GPGI Reports Third Quarter 2026 Results

(NYSE: GPGI) GPGI, Inc. announced its financial and operating results for the third quarter ended September 30, 2026. Dave Cote, Executive Chairman, stated that GPGI delivered third quarter results in line with expectations, citing record strength at CompoSecure and improving demand at Husky. Adjusted Net Sales for the third quarter of 2026 were $509.6 million, compared to $487.9 million in the third quarter of 2025. Pro Forma Adjusted EBITDA for the third quarter of 2026 was $146.3 million, up from $137.3 million in the prior year period. GAAP Net Income for the third quarter of 2026 was $76.0 million, with Adjusted Net Income also at $76.2 million, compared to a GAAP Net Loss of $174.7 million and Adjusted Net Income of $34.0 million in the third quarter of 2025. Diluted EPS for the third quarter of 2026 was $0.26, matching the Adjusted EPS of $0.26, versus a GAAP EPS of ($1.58) and Adjusted EPS of $0.29 in the third quarter of 2025. As of September 30, 2026, Cash & Short-Term Investments were $5.5 million on a GAAP basis and $175.8 million on an adjusted basis, compared to $127.4 million GAAP and $265.3 million adjusted as of September 30, 2025. Total Debt as of September 30, 2026 was $2,097.0 million, compared to $190.0 million as of September 30, 2025. Of the cash balance as of September 30, 2026, $170.3 million was held at GPGI Holdings and not included in the GAAP results. GPGI is required to account for its operating subsidiary, GPGI Holdings, L.L.C., under the equity method in accordance with U.S. GAAP, effective February 28, 2025, following the spin-off of Resolute Holdings Management, Inc. and the execution of the CompoSecure Management Agreement. Both CompoSecure and Husky business units are under GPGI Holdings. GPGI provides supplemental non-GAAP information to reflect consolidated results and the effect of the Husky transaction as if it had occurred on January 1, 2025. The company held a third quarter 2026 earnings conference call on November 5, 2026, at 8:00 a.m. EST. The company’s non-GAAP measures include Adjusted Net Sales, Adjusted Net Income, Adjusted Net Income per Share, Adjusted Net Debt, Pro Forma Net Sales, Pro Forma Adjusted EBITDA, Pro Forma Adjusted EBITDA Margin, and Pro Forma Adjusted Free Cash Flow. Adjustments to EBITDA for the third quarter of 2026 included depreciation and amortization of $32.6 million, income tax expense of ($5.0) million, net interest expense of $32.1 million, stock-based compensation of $6.6 million, Husky transaction costs of $1.0 million, loss on sale of assets of $0.2 million, FX loss of $0.3 million, and severance cost of $2.5 million. For the third quarter of 2025, Pro Forma Adjusted EBITDA was $137.3 million, with adjustments including depreciation and amortization of $40.3 million, income tax expense of $122.0 million, net interest expense of $66.4 million, stock-based compensation of $6.2 million, mark to market adjustments of $179.9 million, business transformation and other costs of $10.5 million, platinum management fee of $1.3 million, incremental pro forma management fee of ($10.5) million, additional earnout cost of $5.0 million, and Husky transaction costs of $2.8 million. GPGI is managed by Resolute Holdings Management, Inc. (NYSE: RHLD) and currently consists of CompoSecure and Husky as its main business units.