The strong beat and raised guidance confirm accelerating momentum in Commercial (data center cooling, semiconductor cleanrooms) and successful debt reduction post-IPO. Watch for continued organic growth trajectory and any signs of Residential stabilization. The 133% backlog growth provides multi-quarter visibility.
Price Chart
Executive Summary
Madison Air reported Q2 2026 results that significantly beat consensus on both revenue ($991.3M vs $938.0M) and adjusted EPS ($0.31 vs $0.24), driven by 22.3% organic growth in the Commercial segment and record backlog of $2.87B. The company raised its full-year revenue guidance to $3.825-$3.925B, while maintaining Adjusted EBITDA guidance. Net leverage improved to 2.8x post-IPO debt paydown.
Key Financial Metrics
Key Facts
- Q2 2026 net sales $991.3M, up 21% YoY (14% pro forma), beating consensus of $938.0M
- Adjusted EPS $0.31 vs consensus $0.24, a 29.2% beat
- GAAP net income $70.5M, up 129% YoY; GAAP EPS $0.15 vs $0.07
- Raised full-year net sales guidance to $3,825-$3,925M from $3,750-$3,850M
- Adjusted EBITDA $265.8M, up 18% YoY; margin 26.8% vs 27.5% prior year
- Backlog $2,868.4M, up 133% YoY; orders up 45% on a combined basis
- Free cash flow $89.6M; net leverage 2.8x, down from 5.9x at year-end 2025
- Commercial segment organic sales growth 22.3%; Residential organic sales declined 4.8%
Financial Impact
Revenue beat by ~$53M (5.7%), adjusted EPS beat by $0.07 (29%). Raised full-year revenue guidance by $75M at midpoint.
Risk Factors
- Residential segment organic sales declined 4.8% YoY, indicating softness in ventilation channels
- Adjusted EBITDA margin contracted 70bps YoY to 26.8%
- Net leverage at 2.8x still elevated; interest expense remains a drag
- Integration of AprilAire acquisition and IPO-related costs may create noise
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001628280-26-050771 |
| Document: mair-20260730.htm | 0001628280-26-050771 |
| Document: 0001628280-26-050771-index-headers.html | 0001628280-26-050771 |
| Document: 0001628280-26-050771-index.html | 0001628280-26-050771 |
| Document: 0001628280-26-050771.txt | 0001628280-26-050771 |
| 8-K Data (Synthetic) | 0001628280-26-050771 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 22, 2026 5d ago | Press Release | $23.08 $22.76 | ▼ −1.39% | ▼ −0.86% | $23.23 (+0.65%) |
Oct 12, 2026 15d ago | Institutional Cluster | $23.29 $24.08 | ▲ +3.39% | ▲ +3.40% | $23.23 (−0.26%) |
Aug 27, 2026 8w ago | Insider Cluster | $26.33 $26.40 | ▲ +0.27% | ▲ +0.56% | $23.23 (−11.77%) |
Aug 25, 2026 9w ago | 8-K | $27.99 $28.51 | ▲ +1.86% | ▲ +1.84% | $23.23 (−17.01%) |
Aug 17, 2026 10w ago | 8-K | $29.57 $27.44 | ▼ −7.20% | ▼ −6.53% | $23.23 (−21.44%) |
Jul 30, 2026 12w ago | 8-K | $29.14 $29.06 | ▼ −0.27% | ▼ −0.98% | $23.23 (−20.28%) |
Jun 18, 2026 18w ago | 3 | $38.13 $38.56 | ▲ +1.13% | ▲ +1.44% | $23.23 (−39.08%) |
Jun 16, 2026 18w ago | 8-K | $38.15 $37.44 | ▼ −1.86% | ▼ −0.61% | $23.23 (−39.11%) |
Jun 5, 2026 20w ago | 8-K | $40.14 $39.59 | ▼ −1.37% | ▼ −1.60% | $23.23 (−42.13%) |
May 29, 2026 21w ago | Press Release | $43.47 $43.86 | ▲ +0.90% | ▲ +0.62% | $23.23 (−46.56%) |
US Market Status
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