Trex Q2 FY26 net income falls 18.5% to $62 million; net sales rise 8% to $418 million

Trex Q2 2026 net sales rose 8% to $418 million; net income fell to $62 million, or $0.60 a share.

Gross margin narrowed 2.9 percentage points to 37.9%; management cited higher railing mix, Arkansas depreciation, and temporary production inefficiencies.

Free cash flow totaled $182 million.

Trex repurchased $51 million of shares, repaid $130 million on its revolving credit facility, and authorized up to $150 million more buybacks in 2H.

Decking production ramp in Arkansas was pulled forward by more than six months to Q3 2026; CEO Adam Zambanini pointed to broad-based demand and strong entry-level Trex Enhance sales.

Full-year net sales guidance was reaffirmed at $1.215 billion-$1.25 billion; Q3 net sales seen at $305 million-$320 million.