Patrick Industries (NASDAQ:PATK) Announces Quarterly Earnings Results, Beats Expectations By $0.06 EPS

Key Points

• Patrick Industries beat quarterly expectations: Adjusted EPS came in at $1.03 versus the $0.97 consensus, while revenue reached $975.3 million, above estimates of $938.5 million. Adjusted EBITDA margin expanded to 11.9%.
• Results were mixed across end markets: RV revenue declined 15%, but Marine, Powersports and Housing grew 14%, 30% and 4%, respectively, keeping consolidated revenue essentially flat year over year.
• Management highlighted efficiency and financial flexibility: The Patrick 2.0 restructuring program is expected to deliver about $10 million in annual savings, while the company reported $716 million of available liquidity and continues to pursue its proposed merger with LCI Industries.

Patrick Industries (NASDAQ:PATK - Get Free Report) issued its quarterly earnings data on Thursday. The construction company reported $1.03 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.97 by $0.06, FiscalAI reports. The company had revenue of $975.28 million for the quarter, compared to analyst estimates of $938.49 million. Patrick Industries had a return on equity of 12.69% and a net margin of 3.74%. The business's quarterly revenue was up .0% compared to the same quarter last year. During the same quarter last year, the company posted $1.01 earnings per share.

Here are the key takeaways from Patrick Industries' conference call:

• Positive Sentiment: Consolidated revenue was essentially flat at $975 million despite a 13% decline in RV wholesale shipments. Adjusted EBITDA margin increased 40 basis points to 11.9%, while adjusted EPS rose to $1.03 from $1.01.
• Neutral Sentiment: Performance varied significantly by end market: RV revenue fell 15% to $362 million, offset by 14% growth in Marine, 30% growth in Powersports, and 4% growth in Housing. Management cited stronger utility-vehicle demand and premium marine activity as key drivers.
• Positive Sentiment: Management expects 2027 adjusted operating margin to expand 30–50 basis points, despite forecasting flat RV and Marine shipments and only modest Housing growth. Powersports is expected to deliver high-single-digit revenue growth, supported by utility vehicles, cab enclosures, and audio systems.
• Positive Sentiment: The Patrick 2.0 restructuring initiative is expected to generate approximately $10 million in annualized savings through footprint optimization, procurement, automation, and other efficiency measures. The company expects related non-recurring restructuring charges in the fourth quarter.
• Positive Sentiment: Patrick ended the quarter with approximately $716 million of available liquidity, no significant debt maturities until 2028, and a 2.9x net leverage ratio. The company also reported $203 million of trailing-12-month free cash flow and continues to evaluate organic and acquisition opportunities, while its proposed merger with LCI remains subject to shareholder votes scheduled for November 18.

Patrick Industries Stock Up 8.2%

PATK stock traded up $5.71 during trading on Thursday, reaching $75.64. The stock had a trading volume of 688,260 shares, compared to its average volume of 534,976. The company has a current ratio of 2.67, a quick ratio of 0.96 and a debt-to-equity ratio of 1.25. Patrick Industries has a 1-year low of $63.00 and a 1-year high of $148.50. The firm has a fifty day moving average price of $72.75 and a 200 day moving average price of $96.35. The company has a market capitalization of $2.43 billion, a P/E ratio of 17.92 and a beta of 1.16.

Patrick Industries Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, September 8th. Investors of record on Monday, August 24th were paid a dividend of $0.47 per share. The ex-dividend date of this dividend was Monday, August 24th. This represents a $1.88 annualized dividend and a yield of 2.5%. Patrick Industries's payout ratio is 44.55%.

Patrick Industries News Roundup

Here are the key news stories impacting Patrick Industries this week:

• Positive Sentiment: Adjusted earnings and revenue topped estimates. Patrick reported third-quarter adjusted EPS of $1.03, above the $0.97 consensus estimate, while revenue of approximately $975.3 million exceeded the $938.5 million forecast. Adjusted EPS also rose from $1.01 in the year-ago quarter. Patrick Industries Shares Rise After Fiscal Q3 Beat
• Positive Sentiment: Marine, powersports and housing provided meaningful growth. Marine revenue increased 14% to $171 million, powersports revenue surged 30% to $128 million, and housing revenue grew 4% to $314 million. The powersports performance was a key driver of the quarterly beat. Patrick Industries Q3 2026: Powersports surge carries results past estimates
• Positive Sentiment: The balance sheet and shareholder returns remain supportive. Patrick reported approximately $716 million in available liquidity, a 2.9x total net leverage ratio, and returned $15 million through regular quarterly dividends. The company also disclosed that its shareholder meeting on the proposed LCI Industries merger is scheduled for November 18. Patrick Industries, Inc. Reports Third Quarter 2026 Financial Results
• Neutral Sentiment: Patrick reaffirmed its all-stock merger agreement with LCI Industries NYSE: LCII. The transaction could create a larger component supplier, but LCI’s reported unsolicited $101-per-share cash approach from Monomoy Capital introduces deal uncertainty and could affect the merger timeline or terms. Patrick Industries, Inc. Reaffirms Merger Agreement with LCI Industries
• Negative Sentiment: RV weakness and lower GAAP results remain risks. RV revenue declined 15% to $362 million. Total revenue was essentially flat year over year, while GAAP net income fell to $21.1 million, or $0.64 per diluted share, from $35.3 million, or $1.01, in the prior-year quarter; GAAP operating income also declined. Patrick Industries Reports Solid Q3 2026 Financial Results

Wall Street Analyst Weigh In

Several brokerages have issued reports on PATK. Benchmark reissued a "buy" rating and set a $115.00 price objective (down from $135.00) on shares of Patrick Industries in a research report on Tuesday, August 11th. Northcoast Research set a $121.00 price objective on shares of Patrick Industries and gave the company a "buy" rating in a research note on Tuesday, September 1st. KeyCorp dropped their price target on Patrick Industries from $115.00 to $100.00 and set an "overweight" rating for the company in a research report on Thursday, October 8th. BMO Capital Markets reduced their target price on Patrick Industries from $120.00 to $100.00 and set an "outperform" rating on the stock in a research note on Tuesday, October 13th. Finally, Weiss Ratings lowered shares of Patrick Industries from a "hold (c+)" rating to a "hold (c)" rating in a research report on Tuesday, September 29th. Seven investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $102.56.

About Patrick Industries

Patrick Industries, Inc is a manufacturer and distributor of component products and building materials serving the recreational vehicle, marine, manufactured housing, and industrial markets. The company supplies products used in the construction, furnishing, and finishing of recreational and residential vehicles, boats, homes, and other manufactured structures.

Its product offerings include cabinetry, furniture, countertops, flooring, interior and exterior components, electronics, audio systems, lighting, plumbing products, hardware, adhesives, and related materials.

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