← Back to Posts

May 26th, 2026

SAND SPRINGS, Oklahoma, May 26, 2026 – Webco Industries, Inc. (OTC: WEBC) today reported results for our third quarter of fiscal year 2026, which ended April 30, 2026.

Download PDF

For our third quarter of fiscal year 2026, we had net income of $8.0 million, or $11.61 per diluted share, while in our third quarter of fiscal year 2025, we had net income of $5.0 million, or $7.05 per diluted share. Net sales for the third quarter of fiscal 2026 were $179.6 million, a 15.6 percent increase from the $155.4 million in sales in the third quarter of fiscal year 2025.

For the first nine months of fiscal year 2026, we generated net income of $13.3 million, or $19.16 per diluted share, compared to a net income of $2.9 million, or $3.68 per diluted share, for the same period in fiscal year 2025. Net sales for the first nine months of the current year amounted to $481.2 million, a 12.8 percent increase from the $426.5 million in sales for the same nine-month period of last year.

In the third quarter of fiscal year 2026, we had income from operations of $10.8 million after depreciation of $5.1 million. The third fiscal quarter of the prior year generated income from operations of $8.3 million after depreciation of $4.9 million. Gross profit for the third quarter of fiscal 2026 was $29.0 million, or 16.1 percent of net sales, compared to $21.3 million, or 13.7 percent of net sales, for the third quarter of fiscal year 2025.

Our income from operations for the first nine months of fiscal year 2026 was $20.3 million, after depreciation expense of $15.0 million. Income from operations in the first nine-month period of fiscal year 2025 was $7.6 million, after depreciation expense of $14.2 million. Gross profit for the first nine months of fiscal 2026 was $66.3 million, or 13.8 percent of net sales, compared to $44.8 million, or 10.5 percent of net sales for the same period in fiscal year 2025.

Selling, general and administrative expenses were $18.2 million in the third quarter of fiscal 2026 and $13.0 million in the third quarter of fiscal 2025. SG&A expenses were $46.0 million in the first nine months of fiscal year 2026 and $37.3 million for the first nine-month period of fiscal year 2025. SG&A expenses reflect increases in costs related to higher profitability, such as company-wide incentive compensation and variable pay programs, plus inflation we have experienced in wages and other expenses.

Interest expense was $1.6 million in the third quarter of fiscal year 2026 and $1.5 million in the same quarter of fiscal year 2025. Interest expense was $4.4 million and $3.9 million in the first nine-month periods of the current and prior fiscal years, respectively. Interest expense increased due to higher average debt balances than in the prior fiscal periods.

Capital expenditures incurred amounted to $6.1 million in the third quarter of fiscal year 2026 and $13.6 million for the first nine months of fiscal year 2026. Capital spending thus far in fiscal year 2026 has been focused on plant equipment updates and improvements.

At April 30, 2026, we had $9.9 million in cash and short-term investments, in addition to $95.4 million of available borrowing under our $220 million senior revolving credit facility. Availability on the revolver, which had $97.3 million drawn at April 30, 2026, is subject to advance rates on eligible accounts receivable and inventories. In February 2026, we extended the maturity on our debt agreement to February 2031. Accounting rules require asset-based debt agreements like our revolver to be classified as a current liability, despite its fiscal year 2031 maturity.

Webco’s stock repurchase program authorizes the purchase of our outstanding common stock in private or open market transactions. In March 2026, the Company’s Board of Directors refreshed the repurchase program with a new limit of up to $6.0 million and extended the program’s expiration until July 31, 2029. We purchased 3,600 shares of our stock during the third quarter of fiscal year 2026 and 21,900 shares in the first nine months of fiscal year 2026. At April 30, 2026, there was approximately $5.3 million of purchase authority left in the current stock repurchase program. The repurchase plan may be extended, suspended or discontinued at any time, without notice, at the Board’s discretion.

Webco’s mission is to continuously build on our strengths as we create a vibrant company for the ages. We leverage our core values of trust and teamwork, continuously building strength, agility and innovation. We focus on practices that support our brand such that we are 100% engaged every day to build a forever kind of company for our Trusted Teammates, customers, business partners, investors and community. We provide high-quality carbon steel, stainless steel and other metal specialty tubing products designed to industry and customer specifications. We have five tube production facilities in Oklahoma and Pennsylvania and eight value-added facilities in Oklahoma, Illinois, Michigan, Pennsylvania and Texas, serving customers globally. Our F. William Weber Leadership Campus is in Sand Springs, Oklahoma and houses our corporate offices and our Webco TechCenter™, providing a state-of-the-art laboratory and R & D facility to lead and develop technical solutions for the metal tubing industry.

Download PDF