Apogee Enterprises reported a solid Q2 2026 with modest top-line growth and meaningful cash generation, but with notable margin challenges tied to tariff-driven price increases in Metals and ongoing price/volume pressure in Glass. Net sales rose 4.6% year over year to $358.2 million, supported by inorganic contributions from UW Solutions and strong organic growth in Performance Surfaces, while Architectural Services backlog expanded by more than $100 million. Despite these gains, gross margin compressed year over year, and adjusted EBITDA margin eased to 12.4%, driven by higher material costs, tariffs, and health insurance expenses. Management updated the full-year outlook to net sales of $1.39–$1.42 billion and adjusted diluted EPS of $3.60–$3.90, incorporating an estimated tariff impact of $0.35–$0.45 per share and a tax rate around 27%. The company remains focused on cost actions (Project Fortify), productivity gains (AMS), and an active M&A program to broaden core capabilities and geographic reach. Strong free cash flow generation ($52.4 million) and a leverage ratio of 1.5x position APOG well for strategic investments, though near-term performance will hinge on mitigation of aluminum cost pressures and competitive dynamics in Glass. Long-term, APOG’s value proposition rests on Performance Surfaces growth, premium Glass positioning, and an expanding Services backlog, all of which support a constructive but cautious investment view given macro and input-cost headwinds.