$CSL · CARLISLE COMPANIES INC
Carlisle Companies reported Q3 2026 results: revenue of $1.463B (+9% YoY), record adjusted EPS of $5.92 (+6% YoY), and GAAP diluted EPS of $5.22 (+5% YoY). Operating margin contracted 180 bps to 20.0% and adjusted EBITDA margin fell 210 bps to 23.8% as petroleum-derived input and freight cost inflation outpaced price realization. The company repurchased $350M in shares during the quarter and raised its dividend 14%, marking its 50th consecutive annual increase.
- Revenue of $1.463B, up 9% YoY, driven by CCM (+8%) and CWT (+9%) volume and pricing gains.
- Record Q3 adjusted EPS of $5.92, up 6% YoY; GAAP diluted EPS of $5.22, up 5% YoY.
- Operating margin contracted 180 bps to 20.0%; adjusted EBITDA margin fell 210 bps to 23.8% as raw-material and freight costs outpaced pricing.
- $350M in share repurchases during Q3; on track for $1.2B full-year 2026 buyback target.
- Dividend raised 14% — 50th consecutive annual increase, earning 'Dividend King' status.
Extended-hours trading shows CSL at $345.21, down just 0.10% from the regular close of $345.55 — a muted reaction suggesting the margin compression was largely anticipated or offset by the record EPS and aggressive buyback signal.
Carlisle's margin squeeze from input-cost inflation tests whether its pricing power can restore profitability in coming quarters, even as record EPS and a $1.2B buyback signal management confidence.
Carlisle's building-envelope peers face similar raw-material inflation headwinds, but CSL's re-roofing demand remains resilient and its data-center traction provides a differentiated growth vector. The 50-year dividend streak and $1.2B buyback underscore strong cash generation relative to the sector.
Raw-material and freight cost inflation from Middle East conflict escalation outpaced pricing realization, compressing margins. The company warns pricing lags cost in inflationary cycles and Q4 guidance assumes flat adjusted EBITDA margins YoY — no near-term recovery in new construction markets is embedded.