SiteOne Landscape Supply (SITE) Earnings Date & Reports

Key Takeaways

• Net sales rose 3% year over year to $1,291.1 million, while Organic Daily Sales declined 1% as lower volume outweighed higher prices.
• Diluted earnings per share (EPS) reached $1.46, up from $1.31 a year earlier and above consensus estimates of about $1.40.
• Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) grew 8% to $138.3 million, with margin expanding 60 basis points to 10.7%.
• Total revenue came in slightly below consensus, while gross margin improved 80 basis points to 35.5% on strong price realization.
• The board approved a $500 million increase to the share repurchase authorization, and management reaffirmed full-year Adjusted EBITDA guidance of $425 million to $440 million.
• For additional detail on SITE, explore the company's Major News, Today's Price Move, Price Targets, and Forecast pages.
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Earnings Context and Why It Matters

SiteOne Landscape Supply, Inc. (SITE) is the largest and only nationwide full product line wholesale distributor of landscape supplies in the United States, with an established presence in Canada. Its results serve as a temperature check on the broader landscaping and outdoor construction economy, spanning maintenance, repair and upgrade, residential construction, and commercial projects. Heading into this report, investors were watching whether pricing power and cost discipline could offset persistent softness in end-market demand and a delayed fall season caused by hot, dry weather. Because SiteOne has historically expanded margins through price realization and operational initiatives even during weaker demand, this quarterly print was closely followed for signs that the company could keep growing earnings while navigating a challenging macro backdrop.

Reported Results

For its fiscal third quarter ended September 27, 2026, SiteOne reported net sales of $1,291.1 million, up 3% from $1,258.2 million in the prior-year period. The increase was driven by acquisitions, which contributed $39.7 million, or 3%, to growth, while Organic Daily Sales decreased 1% as a roughly 5% decline in sales volume more than offset a 4% contribution from higher prices.

Gross profit rose 5% to $458.5 million, and gross margin expanded 80 basis points to 35.5%, reflecting strong price realization and the benefit of fuel surcharges. Selling, general and administrative expenses (SG&A) increased to $368.7 million, with SG&A as a percentage of net sales up 20 basis points to 28.6% due to higher fuel and healthcare costs and lower volume. Net income attributable to SiteOne climbed 8% to $63.9 million, producing diluted EPS of $1.46, up from $1.31 a year ago.

Adjusted EBITDA increased 8% to $138.3 million, and Adjusted EBITDA margin improved 60 basis points to 10.7%. Against expectations, EPS of $1.46 beat consensus near $1.40, and Adjusted EBITDA of $138.3 million came in above estimates of roughly $134.2 million, while total revenue fell slightly short of the approximately $1.30 billion consensus.

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Market Reaction and Investor Sentiment

Following the release, SiteOne shares traded lower as investors weighed the mixed nature of the results against a still-soft demand environment. The earnings and Adjusted EBITDA beats were tempered by a modest revenue miss and a 1% decline in Organic Daily Sales, a closely watched metric that strips out acquisition contributions. The delayed start of the fall season, driven by hot and dry weather in key markets, added to near-term uncertainty. Still, management's commentary highlighted solid execution, with gross margin expansion and growth in private brand and digital sales, while the $500 million increase to the buyback authorization signaled confidence in long-term value creation. Overall, sentiment reflected a market balancing strong profitability against persistent top-line softness.

Forward Outlook and Key Factors to Monitor

Management expects challenging end-market conditions to persist through the balance of fiscal 2026, citing ongoing macroeconomic uncertainty, high interest rates, and inflation. Pricing rose 4% in the quarter and is expected to continue, though the company anticipates full-year Organic Daily Sales to be flat to down 1%, partly reflecting the negative impact of a 53rd week in December.

Investors should watch several items in the coming quarters. First, the company plans to reduce its workforce and consolidate or close branches in the fourth quarter, incurring a corresponding charge to Adjusted EBITDA of roughly $6 million to $8 million. Second, the 53rd week is expected to reduce full-year Adjusted EBITDA by approximately $4 million to $5 million.

Despite these headwinds, management expects to expand Adjusted EBITDA margin slightly in 2026 and reaffirmed full-year Adjusted EBITDA guidance of $425 million to $440 million. Key monitors include the pace of October's positive Organic Daily Sales growth, gross margin sustainability through price realization, delivery cost efficiency, and the integration of acquisitions such as Patterson Nursery. A robust M&A (mergers and acquisitions) pipeline and ongoing share repurchases remain central to SiteOne's long-term growth strategy.

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