$JHX · James Hardie Industries plc
James Hardie filed its Q2 FY2027 10-Q (quarter ended September 30, 2026). Net sales rose 23.7% YoY to $1.428B, gross margin was 39.4%, operating margin 18.4%, and net income was $151M versus a $55.8M loss in the prior-year quarter. GAAP diluted EPS was $0.26 (adjusted $0.42). The quarter reflects the July 1, 2025 AZEK acquisition and a planned divestiture of European operations.
- Net sales rose 23.7% YoY to $1.428B for Q2 FY2027.
- Net income was $151M versus a $55.8M loss in the prior-year quarter.
- GAAP diluted EPS was $0.26; adjusted EPS was $0.42.
- Gross margin was 39.4% and operating margin 18.4%.
- Six-month operating cash flow was $693.7M, up from $254.3M a year ago.
Extended-hours last trade of $27.28 is down 4.82% versus the $28.66 regular close, suggesting the market sold off despite the strong YoY growth.
Strong YoY growth and a swing to profit are offset by a post-earnings selloff and a major European restructuring.
The AZEK acquisition (closed July 1, 2025) expanded James Hardie into composite/PVC decking and railing, diversifying beyond fiber cement siding.
European divestiture and fiber cement closure carry execution and separation risk; asbestos liabilities remain substantial at $963.0M total.