Fortune Brands Innovations, Inc. specializes in providing a diverse array of water, outdoor, and security-focused products. Their extensive offerings encompass solutions for ...
Fortune Brands Innovations, Inc. (NYSE: FBIN) is a prominent manufacturer and marketer of home and security products, headquartered in Deerfield, Illinois. Established in 2011 as a spin-off from Fortune Brands, the company has grown into a multi-billion dollar enterprise, with a market capitalization of approximately $6.06 billion as of the ...Fortune Brands Innovations, Inc. (NYSE: FBIN) is a prominent manufacturer and marketer of home and security products, headquartered in Deerfield, Illinois. Established in 2011 as a spin-off from Fortune Brands, the company has grown into a multi-billion dollar enterprise, with a market capitalization of approximately $6.06 billion as of the latest data. The company's portfolio encompasses iconic brands such as Moen (faucets and plumbing fixtures), House of Rohl (luxury fixtures), Aqualisa (showers), Therma-Tru (entry doors), Larson (storm doors), Fiberon (decking and railing), Master Lock (security products), and SentrySafe (safes). These brands cater to both residential and commercial markets, providing solutions for water management, outdoor living, safety, and well-being.
Financially, FBIN reported a revenue per share of $36.75 and a gross profit margin of 45.6%, indicating strong pricing power. The company maintains a healthy balance sheet with a current ratio of 2.01 and a debt-to-equity ratio of 1.21, reflecting prudent leverage. In the trailing twelve months, FBIN generated an operating cash flow per share of $3.16 and free cash flow per share of $2.18, supporting its dividend program with a payout ratio of 1.03 and a dividend yield of 2%. The company's return on equity stands at 6.3%, and its operating cycle is 202 days, with inventory turnover of 2.4 times.
Strategically, FBIN emphasizes innovation and digital transformation, investing in smart home technologies and connected devices. The company's SG&A expenses represent 22.7% of revenue, while R&D is not separately disclosed, suggesting a focus on product development integrated into operations. With an enterprise value-to-EBITDA multiple of 18.33, the stock trades at a premium valuation, reflecting market confidence in its long-term growth prospects. The company's leadership team, under CEO Jesse G. Singh, is committed to enhancing shareholder value through operational excellence and strategic acquisitions. As FBIN continues to navigate the evolving home improvement landscape, it remains well-positioned to capitalize on trends such as sustainability, aging in place, and smart home adoption.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$4.5B
-3.2%
+14.1%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$298.8M
-36.7%
-193.0%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+44.6%
-0.6%
+22.9%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+13.9%
-13.0%
-111.3%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+6.7%
-34.6%
-181.5%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$366.8M
-22.7%
+228.5%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+8.2%
-20.2%
+212.6%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
106.5%
-8.7%
-3.5%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
1.84x
+47.1%
-5.6%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Greetings, and welcome to the Fortune Brands Innovations Second Quarter 2026 Earnings Call. Please note, this conference is being recorded. I will now turn the conference over to your host, Curt Worthington, Vice President, Finance, and Investor Relations. Thank you. You may begin.
Curt Worthington: Good afternoon, everyone, and welcome to the Fortune Brands Innovations Second Quarter 2026 Earnings Call. Hopefully, everyone has had a chance to review our earnings release. The earnings release, earnings presentation, and audio replay of this call can be found on the Investors section of our fbin.com website. I want to remind everyone that the forward-looking statements we make on the call today, either in our prepared remarks or in the associated question-and-answer session, are based on current expectations and market outlook and are subject to certain risks and uncertainties that may cause actual results to differ materially from those currently anticipated. These risks are detailed in our various filings with the SEC. The company does not undertake any obligation to update or revise any forward-looking statements, except as required by law. Any references to operating profit or margin, earnings per share, or free cash flow on today's call will focus on our results on a before charges and gains basis unless otherwise specified. Please visit our website for our reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures. With me on the call today are Jesse Singh, our new Chief Executive Officer; Dave Barry, our Chief Operating Officer; and Ashley George, our Interim Chief Financial Officer. Following our prepared remarks, we have allowed time to address questions. With that, I will turn the call over to Jesse. Jesse?
Jesse Singh: Thank you, Curt, and good afternoon, everyone. I'm honored and energized to join Fortune Brands Innovations as Chief Executive Officer. Many thanks to the Board for its confidence and to Dave and the leadership team for the decisive actions they've taken over the past 2 quarters. I'd also like to thank the Fortune Brands team for their hard work through a period of change. I have been here a month and what I've seen so far has made me even more excited about the long-term opportunity to accelerate growth and expand margins. We have truly exceptional brands, talented people, and decades of strong customer relationships, and our results over the last few years have lagged our potential. We have great core businesses, including Moen, Therma-Tru, and Master Lock. We also have 2 relevant adjacencies that have become core to the company in our Moen Flo and our Yale connected locks business. We believe we have clear opportunities to expand our position and grow the market in each of these opportunities. We must continue to invest and expand in our core while nurturing our adjacencies. We also have very good people who want to do the right thing, but we, as …