Ferguson Q1 Sales Rise 3.6% to $7.5B, EPS Up 9.1% Despite Housing Slump
FERG•Ferguson Enterprises posted Q1 FY26 sales of $7.50B, up 3.6% year-on-year, and adjusted EPS of $2.28, a 9.1% increase, beating estimates. Residential sales slipped 1% on weak new-construction and remodel demand, while non-residential revenue grew 8% and management reaffirmed its low-to-mid single-digit sales growth and 9.4-9.8% operating margin outlook.
1. Q1 FY26 Financial Results
Ferguson posted revenue of $7.50 billion in Q1 FY26, up 3.6% year-on-year, and adjusted EPS of $2.28, a 9.1% increase, both exceeding internal forecasts.
2. Segment Performance Trends
Residential sales declined 1% due to softness in new construction and repair/remodel markets, while non-residential revenue expanded 8%, driven by commercial and institutional project demand.
3. Fiscal 2026 Outlook
Management reaffirmed its guidance for low-to-mid single-digit sales growth for FY26 and projected an adjusted operating margin between 9.4% and 9.8%, unchanged from prior estimates.
4. Strategic Initiatives
Ferguson formed a strategic alliance with Contractor Commerce to enable AI-driven e-commerce solutions for contractors, and appointed Doug Reichert as Chief Commercial Officer to lead national accounts and private-label operations.
