Revenue growth has decelerated to 2.2% in 2026Q2, while gross margins have contracted significantly from a 2025 peak of 29.0% to 20.1% as integration costs weigh on profitability.
| Metric | TTM | Oct'25 | Oct'24 | Oct'23 | Oct'22 | Oct'21 | Oct'20 | Oct'19 | Oct'18 | Oct'17 | Oct'16 | Oct'15 | Oct'14 | Oct'13 | Oct'12 | Oct'11 | Oct'10 | Oct'09 | Oct'08 | Oct'07 | Oct'06 | Oct'05 | Oct'04 | Oct'03 | Oct'02 | Oct'01 | Oct'00 | Oct'99 | Oct'98 | Oct'97 | Oct'96 |
|---|
| Sales/Revenue | 1.86B | 1.84B | 1.28B | 1.13B | 1.22B | 1.07B | 851.57M | 893.84M | 889.78M | 866.55M | 928.18M | 645.53M | 595.38M | 952.64M | 828.98M | 848.29M | 798.31M | 585.01M | 868.93M | 2.05B | 2.03B | 1.97B | 1.46B | 1.03B | 994.39M | 924.35M | 934.2M | 810.09M | 797.49M | 746.09M | 895.71M |
| Revenue Growth % | 14.25% | 43.81% | 13.03% | -7.44% | 13.93% | 25.9% | -4.73% | 0.46% | 2.68% | -6.64% | 43.79% | 8.42% | -37.5% | 14.92% | -2.28% | 6.26% | 36.46% | -32.67% | -57.59% | 0.81% | 3.23% | 34.84% | 41.61% | 3.7% | 7.58% | -1.05% | 15.32% | 1.58% | 6.89% | -16.7% | 0.51% |
| Cost of Goods Sold | 1.41B | 1.34B | 972.24M | 853.06M | 953M | 831.54M | 658.75M | 694.42M | 697.02M | 672.49M | 710.64M | 499.1M | 464.58M | 419.73M | 355.67M | 712.09M | 660.85M | 489.33M | 717.38M | 767.14M | 829.71M | 1.51B | 1.25B | 867.78M | 812.95M | 769.33M | 730.86M | 710.04M | 647.18M | 609.99M | 772.37M |
| COGS % of Revenue | - | 72.83% | 76.08% | 75.45% | 78.02% | 77.56% | 77.36% | 77.69% | 78.34% | 77.6% | 76.56% | 77.32% | 78.03% | 44.06% | 42.9% | 83.94% | 82.78% | 83.64% | 82.56% | 37.44% | 40.82% | 76.84% | 85.3% | 84.15% | 81.75% | 83.23% | 78.23% | 87.65% | 81.15% | 81.76% | 86.23% |
| Gross Profit | 442.95M | 499.23M | 305.62M | 277.52M | 268.5M | 240.61M | 192.82M | 199.42M | 192.76M | 194.07M | 217.54M | 146.43M | 130.8M | 135.13M | 122.91M | 136.2M | 137.47M | 95.68M | 151.56M | 196.84M | 214.06M | 456.03M | 214.63M | 163.43M | 181.44M | 155.03M | 75.47M | 124.86M | 150.31M | 136.1M | 123.34M |
| Gross Margin % | 23.86% | 27.17% | 23.92% | 24.55% | 21.98% | 22.44% | 22.64% | 22.31% | 21.66% | 22.4% | 23.44% | 22.68% | 21.97% | 14.19% | 14.83% | 16.06% | 17.22% | 16.36% | 17.44% | 9.61% | 10.53% | 23.16% | 14.7% | 15.85% | 18.25% | 16.77% | 8.08% | 15.41% | 18.85% | 18.24% | 13.77% |
| Gross Profit Growth % | - | 63.35% | 10.13% | 3.36% | 11.59% | 24.78% | -3.31% | 3.45% | -0.67% | -10.79% | 48.56% | 11.95% | -3.21% | 9.95% | -9.76% | -0.92% | 43.67% | -36.87% | -23% | -8.05% | -53.06% | 112.47% | 31.33% | -9.92% | 17.04% | 105.4% | -39.55% | -16.93% | 10.44% | 10.35% | 9.03% |
| Operating Expenses | 649.28M | 693.18M | 250.8M | 166.82M | 157.22M | 158.74M | 137.56M | 225.85M | 157.07M | 160.13M | 181.19M | 121.76M | 116.52M | 153.96M | 131.77M | 119.72M | 100.17M | 274.78M | 130.58M | 108.67M | 109.3M | 163.25M | -647.49M | -54.26M | -60.81M | -66.62M | 0 | 53.1M | 148.05M | 81.1M | 56.8M |
| OpEx % of Revenue | - | 37.72% | 19.63% | 14.76% | 12.87% | 14.81% | 16.15% | 25.27% | 17.65% | 18.48% | 19.52% | 18.86% | 19.57% | 16.16% | 15.9% | 14.11% | 12.55% | 46.97% | 15.03% | 5.3% | 5.38% | 8.29% | -44.34% | -5.26% | -6.12% | -7.21% | - | 6.56% | 18.56% | 10.87% | 6.34% |
| Selling, General & Admin | 286.14M | 277.26M | 190.47M | 123.96M | 117.11M | 115.97M | 89.71M | 101.29M | 103.53M | 97.98M | 114.91M | 86.54M | 82.15M | 109.33M | 111.58M | 83.99M | 71.95M | 60.47M | 95.5M | 97.99M | 92.7M | 97.85M | 65.62M | 53.57M | 54.41M | 54.2M | 53.55M | 53.1M | 47.71M | 43.8M | 56.8M |
| SG&A % of Revenue | - | 15.09% | 14.91% | 10.96% | 9.59% | 10.82% | 10.53% | 11.33% | 11.64% | 11.31% | 12.38% | 13.41% | 13.8% | 11.48% | 13.46% | 9.9% | 9.01% | 10.34% | 10.99% | 4.78% | 4.56% | 4.97% | 4.49% | 5.2% | 5.47% | 5.86% | 5.73% | 6.56% | 5.98% | 5.87% | 6.34% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 2M | 415.92M | 60.33M | 42.87M | 40.11M | 42.77M | 47.85M | 124.56M | 53.31M | 62.05M | 66.28M | 35.22M | 34.37M | 54.99M | 30.89M | 35.73M | 28.21M | 215.01M | 35.07M | 37.99M | 37M | 65.4M | -713.1M | -107.83M | -115.22M | -120.82M | -53.55M | 0 | 100.33M | 37.3M | 0 |
| Operating Income | -206.33M | -193.95M | 54.83M | 110.7M | 111.28M | 81.87M | 55.27M | 48.66M | 36.38M | 34.37M | 36.35M | 24.68M | 14.28M | -17.73M | -24.95M | 16.48M | 37.3M | -180.08M | 20.98M | 4.05M | 251.39M | 292.77M | 99.41M | 63.8M | 83.3M | 57.32M | -3.96M | 71.76M | 2.26M | 55.01M | 66.54M |
| Operating Margin % | -11.11% | -10.55% | 4.29% | 9.79% | 9.11% | 7.64% | 6.49% | 5.44% | 4.09% | 3.97% | 3.92% | 3.82% | 2.4% | -1.86% | -3.01% | 1.94% | 4.67% | -30.78% | 2.41% | 0.2% | 12.37% | 14.87% | 6.81% | 6.19% | 8.38% | 6.2% | -0.42% | 8.86% | 0.28% | 7.37% | 7.43% |
| Operating Income Growth % | - | -453.76% | -50.47% | -0.52% | 35.92% | 48.14% | 13.58% | 33.77% | 5.84% | -5.46% | 47.33% | 72.84% | 180.52% | 28.95% | -251.43% | -55.82% | 120.71% | -958.31% | 417.54% | -98.39% | -14.13% | 194.51% | 55.83% | -23.42% | 45.33% | 1546.64% | -105.52% | 3069.48% | -95.88% | -17.33% | 0.09% |
| EBITDA | -97.92M | -90.51M | 115.15M | 153.57M | 151.39M | 124.6M | 102.49M | 98.25M | 88.2M | 91.86M | 89.5M | 59.9M | 51.19M | 42.77M | 12.71M | 50.48M | 65.58M | 35.27M | 56.09M | 81.36M | 323.05M | 358.76M | 150.01M | 110.21M | 127.29M | 101.23M | 44.48M | 117.64M | 44.66M | 92.87M | 104.96M |
| EBITDA Margin % | -5.27% | -4.93% | 9.01% | 13.58% | 12.39% | 11.62% | 12.04% | 10.99% | 9.91% | 10.6% | 9.64% | 9.28% | 8.6% | 4.49% | 1.53% | 5.95% | 8.21% | 6.03% | 6.46% | 3.97% | 15.89% | 18.22% | 10.27% | 10.69% | 12.8% | 10.95% | 4.76% | 14.52% | 5.6% | 12.45% | 11.72% |
| EBITDA Growth % | -168.75% | -178.6% | -25.01% | 1.44% | 21.5% | 21.57% | 4.32% | 11.39% | -3.99% | 2.64% | 49.43% | 17.01% | 19.66% | 236.47% | -74.81% | -23.03% | 85.96% | -37.13% | -31.06% | -74.81% | -9.95% | 139.15% | 36.12% | -13.42% | 25.75% | 127.56% | -62.19% | 163.39% | -51.91% | -11.51% | 6.11% |
| D&A (Non-Cash Add-back) | 108.41M | 103.44M | 60.33M | 42.87M | 40.11M | 42.73M | 47.23M | 49.59M | 51.82M | 57.49M | 53.15M | 35.22M | 36.91M | 60.5M | 37.67M | 34M | 28.28M | 215.35M | 35.11M | 77.31M | 71.66M | 65.99M | 50.6M | 46.41M | 43.99M | 43.91M | 48.45M | 45.88M | 42.4M | 37.87M | 38.42M |
| EBIT | -194.17M | -186.78M | 62.67M | 105.18M | 112.32M | 82.62M | 55.55M | -26.31M | 36.85M | 35.1M | 30.87M | 24.14M | 14.37M | -18.65M | -8.64M | 15.96M | 39.94M | -178.69M | 20.98M | 88.17M | 255.63M | 292.77M | 624.06M | 878.41M | 831.57M | 51.27M | 75.47M | 71.76M | 60.76M | 55.01M | 66.54M |
| Net Interest Income | -51.09M | -53.72M | -18.9M | -7.89M | -2.54M | -2.52M | -5.22M | -9.58M | -11.03M | -9.51M | -36.39M | -927K | -443K | -558K | -225K | -138K | -440K | -452K | 0 | 0 | -1.02M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 1M | 2.09M | 1.69M | 248K | 19K | 5K | 28K | 63K | 69K | 86K | 106K | 64K | 119K | 63K | 206K | 311K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 52.09M | 55.81M | 20.59M | 8.14M | 2.56M | 2.53M | 5.25M | 9.64M | 11.1M | 9.6M | 36.5M | 991K | 562K | 621K | 431K | 449K | 440K | 453K | 0 | 0 | 708K | 31.22M | 8.9M | 0 | 0 | 7.61M | 7.28M | 8M | 105.51M | 0 | 10.26M |
| Other Income/Expense | -39.93M | -48.64M | -12.74M | -13.65M | -1.52M | -1.78M | -4.96M | -9.53M | -12.41M | -8.87M | -41.98M | -1.52M | -470K | -472K | -16.32M | -963K | 2.21M | -46K | 4.71M | -208K | -578K | -9.15M | 49.27M | 2.03M | -1.69M | -6.22M | -90.88M | -11.41M | -8.23M | -12.37M | -9.83M |
| Pretax Income | -246.26M | -242.59M | 42.08M | 97.05M | 109.76M | 80.09M | 50.3M | -35.95M | 25.45M | 25.5M | -5.62M | 23.15M | 13.81M | -18.2M | -25.18M | 15.52M | 39.5M | -180.13M | 25.69M | 207.06M | 250.82M | 283.63M | 93.64M | 65.82M | 81.61M | 45.05M | -15.41M | 60.35M | -5.96M | 42.64M | 56.71M |
| Pretax Margin % | -13.26% | -13.2% | 3.29% | 8.58% | 8.99% | 7.47% | 5.91% | -4.02% | 2.86% | 2.94% | -0.61% | 3.59% | 2.32% | -1.91% | -3.04% | 1.83% | 4.95% | -30.79% | 2.96% | 10.11% | 12.34% | 14.4% | 6.41% | 6.38% | 8.21% | 4.87% | -1.65% | 7.45% | -0.75% | 5.72% | 6.33% |
| Income Tax | 10.89M | 8.21M | 9.02M | 14.54M | 21.43M | 23.11M | 11.8M | 10.78M | -875K | 6.82M | -3.77M | 7.54M | 5.47M | -6.5M | -8.65M | 6.44M | 15.3M | -43.04M | 9.79M | 72.44M | 90.5M | 106.39M | 36.05M | 22.94M | 26.13M | 16.23M | -5.38M | 21.05M | -2.09M | 14.93M | 23.82M |
| Effective Tax Rate % | -4.42% | -3.39% | 21.44% | 14.99% | 19.52% | 28.86% | 23.47% | -29.97% | -3.44% | 26.74% | 66.95% | 32.56% | 39.61% | 35.7% | 34.35% | 41.49% | 38.73% | 23.89% | 38.09% | 34.99% | 36.08% | 37.51% | 38.49% | 34.84% | 32.02% | 36.02% | 34.94% | 34.88% | 34.99% | 35% | 42% |
| Net Income | -257.16M | -250.81M | 33.06M | 82.5M | 88.34M | 56.98M | 38.5M | -46.73M | 26.33M | 18.68M | -1.86M | 16.09M | 29.23M | -11.7M | -16.53M | 9.07M | 23.1M | -137.09M | 21.58M | 134.62M | 160.18M | 155.16M | 54.47M | 42.89M | 55.48M | 29.19M | -9.66M | 39.72M | 9.17M | 69.18M | 30.37M |
| Net Margin % | -13.85% | -13.65% | 2.59% | 7.3% | 7.23% | 5.31% | 4.52% | -5.23% | 2.96% | 2.16% | -0.2% | 2.49% | 4.91% | -1.23% | -1.99% | 1.07% | 2.89% | -23.43% | 2.48% | 6.57% | 7.88% | 7.88% | 3.73% | 4.16% | 5.58% | 3.16% | -1.03% | 4.9% | 1.15% | 9.27% | 3.39% |
| Net Income Growth % | -1607.1% | -858.66% | -59.93% | -6.61% | 55.03% | 48.02% | 182.38% | -277.49% | 40.92% | 1105% | -111.55% | -44.95% | 349.8% | 29.22% | -282.37% | -60.75% | 116.85% | -735.3% | -83.97% | -15.96% | 3.24% | 184.87% | 27% | -22.7% | 90.05% | 402.06% | -124.34% | 333.16% | -86.75% | 127.82% | -4.62% |
| Net Income (Continuing) | -257.16M | -250.81M | 33.06M | 82.5M | 88.34M | 56.98M | 38.5M | -46.73M | 26.55M | 18.68M | -1.86M | 15.61M | 8.34M | -11.7M | -16.53M | 9.08M | 24.2M | -137.09M | 15.9M | 134.62M | 160.31M | 177.23M | 57.43M | 43.65M | 53.28M | 25.57M | 39.02M | 39.3M | -3.88M | 27.72M | 32.89M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 479K | 0 | 0 | 0 | 0 | 0 | 0 | 5.67M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -5.63 | -5.43 | 0.90 | 2.50 | 2.66 | 1.70 | 1.17 | -1.42 | 0.75 | 0.54 | -0.05 | 0.47 | 0.78 | -0.32 | -0.45 | 0.24 | 0.61 | -3.67 | 0.56 | 3.41 | 4.08 | 3.95 | 0.64 | 0.51 | 0.66 | 0.35 | -0.31 | 1.15 | 0.29 | 1.95 | 0.91 |
| EPS Growth % | -1038.41% | -703.33% | -64% | -6.02% | 56.47% | 45.3% | 182.39% | -289.33% | 38.89% | 1083.61% | -111.68% | -39.74% | 343.75% | 28.89% | -287.5% | -60.66% | 116.62% | -755.36% | -83.58% | -16.42% | 3.29% | 517.19% | 25.49% | -22.73% | 88.57% | 212.9% | -126.96% | 296.55% | -85.13% | 114.29% | 0% |
| EPS (Basic) | - | -5.43 | 0.91 | 2.51 | 2.67 | 1.72 | 1.18 | -1.42 | 0.76 | 0.55 | -0.05 | 0.47 | 0.79 | -0.32 | -0.45 | 0.24 | 0.62 | -3.67 | 0.58 | 3.64 | 4.27 | 4.11 | 0.64 | 0.51 | 0.66 | 0.35 | -0.31 | 1.24 | 0.29 | 2.19 | 0.99 |
| Diluted Shares Outstanding | 45.66M | 46.17M | 36.65M | 33.03M | 33.2M | 33.49M | 32.82M | 32.96M | 35.02M | 34.84M | 33.88M | 34.5M | 37.68M | 36.86M | 36.62M | 37.54M | 37.67M | 37.34M | 38.53M | 39.51M | 39.71M | 39.81M | 37.5M | 36.9M | 36.21M | 34.7M | 31.44M | 32.03M | 31.84M | 37.63M | 37.32M |
| Basic Shares Outstanding | 45.48M | 46.17M | 36.42M | 32.82M | 33.05M | 33.19M | 32.69M | 32.96M | 34.7M | 34.23M | 33.88M | 33.99M | 37.13M | 36.42M | 36.45M | 37.01M | 37.22M | 37.34M | 37.27M | 36.98M | 37.48M | 37.77M | 36.9M | 36.4M | 32.18M | 30.14M | 31.11M | 32.03M | 31.84M | 31.57M | 30.73M |
| Dividend Payout Ratio | - | - | 36.21% | 12.9% | 12% | 18.92% | 27.36% | - | 26.66% | 29.52% | - | 34.27% | 20.5% | - | - | 65.95% | 22.84% | - | 10.46% | 15.43% | 11.46% | 9.21% | 21.17% | 25.33% | 17.37% | 29.53% | - | 22.97% | 98.8% | 12.17% | 26.72% |
Acquisition integration and leverage
As indicated by the quarterly income statement data, Quanex experienced a significant revenue jump in 2025, with growth rates peaking at 76.7% in 2025Q3, though recent figures suggest a deceleration to 2.2% in 2026Q2 as the company navigates the post-acquisition integration of Tyman plc.
The sharp revenue expansion observed in mid-2025 reflects the inorganic contribution of the Tyman acquisition rather than organic demand strength. Investors should monitor whether the company can sustain these higher revenue levels as the housing market faces headwinds from elevated interest rates and stagnant new construction starts.
Based on reported financial statements, gross margins have fluctuated significantly, dropping to 20.1% in 2026Q2 from a 2025 peak of 29.0%, suggesting that the company is struggling to maintain pricing power while absorbing the cost structures of its newly acquired international business units.
The compression in gross margins appears to be driven by a combination of raw material volatility and the integration of lower-margin product lines. This trend warrants further investigation into whether the current margin profile represents a structural decline or a temporary impact from purchase price accounting adjustments.
According to the provided income statement, operating income has been highly erratic, swinging from a massive loss of $270.8M in 2025Q3 to a modest profit of $18.7M in 2026Q2, which suggests that operating leverage is currently masked by significant non-recurring transaction and integration-related costs.
The inability to consistently scale operating income relative to gross profit indicates that the company's overhead remains bloated following its recent expansion. Until these integration expenses subside, it remains difficult to determine the true underlying efficiency of the combined entity's SG&A structure.
As reported in recent filings, net income has exhibited extreme volatility, including a $276.0M loss in 2025Q3, which highlights that reported EPS is currently an unreliable indicator of the company's core operational performance due to the heavy influence of non-operating acquisition-related charges.
The wide variance in quarterly net income suggests that investors should focus on adjusted metrics that strip out the noise of the Tyman integration. The persistent, albeit small, stock-based compensation expenses further complicate the assessment of true shareholder value creation during this transition period.
Based on the provided data, the persistent weakness in operating margins, which reached -10.55% in recent periods, suggests that the company may face long-term challenges in achieving the synergies promised by management, potentially leading to a prolonged period of earnings underperformance relative to historical benchmarks.
Short-sellers may focus on the company's inability to stabilize profitability despite the increased scale provided by the Tyman acquisition. If the company fails to demonstrate a clear path to margin expansion in the coming quarters, the market may continue to discount the stock as a value trap.
Quick answers to the most common questions about buying NX stock.
For fiscal year 2025, Quanex Building Products Corporation (NX) reported total revenue of $1.84B. This represents a 105.2% increase compared to $895.7M in 1996.
Quanex Building Products Corporation (NX) reported a net loss of $250.8M for the fiscal year ending 2025.
Quanex Building Products Corporation (NX) reported an operating income of $-194.0M, resulting in an operating profit margin of -10.6%. This margin reflects the operational efficiency of the business before interest and taxes.
Quanex Building Products Corporation (NX) generated $499.2M in gross profit for the year, representing a gross profit margin of 27.2%. This demonstrates the company's core pricing power and production efficiency.