Overview
Middle-market business owner reported Q4 net revenues down 5.1% yr/yr
Adjusted EBITDA for Q4 rose 18.4% yr/yr, excluding Lugano
Company completed sale-leaseback of Altor facilities to reduce debt
Outlook
Company expects 2026 subsidiary Adjusted EBITDA between $345 mln and $395 mln
CODI sees 2026 Branded Consumer Adjusted EBITDA between $220 mln and $260 mln
Company anticipates Industrial Adjusted EBITDA between $125 mln and $135 mln in 2026
Result Drivers
DECONSOLIDATION IMPACT - CODI deconsolidated Lugano, affecting GAAP results with a $111.9 mln loss on deconsolidation
SOLID SUBSIDIARY PERFORMANCE - Excluding Lugano, subsidiary adjusted EBITDA rose 18.4% in Q4, reflecting strong performance across remaining businesses
DEBT REDUCTION - Completed sale-leaseback of Altor facilities, generating $11 mln to pay down debt
Company press release: ID:nGNXb4nWCj
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Sales | Slight Miss* | $468.56 mln | $472.84 mln (2 Analysts) |
Q4 Net Income | Miss | -$78.80 mln | $9.80 mln (1 Analyst) |
Q4 Adjusted EBITDA | Beat | $91.02 mln | $86.35 mln (2 Analysts) |
Q4 Operating Income | Beat | $45.97 mln | $15.50 mln (2 Analysts) |
Q4 Pretax Profit | Miss | -$105.99 mln | $1.20 mln (3 Analysts) |
Q4 Gross Profit | $202.10 mln |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the investment holding companies peer group is "buy"
Wall Street's median 12-month price target for Compass Diversified Holdings is $15.00, about 82.7% above its February 25 closing price of $8.21
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.)
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