Fortune Brands Q3 revenue misses estimates on execution issues

Fortune Brands Innovations

03/11/2026 21:25

Overview
Home, security and digital products firm's Q3 revenue fell 3% yr/yr, missing analyst expectations
Adjusted EPS for Q3 beat analyst expectations, aided by tax and tariff benefits
Company taking portfolio actions, including Fiberon sale and China exit

Outlook
Company expects Q4 net sales of $925 mln to $995 mln
Fortune Brands sees 2026 full-year EPS before charges/gains of $3.20 to $3.30
Company expects softness in single-family new construction and R&R in 2026

Result Drivers
EXECUTION AND ORGANIZATIONAL CHANGES - Co said execution issues weighed on results but cited recent improvements in service levels and leadership changes to strengthen performance
PORTFOLIO OPTIMIZATION - Co said actions to sell Fiberon, exit China and rationalize EMEA Water operations are aimed at removing loss-making businesses

Company press release: ID:nBwbyXt9Pa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$1.10 bln
$1.12 bln (18 Analysts)
Q3 Adjusted EPS
Beat
$1.14
$0.74 (18 Analysts)
Q3 EPS
 
$0.42
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 8 "strong buy" or "buy", 11 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the construction supplies & fixtures peer group is "buy."
Wall Street's median 12-month price target for Fortune Brands Innovations, Inc. is $48.50, about 4.1% above its November 2 closing price of $46.57
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 15 three months ago

Reuters Recommended Reads
Nov 2 - Marriott lifts annual room revenue growth forecast on resilient travel demand
Nov 2 - Estee Lauder cuts promotions as luxury fragrances help lift outlook
Nov 3 - Pfizer raises 2026 forecasts as Eliquis, cancer drugs drive third-quarter results

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.)