10-Q · May 12, 2026
QXO's Q1 2026 results show a substantial revenue increase to $1.73 billion from $13.5 million in Q1 2025, primarily due to the Beacon Acquisition. However, the company reported a diluted EPS loss of $(0.35), which was…
Earnings analysis · 10-Q
QXO earnings analysis
Filed August 14, 2026 · Our reading of the company's report
The latest report
QXO delivered strong acquisition-driven growth in Q2, with $3.246 billion of revenue, a 24.7% gross margin and $272 million of adjusted EBITDA. However, adjusted EPS fell to $0.08 from $0.11, reported GAAP diluted EPS…
Read full summary
QXO delivered strong acquisition-driven growth in Q2, with $3.246 billion of revenue, a 24.7% gross margin and $272 million of adjusted EBITDA. However, adjusted EPS fell to $0.08 from $0.11, reported GAAP diluted EPS remained negative at $(0.14), and adjusted EBITDA margin compressed to 8.4% from 10.7%. The filing provides no formal quarterly or annual guidance; the principal forward considerations are execution of the large acquisition integration, supplier concentration and labor, tariff and cybersecurity risks.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.14
- Gross margin
- 24.7%
What stood out
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Revenue exceeded consensus
Q2 revenue was $3.246 billion, approximately 70% above the prior-year period and above the $3.173 billion consensus estimate by about 2.3%.
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Gross margin expanded
Gross margin expanded to 24.7%, up 360 basis points year over year, indicating improved gross-profit conversion despite the substantial acquisition-related revenue increase.
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Adjusted EBITDA increased
Adjusted EBITDA increased to $272 million, although adjusted EBITDA margin declined to 8.4% from 10.7% in the prior-year period.
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Adjusted EPS declined
Adjusted diluted EPS was $0.08 versus $0.11 in the prior-year period, while reported GAAP diluted EPS was $(0.14), reflecting continued acquisition and transformation costs.
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Kodiak integration underway
The Kodiak acquisition was completed on April 1, 2026; management is integrating policies, processes, people, technology and operations for the combined company.
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Disclosure controls effective
Management concluded that disclosure controls and procedures were effective as of June 30, 2026.
What to watch
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Supplier concentration
Three suppliers each represented at least 10% of total purchases and together accounted for nearly 35% of purchases during 2025, creating meaningful concentration risk if supply is disrupted or vendor terms change.
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Large-scale acquisition integration
The company is integrating the April 1, 2026 Kodiak acquisition while also managing the broader Beacon, Kodiak and TopBuild combination; the filing states that integration may require significant management attention and resources and that anticipated synergies may not be realized.
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Labor availability and cost
QXO states that its labor unions represented approximately 4.1% of the workforce as of December 31, 2025, while also warning that labor shortages, turnover and higher compensation costs could impair operations and margins.
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AI and cybersecurity exposure
The filing adds or expands risks related to artificial intelligence-enabled cyberattacks, including increasingly sophisticated attacks and possible inadvertent disclosure of proprietary information or inaccurate AI output.
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Tariff and trade exposure
QXO warns that tariffs and potential retaliatory measures could raise building-material costs and reduce supply, potentially causing distribution delays, higher costs and lower competitiveness.
Management's outlook
No quarterly or annual numeric guidance was provided. Management retained long-term targets to more than double EBITDA by 2030 and reach $50 billion of annual revenue within the decade.
Earlier filings 4
10-K · February 27, 2026
QXO completed the transformational acquisition of Beacon on April 29, 2025 and repositioned the company as the largest publicly-traded distributor of roofing, waterproofing and complementary building products in North…
10-Q · November 13, 2024
QXO reported Q3 revenue of $13,155,000 (down from $13,423,000 a year earlier) and GAAP net income of $17,132,000 (versus a net loss of $(2,110,000) in Q3 2023). Operating performance weakened materially: loss from…
10-Q · August 8, 2023
SilverSun reported quarterly revenue of $13,257,271 (Q2 2023) and GAAP net income of $343,361 (diluted EPS $0.07), reversing a prior-year quarter loss. Revenue and gross profit grew ~24.6% and ~25.6% YoY, service…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.