CSW Industrials Q4 Revenue Climbs 34% to $309M, EBITDA Up 39%
CSW•CSW Industrials posted record Q4 revenue of $309 million, up 34%, and adjusted EBITDA of $83 million, up 39%, driving adjusted EPS to $3.14. Net debt-to-EBITDA ratio improved to 2.55x while the company returned $146 million to shareholders and invested $1 billion in acquisitions.
1. Record Q4 Financial Performance
CSW Industrials delivered Q4 revenue of $309 million, a 34% year-over-year increase, while adjusted EBITDA rose 39% to $83 million. Adjusted EPS reached $3.14, marking a 21% gain and pushing annual revenue over $1 billion with a 15% CAGR over the past decade.
2. Segment Revenue Breakdown
Contractor Solutions led growth with $237 million in revenue, up 43% year-over-year, and Specialized Reliability Solutions contributed $46 million, up 22.4%. Engineered Building Solutions saw a 4% decline to $27.6 million as market headwinds weighed on that segment.
3. Balance Sheet and Cash Flow
The net debt-to-EBITDA ratio stood at 2.55x following acquisition spending, with free cash flow showing an outflow of $6.8 million and interest expense of $11.8 million in the quarter. Rising input costs and tariffs increased COGS, prompting targeted price hikes to protect margins.
4. Capital Deployment and Acquisitions
The company returned $146 million to shareholders through buybacks and dividends and invested $1 billion in strategic acquisitions, including MARS Parts for $650 million and Aspen Manufacturing for $313 million. Amortization of intangible assets is expected to total about $61 million in fiscal 2027.
