Tecnoglass Reports Second Quarter 2026 Results, Including Record Revenues on Continued Market Share Gains
- Record Second Quarter Revenue of $295.3 Million, Up 15.6% Year-Over-Year, With Double-Digit Growth in Both Single-Family Residential and Multi-Family/Commercial -
- Net Income of $24.6 Million, or $0.55 Per Diluted Share -
- Adjusted Net Income 1 of $23.8 Million, or $0.54 Per Diluted Share -
- Adjusted EBITDA 1 of $51.7 Million, Representing 17.5% of Total Revenues -
- Backlog Expanded 15.6% Year-Over-Year to a Record $1.38 Billion -
- Strong Balance Sheet for Disciplined Deployment with Total Liquidity of $360 Million -
- Returned Value to Shareholders During the Quarter Through $6.7 Million in Dividends -
- Implemented Pricing Actions and Automation Initiatives Expected to Benefit Results in Second Half -
- Completed U.S. Redomiciliation, Aligning Corporate Structure with U.S. Listing, Enhancing Index Eligibility and Broadening Investor Access -
- Updated Full Year 2026 Guidance -
Miami, FL, Aug. 06, 2026 (GLOBE NEWSWIRE) -- Tecnoglass Holdings Inc. (NYSE: TGLS) (“Tecnoglass” or the “Company”), a leading producer of high-end aluminum and vinyl windows and architectural glass for the global residential and commercial end markets, today reported financial results for the second quarter ended June 30, 2026.
José Manuel Daes, Chief Executive Officer of Tecnoglass, commented, “We delivered record second quarter revenues, with double-digit growth in both our single-family residential and multi-family and commercial businesses, reflecting healthy demand, continued market share gains and consistent execution across our expanding footprint. Margins developed largely as we outlined last quarter, reflecting elevated aluminum costs, a stronger Colombian Peso and the initial impact of the April enactment of Section 232 tariffs on certain aluminum-based products. We are addressing these dynamics through pricing actions, which began flowing into orders in May, along with logistics optimization and accelerated automation initiatives. We expect these actions to progressively benefit results in the second half of the year as we work toward a more optimized cost position entering 2027. Our first half actions and performance support our confidence in the balance of the year, and we remain focused on creating long-term value for our shareholders.”
Christian Daes, Chief Operating Officer of Tecnoglass, added, “Our backlog grew to another record of $1.38 billion, extending our track record of sequential quarter growth since 2021 and reflecting consistent execution on a growing pipeline of multi-family and commercial projects. Our new showrooms, expanding dealer network and vinyl lines continue to gain traction, helping us grow the share of single-family residential revenues generated outside of Florida by several hundred basis points year-to-date. We are making meaningful progress on our automation and efficiency program, which enabled a 10% headcount reduction as of the end of June, with additional automation expected to be operational by year end while preserving our capacity to serve a strong order book. We believe the actions underway are strengthening our cost structure and competitive position for years to come.”
Second Quarter 2026 Results
Total revenues for the second quarter of 2026 increased 15.6% to a record $295.3 million, compared to $255.5 million in the prior year quarter. Multi-family/commercial revenues grew 15.7% year-over-year to a record $168.8 million, driven by continued strong activity in key markets, including growth in markets beyond Florida. Single-family residential revenues grew 15.4% year-over-year to a record $126.5 million, reflecting continued market share gains and geographic expansion, along with the timing of orders placed ahead of May pricing actions. Changes in foreign currency exchange rates represented a $0.9 million benefit to total revenues in the quarter.
Gross profit for the second quarter of 2026 was $110.0 million, representing a 37.3% gross margin, compared to gross profit of $114.3 million, representing a 44.7% gross margin, in the prior year quarter. The year-over-year change in gross margin primarily reflected higher raw material costs as the average all-in U.S. aluminum price, which includes the Midwest premium, increased approximately 77% year-over-year, higher labor costs related to the annual minimum wage adjustment in Colombia at the beginning of the year, a strengthening of the Colombian Peso, which appreciated approximately 14% year-over-year, and approximately $0.7 million in severance costs related to headcount reductions associated with the Company's efficiency and automation initiatives. These impacts were partly offset by operating leverage on higher volume. Pricing actions implemented in May began flowing into orders late in the quarter, with the revenue benefit beginning in the third quarter.
Selling, general and administrative expense (“SG&A”) was $73.5 million for the second quarter of 2026 compared to $53.1 million in the prior year quarter. The increase primarily reflected approximately $17.0 million of expenses associated with the recently implemented Section 232 tariffs on finished aluminum window imports, along with higher transportation and commission expenses associated with revenue growth in the quarter. As a percent of total revenues, SG&A was 24.9% for the second quarter of 2026 compared to 20.8% in the prior year quarter, primarily due to the aforementioned factors.
Net income was $24.6 million, or $0.55 per diluted share, in the second quarter of 2026 compared to net income of $44.1 million, or $0.94 per diluted share, in the prior year quarter, including a non-cash foreign exchange transaction gain of $5.2 million in the second quarter of 2026 and a gain of $0.8 million in the second quarter of 2025. These non-cash gains and losses relate to the accounting re-measurement of U.S. Dollar-denominated assets and liabilities against the Colombian Peso as the functional currency.
Adjusted net income 1 was $23.8 million, or $0.54 per diluted share, in the second quarter of 2026 compared to adjusted net income 1 of $48.5 million, or $1.03 per diluted share, in the prior year quarter. Adjusted net income 1, as reconciled in the table below, excludes the impact of non-cash foreign exchange transaction gains or losses and other non-core items, along with the tax impact of adjustments at statutory rates, which management believes better reflects core financial performance.
Adjusted EBITDA 1, as reconciled in the table below, was $51.7 million, or 17.5% of total revenues, in the second quarter of 2026, compared to $79.8 million, or 31.2% of total revenues, in the prior year quarter. The change was primarily attributable to the aforementioned factors impacting gross margin and SG&A.
Cash Generation, Capital Allocation and Liquidity
Cash provided by operating activities for the second quarter of 2026 was approximately $4.4 million, reflecting the seasonal timing of annual income tax payments for the Company's Colombian subsidiaries, tariff-related payments, and continued strategic purchases of U.S.-sourced aluminum as part of the Company's supply chain resilience and tariff mitigation strategy. Capital expenditures of approximately $35.4 million in the quarter included scheduled payments related to previously announced capacity and automation investments.
During the quarter, the Company returned capital to shareholders through $6.7 million in cash dividends. As of August 6, 2026, the Company had approximately $92.5 million remaining under its current share repurchase program.
The Company ended the second quarter of 2026 with total liquidity of approximately $360.0 million, including $80.8 million of cash and cash equivalents and $280.0 million of availability under its revolving credit facilities, and total debt of $225.4 million. The Company maintains a conservative leverage profile of approximately 0.6x net debt to LTM Adjusted EBITDA¹, providing significant financial flexibility to continue investing in growth initiatives and returning capital to shareholders.
Additional Updates
Effective July 7, 2026, the Company completed its previously announced redomiciliation from the Cayman Islands to the United States, following shareholder approval at the Annual General Meeting. Tecnoglass is now incorporated in the State of Florida and remains headquartered in Miami, Florida. The Company believes this milestone supports its strategic objectives by simplifying its organizational and regulatory structure, improving the tax efficiency of dividend distributions, and broadening its potential investor base to include investors that are limited to investing in U.S.-domiciled companies. The Company's ordinary shares continue to trade on the NYSE under the symbol TGLS.
As previously disclosed, the Company is conducting a feasibility study for the potential construction of a new state-of-the-art facility in the United States. The Company expects to complete the purchase of land for this potential facility by the end of August 2026, which preserves strategic flexibility as due diligence continues and does not represent a commitment to proceed with any construction, which would occur in phases based on factors such as demand, market conditions and return profiles. The Company is also in advanced discussions with state authorities to finalize incentives that would be expected to significantly enhance the potential economics of the proposed project.
Additionally, the Company continues to advance its automation and efficiency initiatives, completing a 10% reduction in headcount as of the end of June, with additional automation expected to be operational by year end.
Full Year 2026 Guidance
Santiago Giraldo, Chief Financial Officer of Tecnoglass, stated, “Based on our first half performance and the visibility provided by our order book, we are narrowing our full year 2026 revenue outlook to a range of $1.08 billion to $1.12 billion, with Adjusted EBITDA in the range of $220 million to $230 million. The revision primarily reflects sustained high aluminum costs and a Colombian peso that has strengthened beyond our prior assumptions, not a change in the demand for our products. We remain encouraged by demand trends and by our ability to grow well above industry rates. Looking ahead, we are committed to fully offsetting the impact of tariffs in 2027, as automation savings and full-year pricing are realized. With a conservative debt leverage profile and strong cash generation, we remain well-positioned to invest in growth while returning capital to shareholders.”
Webcast and Conference Call
Management will host a webcast and conference call on August 6, 2026, at 10:00 a.m. Eastern time to review the Company’s results. The conference call will be broadcast live over the Internet. Additionally, a slide presentation will accompany the conference call. To listen to the call and view the slides, please visit the Investor Relations section of Tecnoglass’ website at www.tecnoglass.com. Please go to the website at least 15 minutes early to register, download and install any necessary audio software. For those unable to access the webcast, the conference call will be accessible by dialing 1-844-676-5131 (domestic) or 1-412-634-6589 (international). Upon dialing in, please request to join the Tecnoglass Second Quarter 2026 Earnings Conference Call.
If you are unable to listen live, a replay of the webcast will be archived on the website. You may also access the conference call playback by dialing 1-844-512-2921 (Domestic) or 1-412-317-6671 (International) and entering passcode: 10210630.
About Tecnoglass
Tecnoglass Holdings Inc. is a leading producer of high-end aluminum and vinyl windows and architectural glass serving the multi-family, single-family, and commercial end markets. Tecnoglass is the second largest glass fabricator serving the U.S. and the #1 architectural glass transformation company in Latin America. Located in Barranquilla, Colombia, the Company’s 5.8 million square foot, vertically integrated, and state-of-the-art manufacturing complex provide efficient access to nearly 1,000 customers in North, Central and South America, with the United States accounting for over 95% of total revenues. Tecnoglass’ tailored, high-end products are found on some of the world’s most distinctive properties, including One Thousand Museum (Miami), Paramount (Miami), Salesforce Tower (San Francisco), Via 57 West (NY), Hub50House (Boston), Aeropuerto Internacional El Dorado (Bogotá), One Plaza (Medellín), Pabellon de Cristal (Barranquilla). For more information, please visit www.tecnoglass.com or view our corporate video at https://www.youtube.com/watch?v=qD3AKBv4EkU.
Forward Looking Statements
This press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding future financial performance, future growth and future acquisitions. These statements are based on Tecnoglass’ current expectations or beliefs and are subject to uncertainty and changes in circumstances. Actual results may vary materially from those expressed or implied by the statements herein due to changes in economic, business, competitive and/or regulatory factors, and other risks and uncertainties affecting the operation of Tecnoglass’ business. These risks, uncertainties and contingencies are indicated from time to time in Tecnoglass’ filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Further, investors should keep in mind that Tecnoglass’ financial results in any particular period may not be indicative of future results. Tecnoglass is under no obligation to, and expressly disclaims any obligation to, update or alter its forward-looking statements, whether as a result of new information, future events and changes in assumptions or otherwise, except as required by law.
1 Adjusted net income (loss) and Adjusted EBITDA in both periods are reconciled in the table below.
Investor Relations:
Santiago Giraldo / CFO
305-503-9062
investorrelations@tecnoglass.com
Tecnoglass Holdings Inc. and Subsidiaries
Consolidated Balance Sheets
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Tecnoglass Holdings Inc. and Subsidiaries
Consolidated Statements of Operations and Comprehensive Income
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(Unaudited)
Tecnoglass Holdings Inc. and Subsidiaries
Consolidated Statements of Cash Flows
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Revenues by Region
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Reconciliation of Non-GAAP Performance Measures to GAAP Performance Measures
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The Company believes that total revenues with foreign currency held neutral, which are not performance measures under generally accepted accounting principles (“GAAP”), may provide users of the Company's financial information with additional meaningful bases for comparing the Company's current results and results in a prior period, as these measures reflect factors that are unique to one period relative to the comparable period. Management uses such performance measures in managing and evaluating the Company’s business. However, these non‑GAAP performance measures should be viewed in addition to, and not as an alternative for, the Company's reported results under accounting principles generally accepted in the United States.
Currency impacts on total revenues for the current quarter have been derived by translating current quarter revenues at the prevailing average foreign currency rates during the prior year quarter, as applicable.
Reconciliation of Adjusted EBITDA and Adjusted net (loss) income to net (loss) income
(In thousands, except share and per share data) / (Unaudited)
Adjusted EBITDA and adjusted net (loss) income are non-GAAP performance measures. Management believes Adjusted EBITDA and adjusted net (loss) income, in addition to operating profit, net (loss) income and other GAAP measures, are useful to investors to evaluate the Company’s results because they exclude certain items that are not directly related to the Company’s core operating performance. Investors should recognize that Adjusted EBITDA and adjusted net (loss) income might not be comparable to similarly-titled measures of other companies. These measures should be considered in addition to, and not as a substitute for or superior to, any measure of performance prepared in accordance with GAAP.
Reconciliations of the non-GAAP measures used in this press release are included in the tables attached to this press release, to the extent available without unreasonable effort. Because GAAP financial measures on a forward-looking basis are not accessible, and reconciling information is not available without unreasonable effort, we have not provided reconciliations for forward-looking non-GAAP measures. Items excluded to arrive at forward-looking non-GAAP measures may have a significant, and potentially unpredictable, impact on our future GAAP results.