Trex Q3 Sales Jump 26.0% to $360 Million in Second Straight Record Quarter; Raises Outlook Again

Published November 4, 2026 at 9:22 AM EST

Trex Company delivered its second straight record quarter, posting third-quarter 2026 net sales of $360 million, up 26.0% from $285 million a year earlier, and raised its full-year outlook again, according to its 8-K released Wednesday.

The composite decking maker earned $52 million, or $0.52 per diluted share, in the quarter. Adjusted earnings came to $0.55 per share, and adjusted EBITDA reached $100 million.

Growth driven by volume, not price

President and CEO Adam Zambanini said growth was "overwhelmingly volume-driven, with minimal benefit from pricing," led by the Trex Enhance product line. He credited Trex-specific initiatives and market share gains "rather than any meaningful improvement in broader end-market conditions."

Part of the lift came from distribution-related inventory investments. Trex said it completed inventory placements with new and expanded distribution partners during the quarter while stock held by its former distribution partner kept shrinking, and overall channel inventory stayed comparable to the prior year.

Gross margin was 36.0%, or 36.9% on an adjusted basis. Startup costs at the new Arkansas plant ran higher than expected because of mechanical issues the company said have since been resolved. Trex expects an estimated 50% of the facility's existing decking production capacity to be operating by year-end, the company said.

Guidance moves up

Trex now expects 2026 net sales of $1.296 billion to $1.306 billion and adjusted EBITDA of $355 million to $360 million. For the fourth quarter, it guided net sales to $175 million to $185 million.

CFO Prith Gandhi said capital allocation priorities remain growth investment, share repurchases and strategic acquisitions, with capital spending declining as construction at the Arkansas facility nears completion.

By the numbers

Q3 net sales: $360 million, up 26.0%
Diluted EPS: $0.52; adjusted EPS: $0.55
Adjusted EBITDA: $100 million
2026 net sales guidance: $1.296 billion to $1.306 billion
Q4 net sales guidance: $175 million to $185 million

Sources

Trex Company Form 8-K with third-quarter 2026 earnings release, filed Nov. 4, 2026 (accession 0001193125-26-446144)

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