Q2 results beat expectations, with record revenue and EPS, driven primarily by strong pricing execution that offset cost inflation.

Revenue of $1.6B was up 8% YoY; adjusted EPS of $7.03 was up 12% YoY.

Three rounds of price increases drove pricing to catch up with costs, with price-cost turning positive in Q4. ThermaThin R-7 has shipped, and structural reforms including CWT automation are beginning to show results, with margins improving 380bp QoQ.

2026 revenue guidance was raised to mid-single-digit growth, while EBITDA margin guidance was lowered to flat YoY, reflecting cost pressures related to the Middle East conflict; the buyback program was increased to $1.2B.

Management struck an optimistic tone but emphasized continued weakness in new construction and cost uncertainty as the biggest risks.