Griffon Corporation

What they do

Griffon conducts operations through one reportable segment following a 2026 restructuring, with Home and Building Products (Clopay) as the core. Clopay is described as the largest manufacturer and marketer of garage doors and rolling steel doors in North America, sold under Clopay, Ideal, Holmes, Cornell and Cookson brands. The company also sells residential, industrial and commercial ceiling fans under Hunter, Casablanca and Jan Fan. Prior AMES North America, Australasia and U.K. operations are now reported as discontinued operations.

Revenue drivers

• Home and Building Products (Clopay) — Residential and commercial sectional garage doors sold through professional dealers and home center retail chains, plus rolling steel doors and grilles for commercial and industrial use. HBP was 63% of consolidated revenue in fiscal 2025.
• Consumer and Professional Products (CPP) — Branded tools, fans under Hunter and Casablanca, and home storage under ClosetMaid, sold globally. CPP was 37% of fiscal 2025 revenue, but AMES North America, Australasia and U.K. were moved to discontinued operations in 2026.
• Price and mix — In the June 2026 quarter, revenue growth was driven by 6% favorable price and mix across residential and commercial, plus 1% higher volume primarily from residential.
• Ceiling fans (Hunter) — Hunter-branded residential, industrial and commercial fans, retained after the 2026 AMES transactions; the Hunter Fan reporting unit recorded impairment charges in fiscal 2025 due to weak demand and tariffs.

Recent performance

Third quarter fiscal 2026 revenue was $481.4 million, up 7% from $449.7 million a year earlier on favorable price and mix of 6% and volume of 1%. Income from continuing operations was $66.3 million, or $1.47 per share, versus a $108.7 million loss a year earlier; adjusted income from continuing operations was $68.0 million, or $1.51 per share, versus $64.5 million, or $1.39. Adjusted EBITDA from continuing operations was $124.8 million, up 2% from $122.3 million. Fiscal 2025 full-year revenue was $2,519.9 million, down 4% from $2,623.5 million, and net income fell to $51.1 million from $209.9 million, largely reflecting $136.6 million of Hunter Fan goodwill impairment and $107.0 million of trademark impairment.

Strategy

Griffon announced in February 2026 a series of actions to transition from a diversified industrial conglomerate into a pure-play residential and commercial building products company. On June 9, 2026 it completed a joint venture with ONCAP combining AMES North America with Venanpri assets, receiving $100 million cash, a $161.1 million second-lien PIK debt receivable and a 43% equity interest in Veritage Brands. On July 31, 2026 it completed the AMES Australasia joint venture, receiving $180.9 million cash, a $48.6 million PIK note and a 49% equity interest; AMES U.K. ceased operations as of March 31, 2026. Management says it returned $135 million to shareholders through dividends and repurchases in the first nine months of fiscal 2026 while reducing leverage. The prior CPP global sourcing initiative closed four manufacturing sites and four wood mills, cutting about 600 positions and 1.2 million square feet, with cumulative charges of $133.8 million.

Risks

• Housing and commercial construction cyclicality — HBP and the remaining business are tied to U.S. housing and commercial property markets and to discretionary consumer purchases, which can weaken in uncertain economic conditions.
• Tariffs and sourcing disruption — Fiscal 2025 impairment of the Hunter Fan unit was attributed to weak consumer demand and increased tariffs disrupting historical customer ordering patterns.
• High leverage relative to equity — At June 30, 2026, total debt was about $1.3 billion against $129.2 million of shareholder equity, with net debt to EBITDA leverage of 2.2x under the credit agreement.
• Goodwill and intangible impairment — Griffon recorded $136.6 million of goodwill impairment and $107.0 million of trademark impairment for the Hunter Fan reporting unit in fiscal 2025, showing carrying values remain sensitive to forecast changes.

Outlook

Management expects fiscal 2026 revenue from continuing operations of $1.8 billion, with adjusted EBIT guidance provided in the earnings release. The company said the February 2026 strategic actions are substantially complete, leaving Griffon a pure-play building products company. It intends to continue a balanced capital allocation strategy, maintaining the balance sheet while returning value to shareholders; $193.8 million remained under the board-authorized repurchase program at June 30, 2026.