James Hardie Industries reports QQ1 2026 revenue of USD 899.9 million, down 10.5% year over year and 5.6% quarter over quarter, with a solid but decelerating margin profile. Gross margin stood at 37.4% in the quarter, while EBITDA reached USD 225.2 million (EBITDA margin 25.0%), and operating income was USD 138.6 million (operating margin 15.4%). Net income totaled USD 62.6 million, or USD 0.15 per share, up 12.6% year over year but down 55.8% quarter over quarter. The company generated USD 206.9 million in operating cash flow and USD 103.7 million in free cash flow, supporting a strong liquidity position, including cash and cash equivalents of USD 391.6 million and total cash at period end of USD 2.112 billion. Net debt stood at USD 2.218 billion, reflecting a high leverage profile despite substantial cash generation. During the quarter, management executed a notable financing activity, with debt repayment of USD 1.410 billion and net cash provided by financing activities of USD 1.403 billion, suggesting active deleveraging and/or refinancing activity. The balance sheet remains robust with total assets of USD 6.787 billion and current assets of USD 3.172 billion, yielding a healthy current ratio around 3.8x. The company continues to invest in capacity and technology (capex USD 103.2 million) while navigating a housing-market led, cyclically sensitive demand environment. The QQ1 results reflect a company with durable profitability and meaningful cash generation, but with meaningful leverage that warrants monitoring as the housing cycle evolves.