The Q2 guidance implies a modest recovery but still reflects a deeply challenged operating environment. Watch for execution on NobelClad's record petrochemical backlog and any easing of aluminum cost pressures. The stock may remain under pressure until a clear inflection in revenue and margins materializes.
Price Chart
Executive Summary
DMC Global reported Q1 2026 GAAP EPS of -$0.34 (vs consensus -$0.33, a miss) and revenue of $135.6M (vs consensus $134.1M, a slight beat). Revenue fell 15% YoY, adjusted EBITDA dropped 73% to $3.9M, and all three segments saw declines. Guidance for Q2 2026 revenue of $148M-$158M and adjusted EBITDA of $6M-$8M implies sequential improvement but remains well below prior-year levels.
Key Financial Metrics
Key Facts
- Q1 2026 GAAP diluted EPS: -$0.34 vs consensus -$0.33 (miss)
- Q1 2026 revenue: $135.6M, down 15% YoY from $159.3M
- Adjusted EBITDA attributable to DMC: $3.9M, down 73% from $14.4M YoY
- All three segments reported YoY revenue declines: Arcadia -14%, DynaEnergetics -9%, NobelClad -31%
- Gross margin compressed to 18.8% from 25.9% YoY, driven by 64% higher aluminum costs
- Q2 2026 guidance: revenue $148M-$158M, adjusted EBITDA $6M-$8M (sequential improvement but still weak)
- NobelClad backlog at $70.3M, highest in 15+ years, up 12% sequentially
- Operating cash flow negative $2.4M in Q1 vs positive $4.5M in Q1 2025
Financial Impact
Revenue decline of $23.7M (-15% YoY), adjusted EBITDA decline of $10.5M (-73% YoY), GAAP net loss of $6.1M vs profit of $0.7M YoY
Risk Factors
- Continued geopolitical disruptions in the Middle East impacting DynaEnergetics shipments
- Further escalation of aluminum costs pressuring Arcadia margins
- Tariff and trade policy uncertainty weighing on demand across end markets
- Negative operating cash flow and rising inventory ($167M, +16% QoQ) could pressure liquidity
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3285440 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 22, 2026 4w ago | Institutional Cluster | $6.07 | awaiting T+60 | — | $5.37 (−11.58%) |
Apr 30, 2026 25w ago | Press Release | $8.41 $5.46 | ▲ +35.08% | ▲ +38.15% | $5.37 (+36.19%) |
Apr 27, 2026 26w ago | DEFA14A | $6.45 $6.60 | ▲ +2.33% | ▼ −2.45% | $5.37 (−16.79%) |
Apr 27, 2026 26w ago | 8-K | $6.45 $6.60 | ▲ +2.33% | ▼ −2.45% | $5.37 (−16.79%) |
Apr 24, 2026 26w ago | Press Release | $6.41 $6.40 | ▼ −0.16% | ▼ −5.24% | $5.37 (−16.27%) |
Mar 5, 2026 33w ago | 8-K | $5.43 $6.78 | ▲ +24.86% | ▲ +12.08% | $5.37 (−1.16%) |
US Market Status
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