Grew Quarterly Net Sales 32% and Gross Profit 36% Year-Over-Year
Increased Quarterly Adjusted EBITDA and Expanded Adjusted EBITDA Margin Both Sequentially and Year-Over-Year
Orders Backlog Increases to Record $368 Million, Marking Second Consecutive Quarterly Record
Raises Guidance to Full Year 2026 Net Sales of $749 to $769 Million and Adjusted EBITDA of $139 to $144 Million
JACKSONVILLE, Fla.--(BUSINESS WIRE)--August 05, 2026--
Cadre Holdings, Inc. (NYSE: CDRE) ("Cadre" or "Company"), a global leader in the manufacturing and distribution of safety equipment and other related products for the law enforcement, first responder, military and nuclear markets, announced today its consolidated operating results for the three and six months ended June 30, 2026.
-- Net sales of $207.1 million for the second quarter; net sales of $362.6
million for the six months ended June 30, 2026.
-- Gross profit margin of 42.1% for the second quarter; gross profit
margin of 40.6% for the six months ended June 30, 2026.
-- Net income of $11.4 million, or $0.26 per diluted share, for the second
quarter; net income of $13.4 million, or $0.31 per diluted share, for the
six months ended June 30, 2026.
-- Adjusted EBITDA of $42.0 million for the second quarter; Adjusted
EBITDA of $63.1 million for the six months ended June 30, 2026.
-- Adjusted EBITDA margin of 20.3% for the second quarter; Adjusted EBITDA
margin of 17.4% for the six months ended June 30, 2026.
-- Declared quarterly cash dividend of $0.10 per share in July 2026.
"We delivered outstanding Q2 results that exceeded our expectations, reflecting continued strong demand trends for our mission critical safety equipment, together with consistent execution and the benefits of the Cadre operating model," said Warren Kanders, CEO and Chairman. "Net sales, gross profit, and Adjusted EBITDA increased significantly this quarter, with an Adjusted EBITDA margin that improved 310 basis points year-over-year. Our strong year-to-date financial and operational performance, combined with our record orders backlog and continued momentum entering the second half of the year, gives us increased confidence in our outlook. As a result, we are raising our full-year guidance and remain well positioned to deliver meaningful growth and profitability in 2026 and beyond."
Mr. Kanders added, "We are firmly focused on strengthening our industry-leading safety platform and delivering differentiated capabilities to a growing global customer base. Building on our recent bolt-on acquisition of a recognized holster brand, disciplined M&A remains a core component of our growth strategy. We are actively evaluating a robust pipeline of complementary, mission-critical businesses with leading market positions, strong financial profiles, durable demand characteristics and significant potential for value creation through operational improvement and effective integration."
Second Quarter and Six-Month 2026 Operating Results
For the quarter ended June 30, 2026, Cadre generated net sales of $207.1 million, as compared to $157.1 million for the quarter ended June 30, 2025. This increase was primarily a result of current year acquisitions and increased demand for nuclear safety, armor, and duty gear products.
For the six months ended June 30, 2026, Cadre generated net sales of $362.6 million, as compared to $287.2 million for the six months ended June 30, 2025, also mainly driven by current and prior year acquisitions, partially offset by lower agency demand for hard goods in the Distribution segment.
For the quarter ended June 30, 2026, Cadre generated gross profit of $87.1 million, as compared to $64.2 million for the quarter ended June 30, 2025. For the six months ended June 30, 2026, Cadre generated gross profit of $147.3 million, as compared to $120.4 million for the prior year period.
Gross profit margin was 42.1% for the quarter ended June 30, 2026, as compared to 40.9% for the quarter ended June 30, 2025, mainly driven by favorable pricing, partially offset by an increase in inventory step-up amortization. Gross profit margin was 40.6% for the six months ended June 30, 2026, as compared to 41.9% for the prior year period.
Net income was $11.4 million for the quarter ended June 30, 2026, as compared to net income of $12.2 million for the quarter ended June 30, 2025. The decrease was primarily a result of increased contingent consideration expense, compensation expense and adverse foreign currency fluctuations, partially offset by increased gross profit.
Net income was $13.4 million for the six months ended June 30, 2026, as compared to net income of $21.5 million for the prior year period, also primarily as a result of increased contingent consideration expense, compensation expense and adverse foreign currency fluctuations, partially offset by increased gross profit.
Cadre generated $42.0 million of Adjusted EBITDA for the quarter ended June 30, 2026, as compared to $27.0 million for the quarter ended June 30, 2025. Adjusted EBITDA margin was 20.3% for the quarter ended June 30, 2026, as compared to 17.2% for the prior year period.
Cadre generated $63.1 million of Adjusted EBITDA for the six months ended June 30, 2026, as compared to $47.5 million for the prior period. Adjusted EBITDA margin was 17.4% for the six months ended June 30, 2026, as compared to 16.5% for the prior year period.
Product segment gross margin was 42.6% and 41.5% for the second quarter and six months ended June 30, 2026, respectively, compared to 41.7% and 42.9% for the prior year periods.
Distribution segment gross margin was 22.8% and 21.4% for the second quarter and six months ended June 30, 2026, respectively, compared to 23.1% and 22.3% for the prior year periods.
Liquidity, Cash Flows and Capital Allocation
-- Cash and cash equivalents decreased by $68.9 million from $122.9
million as of December 31, 2025 to $54.0 million as of June 30, 2026.
-- Total debt increased by $67.1 million from $307.3 million as of
December 31, 2025 to $374.3 million as of June 30, 2026.
-- Net debt (total debt net of cash and cash equivalents) increased by
$136.0 million from $184.4 million as of December 31, 2025 to $320.3
million as of June 30, 2026.
-- Capital expenditures totaled $3.3 million for the second quarter and
$6.4 million for the six months ended June 30, 2026, compared with $1.3
million for the second quarter and $2.7 million for the six months ended
June 30, 2025.
FBI Indefinite Delivery/Indefinite Quantity ("IDIQ") contract
On June 2, 2026, Cadre announced that its subsidiary, Safariland, was selected as the ballistic panel provider integrated into Predictive Ballistics LLC's Overt Armor Kit ("OAK"). Predictive Ballistics was recently awarded a five-year, $61.0 million IDIQ contract by the Federal Bureau of Investigation ("FBI"). The OAK system is also available to the United States Marshals Service, the Drug Enforcement Administration, and other Department of Justice agencies.
Acquisition of Alien Gear Holsters
On April 7, 2026, Cadre completed its acquisition of Alien Gear Holsters and certain assets and liabilities from Tedder Industries, LLC, through a court-supervised bankruptcy auction. Alien Gear Holsters is a leading manufacturer of proprietary holsters and gear for the consumer, law enforcement, military, and security markets.
Dividend
On July 21, 2026, the Company announced that its Board of Directors declared a quarterly cash dividend of $0.10 per share, or $0.40 per share on an annualized basis. Cadre's dividend payment will be made on August 14, 2026 to shareholders of record as of the close of business on the record date of July 31, 2026. The declaration of any future dividend is subject to the discretion of the Company's Board of Directors.
Increased 2026 Outlook
Cadre increased its full-year guidance and expects to generate net sales in 2026 of between $749 million and $769 million and adjusted EBITDA in 2026 of between $139 million and $144 million. We expect capital expenditures to be in the range of $10 million to $14 million. Cadre has not provided net income guidance due to the inherent difficulty of forecasting certain types of expenses and gains, which affect net income but not adjusted EBITDA. Therefore, we do not provide a reconciliation of adjusted EBITDA guidance to net income guidance.
Conference Call
Management will host a conference call on Thursday, August 6, 2026, at 10:00 a.m. EST to discuss the latest corporate developments and financial results. The dial-in number for callers in the US is (800)-715-9871 and the dial-in number for international callers is 646-307-1963. The access code for all callers is 9511718. A live webcast will also be available on the Company's website at https://www.cadre-holdings.com/.
A replay of the call will be available through August 20, 2026. To access the replay, please dial 800-770-2030 in the U.S. or +1-609-800-9909 if outside the U.S., and then enter the access code 9511718.
About Cadre
Headquartered in Jacksonville, Florida, Cadre is a global leader in the manufacturing and distribution of safety products. Cadre's equipment provides critical protection to allow users to safely and securely perform their duties and protect those around them in hazardous or life-threatening situations. The Company's core products include body armor, explosive ordnance disposal equipment, duty gear and nuclear safety products. Our highly engineered products are utilized in over 100 countries by federal, state and local law enforcement, fire and rescue professionals, explosive ordnance disposal teams, and emergency medical technicians. Our key brands include Safariland$(R)$ and Med-Eng(R), amongst others.
Use of Non-GAAP Measures
The Company reports its financial results in accordance with U.S. generally accepted accounting principles ("GAAP"). The press release contains the non-GAAP measures: (i) earnings before interest, taxes, other income or expense, depreciation and amortization ("EBITDA"), (ii) adjusted EBITDA, (iii) adjusted EBITDA margin, and (iv) last twelve months adjusted EBITDA. The Company believes the presentation of these non-GAAP measures provides useful information for the understanding of its ongoing operations and enables investors to focus on period- over-period operating performance, and thereby enhances the user's overall understanding of the Company's current financial performance relative to past performance and provides, along with the nearest GAAP measures, a baseline for modeling future earnings expectations. Non-GAAP measures are reconciled to comparable GAAP financial measures within this press release. We do not provide a reconciliation of the non-GAAP guidance measure adjusted EBITDA for the fiscal year 2026 to net income for the fiscal year 2026, the most comparable GAAP financial measure, due to the inherent difficulty of forecasting certain types of expenses and gains, without unreasonable effort, which affect net income but not adjusted EBITDA. The Company cautions that non-GAAP measures should be considered in addition to, but not as a substitute for, the Company's reported GAAP results. Additionally, the Company notes that there can be no assurance that the above referenced non-GAAP financial measures are comparable to similarly titled financial measures used by other publicly traded companies.
Forward-Looking Statements
Please note that in this press release we may use words such as "appears, " "anticipates," "believes," "plans," "expects," "intends," "future," and similar expressions which constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are made based on our expectations and beliefs concerning future events impacting the Company and therefore involve a number of risks and uncertainties. We caution that forward-looking statements are not guarantees and that actual results could differ materially from those expressed or implied in the forward-looking statements. Potential risks and uncertainties that could cause the actual results of operations or financial condition of the Company to differ materially from those expressed or implied by forward-looking statements in this press release, include, but are not limited to, those risks and uncertainties more fully described from time to time in the Company's public reports filed with the Securities and Exchange Commission, including under the section titled "Risk Factors" in the Company's Annual Report on Form 10-K, and/or Quarterly Reports on Form 10-Q, as well as in the Company's Current Reports on Form 8-K. All forward-looking statements included in this press release are based upon information available to the Company as of the date of this press release and speak only as of the date hereof. We assume no obligation to update any forward- looking statements to reflect events or circumstances after the date of this press release.
CADRE HOLDINGS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands, except share and per share amounts)
June 30, 2026 December 31, 2025
--------------- -------------------
Assets
Current assets
Cash and cash equivalents $ 53,984 $ 122,898
Restricted cash 3,685 2,429
Accounts receivable, net of
allowance for doubtful accounts
of $271 and $273, respectively 128,445 110,607
Inventories 129,120 100,263
Prepaid expenses 15,754 14,574
Other current assets 17,129 15,095
----------- --- --------------
Total current assets 348,117 365,866
Property and equipment, net of
accumulated depreciation and
amortization of $67,795 and
$63,125, respectively 125,441 78,822
Operating lease assets 25,194 19,778
Deferred tax assets, net 4,901 4,816
Intangible assets, net 174,148 114,984
Goodwill 233,907 181,406
Other assets 5,590 4,359
----------- --- --------------
Total assets $ 917,298 $ 770,031
=========== === ==============
Liabilities, Mezzanine Equity and
Shareholders' Equity
Current liabilities
Accounts payable $ 38,895 $ 22,325
Accrued liabilities 97,346 61,066
Income tax payable 6,164 4,838
Current portion of long-term debt 20,012 16,266
----------- --- --------------
Total current liabilities 162,417 104,495
Long-term debt 354,319 290,987
Long-term operating lease
liabilities 17,257 15,039
Deferred tax liabilities 28,510 30,058
Other liabilities 7,993 11,648
----------- --- --------------
Total liabilities 570,496 452,227
----------- --- --------------
Mezzanine equity
Preferred stock ($0.0001 par
value, 10,000,000 shares
authorized, no shares issued and
outstanding as of June 30, 2026
and December 31, 2025) -- --
Shareholders' equity
Common stock ($0.0001 par value,
190,000,000 shares authorized,
42,820,734 and 42,160,656 shares
issued and outstanding as of June
30, 2026 and December 31, 2025,
respectively) 4 4
Additional paid-in capital 309,396 282,570
Accumulated other comprehensive
(loss) income (2,188) 460
Accumulated earnings 39,590 34,770
----------- --- --------------
Total shareholders' equity 346,802 317,804
----------- --- --------------
Total liabilities, mezzanine
equity and shareholders'
equity $ 917,298 $ 770,031
=========== === ==============
CADRE HOLDINGS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(In thousands, except share and per share amounts)
Three Months Ended June
30, Six Months Ended June 30,
-------------------------- ----------------------------
2026 2025 2026 2025
------------ ------------ ------------ --------------
Net sales $ 207,126 $ 157,109 $ 362,555 $ 287,215
Cost of goods sold 119,991 92,860 215,254 166,835
---------- ---------- ---------- ----------
Gross profit 87,135 64,249 147,301 120,380
Operating
expenses
Selling, general
and
administrative 63,220 45,129 112,053 86,882
Restructuring
and transaction
costs 1,453 3,326 3,295 4,024
Related party
expense -- 1,109 2,000 1,237
---------- ---------- ---------- ----------
Total
operating
expenses 64,673 49,564 117,348 92,143
---------- ---------- ---------- ----------
Operating
income 22,462 14,685 29,953 28,237
---------- ---------- ---------- ----------
Other expense
Interest
expense, net (5,019) (3,590) (9,290) (5,821)
Other (expense)
income, net (529) 6,114 (918) 7,401
---------- ---------- ---------- ----------
Total other
expense,
net (5,548) 2,524 (10,208) 1,580
---------- ---------- ---------- ----------
Income before
provision for
income taxes 16,914 17,209 19,745 29,817
Provision for
income taxes (5,507) (4,998) (6,363) (8,358)
---------- ---------- ---------- ----------
Net income $ 11,407 $ 12,211 $ 13,382 $ 21,459
========== ========== ========== ==========
Net income per
share:
Basic $ 0.27 $ 0.30 $ 0.31 $ 0.53
Diluted $ 0.26 $ 0.30 $ 0.31 $ 0.52
Weighted average
shares
outstanding: