UFP Sales Jump 11.1% to $1.73 Billion as Profit Falls in Third Quarter
Key Facts
Third-quarter 2026 results painted a mixed picture for UFP Industries and Colony Bankcorp: the industrial company’s sales grew while its profit declined, and the bank’s net income fell from the previous quarter but rose from a year earlier. UFP reported net sales of $1.73 billion, up 11.1% year over year from $1.56 billion. By contrast, Colony’s net income fell to $10.5 million, or $0.50 per diluted share. The company had reported $10.9 million, or $0.51 per share, in the second quarter and $5.8 million, or $0.33 per share, a year earlier. The results show diverging revenue and profit trends at UFP, while Colony’s income improved year over year despite its quarterly decline.
UFP attributed its sales growth to three factors: a 4% increase in organic units, a 2% contribution from acquisitions and a 5% increase in selling prices. But broader sales did not translate into higher profit: diluted earnings per share fell to $1.05 from $1.29 in the third quarter of 2025. Net earnings attributable to controlling shareholders also declined to $58 million from $75 million a year earlier. The company said, "Earnings were primarily impacted by higher freight and lumber costs." It added that organic unit growth, ongoing cost-cutting measures and improved gross profit at several business units limited the effect of those pressures.
Chief Executive Will Schwartz said organic unit growth strengthened during the quarter despite continued pressure in several end markets. He noted that new products accounted for 8.7% of net sales, an operating metric the company cited in its results. The figures support the growth side of UFP’s performance, but came alongside a year-over-year decline in profit. On costs, the company said it expects to meet or exceed its initial $60 million savings target by year-end. Schwartz added that the company is pursuing additional opportunities to increase productivity and reduce costs.
At Colony, net operating income was $11.6 million, or $0.54 in operating earnings per diluted share, in the third quarter. The bank compared that with $8.2 million and $0.47 per share in the same period of 2025. The provision for credit losses was $1.7 million, down from $1.9 million in the second quarter but up from $900 thousand a year earlier. Loans, excluding loans held for sale, totaled $2.48 billion on September 30, up $12.3 million, or 0.50%, from the previous quarter. Deposits were $2.96 billion at the end of September, compared with $2.97 billion on June 30, a decline of $14.5 million.
Colony’s board declared a quarterly cash dividend of $0.12 per share on October 28. The dividend is scheduled to be paid on November 25 to shareholders of record as of the close of business on November 11. At UFP, cash flow from operating activities totaled $235 million in the first nine months of 2026, and free cash flow reached $287 million. The company said free cash flow was used to repurchase about $183 million in shares. It also said it returned more than $240 million to shareholders through dividends and buybacks during the year, completed three acquisitions and announced a fourth.
UFP ended the quarter with nearly $2 billion in liquidity and no borrowings outstanding under its revolving credit facility, the company said. It said this position gives it flexibility to invest through the economic cycle. Among announced steps, the company is preparing to pay about $27 million in cash in November to acquire Apache Products, which manufactures wooden pallets. For the U.S. economy, the Commerce Department listed November 25, 2026, at 8:30 a.m. Eastern time as the release date for its second estimate of third-quarter gross domestic product and corporate profits. The economic release falls on the same date set for payment of Colony’s announced cash dividend.