Revenue reached $457.5M in 2026Q3 with gross margin expanding to 50.8%, yet operating margin compressed to 8.3% from 10.8% a year earlier as SG&A rose to $157.9M, suggesting operating expenses are outpacing profit growth.
Hillman Solutions Corp. (HLMN) annual income statement — 8-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 |
|---|
| Sales/Revenue | 1.63B | 1.55B | 1.47B | 1.48B | 1.49B | 1.43B | 1.37B | 1.21B | 974.17M |
| Revenue Growth % | 6.4% | 5.41% | -0.26% | -0.66% | 4.23% | 4.21% | 12.68% | 24.66% | - |
| Cost of Goods Sold | 888.1M | 936.98M | 764.69M | 828.96M | 846.55M | 859.56M | 781.82M | 693.88M | 537.88M |
| COGS % of Revenue | - | 60.36% | 51.93% | 56.14% | 56.96% | 60.28% | 57.14% | 57.14% | 55.21% |
| Gross Profit | 746.85M | 615.25M | 707.9M | 647.52M | 639.78M | 566.41M | 586.48M | 520.48M | 436.29M |
| Gross Margin % | 45.68% | 39.64% | 48.07% | 43.86% | 43.04% | 39.72% | 42.86% | 42.86% | 44.79% |
| Gross Profit Growth % | - | -13.09% | 9.33% | 1.21% | 12.95% | -3.42% | 12.68% | 19.3% | - |
| Operating Expenses | 642.6M | 497.71M | 619.1M | 586.59M | 599.88M | 556.1M | 520.71M | 512.79M | 420.48M |
| OpEx % of Revenue | - | 32.06% | 42.04% | 39.73% | 40.36% | 39% | 38.06% | 42.23% | 43.16% |
| Selling, General & Admin | 537.35M | 502M | 488.7M | 452.11M | 480.99M | 437.88M | 399.05M | 382.69M | 317.52M |
| SG&A % of Revenue | - | 32.34% | 33.19% | 30.62% | 32.36% | 30.71% | 29.16% | 31.51% | 32.59% |
| Research & Development | 0 | 1.36M | 0 | 0 | 0 | 0 | 2.88M | 0 | 0 |
| R&D % of Revenue | - | 0.09% | - | - | - | - | 0.21% | - | - |
| Other Operating Expenses | 2M | -5.65M | 130.4M | 134.48M | 118.89M | 118.22M | 118.79M | 130.09M | 0 |
| Operating Income | 104.25M | 117.54M | 88.8M | 60.93M | 39.89M | 10.31M | 65.77M | 7.7M | 31.01M |
| Operating Margin % | 6.38% | 7.57% | 6.03% | 4.13% | 2.68% | 0.72% | 4.81% | 0.63% | 3.18% |
| Operating Income Growth % | - | 32.36% | 45.75% | 52.73% | 286.78% | -84.32% | 754.66% | -75.18% | - |
| EBITDA | 253.06M | 258.64M | 218.84M | 182.57M | 159.9M | 131.04M | 192.68M | 132.26M | 121.64M |
| EBITDA Margin % | 15.48% | 16.66% | 14.86% | 12.37% | 10.76% | 9.19% | 14.08% | 10.89% | 12.49% |
| EBITDA Growth % | 1.18% | 18.19% | 19.87% | 14.17% | 22.02% | -31.99% | 45.68% | 8.73% | - |
| D&A (Non-Cash Add-back) | 148.81M | 141.1M | 130.04M | 121.64M | 120.01M | 120.73M | 126.92M | 124.57M | 90.63M |
| EBIT | 89.26M | 113.06M | 85.79M | 60.93M | 39.89M | 18.9M | 71.65M | 5.46M | 31.01M |
| Net Interest Income | -53.81M | -56.47M | -59.24M | -68.31M | -54.56M | -69.01M | -99.48M | -114.22M | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 83.38M |
| Interest Expense | 53.81M | 56.47M | 59.24M | 68.31M | 54.56M | 69.01M | 99.48M | 114.22M | 0 |
| Other Income/Expense | -68.79M | -60.94M | -62.25M | -68.31M | -54.56M | -60.43M | -99.7M | -116.45M | -98.58M |
| Pretax Income | 35.46M | 56.6M | 26.55M | -7.38M | -14.67M | -50.12M | -33.94M | -108.76M | -67.57M |
| Pretax Margin % | 2.17% | 3.65% | 1.8% | -0.5% | -0.99% | -3.51% | -2.48% | -8.96% | -6.94% |
| Income Tax | 11.18M | 16.29M | 9.3M | 2.21M | 1.77M | -11.78M | -9.44M | -23.28M | -8.89M |
| Effective Tax Rate % | 31.53% | 28.78% | 35.01% | -29.9% | -12.06% | 23.51% | 27.81% | 21.4% | 13.16% |
| Net Income | 24.28M | 40.3M | 17.25M | -9.59M | -16.44M | -38.33M | -24.5M | -85.48M | -58.68M |
| Net Margin % | 1.48% | 2.6% | 1.17% | -0.65% | -1.11% | -2.69% | -1.79% | -7.04% | -6.02% |
| Net Income Growth % | -35.24% | 133.58% | 279.95% | 41.66% | 57.12% | -56.46% | 71.34% | -45.67% | - |
| Net Income (Continuing) | 24.28M | 40.3M | 17.25M | -9.59M | -16.44M | -38.33M | -24.5M | -85.48M | -58.68M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.12 | 0.20 | 0.09 | -0.05 | -0.08 | -0.28 | -0.27 | -0.46 | -107.67 |
| EPS Growth % | -31.91% | 122.22% | 280% | 37.5% | 71.43% | -3.7% | 41.3% | 99.57% | - |
| EPS (Basic) | - | 0.20 | 0.09 | -0.05 | -0.08 | -0.28 | -0.27 | -0.46 | -108.00 |
| Diluted Shares Outstanding | 196.06M | 199.48M | 198.91M | 194.72M | 189.82M | 134.7M | 89.89M | 187.57M | 545K |
| Basic Shares Outstanding | 194.83M | 197.45M | 196.11M | 194.72M | 187.96M | 134.7M | 89.89M | 187.57M | 543.34K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying HLMN stock.
For fiscal year 2025, Hillman Solutions Corp. (HLMN) reported total revenue of $1.55B. This represents a 59.3% increase compared to $974.2M in 2018.
Hillman Solutions Corp. (HLMN) is profitable, generating $40.3M in net income for the fiscal year ending 2025 with a net profit margin of 2.6%.
Hillman Solutions Corp. (HLMN) reported an operating income of $117.5M, resulting in an operating profit margin of 7.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Hillman Solutions Corp. (HLMN) generated $615.2M in gross profit for the year, representing a gross profit margin of 39.6%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Margin compression from EPS miss
Metrics are mathematically derived from official filings.
Top-Line Growth Holding Near Ten Percent
Based on reported quarterly figures, HLMN revenue reached $457.5M in 2026Q3, with trailing growth of 7.7% and 9.8% in 2026Q2 suggesting top-line momentum has moderated from its earlier pace while remaining positive.
The sequential swing from $370.1M in 2026Q1 to $442.3M and then $457.5M indicates strong seasonal recovery in the repair and remodel cycle. Growth decelerating from 9.8% in Q2 to 7.7% in Q3 may signal that pricing contributions are fading, which warrants investigation into whether volume growth is holding up. Investors should monitor whether organic volume can sustain high-single-digit expansion without leaning on price increases.
Gross Margin Rebound Masks Operating Pressure
As reported in financial statements, HLMN gross margin expanded to 50.8% in 2026Q3 from 45.6% a year earlier, yet operating margin of 8.3% sits below the 10.8% achieved in 2025Q3, indicating costs below gross profit are absorbing the gains.
The gross margin improvement appears driven by mix shift and favorable input timing, but SG&A rising to $157.9M from $138.3M suggests the field-service cost base is growing faster than gross profit. This pattern implies the DSD model carries a structural expense ceiling that limits operating leverage. Analysts should examine whether the reported gross margin gain is durable or reflects temporary cost timing.
Negative Operating Leverage in Recent Quarters
Based on reported figures, HLMN SG&A reached $157.9M in 2026Q3, growing roughly 14% year over year while operating income of $37.9M declined from $45.9M, suggesting operating expenses are scaling faster than profit.
Operating income falling despite higher gross profit indicates that incremental revenue is not converting efficiently into operating earnings. The SG&A intensity appears to be a persistent feature of the store-level service model rather than a one-time item. This may limit margin expansion unless the Robotics segment scales meaningfully.
Thin EPS Conversion Raises Questions
According to reported income figures, HLMN net income fell to $6.3M in 2026Q3 from $23.2M a year earlier, with diluted EPS of $0.03, suggesting a sharp gap between operating income and bottom-line earnings that warrants review.
Operating income of $37.9M converting to only $6.3M of net income implies substantial below-the-line charges, which may include interest expense, taxes, or non-operating items not fully detailed in the provided data. Stock-based compensation of $4.4M is modest and does not explain the gap alone. Investors should review the footnotes to determine the composition of this conversion shortfall.
Margin Gains May Not Survive Cost Inflation
Based on reported quarterly data, HLMN's 2026Q2 EPS of $0.11 against $0.08 a year earlier is offset by a 2026Q3 drop to $0.03, which may indicate that the bull case rests on a volatile and possibly transitory earnings base.
The bear case centers on whether the 50.8% gross margin in 2026Q3 reflects timing benefits from commodity and freight costs that could reverse, given the price-protection lag common with big-box retail partners. If SG&A continues growing near 14% year over year, operating margin could compress further even with stable revenue. Investors should treat the recent EPS swings as a reason for caution until the sustainability of gross margin gains is clearer.