SiteOne Landscape Supply, Inc. reported financial results for the third quarter ended September 27, 2026, filing an -K with the SEC on October 28, 2026. The company reported net sales of $1,291.1 million for the third quarter of 2026, a 3% increase compared to the prior year period. This growth was attributed to acquisitions contributing $39.7 million, though organic daily sales decreased by 1% due to soft market demand and delayed fall applications caused by hot and dry weather.
Gross profit for the quarter increased 5% to $458.5 million, resulting in a gross margin expansion of 80 basis points to 35.5%. This improvement was driven by strong price realization, including fuel surcharges, and continued benefits from commercial initiatives. However, selling, general and administrative (SG&A) expenses increased to $368.7 million, causing SG&A as a percentage of net sales to rise to 28.6% due to higher fuel and healthcare costs and lower sales volume.
Net income attributable to SiteOne increased 8% to $63.9 million. Adjusted EBITDA increased 8% to $138.3 million, with a margin improvement of 60 basis points to 10.7%. The company reported net debt of $522.6 million as of September 27, 2026, with a net debt to Adjusted EBITDA ratio of 1.2 times. During the quarter, the company repurchased $62.2 million of shares under its authorization.
Subsequent to the quarter, the Board of Directors approved a $500.0 million increase to the share repurchase program, bringing the total authorization to approximately $538.3 million. The company also completed the acquisition of Patterson Nursery Sales during the quarter.
For fiscal year 2026, SiteOne anticipates flat to down 1% organic daily sales growth. The company expects full-year Adjusted EBITDA to be between $425 million and $440 million. Management noted that the negative impact of a 53rd week in December is expected to reduce full-year Organic Daily Sales growth by approximately 80 basis points and Adjusted EBITDA by approximately $4 million to $5 million. The company also plans to reduce its workforce and consolidate or close branches in the fourth quarter, incurring a charge to Adjusted EBITDA of approximately $6 million to $8 million.
