Reported results
- Net sales increased 2.5% to $2,145 million (three months ended August 2, 2026 vs. August 3, 2025)
- Gross profit increased 2.3% to $573 million; gross profit margin of 26.7% (GAAP)
- Net income increased 6.4% to $150 million (GAAP)
- Adjusted EBITDA (Non-GAAP) increased 3.0% to $274 million; Adjusted EBITDA margin (Non-GAAP) of 12.8%
- Diluted earnings per share increased 10.0% to $0.77 (GAAP); Adjusted Diluted Earnings Per Share (Non-GAAP) increased 8.0% to $0.94
- Deployed $169 million to repurchase 3.7 million shares during the quarter; year-to-date open market share repurchases of nearly $270 million for 5.7 million shares
Guidance
- Full-year fiscal 2026 net sales of $7,800 to $7,900 million, reflecting net sales growth of 2% to 3%
- Full-year fiscal 2026 Adjusted EBITDA (Non-GAAP) of $950 to $980 million
- Full-year fiscal 2026 Adjusted EBITDA Margin (Non-GAAP) of 12.2% to 12.4%
- Full-year fiscal 2026 Operating Cash Flow of 60% to 70% of Adjusted EBITDA
Notes
Company reaffirmed full-year fiscal 2026 outlook originally issued in March 2026. Six-month results also provided: net sales of $4,055 million (up 1.3%), Adjusted EBITDA (Non-GAAP) of $500 million (up 2.0%), and diluted EPS of $1.34 (up 9.8%). Net cash provided by operating activities was $62 million for the quarter and $144 million for the six months ended August 2, 2026.
Price and volatility reaction
The stock moved -5.6% on the print. No front-expiry chain was on file, so there is no straddle expected move. 30-day ATM implied volatility moved -18.3 vol points across the event (constant-maturity series — not the front-week crush).
| Measure | Value | Basis |
|---|---|---|
| Close before release | 44.06 | 2026-09-08 |
| Close after release | 41.6 | 2026-09-09 |
| Realised move | -5.6% | close to close |
| 30d ATM IV change | -18.3 vol pts | constant-maturity series, not the front expiry |
Source
The figures above come from the earnings release the company filed with the SEC on 2026-09-09 (8-K, Item 2.02). Read the original filing on sec.gov.
