Dye & Durham Limited Q4 2026 Earnings Recap

Dye & Durham’s shares fell 14.7% after earnings, despite a fourth-quarter rebound excluding Credas, suggesting investors focused on the weaker full-year results and unresolved transition rather than the quarterly improvement. Fiscal 2026 revenue and adjusted EBITDA both declined year over year, and management acknowledged adjustments to previously reported Q3 results.

Key Takeaways

• Fiscal 2026 revenue was $410.7 million and adjusted EBITDA was $198.8 million; both were lower than the prior year.
• Excluding the Credas disposal, Q4 revenue rose 4% year over year and adjusted EBITDA increased 18%; operating cash flow was $65.6 million, up 15%.
• Q4 adjusted EBITDA margin was approximately 53%, versus approximately 45% a year earlier. Management noted part of the sequential margin improvement was seasonal.
• Canada revenue grew 9% year over year in Q4, while Canada segment adjusted EBITDA rose 13%.
• The company reported approximately $20 million in annualized run-rate cost savings for fiscal 2026 and said it expects to complete remaining initiatives by the end of fiscal 2027.