Tecnoglass reported record third-quarter revenue, with strong growth in multi-family and commercial projects and continued gains in single-family residential markets. Profitability was weighed down by higher aluminum costs, tariffs and a sharp strengthening of the Colombian peso, which caused a non-cash inventory revaluation.
The glass and window maker also reported a record backlog, expanded its U.S. reach with a Los Angeles showroom and said it updated its full-year 2026 guidance.
Key details
- Revenue reached $310.6 million, up 19.2% from $260.5 million a year earlier. The company described the growth as organic and attributed it to market-share gains and geographic expansion.
- Multi-family and commercial revenue rose 30.9% to a record $192.4 million, as projects in the backlog advanced. Management said growth was particularly strong in these businesses.
- Single-family residential revenue increased 4.1% to $118.1 million. The CEO said sales in this segment grew 17% year over year excluding pre-buy activity in the second quarter. The company cited market-share gains, geographic expansion and pricing actions, partly offset by the timing of orders.
- Net income was $22.8 million, or $0.51 per diluted share. Adjusted net income was $27.3 million, or $0.61 per diluted share.
- Adjusted EBITDA was $47.7 million. The company estimated it would have been $8.4 million higher without a non-cash inventory revaluation tied to the rapid appreciation of the Colombian peso.
- The peso reached its strongest level since 2018, while higher aluminum costs and tariffs also pressured margins. Tecnoglass said third-quarter production used aluminum bought earlier in the year at peak prices, but it has since secured aluminum at lower prices.
- The backlog grew 13.2% year over year to a record $1.43 billion. Management said it continued to book large projects in luxury lodging and condominiums, and signed its largest project to date after the quarter ended. The company did not give the project’s value.
- May price increases are beginning to reach customers. Their effect is starting to appear in single-family residential invoicing; in multi-family and commercial work, it is expected to flow through as projects booked after the increase move through the backlog, beginning with shorter-cycle jobs late this year and larger projects during 2027.
- Tecnoglass opened a Los Angeles showroom featuring its Legacy Line aluminum windows, extending that product line’s reach to the West Coast.
- Total liquidity was $380 million. The company said it updated its full-year 2026 guidance, but revised guidance figures were not included in the material provided.
What changes for investors
The record backlog and the large project signed after quarter-end provide visibility into future work, while the announced price increases are expected to reach more projects over time. In the near term, however, reported profitability reflects cost pressures and the peso-related inventory adjustment; the company said lower aluminum purchasing costs, pricing actions and automation initiatives are expected to support improved profitability.