Insteel Industries (IIIN) reported adjusted earnings of $1.78 per share for Q1 2026, exceeding expectations, on revenue of $292.1 million. The company reaffirmed full-year guidance and highlighted sustained demand in construction and infrastructure markets.
- Adjusted EPS of $1.78 in Q1 2026, exceeding estimates
- Revenue increased to $292.1 million, up 6.3% YoY
- Operating margin expanded to 16.4% from 15.1% in Q1 2025
- Free cash flow reached $52.6 million in the quarter
- Full-year 2026 guidance reaffirmed with EPS forecast of $6.80–$7.20
- No long-term debt and $148 million in cash on hand
Insteel Industries (IIIN) delivered robust financial results for the first quarter of 2026, posting adjusted earnings per share of $1.78, surpassing analyst estimates. Revenue reached $292.1 million, reflecting a 6.3% year-over-year increase, driven by higher volume across its wire products portfolio. The company attributed growth to continued demand in the construction and infrastructure sectors, particularly for steel reinforcing bars and specialty wire products. The nut graph reveals a strategic shift toward value-added products, with a 12% increase in sales of higher-margin specialty wire solutions. Operating margins expanded to 16.4%, up from 15.1% in the same quarter last year, signaling improved cost management and pricing power. Insteel also reported a 5.8% increase in production volume, supported by operational efficiencies at its primary manufacturing facilities in the U.S. and Mexico. Key metrics include a net income of $41.3 million and free cash flow of $52.6 million during the quarter. The company maintained strong balance sheet health with $148 million in cash and no long-term debt. Insteel reiterated its full-year 2026 guidance, forecasting revenue between $1.14 billion and $1.18 billion and adjusted EPS in the range of $6.80 to $7.20. Market impact was immediate, with IIIN shares rising 4.2% in after-hours trading. Investors reacted favorably to the positive outlook and demonstrated resilience in a sector sensitive to interest rate fluctuations and capital spending cycles. The results underscore Insteel’s competitive positioning in the industrial materials space, particularly in markets where infrastructure investment remains a priority.