The raised revenue guidance from M&A provides a near-term catalyst, but declining profitability and cash flow signal operational headwinds. Watch Q2 for margin recovery and whether the acquisitions can offset tariff-related cost pressures. The stock may trade range-bound until profitability trends improve.
Price Chart
Executive Summary
Hillman Solutions reported Q1 2026 net sales of $370.1M (+3.0% YoY), slightly below consensus of $371.8M. GAAP net loss widened to -$4.7M (-$0.02/sh) vs -$0.3M last year, and adjusted diluted EPS of $0.07 missed the $0.08 consensus. Adjusted EBITDA fell 8.1% to $50.1M and free cash flow was -$34.3M. However, management raised FY 2026 net sales guidance to $1.63-$1.73B (from $1.60-$1.70B) driven by two recently closed tuck-in acquisitions.
Key Financial Metrics
Key Facts
- Net sales increased 3.0% YoY to $370.1M, slightly below consensus of $371.8M
- GAAP net loss of -$4.7M vs -$0.3M in Q1 2025; diluted EPS -$0.02 vs -$0.00
- Adjusted diluted EPS of $0.07 missed consensus of $0.08 (12.5% miss)
- Adjusted EBITDA declined 8.1% to $50.1M from $54.5M; margin contracted 170bps to 13.5%
- Operating cash flow worsened to -$19.5M vs -$0.7M; free cash flow -$34.3M vs -$21.3M
- Raised FY 2026 net sales guidance to $1.63-$1.73B (previously $1.60-$1.70B); reiterated Adj. EBITDA ($275-$285M) and FCF ($100-$120M) guidance
- Closed two acquisitions post-quarter: Campbell Chain & Fittings (~$20M annual sales) and Delaney Hardware (~$10M annual sales)
Financial Impact
Revenue growth of $10.7M YoY, but profitability declined: Adj. EBITDA down $4.4M, Adj. EPS down $0.03/sh
Risk Factors
- Tariff exposure on imported hardware products; supply chain costs could pressure margins further
- Integration risk from two new acquisitions; potential for higher leverage (net debt/EBITDA at 2.6x)
- Negative free cash flow and widening GAAP losses may raise liquidity concerns if sustained
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001822492-26-000078 |
| Document: hillmanq12026earningscal.htm | 0001822492-26-000078 |
| Document: hlmn-20260427.htm | 0001822492-26-000078 |
| Document: 0001822492-26-000078-index-headers.html | 0001822492-26-000078 |
| Document: 0001822492-26-000078-index.html | 0001822492-26-000078 |
| Document: 0001822492-26-000078.txt | 0001822492-26-000078 |
| 8-K Data (Synthetic) | 0001822492-26-000078 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 13, 2026 13d ago | SC 13G/A | $7.10 $7.24 | ▼ −1.97% | ▼ −3.12% | $7.24 (−1.97%) |
Sep 14, 2026 6w ago | Insider Cluster | $7.21 $7.11 | ▼ −1.39% | ▼ −1.49% | $7.24 (+0.42%) |
Sep 3, 2026 7w ago | 8-K | $7.68 $6.98 | ▼ −9.11% | ▼ −7.97% | $7.24 (−5.73%) |
Sep 3, 2026 7w ago | Press Release | $7.68 $6.98 | ▼ −9.11% | ▼ −7.97% | $7.24 (−5.73%) |
Aug 4, 2026 11w ago | 8-K | $9.51 $9.01 | ▼ −5.26% | ▼ −5.16% | $7.24 (−23.87%) |
Aug 3, 2026 11w ago | Press Release | $9.51 $9.01 | ▼ −5.26% | ▼ −5.16% | $7.24 (−23.87%) |
Jul 13, 2026 15w ago | 8-K | $7.86 $8.09 | ▲ +2.93% | ▲ +3.71% | $7.24 (−7.89%) |
Apr 27, 2026 25w ago | 8-K | $8.33 $7.50 | ▼ −9.96% | ▼ −11.66% | $7.24 (−13.09%) |
Apr 27, 2026 25w ago | Press Release | $8.33 $7.50 | ▲ +9.96% | ▲ +11.66% | $7.24 (+13.09%) |
Apr 13, 2026 28w ago | Press Release | $8.80 $8.95 | ▲ +1.70% | ▼ −1.59% | $7.24 (−17.73%) |
US Market Status
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