QXO Restores Profit After Kodiak Close
Adjusted EBITDA was $272 million on $3.25 billion of sales after a $1.2 million first quarter.
QXO, Inc. (QXO), a building-products distributor, reported Adjusted EBITDA of $272 million for the three months ended June 30, 2026, after $1.2 million in the immediately preceding quarter.
The sequential swing tracked the April 1 close of Kodiak Building Partners. Net sales were $3.25 billion, including $595 million attributable to Kodiak. Adjusted EBITDA margin was 8.4%. A year earlier, Adjusted EBITDA was $204 million on $1.91 billion of sales.
GAAP results remained a loss. Net loss was $55 million, or $0.14 a share. Adjusted Net Income was $130 million, and Adjusted Diluted Earnings were $0.08 a share. In the first quarter the company had posted a net loss of $227.1 million and an Adjusted Diluted loss of $0.12 a share.
Chairman and Chief Executive Officer Brad Jacobs said second-quarter results reflected current market conditions and progress across the company, and that QXO had begun upgrading technology to deliver customer service and financial growth. After the July 1 TopBuild close, he said QXO was the second-largest publicly traded building-products distributor in North America. The company is focused on a plan to more than double EBITDA by 2030 and reach $50 billion in revenue within the decade.
Gross profit was $803 million, and gross margin was 24.7%. Selling, general and administrative expense was $649 million. Depreciation was $56 million and amortization was $140 million. Loss from operations was $42 million. Interest expense, net, was $38 million.
Residential roofing products generated $1.27 billion, or 39.0% of the mix. Non-residential roofing products were $736 million, or 22.7%. Complementary building products were $1.23 billion, or 37.9%. Software products and services were $15 million.
Cash and cash equivalents were $2.77 billion at June 30. Prepaid expenses and other current assets included $3.0 billion of restricted cash from senior notes placed in escrow pending TopBuild. Long-term debt, net, was $6.03 billion. Goodwill was $6.21 billion.
For the six months ended June 30, 2026, net sales were $4.98 billion. Adjusted EBITDA was $273 million. Adjusted Net Income was $73 million. Operating cash flow used $146 million. Acquisition cash outlay, net of cash acquired and stock issued, was $1.97 billion. The company issued $3.0 billion of senior notes and $1.99 billion of Series C preferred stock, net of costs. Cash, cash equivalents and restricted cash ended at $5.77 billion.
Jacobs said the company is targeting $50 billion in annual revenue within the decade through accretive acquisitions and organic growth.