | 123.08M | 78.01M | 25.99M | 56.63M | 24.5M | 19.06M | 49.92M | 31.89M | 104.81M | 53.82M | -8.79M | -46.17M | -44.66M | 27.87M | 24.95M | -10.22M | -1K |
| Operating Margin % | 7.19% | 2.28% | -0.83% | -4.11% | 2.53% | 7.14% | 5.39% | 2.06% | 4.17% | 2.44% | 1.95% | 6.86% | 5.01% | 14.15% | 6.08% | -1.45% | -9.15% | -3.58% | 1.81% | 2.96% | -2.59% | - |
| Operating Income Growth % | - | 386.69% | 78.58% | -256.17% | -63.89% | 57.79% | 200.14% | -54.1% | 131.13% | 28.54% | -61.82% | 56.52% | -69.57% | 94.76% | 711.97% | 80.95% | -3.39% | -260.24% | 11.69% | 344.16% | - | - |
| EBITDA | 260.6M | 181.09M | 123.84M | 60.13M | 156.57M | 232.21M | 173.24M | 109.31M | 147.33M | 106.56M | 104.67M | 102.99M | 71.64M | 137.93M | 103.27M | 40.31M | -4.05M | -11.66M | 62.89M | 50.28M | 71K | 41.89M |
| EBITDA Margin % | 14.96% | 9.67% | 6.93% | 3.56% | 8.91% | 13.47% | 11.97% | 8.65% | 10.85% | 10.63% | 10.7% | 14.15% | 11.25% | 18.62% | 11.67% | 6.65% | -0.8% | -0.93% | 4.09% | 5.97% | 0.02% | - |
| EBITDA Growth % | -47.96% | 46.23% | 105.97% | -61.6% | -32.57% | 34.05% | 58.47% | -25.8% | 38.26% | 1.81% | 1.62% | 43.76% | -48.06% | 33.57% | 156.15% | 1094.7% | 65.25% | -118.54% | 25.07% | 70719.72% | -99.83% | - |
| D&A (Non-Cash Add-back) | 135.24M | 138.47M | 138.71M | 129.53M | 112.13M | 109.13M | 95.23M | 83.32M | 90.7M | 82.06M | 85.61M | 53.08M | 39.75M | 33.12M | 49.45M | 49.11M | 42.12M | 33M | 35.02M | 25.33M | 10.29M | 0 |
| EBIT | 112.32M | -122.31M | -186.2M | -156.61M | -30.54M | 84M | 72.03M | -5.33M | 47.52M | 15.35M | 83.88M | 49.92M | 302.18M | 100.78M | 51.82M | -13.3M | -48.11M | -49.19M | 28.17M | 24.95M | -10.22M | 31.45M |
| Net Interest Income | -112.77M | -174.12M | -126.82M | -113.93M | -87.13M | -61.82M | -48.22M | -58.04M | -61.4M | -32.27M | -25.88M | -22.47M | -21.59M | -21.37M | -24.47M | -12.48M | -13.31M | -12.33M | -18.42M | -5.77M | -5.32M | -8.13M |
| Interest Income | 380K | 832K | 2.04M | 1.95M | 49K | 13K | 253K | 1.89M | 75K | 0 | 0 | 0 | 0 | 39K | 54K | 33K | 20K | 1.18M | 1.38M | 2.54M | 807K | 233K |
| Interest Expense | 113.15M | 174.95M | 128.87M | 115.88M | 87.18M | 61.83M | 48.48M | 59.93M | 61.48M | 32.27M | 25.88M | 22.47M | 21.59M | 21.41M | 24.52M | 12.52M | 13.33M | 13.51M | 19.8M | 8.31M | 6.13M | 8.36M |
| Other Income/Expense | -124.81M | -340.2M | -294.34M | -197.04M | -158.38M | -96.42M | -50.84M | -86.09M | -65.04M | -34.13M | 44.16M | -25.93M | 243.23M | -23.41M | -27M | -17.15M | -11.63M | -16.27M | -17.53M | -5.73M | -13.82M | 23.09M |
| Pretax Income | 552K | -297.58M | -309.21M | -266.45M | -113.94M | 26.66M | 27.17M | -60.1M | -8.41M | -9.63M | 63.22M | 23.99M | 275.12M | 81.4M | 26.82M | -25.94M | -57.8M | -60.93M | 10.34M | 19.22M | -24.04M | 23.09M |
| Pretax Margin % | 0.03% | -15.88% | -17.29% | -15.77% | -6.49% | 1.55% | 1.88% | -4.76% | -0.62% | -0.96% | 6.46% | 3.3% | 43.21% | 10.99% | 3.03% | -4.28% | -11.45% | -4.88% | 0.67% | 2.28% | -6.08% | - |
| Income Tax | 5.7M | 945K | 18.61M | 8.2M | 29.49M | 15.27M | 13.61M | 9.91M | 10.47M | -23.74M | 9.47M | 15M | 5.05M | 18.52M | 21.07M | 6.86M | 8.52M | -21.28M | 6.53M | 9.17M | 3.94M | 1K |
| Effective Tax Rate % | 1032.43% | -0.32% | -6.02% | -3.08% | -25.89% | 57.26% | 50.07% | -16.5% | -124.43% | 246.51% | 14.98% | 62.53% | 1.83% | 22.75% | 78.55% | -26.44% | -14.74% | 34.93% | 63.1% | 47.7% | -16.37% | 0% |
| Net Income | -796K | -229.32M | -208.86M | 108.65M | -59.22M | 114.55M | 22.78M | 301.87M | -5.7M | 27.99M | 54.69M | 161.84M | 278.83M | 68.06M | -3.94M | 64.96M | -48.76M | -26.27M | 78.29M | 40.37M | -19.25M | -1K |
| Net Margin % | -0.05% | -12.24% | -11.68% | 6.43% | -3.37% | 6.65% | 1.57% | 23.89% | -0.42% | 2.79% | 5.59% | 22.23% | 43.8% | 9.19% | -0.45% | 10.71% | -9.66% | -2.1% | 5.09% | 4.8% | -4.87% | - |
| Net Income Growth % | 99.44% | -9.8% | -292.24% | 283.45% | -151.7% | 402.86% | -92.45% | 5394.02% | -120.37% | -48.81% | -66.21% | -41.96% | 309.67% | 1826.64% | -106.07% | 233.23% | -85.6% | -133.55% | 93.95% | 309.71% | - | - |
| Net Income (Continuing) | -5.15M | -298.52M | -327.82M | -274.65M | -143.43M | 11.4M | 13.57M | -70.01M | -18.88M | 14.11M | 53.75M | 8.99M | 270.08M | 62.88M | 5.75M | -32.8M | -66.32M | -39.65M | 3.82M | 10.05M | -27.97M | 12.04M |
| Discontinued Operations | 1.17M | 0 | 5.05M | 307.23M | 35.22M | 115.41M | 13.63M | 377.15M | 17.09M | 19.5M | 2.78M | 156.78M | 21.08M | 15.93M | -1.41M | 105.61M | 21.55M | 0 | 77.97M | 41.31M | 9.83M | 133K |
| Minority Interest | 142.07M | 131.64M | -148.05M | -73.23M | 51.36M | 172.71M | 120.12M | 50.55M | 59.97M | 52.79M | 38.14M | 47.13M | 40.9M | 95.55M | 41.58M | 98.97M | 87.84M | 70.91M | 79.43M | 21.87M | 27.13M | 100K |
| EPS (Diluted) | -0.01 | -3.05 | -3.94 | 2.46 | -0.19 | 0.74 | 0.36 | 3.74 | -0.10 | 0.47 | 0.51 | 2.61 | 5.38 | 1.05 | -0.08 | 1.37 | -1.19 | -0.76 | 2.48 | 1.46 | -1.52 | -1.00 |
| EPS Growth % | 66.1% | 22.59% | -260.16% | 1394.74% | -125.68% | 105.56% | -90.37% | 4028.57% | -120.26% | -7.84% | -80.46% | -51.49% | 412.38% | 1386.76% | -105.96% | 215.13% | -56.58% | -130.65% | 69.86% | 196.05% | -52% | - |
| EPS (Basic) | - | -3.05 | -3.94 | 2.46 | -0.19 | 0.74 | 0.36 | 3.74 | -0.10 | 0.47 | 0.51 | 2.61 | 5.38 | 1.05 | -0.08 | 1.37 | -1.19 | -0.76 | 2.48 | 1.46 | -1.52 | -1.00 |
| Diluted Shares Outstanding | 75.24M | 75.24M | 75.45M | 72.11M | 70.72M | 65.36M | 63.15M | 59.9M | 59.9M | 59.9M | 54.59M | 54.3M | 49.09M | 48.3M | 48.3M | 48.3M | 40.93M | 34.4M | 31.52M | 27.63M | 12.69M | 19.5M |
| Basic Shares Outstanding | 75.24M | 75.24M | 75.45M | 72.11M | 63.12M | 65.36M | 63.15M | 59.9M | 59.9M | 59.9M | 54.59M | 54.3M | 49.09M | 48.3M | 48.3M | 48.3M | 40.93M | 34.4M | 31.52M | 27.63M | 12.69M | 19.5M |
| Dividend Payout Ratio | - | - | - | 66.24% | - | 131.77% | 394.45% | 28.57% | - | 308.16% | 142.99% | 48.32% | 24.94% | 102.19% | - | 103.01% | - | - | 52.95% | 113.85% | - | - |
Quick answers to the most common questions about buying CODI stock.
For fiscal year 2025, Compass Diversified (CODI) reported total revenue of $1.87B.
Compass Diversified (CODI) reported a net loss of $229.3M for the fiscal year ending 2025.
Compass Diversified (CODI) reported an operating income of $42.6M, resulting in an operating profit margin of 2.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Compass Diversified (CODI) generated $721.2M in gross profit for the year, representing a gross profit margin of 38.5%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Leverage constraining net profitability
Metrics are mathematically derived from official filings.
Revenue Stabilizing After Prior Contraction
According to reported quarterly figures, CODI's revenue of $422.9M in 2026Q3 reflects a 10.5% year-over-year decline, though sequential revenue has been essentially flat near $424M to $427M over the last three quarters, suggesting the top line may be stabilizing.
The revenue series shows a contraction through 2025 followed by a plateau in 2026, which may indicate the portfolio has reached a floor after divestiture and demand pressures. Because the data does not isolate organic versus acquired growth or volume versus pricing, the durability of this stabilization cannot be confirmed. Investors should monitor whether sequential revenue begins to expand, as flat revenue alongside negative net margins would leave little room for earnings recovery.
Gross Margin Holding Above Peak-Cycle Levels
As reported in the quarterly income statements, CODI's gross margin of 46.9% in 2026Q3 sits near the upper end of its recent range, which may point to premium brand pricing supporting unit economics across the portfolio.
Gross margins have ranged from roughly 41% to 47% over the ten quarters, with the 2024 Q3 peak of 47.1% and recent readings near 47%, indicating resilience at the subsidiary level. However, the gap between gross margin and operating margin of 7.5% implies that SG&A absorbs most of the gross profit, leaving little operating cushion. Margin strength at the product level therefore does not appear to translate into corporate-level profitability.
Operating Leverage Largely Absorbed by Overhead
Based on CODI's reported figures, SG&A of $130.4M in 2026Q3 consumed roughly 66% of gross profit of $198.5M, leaving an operating margin of only 7.5% that may indicate limited operating leverage.
Operating income has moved from a loss in 2025Q3 to a modest profit in 2026Q3, but this improvement reflects a reduction in SG&A relative to gross profit rather than strong scaling of the operating base. The swing is volatile, with 2024Q4 operating income inflated by a single-period gain that is not representative of run-rate performance. Sustained operating leverage would require SG&A to grow more slowly than gross profit over multiple quarters, which the current data does not clearly demonstrate.
Net Income Diverging Sharply From Operations
Reported figures show CODI posting operating income of $31.8M in 2026Q3 yet net income of only $21.5M, while the 2026Q2 net income of $79.6M diverged far from its $29.0M operating income, suggesting material non-operating items.
The gap between operating and net income in several quarters, including a 2026Q2 net figure well above operating income, points to non-operating items such as gains, interest expense, or non-controlling interest allocations driving reported earnings. Such items may be non-recurring and could make headline EPS a poor guide to underlying earnings power. Investors should separate the operating and non-operating contributions before extrapolating recent EPS figures, particularly given the 0.86 EPS in 2026Q2 versus 0.06 in 2026Q3.
Leverage and Missed Estimates Challenge Recovery
The bearish case rests on CODI's 2026Q3 EPS of $0.06 missing the $0.08 estimate and a net margin that has remained negative in most recent quarters, which may indicate that debt costs continue to outpace portfolio earnings.
Negative net margins across much of the period, combined with reported leverage above 3x debt-to-equity, suggest that interest and financing costs may be absorbing subsidiary cash generation. The EPS miss following a prior-quarter beat raises the possibility that the 2026Q2 result was non-recurring rather than a turning point. Without segment-level disclosure, it remains difficult to verify whether the portfolio's core earnings are growing or whether the consolidated figures are being supported by one-time items.