Simpson Manufacturing approves $1 billion buyback as Q3 EPS rises 3.9%

Simpson Manufacturing approved a $1.0 billion share buyback on Monday, five times the size of its previous program, as it reported modest third-quarter growth.

The maker of structural connectors and other building products said net sales rose 2.3% from a year earlier to $638.1 million, according to its earnings release filed with the SEC. Net income per diluted share rose 3.9% to $2.68. Income from operations was $141.0 million, up 0.2%.

Bigger buyback

The new authorization took effect Oct. 22, has no expiration date and replaces a prior $200 million program, the company said in a separate release.

Simpson bought back $66.3 million of stock in the third quarter and about $165 million through Sept. 30 under the old program.

"The significant increase in our share repurchase authorization reflects the Board's continued confidence in Simpson's long-term strategy, strong financial position and cash flow generation," President and CEO Mike Olosky said.

The company also declared a quarterly dividend of $0.30 per share.

Margins

Gross margin was 45.7%, compared with 46.1% a year earlier. Total operating expenses fell 6.3% to $150.5 million.

For the first nine months, net sales grew 5.8% to $1.90 billion.

Updated outlook

Simpson updated its full-year 2026 outlook. It now expects a consolidated operating margin of 20.0% to 20.5%, which includes a projected $11.0 million gain on a sale of vacant land. It expects an effective tax rate of 25.0% to 26.0%.

By the numbers

• Q3 net sales: $638.1 million, up 2.3%
• Q3 diluted EPS: $2.68, up 3.9%
• Q3 buybacks: $66.3 million
• New buyback authorization: $1.0 billion
• 2026 operating margin outlook: 20.0% to 20.5%

Sources

1. Simpson Manufacturing Co., Inc., Form 8-K with third quarter 2026 earnings release and share repurchase authorization release, filed Oct. 26, 2026 (accession 0001628280-26-067288)

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