Omega Flex Sales Rebound After Second-Quarter Decline
Third-quarter net sales were $25.70 million, up 6.0% from a year earlier, as net income fell 36.0% to $2.36 million on fitting-related costs.
Omega Flex, Inc. (OFLX), the Exton, Pennsylvania manufacturer of flexible metal hose and gas piping products, reported third-quarter net sales of $25.697 million, 6.0% higher than the year-ago quarter, reversing a 5.8% year-over-year decline in the three months ended June 30, 2026.
Net income attributable to Omega Flex for the three months ended September 30, 2026 was $2.359 million, or $0.23 a share, 36.0% below the same period in 2025, after a 35.6% year-over-year decline in the immediately preceding quarter. Diluted earnings were $0.27 a share in the three months ended June 30, 2026.
The company said the decrease in net income was mainly due to higher raw material costs, including inbound transportation costs and tariffs, and marketing efforts, partly offset by lower product liability reserves and expenses. Approximately 102% of the three-month net-income decrease versus the year-ago quarter was due to those higher raw-material, transportation, tariff and marketing costs attributable to the procurement of inventory and introduction of a new re-engineered flexible gas piping fitting, versus 54% of the three-month decrease in the prior quarter.
On July 1, 2026, Omega Flex introduced a re-engineered flexible gas piping fitting branded as the TracPipe System, designed to support a broader range of applications across both residential and commercial construction markets. The company said the fitting is designed to ease installation while enhancing overall safety and reliability, and that in the commercial sector it is particularly well suited for larger diameter systems, including sizes up to two inches.
The company said those higher costs will continue as it procures raw materials to achieve targeted inventory levels and markets the new fitting, but that it believes the costs will be limited in duration and will normalize over time.
For the nine months ended September 30, 2026, net sales were $72.847 million, down 0.3% from $73.089 million a year earlier. Net income for the nine months was $7.111 million, or $0.70 a share, compared with $11.412 million, or $1.13 a share, for the nine months ended September 30, 2025. Approximately 52% of the nine-month net-income decrease was due to the same higher raw-material, transportation, tariff and marketing costs tied to inventory procurement and the new fitting.
In the second quarter, the company had said the sales decline was mainly due to lower sales unit volumes as the overall market continued to be suppressed because of, among other factors, a decline in housing starts. It also said that in August 2026, MediTrac corrugated medical tubing received CE mark certification under the European Union Medical Device Regulation as a Class IIa medical device.
Omega Flex said it continues to make targeted investments in equipment and facilities intended to expand capacity, enhance operational efficiency, and support geographic growth by improving its ability to serve customers and distribution partners across existing and new markets.
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