Fortune Brands Q1 EPS falls 52% to $0.20; cuts 2026 EPS guidance to $3.00-$3.30
Fortune Brands reported first-quarter 2026 net sales of $1.0 billion, down 2.1% from a year earlier, and GAAP diluted EPS of $0.20, down 51.8%. The company lowered its 2026 EPS before charges/gains guidance to $3.00 to $3.30 from $3.35 to $3.65 and changed its net sales outlook to down low single digits from flat to 2.0% growth, citing increased commodity inflation and more cautious consumer sentiment. For shareholders, the lower outlook and $42.4 million of governance advisory and leadership transition charges weigh on near-term earnings.
Key points
- Q1 2026 net sales were $1,011.3 million, down 2.1%; GAAP operating margin was 6.0%, down 340 bps
- GAAP diluted EPS was $0.20 versus $0.42 a year earlier; EPS before charges/gains was $0.53, down 19.7%
- 2026 EPS before charges/gains guidance cut to $3.00 to $3.30 from $3.35 to $3.65
- Operating cash flow was $(119.2) million and free cash flow $(139.5) million in Q1; net debt was $2.5 billion, or 2.9x EBITDA before charges/gains
The filing
Written by AI on Nov 8, 2026, 1:05 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on May 07, 2026.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.