Atkore Inc. Faces Significant Losses in Q4 2025
Chicago, Thursday, 20 November 2025.
Atkore Inc. reported a Q4 2025 net loss of $54.4 million, down from a $73.1 million net income last year, largely due to asset impairments in their HDPE business.
Financial Performance and Challenges
Atkore Inc. (NYSE: ATKR) has announced a significant downturn in its financial performance for the fourth quarter of 2025, reporting a net loss of $54.4 million. This marks a substantial decline from the $73.1 million net income recorded in the same quarter of the previous year. The losses were primarily driven by a $66.7 million non-cash impairment related to long-lived assets in its High-Density Polyethylene (HDPE) business and an $18.9 million non-cash goodwill impairment in the Mechanical reporting unit [1].
Decline in Net Sales
The company’s net sales for the quarter decreased to $752.0 million, down from $788.3 million in the fourth quarter of 2024, reflecting a 4.6% reduction. This downturn in sales indicates broader economic challenges impacting the company’s performance, including pricing normalization and increased raw material costs. These challenges are part of a larger trend affecting the U.S. non-residential construction industry and related sectors [1][2].
Impact on Stock and Future Outlook
Following the earnings announcement, Atkore’s stock experienced a decline of over 10% in pre-market trading. The earnings miss has also led to a reduced profit outlook for fiscal 2026, with projected adjusted EBITDA between $340 million and $360 million, and an adjusted net income per diluted share of $5.05 to $5.55. This outlook falls below analyst expectations, which had anticipated a midpoint adjusted EPS of $5.59 [3][4].
Strategic Moves and Market Positioning
In response to the financial challenges, Atkore is undertaking strategic initiatives, including the potential divestiture of non-core assets and the closure of three manufacturing facilities expected by early 2026. These actions aim to streamline operations and improve profitability. The company remains optimistic about future market demand, particularly in key electrical sectors, and has expanded its strategic review to explore options that could maximize shareholder value [4][5].