Canada's DIRTT Q2 revenue rises 4%, net income turns positive

DIRTT Environmental Solutions

29/07/2026 22:14

Overview
Canada industrialized construction firm's Q2 revenue rose 4% yr/yr
Net income turned positive from a loss a year earlier
Company cut 2026 revenue and Adjusted EBITDA guidance due to macroeconomic headwinds

Outlook
DIRTT cuts 2026 revenue guidance to $175 mln-$185 mln
Company lowers 2026 Adjusted EBITDA forecast to $21 mln-$25 mln
DIRTT says guidance reflects tariff impacts and higher raw material and oil prices

Result Drivers
LOWER OPERATING EXPENSES - Co said reduced sales, general and administrative, operations support, and technology costs contributed to improved profitability
TARIFF RELIEF - Co said lower tariff and mitigation costs following U.S. policy changes boosted gross profit margin
TRANSFORMATION INITIATIVES - Co attributed operational improvements to ongoing transformation and cost optimization efforts

Company press release: ID:nGNX4xD5kC

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Net Income
 
$1.06 mln
 
Q2 Basic EPS
 
$0.01
 
Q2 Gross Profit
 
$13.98 mln
 
Q2 Operating Expenses
 
$12.68 mln
 
Q2 Operating Income
 
$1.30 mln
 

Analyst Coverage
The one available analyst rating on the shares is "buy"
The average consensus recommendation for the construction supplies & fixtures peer group is "buy"
Wall Street's median 12-month price target for DIRTT Environmental Solutions Ltd is C$1.50, about 78.6% above its July 28 closing price of C$0.84
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago

Reuters Recommended Reads
July 29 - McGrath RentCorp Q2 revenue falls as Enviroplex and Mobile Modular sales drop
July 28 - Trump says he does not care about USMCA as US, Canada plan trade talks
July 27 - Germany's Hochtief H1 operational net profit rises on infrastructure demand; raises guidance

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)