Apogee Enterprises Reports Fiscal 2027 Second Quarter Results

Apogee Enterprises, Inc. (Nasdaq: APOG), a leading provider of architectural building products and services, as well as high-performance coated materials used in a variety of applications, today reported its results for the second quarter of fiscal 2027, ended August 29, 2026. The Company reported the following selected financial results:

	Three Months Ended
(Unaudited, $ in thousands, except per share amounts)	August 29, 2026			August 30, 2025			% Change
Net sales	$	391,135		$	358,194		9.2	%
Operating income	$	33,486		$	26,888		24.5	%
Operating margin		8.6	%		7.5	%
Net earnings	$	22,380		$	23,649		(5.4	)%
Diluted earnings per share	$	1.07		$	1.10		(2.7	)%
Non-GAAP Measures¹
Adjusted EBITDA	$	49,538		$	44,368		11.7	%
Adjusted EBITDA margin		12.7	%		12.4	%
Adjusted diluted earnings per share	$	1.17		$	0.98		19.4	%

(1)

Earnings before interest, taxes, depreciation and amortization (EBITDA), EBITDA margin, adjusted EBITDA, adjusted EBITDA margin, and adjusted diluted earnings per share (EPS) are non-GAAP financial measures. See Use of Non-GAAP Financial Measures and reconciliations to the most directly comparable GAAP measures later in this press release.

“We are pleased with the second-quarter results which exceeded our expectations, driven by strong execution across the business. The benefits of disciplined pricing, productivity initiatives, and ongoing operational improvements helped offset a mixed demand environment,” said Don Nolan, Executive Chair and Chief Executive Officer.

“The momentum we established in the first half of the year, combined with our confidence in the business, supports our decision to raise full-year guidance. We also advanced our strategic priorities through the acquisitions of Kalwall and Groglass. Early performance at Kalwall has been encouraging, and we believe the addition of Groglass will further strengthen our portfolio through differentiated capabilities and increased exposure to attractive end markets that support long-term value creation.”

Second Quarter Consolidated Results (Second Quarter Fiscal 2027 compared to Second Quarter Fiscal 2026)

Net sales increased 9.2% to $391.1 million, driven by a $16.4 million contribution from the Kalwall acquisition, price, and favorable mix, partially offset by lower volume.

Gross margin rose 150 basis points to 24.6%, primarily due to price, productivity improvements, including the net benefit from Project Fortify 2, and the accretive impact of the Kalwall acquisition, partially offset by higher material and manufacturing costs and impacts from lower volume.

Selling, general and administrative (SG&A) expenses as a percentage of net sales increased 40 basis points to 16.0%, primarily due to higher incentive compensation expense, partially offset by cost savings from Fortify Phase 2.

Operating income increased to $33.5 million from $26.9 million, and operating margin increased 110 basis points to 8.6%.

Adjusted EBITDA increased to $49.5 million, compared to $44.4 million, and adjusted EBITDA margin increased to 12.7%, compared to 12.4%.

Other income decreased to $0.5 million from $5.1 million, primarily due to a nonrecurring New Markets Tax Credit.

Interest expense decreased to $3.6 million, compared to $4.1 million, primarily due to lower average debt balance.

Diluted earnings per share (EPS) were $1.07, compared to $1.10, and adjusted diluted EPS increased to $1.17, compared to $0.98.

Second Quarter Segment Results (Second Quarter Fiscal 2027 Compared to Second Quarter Fiscal 2026)

Architectural Metals

Net sales increased 1.8% to $143.5 million, driven by favorable price, partially offset by lower volume. Adjusted EBITDA was $22.1 million, or 15.4% of net sales, compared to $20.8 million, or 14.8% of net sales. The higher adjusted EBITDA margin was primarily driven by price, improved productivity and cost savings from Fortify Phase 2, and favorable mix, partially offset by the net impact from higher aluminum costs and lower volume.

Architectural Services

Net sales increased 7.9% to $108.5 million, primarily due to increased volume. Adjusted EBITDA was $6.2 million, or 5.8% of net sales, compared to $5.0 million, or 5.0% of net sales. The increase in adjusted EBITDA margin was primarily driven by project mix and higher volume. Segment backlog¹ at the end of the quarter was $833.0 million compared to $792.3 million at the end of fiscal year 2026.

Architectural Glass

Net sales increased 21.1% to $87.4 million, driven by a $16.4 million contribution from the Kalwall acquisition and favorable mix, partially offset by lower volume and price. Adjusted EBITDA was $13.0 million, or 14.9% of net sales, compared to $11.6 million, or 16.1% of net sales. The decrease in adjusted EBITDA margin was primarily driven by price, higher manufacturing and freight costs, and lower volume, partially offset by the accretive contribution of the Kalwall acquisition and favorable mix.

Performance Surfaces

Net sales increased 14.2% to $55.3 million due to higher volume and price. Adjusted EBITDA was $12.4 million, or 22.5% of net sales compared to $11.2 million, or 23.2% of net sales. The decrease in adjusted EBITDA margin was primarily driven by the impact of higher material costs, partially offset by price and increased volume.

Corporate and Other

Corporate and other adjusted EBITDA was an expense of $4.2 million, compared to $4.3 million in the prior year. The improvement was primarily due to the benefits from cost savings related to Fortify Phase 2 and lower health insurance costs, partially offset by higher incentive compensation expense.

Financial Condition

Fiscal year-to-date, net cash provided by operating activities was $43.3 million, compared to $37.3 million in the prior year period.

Fiscal year-to-date, the Company returned $27.3 million of cash to shareholders, through $16.1 million of share repurchases and $11.2 million of dividends.

Quarter-end long-term debt increased to $335.5 million, bringing the Consolidated Leverage Ratio² (as defined in the Company’s credit agreement) to 1.7x at the end of the quarter.

________________________

¹ Backlog is a non-GAAP financial measure. See Use of Non-GAAP Financial Measures later in this press release for more information.

² Consolidated Leverage Ratio is a non-GAAP financial measure. See Use of Non-GAAP Financial Measures later in this press release for more information.

Fiscal 2027 Outlook

Reflecting stronger-than-expected first-half performance, the anticipated contributions from Kalwall and Groglass, and current macroeconomic conditions, the Company is raising its fiscal 2027 outlook. The Company now expects net sales in the range of $1.46 billion to $1.50 billion, compared with its previous range of $1.38 billion to $1.43 billion, and adjusted diluted EPS in the range of $3.00 to $3.40, compared with its previous range of $2.70 to $3.25. The Company’s outlook also assumes interest expense of approximately $15 million, an adjusted effective tax rate of approximately 26%, and capital expenditures between $35 million and $40 million.

Conference Call Information

The Company will host a conference call today at 8:00 a.m. Central Time to discuss this earnings release. This call will be webcast and is available in the Investor Relations section of the Company’s website, along with presentation slides, at https://www.apog.com/events-and-presentations. A replay and transcript of the webcast will be available on the Company’s website following the conference call.

About Apogee Enterprises

Apogee Enterprises, Inc. (Nasdaq: APOG) is a leading provider of architectural building products and services, as well as high-performance coated materials used in a variety of applications. Headquartered in Minneapolis, MN, our portfolio of industry-leading products and services includes architectural glass, windows, curtainwall, storefront and entrance systems, integrated project management and installation services, and high-performance coatings that provide protection, innovative design, and enhanced performance. For more information, visit www.apog.com.

Use of Non-GAAP Financial Measures

Management uses non-GAAP measures to evaluate the Company’s historical and prospective financial performance, measure operational profitability on a consistent basis, as a factor in determining executive compensation, and to provide enhanced transparency to the investment community. Non-GAAP measures should be viewed in addition to, and not as a substitute for, the reported financial results of the Company prepared in accordance with GAAP. Other companies may calculate these measures differently, limiting the usefulness of the measures for comparison with other companies. This release and other financial communications may contain the following non-GAAP measures:

Adjusted net earnings and adjusted diluted EPS are used by the Company to provide meaningful supplemental information about its operating performance by excluding amounts that the Company does not consider to be part of core operating results, to enhance comparability of results from period to period. The Company is unable to provide a quantitative reconciliation of its forward-looking adjusted diluted EPS guidance to the most directly comparable GAAP measure without unreasonable effort because it cannot reliably predict the timing and magnitude of certain items, including acquisition-related costs, integration costs, restructuring-related items, and other discrete items that could materially affect GAAP results.

Adjusted EBITDA represents adjusted net earnings before interest, taxes, depreciation, and amortization. The Company uses adjusted EBITDA and adjusted EBITDA margin to assess segment performance and make decisions about the allocation of operating and capital resources by analyzing recent results, trends, and variances of each segment in relation to forecasts and historical performance.

Consolidated Leverage Ratio is calculated as Consolidated Funded Indebtedness minus Unrestricted Cash at the end of the current period, divided by Consolidated EBITDA. All capitalized and undefined terms used in this bullet and not otherwise defined herein are defined in the Company’s credit agreement dated July 19, 2024, which is included as an exhibit to the Company’s most recent Annual Report on form 10-K. The Company is unable to present a quantitative reconciliation of forward-looking expected Consolidated Leverage Ratio to its most directly comparable forward-looking GAAP financial measure without unreasonable effort because management cannot reliably predict all the necessary components of that GAAP measure. In addition, the Company believes such reconciliation could imply a degree of precision that would be confusing or misleading to investors.

Backlog is defined as the dollar amount of signed contracts or firm orders, generally as a result of a competitive bidding process, which is expected to be recognized as revenue. Backlog is an operating measure used by management to assess future potential sales revenue. It is most meaningful for the Architectural Services segment, due to the longer-term nature of their projects. Backlog is not a term defined under U.S. GAAP and is not a measure of contract profitability. Backlog should not be used as the sole indicator of future revenue because the Company has a substantial number of projects with short lead times that book-and-bill within the same reporting period that are not included in backlog.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. The words “may,” “believe,” “expect,” “anticipate,” “intend,” “estimate,” “forecast,” “project,” “should,” “will,” “continue,” and similar expressions are intended to identify “forward-looking statements”. These statements reflect Apogee management’s expectations or beliefs as of the date of this release. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. All forward-looking statements are qualified by factors that may affect the results, performance, financial condition, prospects and opportunities of the Company, including the following: (A) North American and global economic conditions, including the cyclical nature of the North American and Latin American non-residential construction industries, which may adversely affect demand for the Company’s products and services; (B) U.S. and global instability and uncertainty arising from events outside of our control; (C) actions of new and existing competitors; (D) departure of key personnel and ability to source sufficient labor; (E) product performance, reliability and quality issues; (F) project management and installation issues that could affect the profitability of individual contracts; (G) financial and operating results that could differ from market expectations; (H) self-insurance risk related to a material product liability or other events for which the Company is liable; (I) maintaining our information technology systems and potential cybersecurity threats; (J) cost of regulatory compliance, including environmental regulations; (K) supply chain disruptions, including fluctuations in the availability and cost of materials used in our products and the impact of trade policies and regulations, including existing and potential future tariffs; (L) the ability to complete announced acquisitions on expected terms and timing; the successful integration and future operating performance of acquired businesses; and the ability to achieve anticipated benefits, including cost synergies, within expected timeframes; (M) our ability to successfully manage and implement our enterprise strategy; (N) our ability to maintain effective internal controls over financial reporting; (O) our judgments regarding accounting for tax positions and resolution of tax disputes; (P) the impacts of cost inflation and interest rates; and (Q) the impact of changes in capital and credit markets on our liquidity and cost of capital. These factors are not exhaustive. Additional factors that could cause actual results to differ materially from those described in the forward-looking statements may emerge from time to time, and it is not possible for the Company to predict all such factors or assess the impact of each factor, or any combination of factors, on the Company’s business. More information concerning these and other risks is included in the Company’s Annual Report on Form 10-K and in subsequent filings with the U.S. Securities and Exchange Commission.

Apogee Enterprises, Inc.
Consolidated Statements of Income
(Unaudited)

	Three Months Ended								Six Months Ended
(In thousands, except per share amounts)	August 29, 2026			August 30, 2025			% Change		August 29, 2026			August 30, 2025			% Change
Net sales	$	391,135		$	358,194		9.2	%	$	733,820		$	704,816		4.1	%
Cost of sales		294,970			275,587		7.0	%		562,624			547,084		2.8	%
Gross profit		96,165			82,607		16.4	%		171,196			157,732		8.5	%
Selling, general and administrative expenses		62,679			55,719		12.5	%		118,870			123,913		(4.1	)%
Operating income		33,486			26,888		24.5	%		52,326			33,819		54.7	%
Interest expense, net		3,554			4,075		(12.8	)%		6,388			7,921		(19.4	)%
Other income, net		485			5,140		(90.6	)%		412			4,458		(90.8	)%
Earnings before income taxes		30,417			27,953		8.8	%		46,350			30,356		52.7	%
Income tax expense		8,037			4,304		86.7	%		12,433			9,394		32.4	%
Net earnings	$	22,380		$	23,649		(5.4	)%	$	33,917		$	20,962		61.8	%

Basic earnings per share	$	1.08		$	1.10		(1.8	)%	$	1.62		$	0.98		65.3	%
Diluted earnings per share	$	1.07		$	1.10		(2.7	)%	$	1.61		$	0.97		66.0	%
Weighted average basic shares outstanding		20,722			21,408		(3.2	)%		20,884			21,373		(2.3	)%
Weighted average diluted shares outstanding		20,901			21,590		(3.2	)%		21,014			21,562		(2.5	)%
Cash dividends per common share	$	0.27		$	0.26		3.8	%	$	0.54		$	0.52		3.8	%

% of Sales
Gross margin		24.6	%		23.1	%				23.3	%		22.4	%
Selling, general and administrative expenses		16.0	%		15.6	%				16.2	%		17.6	%
Operating margin		8.6	%		7.5	%				7.1	%		4.8	%

Apogee Enterprises, Inc.
Consolidated Condensed Balance Sheets
(Unaudited)
(In thousands)	August 29, 2026		February 28, 2026
Assets
Current assets
Cash and cash equivalents	$	36,529	$	39,523
Receivables, net		206,327		198,516
Inventories, net		116,760		98,059
Contract assets		68,806		59,512
Other current assets		43,888		43,823
Total current assets		472,310		439,433
Property, plant and equipment, net		277,349		255,032
Operating lease right-of-use assets		42,534		48,736
Goodwill		255,499		236,744
Intangible assets, net		154,383		111,261
Other non-current assets		42,029		31,139
Total assets	$	1,244,104	$	1,122,345
Liabilities and shareholders’ equity
Current liabilities
Accounts payable	$	89,423	$	105,478
Accrued compensation and benefits		45,506		39,667
Contract liabilities		59,343		60,903
Operating lease liabilities		14,618		14,729
Other current liabilities		55,749		46,079
Total current liabilities		264,639		266,856
Long-term debt		335,545		232,279
Non-current operating lease liabilities		32,351		39,375
Non-current self-insurance reserves		26,866		24,914
Other non-current liabilities		61,369		47,127
Total shareholders’ equity		523,334		511,794
Total liabilities and shareholders’ equity	$	1,244,104	$	1,122,345

Apogee Enterprises, Inc.
Consolidated Statement of Cash Flows
(Unaudited)
	Six Months Ended
	August 29, 2026			August 30, 2025
(In thousands)	August 29, 2026			August 30, 2025
Operating Activities
Net earnings	$	33,917		$	20,962
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization		26,569			24,943
Share-based compensation		4,927			2,773
Deferred income taxes		3,494			17,214
Impairment of long-lived assets		—			7,418
Settlement of New Markets Tax Credit transaction		—			(4,597	)
Non-cash lease expense		6,064			5,474
Other, net		4,137			4,129
Changes in operating assets and liabilities:
Receivables		4,666			(9,204	)
Inventories		(9,931	)		(9,735	)
Contract assets		(9,379	)		10,518
Accounts payable		(15,576	)		(2,575	)
Accrued compensation and benefits		2,971			(9,681	)
Contract liabilities		(1,621	)		15,734
Operating lease liability		(6,952	)		(4,608	)
Accrued income taxes		2,426			(11,008	)
Other current assets and liabilities		(2,453	)		(20,477	)
Net cash provided by operating activities		43,259			37,280
Investing Activities
Capital expenditures		(17,796	)		(11,827	)
Purchases of marketable securities		(7,418	)		(200	)
Acquisition of business, net of cash acquired		(99,574	)
Other, net		2,957			1,144
Net cash used by investing activities		(121,831	)		(10,883	)
Financing Activities
Proceeds from revolving credit facilities		161,000			76,000
Repayment on revolving credit facilities		(54,867	)		(91,000	)
Repayment of term loans		(2,867	)		—
Repurchase of common stock		(16,099	)		—
Dividends paid		(11,175	)		(11,043	)
Other, net		(1,117	)		(3,087	)
Net cash (used by) provided by financing activities		74,875			(29,130	)
Effect of exchange rates on cash		702			811
Decrease in cash and cash equivalents		(2,994	)		(1,922	)
Cash and cash equivalents at beginning of period		39,523			41,448
Cash and cash equivalents at end of period	$	36,529		$	39,526
Non-cash Activity
Capital expenditures in accounts payable	$	1,348		$	2,202

Apogee Enterprises, Inc.
Components of Changes in Net Sales
(Unaudited)

Three Months Ended August 29, 2026
(In thousands, except percentages)	Architectural Metals			Architectural Services			Architectural Glass			Performance Surfaces			Intersegment eliminations			Consolidated
Fiscal 2026 net sales	$	140,935		$	100,490		$	72,181		$	48,390		$	(3,802	)	$	358,194
Organic business ⁽¹⁾		2,585			7,974			(1,120	)		6,867			273			16,579
Acquisition⁽²⁾		—			—			16,362			—			—			16,362
Fiscal 2027 net sales	$	143,520		$	108,464		$	87,423		$	55,257		$	(3,529	)	$	391,135

Total net sales growth (decline)		1.8	%		7.9	%		21.1	%		14.2	%		7.2	%		9.2	%
Organic business⁽¹⁾		1.8	%		7.9	%		(1.6	)%		14.2	%		7.2	%		4.6	%
Acquisition ⁽²⁾		—	%		—	%		22.7	%		—	%		—	%		4.6	%

Six Months Ended August 29, 2026
(In thousands, except percentages)	Architectural Metals			Architectural Services			Architectural Glass			Performance Surfaces			Intersegment eliminations			Consolidated
Fiscal 2026 net sales	$	269,559		$	206,995		$	145,454		$	90,640		$	(7,832	)	$	704,816
Organic business ⁽¹⁾		(3,596	)		16,705			(6,679	)		8,941			(2,729	)		12,642
Acquisition ⁽²⁾		—			—			16,362			—			—			16,362
Fiscal 2027 net sales	$	265,963		$	223,700		$	155,137		$	99,581		$	(10,561	)	$	733,820

Total net sales (decline) growth		(1.3	)%		8.1	%		6.7	%		9.9	%		(34.8	)%		4.1	%
Organic business ⁽¹⁾		(1.3	)%		8.1	%		(4.6	)%		9.9	%		(34.8	)%		1.8	%
Acquisition ⁽²⁾		—	%		—	%		11.2	%		—	%		—	%		2.3	%

(1)		Organic business is defined as (declines) growth in net sales from legacy businesses and from acquired businesses, twelve months after the acquisition date.
(2)		The acquisition of Kalwall, completed on July 1, 2026.

Apogee Enterprises, Inc.
Business Segment Information
(Unaudited)
	Three Months Ended								Six Months Ended
(In thousands)	August 29, 2026			August 30, 2025			% Change		August 29, 2026			August 30, 2025			% Change
Segment net sales
Architectural Metals	$	143,520		$	140,935		1.8	%	$	265,963		$	269,559		(1.3	)%
Architectural Services		108,464			100,490		7.9	%		223,700			206,995		8.1	%
Architectural Glass		87,423			72,181		21.1	%		155,137			145,454		6.7	%
Performance Surfaces		55,257			48,390		14.2	%		99,581			90,640		9.9	%
Intersegment eliminations		(3,529	)		(3,802	)	(7.2	)%		(10,561	)		(7,832	)	34.8	%
Net sales	$	391,135		$	358,194		9.2	%	$	733,820		$	704,816		4.1	%
Segment adjusted EBITDA
Architectural Metals	$	22,116		$	20,828		6.2	%	$	35,816		$	30,195		18.6	%
Architectural Services		6,249			5,016		24.6	%		12,385			11,084		11.7	%
Architectural Glass		12,992			11,647		11.5	%		18,885			25,064		(24.7	)%
Performance Surfaces		12,410			11,221		10.6	%		18,987			19,179		(1.0	)%
Corporate and other		(4,229	)		(4,344	)	(2.6	)%		(4,420	)		(6,770	)	(34.7	)%
Adjusted EBITDA	$	49,538		$	44,368		11.7	%	$	81,653		$	78,752		3.7	%
Segment adjusted EBITDA margins
Architectural Metals		15.4	%		14.8	%				13.5	%		11.2	%
Architectural Services		5.8	%		5.0	%				5.5	%		5.4	%
Architectural Glass		14.9	%		16.1	%				12.2	%		17.2	%
Performance Surfaces		22.5	%		23.2	%				19.1	%		21.2	%
Adjusted EBITDA margin		12.7	%		12.4	%				11.1	%		11.2	%

Segment net sales is defined as net sales of the segment including revenue related to intersegment transactions.

Intersegment net sales eliminations are presented separately to exclude these sales from our consolidated total.

Apogee Enterprises, Inc.
Reconciliation of Non-GAAP Financial Measures
Adjusted EBITDA and Adjusted EBITDA Margin
(Unaudited)
	Three Months Ended August 29, 2026
(In thousands)	Architectural Metals			Architectural Services			Architectural Glass			Performance Surfaces			Corporate and Other			Consolidated
Net earnings (loss)	$	18,221		$	5,488		$	7,804		$	8,349		$	(17,482	)	$	22,380
Interest expense (income), net		384			(40	)		(250	)		—			3,461			3,554
Income tax expense		—			—			325			—			7,711			8,037
Depreciation and amortization		3,511			801			4,207			3,929			743			13,191
EBITDA		22,116			6,249			12,086			12,278			(5,567	)		47,162
Acquisition-related costs ⁽¹⁾		—			—			906			132			1,338			2,376
Adjusted EBITDA	$	22,116		$	6,249		$	12,992		$	12,410		$	(4,229	)	$	49,538

EBITDA margin		15.4	%		5.8	%		14.4	%		22.2	%		N/M			12.1	%
Adjusted EBITDA margin		15.4	%		5.8	%		15.5	%		22.5	%		N/M			12.6	%

Apogee Enterprises, Inc.
Reconciliation of Non-GAAP Financial Measures
Adjusted EBITDA and Adjusted EBITDA Margin
(Unaudited)
	Three Months Ended August 30, 2025
(In thousands)	Architectural Metals			Architectural Services			Architectural Glass			Performance Surfaces			Corporate and Other			Consolidated
Net earnings (loss)	$	20,874		$	1,433		$	8,429		$	6,245		$	(13,332	)	$	23,649
Interest expense (income), net		444			(86	)		(131	)		—			3,848			4,075
Income tax expense		—			—			26			—			4,278			4,304
Depreciation and amortization		3,752			911			3,323			3,789			732			12,507
EBITDA		25,070			2,258			11,647			10,034			(4,474	)		44,535
Acquisition-related costs ⁽¹⁾		—			—			—			1,187			120			1,307
Restructuring costs ⁽²⁾		355			2,758			—			—			10			3,123
NMTC settlement gain ⁽³⁾		(4,597	)		—			—			—			—			(4,597	)
Adjusted EBITDA	$	20,828		$	5,016		$	11,647		$	11,221		$	(4,344	)	$	44,368

EBITDA margin		17.8	%		2.2	%		16.1	%		20.7	%		N/M			12.4	%
Adjusted EBITDA margin		14.8	%		5.0	%		16.1	%		23.2	%		N/M			12.4	%

(1)		Acquisition-related costs for the Kalwall acquisition and pending Groglass acquisition in fiscal 2027 and the UW Solutions acquisition in fiscal 2026, respectively, which management does not consider reflective of core operating performance for the periods presented.
(2)		Restructuring costs related to Project Fortify Phase 2.
(3)		Settlement of a New Market Tax Credit transaction.

Apogee Enterprises, Inc.
Reconciliation of Non-GAAP Financial Measures
Adjusted EBITDA and Adjusted EBITDA Margin
(Unaudited)
	Six Months Ended August 29, 2026
(In thousands)	Architectural Metals			Architectural Services			Architectural Glass			Performance Surfaces			Corporate and Other			Consolidated
Net earnings (loss)	$	27,981		$	10,860		$	10,300		$	10,976		$	(26,200	)	$	33,917
Interest expense (income), net		770			(74	)		(422	)		—			6,114			6,388
Income tax expense								396						12,037			12,433
Depreciation and amortization		7,065			1,599			7,705			7,879			1,521			25,769
EBITDA		35,816			12,385			17,979			18,855			(6,528	)		78,507
Acquisition-related costs ⁽¹⁾		—			—			906			132			2,108			3,146
Adjusted EBITDA	$	35,816		$	12,385		$	18,885		$	18,987		$	(4,420	)	$	81,653

EBITDA margin		13.5	%		5.5	%		12.4	%		18.9	%		N/M			10.7	%
Adjusted EBITDA margin		13.5	%		5.5	%		13.1	%		19.1	%		N/M			11.0	%

Apogee Enterprises, Inc.
Reconciliation of Non-GAAP Financial Measures
Adjusted EBITDA and Adjusted EBITDA Margin
(Unaudited)
	Six Months Ended August 30, 2025
(In thousands)	Architectural Metals			Architectural Services			Architectural Glass			Performance Surfaces			Corporate and Other			Consolidated
Net earnings (loss)	$	24,543		$	(4,759	)	$	18,631		$	10,377		$	(27,830	)	$	20,962
Interest expense (income), net		901			(138	)		(276	)		—			7,434			7,921
Income tax (benefit) expense		(43	)		(8	)		116			—			9,329			9,394
Depreciation and amortization		7,566			1,983			6,593			7,338			1,463			24,943
EBITDA		32,967			(2,922	)		25,064			17,715			(9,604	)		63,220
Acquisition-related costs ⁽¹⁾		—			—			—			1,464			193			1,657
Restructuring costs ⁽²⁾		1,825			14,006			—			—			2,641			18,472
NMTC settlement gain ⁽³⁾		(4,597	)		—			—			—			—			(4,597	)
Adjusted EBITDA	$	30,195		$	11,084		$	25,064		$	19,179		$	(6,770	)	$	78,752

EBITDA margin		12.2	%		(1.4	%)		17.2	%		19.5	%		N/M			9.0	%
Adjusted EBITDA margin		11.2	%		5.4	%		17.2	%		21.2	%		N/M			11.2	%

(1)		Acquisition-related costs for the Kalwall acquisition and pending Groglass acquisition in fiscal 2027 and the UW Solutions acquisition in fiscal 2026, respectively, which management does not consider reflective of core operating performance for the periods presented.
(2)		Restructuring costs related to Project Fortify Phase 2.
(3)		Settlement of a New Market Tax Credit transaction.

Apogee Enterprises, Inc.
Reconciliation of Non-GAAP Financial Measures
Adjusted net earnings and adjusted diluted earnings per share
(Unaudited)

	Three Months Ended						Six Months Ended
(In thousands)	August 29, 2026			August 30, 2025			August 29, 2026			August 30, 2025
Net earnings	$	22,380		$	23,649		$	33,917		$	20,962
Acquisition-related costs ⁽¹⁾		2,376			1,307			3,146			1,657
Restructuring costs ⁽²⁾		—			3,123			—			18,472
NMTC settlement gain ⁽³⁾		—			(4,597	)		—			(4,597	)
Income tax impact on above adjustments ⁽⁴⁾		(355	)		(2,384	)		(543	)		(3,546	)
Adjusted net earnings	$	24,401		$	21,098		$	36,520		$	32,948

	Three Months Ended						Six Months Ended
	August 29, 2026			August 30, 2025			August 29, 2026			August 30, 2025
Diluted earnings per share	$	1.07		$	1.10		$	1.61		$	0.97
Acquisition-related costs ⁽¹⁾		0.11			0.06			0.15			0.08
Restructuring costs ⁽²⁾		—			0.14			—			0.86
NMTC settlement gain ⁽³⁾		—			(0.21	)		—			(0.21	)
Income tax impact on above adjustments ⁽⁴⁾		(0.02	)		(0.11	)		(0.03	)		(0.16	)
Adjusted diluted earnings per share	$	1.17		$	0.98		$	1.74		$	1.53
Weighted average diluted shares outstanding		20,901			21,590			21,014			21,562

(1)		Acquisition-related costs for the Kalwall acquisition and pending Groglass acquisition in fiscal 2027 and the UW Solutions acquisition in fiscal 2026, respectively, which management does not consider reflective of core operating performance for the periods presented.
(2)		Restructuring costs related to Project Fortify Phase 2 in fiscal 2026.
(3)		Settlement of a New Market Tax Credit transaction.
(4)		Income tax impact reflects the estimated blended statutory tax rate for the jurisdictions in which the charge or income occurred.

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