{"success":true,"data":{"pressRelease":{"id":"108500","rtpr_id":"nBw1nSGnXa","ticker":"MBC","exchange":"NYSE","all_tickers":["MBC"],"title":"MasterBrand Reports Second Quarter 2026 Financial Results","author":"Business Wire","published_at":"2026-08-04T20:05:00.332Z","article_body":"MasterBrand Reports Second Quarter 2026 Financial Results\n\n\n * Closed transformative all-stock merger with American Woodmark during the\nquarter and raised long-term annual run-rate cost synergy target to over $100\nmillion\n\n * Net sales were $815.2 million, including a $125.5 million contribution from\nAmerican Woodmark\n\n * Net loss was $(57.6) million and net loss margin was (7.1)%\n\n * Adjusted EBITDA(1) was $62.5 million, representing an adjusted EBITDA\nmargin(1) of 7.7%\n\n * Diluted (loss) earnings per share were $(0.38), compared to $0.29 in the prior\nyear period, adjusted diluted earnings per share(1) were $0.05, compared to\n$0.40 in the prior year period\n\n * Company introduces second-half 2026 financial outlook, which includes $15\nmillion of synergy realization from the $30 million in annualized synergies\nexecuted to date\n\nMasterBrand, Inc. (NYSE: MBC, the “Company,” or “MasterBrand”), the\nlargest residential cabinet manufacturer in North America, today announced\nsecond quarter 2026 financial results.\n\n“The second quarter marked an important milestone for MasterBrand. We\ncompleted our merger with American Woodmark, establishing the most\ncomprehensive portfolio of trusted cabinetry brands in North America, while\nour legacy business delivered results largely in line with our outlook despite\ncontinued softness in demand,” said Dave Banyard, President and Chief\nExecutive Officer. “With integration ahead of schedule, we remain confident\nthat this combination positions MasterBrand to streamline our cost structure,\nunlock greater earnings power, and drive growth as our markets recover.”\n\nSecond Quarter 2026\n\nResults for the second quarter include American Woodmark from the May 28,\n2026, close date. Prior year comparisons reflect legacy MasterBrand only.\n\nNet sales were $815.2 million, including a $125.5 million contribution from\nAmerican Woodmark. Legacy MasterBrand net sales were $689.7 million, a\ndecrease of 5.6% compared to the second quarter of 2025, reflecting a mid- to\nhigh-single-digit market decline, as expected, slightly offset by favorable\nnet average selling price (“ASP”) due to the flow through of tariff\npricing.\n\nGross profit was $205.5 million, with a contribution of $16.7 million from\nAmerican Woodmark. Gross profit margin was 25.2%. Legacy MasterBrand gross\nprofit was $188.8 million, compared to $239.7 million in the prior year\nperiod. Legacy gross profit margin decreased 540 basis points to 27.4%,\ncompared to 32.8% in the second quarter of 2025, driven by lower volume and\nthe related unfavorable fixed cost leverage, unfavorable product mix, and\nmaterial, labor, and freight inflation, partially offset by our continuous\nimprovement efforts and favorable ASP from tariff pricing flow-through.\n\nNet (loss) income was $(57.6) million, with a contribution of $(28.9) million\nfrom American Woodmark and net (loss) income margin was (7.1)%. Legacy net\n(loss) income was $(28.7) million compared to $37.3 million in the second\nquarter of 2025 and net (loss) income margin was (4.2)%, compared to net\nincome margin of 5.1% in the prior year, driven by lower gross profit and\nhigher SG&A expenses, primarily due to merger-related costs, and a higher\ntax expense due to non-deductible expenses and jurisdictional differences,\npartially offset by the initial benefits of cost actions taken in the quarter.\n\nAdjusted EBITDA(1) was $62.5 million, including a $4.3 million contribution\nfrom American Woodmark. Adjusted EBITDA margin(1) was 7.7%. Legacy MasterBrand\nadjusted EBITDA(1) was $58.2 million compared to $105.4 million in the prior\nyear period, and adjusted EBITDA margin(1) was 8.4%, down 600 basis points due\nto market driven volume declines and the related unfavorable fixed cost\nleverage, unfavorable product mix, and material, labor, and freight inflation,\npartially offset by the flow through of tariff mitigation, our continuous\nimprovement efforts and previously announced cost actions.\n\nDiluted (loss) earnings per share were $(0.38) based on 153.6 million weighted\naverage shares outstanding compared to $0.29 in the second quarter of 2025\nbased on 129.1 million weighted average shares outstanding. Adjusted diluted\nearnings per share(1) was $0.05 based on 153.6 million weighted average shares\noutstanding compared to $0.40 in the second quarter of 2025 based on 129.1\nmillion weighted average shares outstanding.\n\nAmerican Woodmark Integration and Synergies\n\nOn May 28, 2026, MasterBrand completed its merger with American Woodmark,\ncreating the most comprehensive portfolio of trusted cabinetry brands in North\nAmerica. Integration of American Woodmark is underway, with approximately $30\nmillion of annual synergy actions completed as of the end of July. The Company\nnow expects over $100 million in annual run-rate cost synergies by the end of\nyear three post-close, exceeding its original synergy target. This target\nexcludes the previously announced $30 million legacy MasterBrand cost\nreduction initiative and American Woodmark's closure of its Monterrey, Mexico,\nfacility, both of which are incremental.\n\nBalance Sheet, Cash Flow and Capital Allocation\n\nAs of June 28, 2026, the Company had $241.6 million in cash and $393.9 million\nof availability under its revolving credit facility. Additionally, total debt\nwas $1,390.3 million, net debt(1) was $1,148.7 million and the ratio of net\ndebt to adjusted EBITDA(1) from the most recent trailing twelve months,\ninclusive of American Woodmark’s most recent trailing twelve-months adjusted\nEBITDA(1), was 3.9x. The Company's credit agreement permits the inclusion of\ntrailing twelve-month adjusted EBITDA for American Woodmark and stock-based\ncompensation, among other permitted adjustments, for covenant compliance\npurposes. The Company remained in full compliance with all applicable\nfinancial covenants related to its outstanding debt as of the end of the\nsecond quarter.\n\nNet cash provided by operating activities was $5.8 million for the twenty-six\nweeks ended June 28, 2026, compared to $53.4 million for the twenty-six weeks\nended June 29, 2025. Free cash flow(1) was $(17.6) million for the twenty-six\nweeks ended June 28, 2026, compared to $25.5 million in the prior-year period.\nThe decrease in net cash provided by operating activities and free cash flow\nwere driven by a decrease in net income in the twenty-six weeks ended June 28,\n2026, compared to the twenty-six weeks ended June 29, 2025.\n\nNo share repurchases were made during the second quarter of 2026. The Company\nintends to prioritize integration investments and debt reduction and is\ncurrently targeting net leverage below 2.0x by the end of 2028.\n\nSecond-Half 2026 Financial Outlook\n\nFor the second half of 2026, the Company expects the following:\n\n\n * Net sales of $2.05 to $2.11 billion\n\n * Adjusted EBITDA(1,2) in the range of $129 to $149 million, with related\nadjusted EBITDA margin(1,2) in the range of 6.3% to 7.1%\n\n * Adjusted diluted earnings per share(1,2) in the range of $(0.05) to $0.03\n\n\n* Reflects interest expense of approximately $50 million, reflecting the newly\narranged $375 million delayed-draw Term Loan A used to retire American\nWoodmark's debt at close\n\n\n\n\nThis outlook reflects the combined company, with American Woodmark included\nfor the full second half, and includes approximately $15 million of synergy\ncapture and approximately $11 million of IEEPA duty refunds received and\nexpected to be received over the period.\n\nFor full year 2026, MasterBrand is reiterating its expectation that its\naddressable market will be down mid-single digits. The Company now expects the\nfollowing:\n\n\n * Gross tariff costs of approximately 5-6% of full-year 2026 net sales; expected\nto be fully offset on a dollar-for-dollar run-rate basis by end of year\n\n * The Company continues to expect free cash flow(1) for full-year 2026 to be in\nexcess of net income\n\nThis financial outlook only reflects the impact of those tariffs in effect as\nof the date of this release and does not reflect any other potential tariffs\nor tariff-related impacts on company costs or end market demand. The Company\nbelieves the dynamic nature of tariffs, specifically the uncertainty of\nimplementation, potential timing and duration, limits the usefulness of\nestimating this information. MasterBrand undertakes no obligation to update\nthis outlook as circumstances evolve. This outlook reflects the combined\ncompany including American Woodmark.\n\n\"Our teams continued to execute cost actions and tariff mitigation efforts\nwhile accomplishing early synergy realization from the combination,\" said Andi\nSimon, Executive Vice President and Chief Financial Officer. \"With the merger\ncomplete and integration planning continuing and converting to execution, we\nare introducing second-half 2026 outlook for the combined company. Our\npriorities from here are clear: disciplined execution on costs and synergies,\nand steady progress on the balance sheet.\"\n (1 )- See \"Non-GAAP Financial Measures\" and the corresponding financial tables  \n at the end of this press release for definitions and reconciliations of         \n non-GAAP measures.                                                              \n (2) - We have not provided a reconciliation of our second half of 2026          \n adjusted EBITDA, adjusted EBITDA margin and adjusted diluted EPS guidance       \n because the information needed to reconcile these measures is unavailable due   \n to the inherent difficulty of forecasting the timing or amount of various       \n items that have not yet occurred and which may be excluded from adjusted        \n EBITDA, adjusted EBITDA margin and adjusted diluted EPS. Additionally,          \n estimating such GAAP measures and providing a meaningful reconciliation for     \n future periods requires a level of precision that is unavailable for these      \n future periods and cannot be accomplished without unreasonable effort.          \n Forward-looking non-GAAP measures are estimated consistent with the relevant    \n definitions and assumptions used for historical non-GAAP measures.              \n\n\nConference Call Details\n\nThe Company will hold a live conference call and webcast at 4:30 p.m. ET\ntoday, August 4, 2026, to discuss the financial results and business outlook.\nTelephone access to the live call will be available at (877) 407-4019 (U.S.)\nor by dialing +1 (201) 689-8337 (international). The live audio webcast can be\naccessed on the “Investors” section of the MasterBrand website,\nwww.masterbrand.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.masterbrand.com&esheet=54583257&newsitemid=20260804517345&lan=en-US&anchor=www.masterbrand.com&index=1&md5=49fd6d047f4325339083af2a8683e70f)\n.\n\nA telephone replay will be available approximately one hour following\ncompletion of the call through August 18, 2026. To access the replay, please\ndial (877) 660-6853 (U.S.) or +1 (201) 612-7415 (international). The replay\npasscode is 13761068. An archived webcast of the conference call will also be\navailable on the \"Investors\" page of the Company's website.\n\nNon-GAAP Financial Measures\n\nTo supplement the financial information presented in accordance with generally\naccepted accounting principles in the United States (“GAAP”) in this\nearnings release, certain non-GAAP financial measures as defined under SEC\nrules have been included. It is our intent to provide non-GAAP financial\ninformation to enhance understanding of our financial information as prepared\nin accordance with GAAP. Non-GAAP financial measures should be considered in\naddition to, not as a substitute for, other financial measures prepared in\naccordance with GAAP. Our methods of determining these non-GAAP financial\nmeasures may differ from the methods used by other companies for these or\nsimilar non-GAAP financial measures. Accordingly, these non-GAAP financial\nmeasures may not be comparable to measures used by other companies.\n\nWe use EBITDA, adjusted EBITDA, adjusted EBITDA margin, adjusted net income,\nadjusted net income margin, adjusted diluted earnings per share (“adjusted\ndiluted EPS”), free cash flow, net debt, and net debt to adjusted EBITDA,\nwhich are all non-GAAP financial measures. EBITDA is defined as earnings\nbefore interest, taxes, depreciation and amortization. We evaluate the\nperformance of our business based on income before income taxes, but also look\nto EBITDA as a performance evaluation measure because interest expense is\nrelated to corporate functions, as opposed to operations. For that reason, we\nbelieve EBITDA is a useful metric to investors in evaluating our operating\nresults. Adjusted EBITDA is calculated by removing the impact of\nnon-operational results and special items from EBITDA. Adjusted EBITDA margin\nis calculated as adjusted EBITDA divided by net sales. Adjusted net income is\ncalculated by removing the impact of non-operational results, including\nnon-cash amortization expense, which is not deemed to be indicative of the\nresults of current or future operations, and special items from net income.\nAdjusted net income margin is calculated as adjusted net income divided by net\nsales. Adjusted diluted EPS is a measure of our diluted earnings per share\nexcluding non-operational results and special items. We believe these non-GAAP\nmeasures are useful to investors as they are representative of our core\noperations and are used in the management of our business, including decisions\nconcerning the allocation of resources and assessment of performance.\n\nFree cash flow is defined as cash flow from operations less capital\nexpenditures. We believe that free cash flow is a useful measure to investors\nbecause it is a meaningful indicator of cash generated from operating\nactivities available for the execution of our business strategy, and is used\nin the management of our business, including decisions concerning the\nallocation of resources and assessment of performance. Net debt is defined as\ntotal balance sheet debt less cash and cash equivalents. We believe this\nmeasure is useful to investors as it provides a measure to compare debt less\ncash and cash equivalents across periods on a consistent basis. Net debt to\nadjusted EBITDA is calculated by dividing net debt by the trailing twelve\nmonths adjusted EBITDA. For periods impacted by an acquisition, trailing\ntwelve months adjusted EBITDA includes the full trailing twelve months\nadjusted EBITDA of the acquired entity. Net debt to adjusted EBITDA is used by\nmanagement to assess our financial leverage and ability to service our debt\nobligations.\n\nAs required by SEC rules, detailed reconciliations of these non-GAAP financial\nmeasures to the most directly comparable GAAP measure are included in the\nfinancial statement section of this earnings release. We have not provided a\nreconciliation of our fiscal 2026 second half adjusted EBITDA, adjusted EBITDA\nmargin and adjusted diluted EPS guidance because the information needed to\nreconcile these measures is unavailable due to the inherent difficulty of\nforecasting the timing or amount of various items that have not yet occurred,\nincluding restructuring and other charges, which are excluded from adjusted\nEBITDA, adjusted EBITDA margin, and adjusted diluted EPS. Additionally,\nestimating such GAAP measures and providing a meaningful reconciliation\nconsistent with the Company’s accounting policies for future periods\nrequires a level of precision that is unavailable for these future periods and\ncannot be accomplished without unreasonable effort. Forward-looking non-GAAP\nmeasures are estimated consistent with the relevant definitions and\nassumptions used for historical non-GAAP measures.\n\nAbout MasterBrand:\n\nMasterBrand, Inc. (NYSE: MBC) is the largest manufacturer of residential\ncabinets in North America and offers a comprehensive portfolio of leading\nresidential cabinetry products for the kitchen, bathroom and other parts of\nthe home. Delivered through our exceptional distribution network, MasterBrand\nproducts are available in a wide variety of designs, finishes and styles and\nspan the most attractive categories of the cabinets market: stock, semi-custom\nand premium cabinetry. Additional information can be found at\nwww.masterbrand.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.masterbrand.com&esheet=54583257&newsitemid=20260804517345&lan=en-US&anchor=www.masterbrand.com&index=2&md5=6128a455b0f5506d04b5c81585e8f61e)\n.\n\nForward-Looking Statements:\n\nCertain statements contained in this Press Release, other than purely\nhistorical information, including, but not limited to estimates, projections,\nstatements relating to our business plans, objectives and expected operating\nresults, financial outlook and cost synergies, and the assumptions upon which\nthose statements are based, are forward-looking statements. Statements\npreceded by, followed by or that otherwise include the word “believes,”\n“expects,” “anticipates,” “intends,” “projects,”\n“estimates,” “plans,” “priorities,” “may increase,” “may\nfluctuate,” and similar expressions or future or conditional verbs such as\n“will,” “should,” “would,” “may,” and “could,” are\ngenerally forward-looking in nature and not historical facts. Where, in any\nforward-looking statement, we express an expectation or belief as to future\nresults or events, such expectation or belief is based on the current plans\nand expectations of our management. Although we believe that these statements\nare based on reasonable assumptions, they are subject to numerous factors,\nrisks and uncertainties that could cause actual outcomes and results to be\nmaterially different from those indicated in such statements. These factors\ninclude those listed under “Risk Factors” in Part I, Item 1A of our Form\n10-K for the fiscal year ended December 28, 2025, Part II, Item 1A of our\nsubsequent Forms 10-Q and other filings with the SEC.\n\nThe forward-looking statements included in this document are made as of the\ndate of this Press Release and, except pursuant to any obligations to disclose\nmaterial information under the federal securities laws, we undertake no\nobligation to update, amend or clarify any forward-looking statements to\nreflect events, new information or circumstances occurring after the date of\nthis Press Release.\n\nSome of the important factors that could cause our actual results to differ\nmaterially from those projected in any such forward-looking statements\ninclude:\n\n\n * Our ability to develop and expand our business;\n\n * Our ability to develop new products or respond to changing consumer\npreferences and purchasing practices;\n\n * Our anticipated financial resources and capital spending;\n\n * Our ability to manage costs;\n\n * Our ability to effectively manage manufacturing operations and capacity, or an\ninability to maintain the quality of our products;\n\n * The impact of our dependence on third parties to source raw materials and our\nability to obtain raw materials in a timely manner or fluctuations in raw\nmaterial costs;\n\n * Our ability to accurately price our products;\n\n * Our projections of future performance, including future revenues, capital\nexpenditures, gross margins, and cash flows;\n\n * The effects of competition;\n\n * Costs of complying with evolving tax and other regulatory requirements and the\neffect of actual or alleged violations of tax, environmental or other laws;\n\n * The effect of climate change and unpredictable seasonal and weather factors;\n\n * Conditions in the housing market in the United States, Canada and Mexico;\n\n * The expected strength of our existing customers and consumers and any loss or\nreduction in business from one or more of our key customers or increased\nbuying power of large customers;\n\n * Information systems interruptions or intrusions or the unauthorized release of\nconfidential information concerning customers, employees, or other third\nparties;\n\n * Worldwide economic, geopolitical and business conditions and risks associated\nwith doing business on a global basis, including risks associated with\nuncertain trade environments, changes to U.S. tariff policy and retaliatory\ntariffs imposed by other countries;\n\n * The effects of a public health crisis or other unexpected event;\n\n * Our ability to successfully integrate American Woodmark’s operations,\nsystems, personnel, and business processes and realize anticipated synergies,\ncost savings, and other strategic benefits within expected timeframes or at\nall;\n\n * The impact of our current and any additional future debt obligations on our\nbusiness, current and future operations, profitability and our ability to meet\nother obligations;\n\n * Business disruption, operational inefficiencies or increased costs resulting\nfrom integration activities following the acquisition of American Woodmark;\n\n * The diversion of management attention and resources from ongoing business\noperations as a result of integration activities and strategic initiatives\nassociated with the acquisition of American Woodmark;\n\n * Our ability to maintain relationships with customers, suppliers, associates\nand other business partners following the acquisition of American Woodmark;\n\n * Our ability to successfully integrate, migrate, or harmonize information\ntechnology systems, cybersecurity controls, financial reporting systems and\nother business processes across the combined company;\n\n * Unexpected integration costs, operational challenges, disruptions or\nliabilities associated with the acquisition of American Woodmark;\n\n * Our ability to retain key employees and leadership personnel and effectively\nintegrate workforces and corporate cultures;\n\n * Our ability to optimize manufacturing operations, distribution networks and\nsupply chain activities while minimizing disruption to customers and\noperations; and\n\n * Other statements contained in this Press Release regarding items that are not\nhistorical facts or that involve predictions.\n CONDENSED CONSOLIDATED STATEMENTS OF (LOSS) INCOME                                                                                                              \n (Unaudited)                                                                                                                                                     \n                                                                                                                                                                 \n                                                                   13 Weeks Ended                                 26 Weeks Ended                                 \n (U.S. Dollars presented in millions, except per share amounts)    June 28,                June 29,               June 28,                  June 29,             \n                                                                   \n2026                   \n2025                  \n2026                     \n2025                \n NET SALES                                                         $     815.2             $     730.9            $     1,433.2             $     1,391.2        \n Cost of products sold                                                   609.7                   491.2                  1,071.1                   949.3          \n GROSS PROFIT                                                            205.5                   239.7                  362.1                     441.9          \n Gross Profit Margin                                                     25.2   %                32.8   %               25.3     %                31.8     %     \n Selling, general and administrative expenses                            216.7                   159.4                  372.6                     313.4          \n Amortization of intangible assets                                       7.4                     6.4                    13.8                      12.8           \n Restructuring charges                                                   9.2                     6.6                    22.0                      11.3           \n OPERATING (LOSS) INCOME                                                 (27.8  )                67.3                   (46.3    )                104.4          \n Interest expense                                                        20.8                    18.9                   39.2                      38.3           \n Other income, net                                                       (0.1   )                (0.6   )               (0.9     )                (0.2     )     \n (LOSS) INCOME BEFORE TAXES                                              (48.5  )                49.0                   (84.6    )                66.3           \n Income tax expense (benefit)                                            9.1                     11.7                   (11.6    )                15.7           \n NET (LOSS) INCOME                                                 $     (57.6  )          $     37.3             $     (73.0    )          $     50.6           \n Average Number of Shares of Common Stock Outstanding                                                                                                            \n Basic                                                                   153.6                   126.8                  140.6                     127.2          \n Diluted                                                                 153.6                   129.1                  140.6                     129.9          \n (Loss) Earnings Per Common Share                                                                                                                                \n Basic                                                             $     (0.38  )          $     0.29             $     (0.52    )          $     0.40           \n Diluted                                                           $     (0.38  )          $     0.29             $     (0.52    )          $     0.39           \n\n SUPPLEMENTAL INFORMATION - Quarter-to-date                                                                                      \n (Unaudited)                                                                                                                     \n                                                                                                                                 \n                                                                                   13 Weeks Ended           13 Weeks Ended       \n                                                                                   June 28,                 June 29,             \n (U.S. Dollars presented in millions, except per share amounts and percentages)    2026                     2025                 \n 1. Reconciliation of Net (Loss) Income to EBITDA to ADJUSTED EBITDA                                                             \n Net (loss) income (GAAP)                                                          $      (57.6  )          $      37.3          \n Interest expense                                                                         20.8                     18.9          \n Income tax expense                                                                       9.1                      11.7          \n Depreciation and amortization expense                                                    34.4                     24.2          \n EBITDA (Non-GAAP Measure)                                                         $      6.7               $      92.1          \n [1] Restructuring charges                                                                9.2                      6.6           \n [2] Restructuring-related charges                                                        5.6                      4.9           \n [3] Acquisition-related costs                                                            38.4                     1.9           \n [5] Recognition of pension settlement adjustment                                         —                        (0.1   )      \n [6] Purchase accounting cost of products sold                                            2.6                      —             \n Adjusted EBITDA (Non-GAAP Measure)                                                $      62.5              $      105.4         \n                                                                                                                                 \n 2. Reconciliation of Net (Loss) Income to Adjusted Net Income                                                                   \n Net (loss) income (GAAP)                                                          $      (57.6  )          $      37.3          \n [1] Restructuring charges                                                                9.2                      6.6           \n [2] Restructuring-related charges                                                        5.6                      4.9           \n [3] Acquisition-related costs                                                            38.4                     1.9           \n [5] Recognition of pension settlement adjustment                                         —                        (0.1   )      \n [6] Purchase accounting cost of products sold                                            2.6                      —             \n [7] Amortization of intangible assets                                                    7.4                      6.4           \n [8] Change in effective tax rate                                                         15.8                     —             \n [9] Income tax impact of adjustments                                                     (13.8  )                 (4.9   )      \n Adjusted Net Income (Non-GAAP Measure)                                            $      7.6               $      52.1          \n                                                                                                                                 \n 3. (Loss) Earnings per Share Summary                                                                                            \n Diluted (Loss) Earnings Per Share (GAAP)                                          $      (0.38  )          $      0.29          \n Impact of adjustments                                                             $      0.43              $      0.11          \n Adjusted Diluted Earnings Per Share (Non-GAAP Measure)                            $      0.05              $      0.40          \n                                                                                                                                 \n Weighted average diluted shares outstanding                                              153.6                    129.1         \n                                                                                                                                 \n 4. Profit Margins                                                                                                               \n Net Sales (GAAP)                                                                  $      815.2             $      730.9         \n Net (Loss) Income Margin percentage (GAAP)                                               (7.1   )%                5.1    %      \n Adjusted Net Income Margin percentage (Non-GAAP Measure)                                 0.9    %                 7.1    %      \n Adjusted EBITDA Margin percentage (Non-GAAP Measure)                                     7.7    %                 14.4   %      \n\n SUPPLEMENTAL INFORMATION                                                                                                              \n (Unaudited)                                                                                                                           \n                                                                                                                                       \n                                                                                     26 Weeks Ended             26 Weeks Ended         \n                                                                                     June 28,                   June 29,               \n (U.S. Dollars presented in millions, except per share amounts and percentages)      2026                       2025                   \n 1. Reconciliation of Net (Loss) Income to EBITDA to Adjusted EBITDA                                                                   \n Net (Loss) Income (GAAP)                                                            $      (73.0    )          $      50.6            \n Interest expense                                                                           39.2                       38.3            \n Income tax (benefit) expense                                                               (11.6    )                 15.7            \n Depreciation and amortization expense                                                      57.1                       47.0            \n EBITDA (Non-GAAP Measure)                                                           $      11.7                $      151.6           \n [1] Restructuring charges                                                                  22.0                       11.3            \n [2] Restructuring-related charges                                                          10.7                       5.9             \n [3] Acquisition-related costs                                                              44.0                       3.5             \n [4] Insurance recoveries                                                                   (0.5     )                 —               \n [5] Recognition of pension settlement charge                                               —                          0.2             \n [6] Purchase accounting cost of products sold                                              2.6                        —               \n Adjusted EBITDA (Non-GAAP Measure)                                                  $      90.5                $      172.5           \n                                                                                                                                       \n 2. Reconciliation of Net (Loss) Income to Adjusted Net (Loss) Income                                                                  \n Net (Loss) Income (GAAP)                                                            $      (73.0    )          $      50.6            \n [1] Restructuring charges                                                                  22.0                       11.3            \n [2] Restructuring-related charges                                                          10.7                       5.9             \n [3] Acquisition-related costs                                                              44.0                       3.5             \n [4] Insurance recoveries                                                                   (0.5     )                 —               \n [5] Recognition of pension settlement charge                                               —                          0.2             \n [6] Purchase accounting cost of products sold                                              2.6                        —               \n [7] Amortization of intangible assets                                                      13.8                       12.8            \n [9] Income tax impact of adjustments                                                       (19.8    )                 (8.4     )      \n Adjusted Net (Loss) Income (Non-GAAP Measure)                                       $      (0.2     )          $      75.9            \n                                                                                                                                       \n 3. (Loss) Earnings per Share Summary                                                                                                  \n Diluted (Loss) Earnings Per Share (GAAP)                                            $      (0.52    )          $      0.39            \n Impact of adjustments                                                               $      0.52                $      0.19            \n Adjusted Diluted (Loss) Earnings Per Share (Non-GAAP Measure)                       $      —                   $      0.58            \n                                                                                                                                       \n Weighted average diluted shares outstanding                                                140.6                      129.9           \n                                                                                                                                       \n 4. Profit Margins                                                                                                                     \n Net Sales (GAAP)                                                                    $      1,433.2             $      1,391.2         \n Net (Loss) Income margin percentage (GAAP)                                                 (5.1     )%                3.6      %      \n Adjusted Net (Loss) Income margin percentage (Non-GAAP Measure)                            —        %                 5.5      %      \n Adjusted EBITDA margin percentage (Non-GAAP Measure)                                       6.3      %                 12.4     %      \n                                                                                                                                       \n TICK LEGEND:                                                                                                                          \n [1] Restructuring charges are nonrecurring costs incurred to implement                                                                \n significant cost reduction initiatives and may consist of workforce reduction                                                         \n costs, facility closure costs, cessation of operations and other costs to                                                             \n maintain certain facilities where operations have ceased, but which we are                                                            \n still responsible for. The restructuring charges for all periods presented                                                            \n primarily include costs related to workforce reductions, lease abandonment and                                                        \n asset disposals for facilities that have been closed, but not yet sold. During                                                        \n the thirteen weeks ended March 29, 2026, the Company implemented a voluntary                                                          \n and involuntary separation program to reduce overall headcount, primarily in                                                          \n our corporate functions. As a result of the workforce reduction, the Company                                                          \n recorded $8.1 million of one-time termination benefits during the thirteen                                                            \n weeks ended March 29, 2026.                                                                                                           \n [2] Restructuring-related charges are expenses directly related to                                                                    \n restructuring initiatives that do not represent normal, recurring expenses                                                            \n necessary to operate the business, but cannot be reported as restructuring                                                            \n under GAAP. The restructuring-related charges for all periods presented                                                               \n primarily include losses on disposal of inventories from exiting product                                                              \n lines, losses on the sale of facilities closed as a result of restructuring                                                           \n actions and costs resulting from the redeployment of equipment within the                                                             \n manufacturing footprint.                                                                                                              \n [3] Acquisition-related costs are transaction and integration costs, including                                                        \n legal, accounting and other professional fees, severance, stock-based                                                                 \n compensation and other integration related costs. These charges are primarily                                                         \n recorded within selling, general and administrative expenses within the                                                               \n Condensed Consolidated Statements of Income. Acquisition-related costs are                                                            \n significantly impacted by the timing and complexity of the underlying                                                                 \n acquisition related activities and are not indicative of the Company’s                                                                \n ongoing operating performance. The acquisition-related costs incurred in the                                                          \n thirteen and twenty-six weeks ended June 28, 2026, are primarily associated                                                           \n with the acquisition of American Woodmark, which closed on May 28, 2026. Costs                                                        \n for both periods are comprised primarily of severance costs, including                                                                \n accelerated share-based compensation, and professional fees. The                                                                      \n acquisition-related costs incurred in the thirteen and twenty-six weeks ended                                                         \n June 29, 2025, are associated with the acquisition of Supreme Cabinetry                                                               \n Brands, Inc., which was announced in the second quarter of fiscal 2024 and                                                            \n closed early in the third quarter of fiscal 2024. Costs for both periods are                                                          \n comprised primarily of professional fees.                                                                                             \n Certain of the acquisition-related costs incurred are deemed non-deductible                                                           \n for U.S. tax purposes. The tax impact of these non-deductible                                                                         \n acquisition-related costs was $2.0 million and $3.4 million for the thirteen                                                          \n and twenty-six weeks ended June 28, 2026, respectively. For the thirteen and                                                          \n twenty-six weeks ended June 29, 2025, all acquisition-related costs were                                                              \n deductible. These items are not deemed indicative of ongoing operations and                                                           \n have been excluded from the income tax impact of adjustments for the relevant                                                         \n periods.                                                                                                                              \n [4] Recoveries related to insurance claims are excluded as they are not deemed                                                        \n indicative of future operations. The amount recognized in the twenty-six weeks                                                        \n ended June 28, 2026, related to recoveries of costs from insurable events that                                                        \n occurred within the manufacturing footprint in 2025.                                                                                  \n [5] We exclude the impact of actuarial gains and losses related to our U.S.                                                           \n defined benefit pension plan as they are not deemed indicative of future                                                              \n operations. In 2024, the Company made the decision to terminate our defined                                                           \n benefit pension plan. During the twenty-six weeks ended June 29, 2025, the                                                            \n Company recognized a settlement charge of $0.2 million related to the final                                                           \n valuation of the pension plan.                                                                                                        \n [6] Purchase accounting cost of products sold relates to the fair market value                                                        \n adjustment required under GAAP for inventory obtained in the acquisition of                                                           \n American Woodmark, $2.6 million of which was sold in the second quarter                                                               \n subsequent to the transaction close on May 28, 2026.                                                                                  \n [7] We add back amortization of intangible assets in calculating adjusted net                                                         \n income and adjusted diluted EPS for all periods presented. Non-cash                                                                   \n amortization expenses are not indicative of the Company’s ongoing                                                                     \n operations.                                                                                                                           \n [8] Change in effective tax rate represents catch-up tax expense recorded in                                                          \n the quarter to reflect a change in the estimated annual effective tax rate and                                                        \n is not indicative of future operating results. The Company determines its                                                             \n interim tax provision using an estimated annual effective tax rate                                                                    \n methodology. In the second quarter, an updated full-year pretax income                                                                \n forecast resulted in a significant change to the estimated annual effective                                                           \n tax rate compared with the first quarter, which drove the catch-up tax expense                                                        \n recorded in the quarter. As a result of this adjustment, the sum of quarterly                                                         \n non-GAAP net income reported does not equal the year-to-date non-GAAP net                                                             \n income reported herein.                                                                                                               \n [9] In calculating adjusted net income, the tax effects of each of the                                                                \n adjustments described in Items [1] through [7] above have been reflected using                                                        \n an estimated annual effective income tax rate of 25.0 percent, which includes                                                         \n the impact of recurring permanent differences and state income taxes, but                                                             \n excludes discrete items. Discrete income tax items are adjusted in the period                                                         \n they are identified and may include, but are not limited to, changes in                                                               \n uncertain tax positions, return-to-provision adjustments, the tax effects of                                                          \n certain stock-based compensation, and changes in valuation allowances on                                                              \n deferred tax assets. Management believes this approach provides investors with                                                        \n a clearer understanding of the income tax provision and the estimated annual                                                          \n effective income tax rate applicable to the Company’s ongoing operations.                                                             \n\n CONDENSED CONSOLIDATED BALANCE SHEETS                                                                                \n (Unaudited)                                                                                                          \n                                                                                                                      \n                                                                            June 28,               June 29,           \n (U.S. Dollars presented in millions)                                       2026                   2025               \n ASSETS                                                                                                               \n Current assets                                                                                                       \n Cash and cash equivalents                                                  $    241.6             $    120.1         \n Accounts receivable, net                                                        247.2                  218.8         \n Inventories                                                                     435.6                  277.0         \n Other current assets                                                            137.3                  73.8          \n TOTAL CURRENT ASSETS                                                            1,061.7                689.7         \n Property, plant and equipment, net                                              832.6                  478.4         \n Operating lease right-of-use assets, net                                        282.6                  67.7          \n Goodwill                                                                        1,318.5                1,127.6       \n Other intangible assets, net                                                    888.6                  560.5         \n Other assets                                                                    95.6                   33.5          \n TOTAL ASSETS                                                               $    4,479.6           $    2,957.4       \n LIABILITIES AND EQUITY                                                                                               \n Current liabilities                                                                                                  \n Accounts payable                                                           $    249.5             $    176.7         \n Current portion of long-term debt                                               18.8                   —             \n Current operating lease liabilities                                             56.3                   19.3          \n Other current liabilities                                                       279.1                  172.6         \n TOTAL CURRENT LIABILITIES                                                       603.7                  368.6         \n Long-term debt                                                                  1,371.5                998.7         \n Deferred income taxes                                                           270.9                  154.7         \n Operating lease liabilities                                                     243.2                  56.9          \n Other non-current liabilities                                                   21.6                   17.5          \n TOTAL LIABILITIES                                                               2,510.9                1,596.4       \n Stockholders' equity                                                            1,968.7                1,361.0       \n TOTAL EQUITY                                                                    1,968.7                1,361.0       \n TOTAL LIABILITIES AND EQUITY                                               $    4,479.6           $    2,957.4       \n                                                                                                                      \n Reconciliation of Net Debt to Adjusted EBITDA                                                                        \n Current portion of long-term debt                                          $    18.8              $    —             \n Long-term debt                                                             $    1,371.5           $    998.7         \n Less: Cash and cash equivalents                                                 (241.6   )             (120.1   )    \n Net Debt                                                                   $    1,148.7           $    878.6         \n Adjusted EBITDA for Prior Fiscal Year                                           298.2                  363.6         \n Less: Prior Period Adjusted EBITDA                                              (172.5   )             (184.5   )    \n Plus: Current Period Adjusted EBITDA                                            90.5                   172.5         \n Adjusted EBITDA (trailing twelve months)                                   $    216.2             $    351.6         \n Less: American Woodmark Adjusted EBITDA post-acquisition contribution           (4.3     )             —             \n Legacy MasterBrand Adjusted EBITDA (trailing twelve months)                $    211.9             $    —             \n Add: American Woodmark Adjusted EBITDA (trailing twelve months)            $    82.6              $    —             \n Combined Adjusted EBITDA (trailing twelve months)                          $    294.5             $    —             \n Combined Net Debt to Adjusted EBITDA                                            3.9      x             2.5      x    \n\n CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS                                                                                   \n (Unaudited)                                                                                                                       \n                                                                                                                                   \n                                                                                   26 Weeks Ended            26 Weeks Ended        \n                                                                                   June 28,                  June 29,              \n (U.S. Dollars presented in millions)                                              2026                      2025                  \n OPERATING ACTIVITIES                                                                                                              \n Net (loss) income                                                                 $      (73.0   )          $      50.6           \n Adjustments to reconcile net (loss) income to net cash provided by operating                                                      \n activities:                                                                                                                       \n Depreciation and amortization                                                            57.1                      47.0           \n Restructuring charges, net of cash payments                                              8.1                       5.0            \n Amortization of finance fees                                                             1.5                       1.4            \n Stock-based compensation                                                                 17.0                      10.8           \n Recognition of pension settlement charge                                                 —                         0.2            \n Changes in operating assets and liabilities:                                                                                      \n Accounts receivable                                                                      (6.3    )                 (26.9   )      \n Inventories                                                                              7.5                       0.2            \n Other current assets                                                                     2.6                       0.1            \n Accounts payable                                                                         3.4                       (5.5    )      \n Accrued expenses and other current liabilities                                           (8.1    )                 (23.2   )      \n Other items                                                                              (4.0    )                 (6.3    )      \n NET CASH PROVIDED BY OPERATING ACTIVITIES                                                5.8                       53.4           \n INVESTING ACTIVITIES                                                                                                              \n Capital expenditures                                                                     (23.4   )                 (27.9   )      \n Proceeds from the disposition of assets                                                  0.3                       3.6            \n Acquisition of business, net of cash acquired                                            (330.3  )                 —              \n NET CASH USED IN INVESTING ACTIVITIES                                                    (353.4  )                 (24.3   )      \n FINANCING ACTIVITIES                                                                                                              \n Proceeds from revolving credit facility borrowings                                       150.0                     115.0          \n Issuance of Term Loan A                                                                  375.0                     —              \n Repayment of revolving credit facility borrowings                                        (110.0  )                 (125.0  )      \n Payment of financing fees                                                                (1.0    )                 —              \n Repurchase of common stock                                                               —                         (18.1   )      \n Payments of employee taxes withheld from share-based awards                              (7.8    )                 (4.6    )      \n Other items                                                                              (1.6    )                 (1.3    )      \n NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES                                      404.6                     (34.0   )      \n Effect of foreign exchange rate changes on cash, cash equivalents, and                   0.7                       4.0            \n restricted cash                                                                                                                   \n NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH            $      57.7               $      (0.9    )      \n Cash, cash equivalents, and restricted cash at beginning of period                $      183.9              $      121.6          \n Cash, cash equivalents, and restricted cash at end of period                      $      241.6              $      120.7          \n                                                                                                                                   \n Cash and cash equivalents                                                         $      241.6              $      120.1          \n Restricted cash included in other assets                                                 —                         0.6            \n Total cash, cash equivalents and restricted cash                                  $      241.6              $      120.7          \n                                                                                                                                   \n Reconciliation of Free Cash Flow                                                                                                  \n Net cash provided by operating activities                                         $      5.8                $      53.4           \n Less: Capital expenditures                                                               (23.4   )                 (27.9   )      \n Free cash flow                                                                    $      (17.6   )          $      25.5           \n\n\n \n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260804517345/en/\n(https://www.businesswire.com/news/home/20260804517345/en/)\n\nInvestor Relations \n\nInvestorrelations@masterbrand.com (mailto:Investorrelations@masterbrand.com)\n\nMedia Contact \n\nMedia@masterbrand.com (mailto:Media@masterbrand.com)\n\n\nCopyright Business Wire 2026","article_body_html":"","raw_payload":{"data":{"id":"nBw1nSGnXa","title":"MasterBrand Reports Second Quarter 2026 Financial Results","author":"Business Wire","ticker":"MBC","created":"2026-08-04T20:05:00.332Z","tickers":["MBC"],"exchange":"NYSE","article_body":"MasterBrand Reports Second Quarter 2026 Financial Results\n\n\n * Closed transformative all-stock merger with American Woodmark during the\nquarter and raised long-term annual run-rate cost synergy target to over $100\nmillion\n\n * Net sales were $815.2 million, including a $125.5 million contribution from\nAmerican Woodmark\n\n * Net loss was $(57.6) million and net loss margin was (7.1)%\n\n * Adjusted EBITDA(1) was $62.5 million, representing an adjusted EBITDA\nmargin(1) of 7.7%\n\n * Diluted (loss) earnings per share were $(0.38), compared to $0.29 in the prior\nyear period, adjusted diluted earnings per share(1) were $0.05, compared to\n$0.40 in the prior year period\n\n * Company introduces second-half 2026 financial outlook, which includes $15\nmillion of synergy realization from the $30 million in annualized synergies\nexecuted to date\n\nMasterBrand, Inc. (NYSE: MBC, the “Company,” or “MasterBrand”), the\nlargest residential cabinet manufacturer in North America, today announced\nsecond quarter 2026 financial results.\n\n“The second quarter marked an important milestone for MasterBrand. We\ncompleted our merger with American Woodmark, establishing the most\ncomprehensive portfolio of trusted cabinetry brands in North America, while\nour legacy business delivered results largely in line with our outlook despite\ncontinued softness in demand,” said Dave Banyard, President and Chief\nExecutive Officer. “With integration ahead of schedule, we remain confident\nthat this combination positions MasterBrand to streamline our cost structure,\nunlock greater earnings power, and drive growth as our markets recover.”\n\nSecond Quarter 2026\n\nResults for the second quarter include American Woodmark from the May 28,\n2026, close date. Prior year comparisons reflect legacy MasterBrand only.\n\nNet sales were $815.2 million, including a $125.5 million contribution from\nAmerican Woodmark. Legacy MasterBrand net sales were $689.7 million, a\ndecrease of 5.6% compared to the second quarter of 2025, reflecting a mid- to\nhigh-single-digit market decline, as expected, slightly offset by favorable\nnet average selling price (“ASP”) due to the flow through of tariff\npricing.\n\nGross profit was $205.5 million, with a contribution of $16.7 million from\nAmerican Woodmark. Gross profit margin was 25.2%. Legacy MasterBrand gross\nprofit was $188.8 million, compared to $239.7 million in the prior year\nperiod. Legacy gross profit margin decreased 540 basis points to 27.4%,\ncompared to 32.8% in the second quarter of 2025, driven by lower volume and\nthe related unfavorable fixed cost leverage, unfavorable product mix, and\nmaterial, labor, and freight inflation, partially offset by our continuous\nimprovement efforts and favorable ASP from tariff pricing flow-through.\n\nNet (loss) income was $(57.6) million, with a contribution of $(28.9) million\nfrom American Woodmark and net (loss) income margin was (7.1)%. Legacy net\n(loss) income was $(28.7) million compared to $37.3 million in the second\nquarter of 2025 and net (loss) income margin was (4.2)%, compared to net\nincome margin of 5.1% in the prior year, driven by lower gross profit and\nhigher SG&A expenses, primarily due to merger-related costs, and a higher\ntax expense due to non-deductible expenses and jurisdictional differences,\npartially offset by the initial benefits of cost actions taken in the quarter.\n\nAdjusted EBITDA(1) was $62.5 million, including a $4.3 million contribution\nfrom American Woodmark. Adjusted EBITDA margin(1) was 7.7%. Legacy MasterBrand\nadjusted EBITDA(1) was $58.2 million compared to $105.4 million in the prior\nyear period, and adjusted EBITDA margin(1) was 8.4%, down 600 basis points due\nto market driven volume declines and the related unfavorable fixed cost\nleverage, unfavorable product mix, and material, labor, and freight inflation,\npartially offset by the flow through of tariff mitigation, our continuous\nimprovement efforts and previously announced cost actions.\n\nDiluted (loss) earnings per share were $(0.38) based on 153.6 million weighted\naverage shares outstanding compared to $0.29 in the second quarter of 2025\nbased on 129.1 million weighted average shares outstanding. Adjusted diluted\nearnings per share(1) was $0.05 based on 153.6 million weighted average shares\noutstanding compared to $0.40 in the second quarter of 2025 based on 129.1\nmillion weighted average shares outstanding.\n\nAmerican Woodmark Integration and Synergies\n\nOn May 28, 2026, MasterBrand completed its merger with American Woodmark,\ncreating the most comprehensive portfolio of trusted cabinetry brands in North\nAmerica. Integration of American Woodmark is underway, with approximately $30\nmillion of annual synergy actions completed as of the end of July. The Company\nnow expects over $100 million in annual run-rate cost synergies by the end of\nyear three post-close, exceeding its original synergy target. This target\nexcludes the previously announced $30 million legacy MasterBrand cost\nreduction initiative and American Woodmark's closure of its Monterrey, Mexico,\nfacility, both of which are incremental.\n\nBalance Sheet, Cash Flow and Capital Allocation\n\nAs of June 28, 2026, the Company had $241.6 million in cash and $393.9 million\nof availability under its revolving credit facility. Additionally, total debt\nwas $1,390.3 million, net debt(1) was $1,148.7 million and the ratio of net\ndebt to adjusted EBITDA(1) from the most recent trailing twelve months,\ninclusive of American Woodmark’s most recent trailing twelve-months adjusted\nEBITDA(1), was 3.9x. The Company's credit agreement permits the inclusion of\ntrailing twelve-month adjusted EBITDA for American Woodmark and stock-based\ncompensation, among other permitted adjustments, for covenant compliance\npurposes. The Company remained in full compliance with all applicable\nfinancial covenants related to its outstanding debt as of the end of the\nsecond quarter.\n\nNet cash provided by operating activities was $5.8 million for the twenty-six\nweeks ended June 28, 2026, compared to $53.4 million for the twenty-six weeks\nended June 29, 2025. Free cash flow(1) was $(17.6) million for the twenty-six\nweeks ended June 28, 2026, compared to $25.5 million in the prior-year period.\nThe decrease in net cash provided by operating activities and free cash flow\nwere driven by a decrease in net income in the twenty-six weeks ended June 28,\n2026, compared to the twenty-six weeks ended June 29, 2025.\n\nNo share repurchases were made during the second quarter of 2026. The Company\nintends to prioritize integration investments and debt reduction and is\ncurrently targeting net leverage below 2.0x by the end of 2028.\n\nSecond-Half 2026 Financial Outlook\n\nFor the second half of 2026, the Company expects the following:\n\n\n * Net sales of $2.05 to $2.11 billion\n\n * Adjusted EBITDA(1,2) in the range of $129 to $149 million, with related\nadjusted EBITDA margin(1,2) in the range of 6.3% to 7.1%\n\n * Adjusted diluted earnings per share(1,2) in the range of $(0.05) to $0.03\n\n\n* Reflects interest expense of approximately $50 million, reflecting the newly\narranged $375 million delayed-draw Term Loan A used to retire American\nWoodmark's debt at close\n\n\n\n\nThis outlook reflects the combined company, with American Woodmark included\nfor the full second half, and includes approximately $15 million of synergy\ncapture and approximately $11 million of IEEPA duty refunds received and\nexpected to be received over the period.\n\nFor full year 2026, MasterBrand is reiterating its expectation that its\naddressable market will be down mid-single digits. The Company now expects the\nfollowing:\n\n\n * Gross tariff costs of approximately 5-6% of full-year 2026 net sales; expected\nto be fully offset on a dollar-for-dollar run-rate basis by end of year\n\n * The Company continues to expect free cash flow(1) for full-year 2026 to be in\nexcess of net income\n\nThis financial outlook only reflects the impact of those tariffs in effect as\nof the date of this release and does not reflect any other potential tariffs\nor tariff-related impacts on company costs or end market demand. The Company\nbelieves the dynamic nature of tariffs, specifically the uncertainty of\nimplementation, potential timing and duration, limits the usefulness of\nestimating this information. MasterBrand undertakes no obligation to update\nthis outlook as circumstances evolve. This outlook reflects the combined\ncompany including American Woodmark.\n\n\"Our teams continued to execute cost actions and tariff mitigation efforts\nwhile accomplishing early synergy realization from the combination,\" said Andi\nSimon, Executive Vice President and Chief Financial Officer. \"With the merger\ncomplete and integration planning continuing and converting to execution, we\nare introducing second-half 2026 outlook for the combined company. Our\npriorities from here are clear: disciplined execution on costs and synergies,\nand steady progress on the balance sheet.\"\n (1 )- See \"Non-GAAP Financial Measures\" and the corresponding financial tables  \n at the end of this press release for definitions and reconciliations of         \n non-GAAP measures.                                                              \n (2) - We have not provided a reconciliation of our second half of 2026          \n adjusted EBITDA, adjusted EBITDA margin and adjusted diluted EPS guidance       \n because the information needed to reconcile these measures is unavailable due   \n to the inherent difficulty of forecasting the timing or amount of various       \n items that have not yet occurred and which may be excluded from adjusted        \n EBITDA, adjusted EBITDA margin and adjusted diluted EPS. Additionally,          \n estimating such GAAP measures and providing a meaningful reconciliation for     \n future periods requires a level of precision that is unavailable for these      \n future periods and cannot be accomplished without unreasonable effort.          \n Forward-looking non-GAAP measures are estimated consistent with the relevant    \n definitions and assumptions used for historical non-GAAP measures.              \n\n\nConference Call Details\n\nThe Company will hold a live conference call and webcast at 4:30 p.m. ET\ntoday, August 4, 2026, to discuss the financial results and business outlook.\nTelephone access to the live call will be available at (877) 407-4019 (U.S.)\nor by dialing +1 (201) 689-8337 (international). The live audio webcast can be\naccessed on the “Investors” section of the MasterBrand website,\nwww.masterbrand.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.masterbrand.com&esheet=54583257&newsitemid=20260804517345&lan=en-US&anchor=www.masterbrand.com&index=1&md5=49fd6d047f4325339083af2a8683e70f)\n.\n\nA telephone replay will be available approximately one hour following\ncompletion of the call through August 18, 2026. To access the replay, please\ndial (877) 660-6853 (U.S.) or +1 (201) 612-7415 (international). The replay\npasscode is 13761068. An archived webcast of the conference call will also be\navailable on the \"Investors\" page of the Company's website.\n\nNon-GAAP Financial Measures\n\nTo supplement the financial information presented in accordance with generally\naccepted accounting principles in the United States (“GAAP”) in this\nearnings release, certain non-GAAP financial measures as defined under SEC\nrules have been included. It is our intent to provide non-GAAP financial\ninformation to enhance understanding of our financial information as prepared\nin accordance with GAAP. Non-GAAP financial measures should be considered in\naddition to, not as a substitute for, other financial measures prepared in\naccordance with GAAP. Our methods of determining these non-GAAP financial\nmeasures may differ from the methods used by other companies for these or\nsimilar non-GAAP financial measures. Accordingly, these non-GAAP financial\nmeasures may not be comparable to measures used by other companies.\n\nWe use EBITDA, adjusted EBITDA, adjusted EBITDA margin, adjusted net income,\nadjusted net income margin, adjusted diluted earnings per share (“adjusted\ndiluted EPS”), free cash flow, net debt, and net debt to adjusted EBITDA,\nwhich are all non-GAAP financial measures. EBITDA is defined as earnings\nbefore interest, taxes, depreciation and amortization. We evaluate the\nperformance of our business based on income before income taxes, but also look\nto EBITDA as a performance evaluation measure because interest expense is\nrelated to corporate functions, as opposed to operations. For that reason, we\nbelieve EBITDA is a useful metric to investors in evaluating our operating\nresults. Adjusted EBITDA is calculated by removing the impact of\nnon-operational results and special items from EBITDA. Adjusted EBITDA margin\nis calculated as adjusted EBITDA divided by net sales. Adjusted net income is\ncalculated by removing the impact of non-operational results, including\nnon-cash amortization expense, which is not deemed to be indicative of the\nresults of current or future operations, and special items from net income.\nAdjusted net income margin is calculated as adjusted net income divided by net\nsales. Adjusted diluted EPS is a measure of our diluted earnings per share\nexcluding non-operational results and special items. We believe these non-GAAP\nmeasures are useful to investors as they are representative of our core\noperations and are used in the management of our business, including decisions\nconcerning the allocation of resources and assessment of performance.\n\nFree cash flow is defined as cash flow from operations less capital\nexpenditures. We believe that free cash flow is a useful measure to investors\nbecause it is a meaningful indicator of cash generated from operating\nactivities available for the execution of our business strategy, and is used\nin the management of our business, including decisions concerning the\nallocation of resources and assessment of performance. Net debt is defined as\ntotal balance sheet debt less cash and cash equivalents. We believe this\nmeasure is useful to investors as it provides a measure to compare debt less\ncash and cash equivalents across periods on a consistent basis. Net debt to\nadjusted EBITDA is calculated by dividing net debt by the trailing twelve\nmonths adjusted EBITDA. For periods impacted by an acquisition, trailing\ntwelve months adjusted EBITDA includes the full trailing twelve months\nadjusted EBITDA of the acquired entity. Net debt to adjusted EBITDA is used by\nmanagement to assess our financial leverage and ability to service our debt\nobligations.\n\nAs required by SEC rules, detailed reconciliations of these non-GAAP financial\nmeasures to the most directly comparable GAAP measure are included in the\nfinancial statement section of this earnings release. We have not provided a\nreconciliation of our fiscal 2026 second half adjusted EBITDA, adjusted EBITDA\nmargin and adjusted diluted EPS guidance because the information needed to\nreconcile these measures is unavailable due to the inherent difficulty of\nforecasting the timing or amount of various items that have not yet occurred,\nincluding restructuring and other charges, which are excluded from adjusted\nEBITDA, adjusted EBITDA margin, and adjusted diluted EPS. Additionally,\nestimating such GAAP measures and providing a meaningful reconciliation\nconsistent with the Company’s accounting policies for future periods\nrequires a level of precision that is unavailable for these future periods and\ncannot be accomplished without unreasonable effort. Forward-looking non-GAAP\nmeasures are estimated consistent with the relevant definitions and\nassumptions used for historical non-GAAP measures.\n\nAbout MasterBrand:\n\nMasterBrand, Inc. (NYSE: MBC) is the largest manufacturer of residential\ncabinets in North America and offers a comprehensive portfolio of leading\nresidential cabinetry products for the kitchen, bathroom and other parts of\nthe home. Delivered through our exceptional distribution network, MasterBrand\nproducts are available in a wide variety of designs, finishes and styles and\nspan the most attractive categories of the cabinets market: stock, semi-custom\nand premium cabinetry. Additional information can be found at\nwww.masterbrand.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.masterbrand.com&esheet=54583257&newsitemid=20260804517345&lan=en-US&anchor=www.masterbrand.com&index=2&md5=6128a455b0f5506d04b5c81585e8f61e)\n.\n\nForward-Looking Statements:\n\nCertain statements contained in this Press Release, other than purely\nhistorical information, including, but not limited to estimates, projections,\nstatements relating to our business plans, objectives and expected operating\nresults, financial outlook and cost synergies, and the assumptions upon which\nthose statements are based, are forward-looking statements. Statements\npreceded by, followed by or that otherwise include the word “believes,”\n“expects,” “anticipates,” “intends,” “projects,”\n“estimates,” “plans,” “priorities,” “may increase,” “may\nfluctuate,” and similar expressions or future or conditional verbs such as\n“will,” “should,” “would,” “may,” and “could,” are\ngenerally forward-looking in nature and not historical facts. Where, in any\nforward-looking statement, we express an expectation or belief as to future\nresults or events, such expectation or belief is based on the current plans\nand expectations of our management. Although we believe that these statements\nare based on reasonable assumptions, they are subject to numerous factors,\nrisks and uncertainties that could cause actual outcomes and results to be\nmaterially different from those indicated in such statements. These factors\ninclude those listed under “Risk Factors” in Part I, Item 1A of our Form\n10-K for the fiscal year ended December 28, 2025, Part II, Item 1A of our\nsubsequent Forms 10-Q and other filings with the SEC.\n\nThe forward-looking statements included in this document are made as of the\ndate of this Press Release and, except pursuant to any obligations to disclose\nmaterial information under the federal securities laws, we undertake no\nobligation to update, amend or clarify any forward-looking statements to\nreflect events, new information or circumstances occurring after the date of\nthis Press Release.\n\nSome of the important factors that could cause our actual results to differ\nmaterially from those projected in any such forward-looking statements\ninclude:\n\n\n * Our ability to develop and expand our business;\n\n * Our ability to develop new products or respond to changing consumer\npreferences and purchasing practices;\n\n * Our anticipated financial resources and capital spending;\n\n * Our ability to manage costs;\n\n * Our ability to effectively manage manufacturing operations and capacity, or an\ninability to maintain the quality of our products;\n\n * The impact of our dependence on third parties to source raw materials and our\nability to obtain raw materials in a timely manner or fluctuations in raw\nmaterial costs;\n\n * Our ability to accurately price our products;\n\n * Our projections of future performance, including future revenues, capital\nexpenditures, gross margins, and cash flows;\n\n * The effects of competition;\n\n * Costs of complying with evolving tax and other regulatory requirements and the\neffect of actual or alleged violations of tax, environmental or other laws;\n\n * The effect of climate change and unpredictable seasonal and weather factors;\n\n * Conditions in the housing market in the United States, Canada and Mexico;\n\n * The expected strength of our existing customers and consumers and any loss or\nreduction in business from one or more of our key customers or increased\nbuying power of large customers;\n\n * Information systems interruptions or intrusions or the unauthorized release of\nconfidential information concerning customers, employees, or other third\nparties;\n\n * Worldwide economic, geopolitical and business conditions and risks associated\nwith doing business on a global basis, including risks associated with\nuncertain trade environments, changes to U.S. tariff policy and retaliatory\ntariffs imposed by other countries;\n\n * The effects of a public health crisis or other unexpected event;\n\n * Our ability to successfully integrate American Woodmark’s operations,\nsystems, personnel, and business processes and realize anticipated synergies,\ncost savings, and other strategic benefits within expected timeframes or at\nall;\n\n * The impact of our current and any additional future debt obligations on our\nbusiness, current and future operations, profitability and our ability to meet\nother obligations;\n\n * Business disruption, operational inefficiencies or increased costs resulting\nfrom integration activities following the acquisition of American Woodmark;\n\n * The diversion of management attention and resources from ongoing business\noperations as a result of integration activities and strategic initiatives\nassociated with the acquisition of American Woodmark;\n\n * Our ability to maintain relationships with customers, suppliers, associates\nand other business partners following the acquisition of American Woodmark;\n\n * Our ability to successfully integrate, migrate, or harmonize information\ntechnology systems, cybersecurity controls, financial reporting systems and\nother business processes across the combined company;\n\n * Unexpected integration costs, operational challenges, disruptions or\nliabilities associated with the acquisition of American Woodmark;\n\n * Our ability to retain key employees and leadership personnel and effectively\nintegrate workforces and corporate cultures;\n\n * Our ability to optimize manufacturing operations, distribution networks and\nsupply chain activities while minimizing disruption to customers and\noperations; and\n\n * Other statements contained in this Press Release regarding items that are not\nhistorical facts or that involve predictions.\n CONDENSED CONSOLIDATED STATEMENTS OF (LOSS) INCOME                                                                                                              \n (Unaudited)                                                                                                                                                     \n                                                                                                                                                                 \n                                                                   13 Weeks Ended                                 26 Weeks Ended                                 \n (U.S. Dollars presented in millions, except per share amounts)    June 28,                June 29,               June 28,                  June 29,             \n                                                                   \n2026                   \n2025                  \n2026                     \n2025                \n NET SALES                                                         $     815.2             $     730.9            $     1,433.2             $     1,391.2        \n Cost of products sold                                                   609.7                   491.2                  1,071.1                   949.3          \n GROSS PROFIT                                                            205.5                   239.7                  362.1                     441.9          \n Gross Profit Margin                                                     25.2   %                32.8   %               25.3     %                31.8     %     \n Selling, general and administrative expenses                            216.7                   159.4                  372.6                     313.4          \n Amortization of intangible assets                                       7.4                     6.4                    13.8                      12.8           \n Restructuring charges                                                   9.2                     6.6                    22.0                      11.3           \n OPERATING (LOSS) INCOME                                                 (27.8  )                67.3                   (46.3    )                104.4          \n Interest expense                                                        20.8                    18.9                   39.2                      38.3           \n Other income, net                                                       (0.1   )                (0.6   )               (0.9     )                (0.2     )     \n (LOSS) INCOME BEFORE TAXES                                              (48.5  )                49.0                   (84.6    )                66.3           \n Income tax expense (benefit)                                            9.1                     11.7                   (11.6    )                15.7           \n NET (LOSS) INCOME                                                 $     (57.6  )          $     37.3             $     (73.0    )          $     50.6           \n Average Number of Shares of Common Stock Outstanding                                                                                                            \n Basic                                                                   153.6                   126.8                  140.6                     127.2          \n Diluted                                                                 153.6                   129.1                  140.6                     129.9          \n (Loss) Earnings Per Common Share                                                                                                                                \n Basic                                                             $     (0.38  )          $     0.29             $     (0.52    )          $     0.40           \n Diluted                                                           $     (0.38  )          $     0.29             $     (0.52    )          $     0.39           \n\n SUPPLEMENTAL INFORMATION - Quarter-to-date                                                                                      \n (Unaudited)                                                                                                                     \n                                                                                                                                 \n                                                                                   13 Weeks Ended           13 Weeks Ended       \n                                                                                   June 28,                 June 29,             \n (U.S. Dollars presented in millions, except per share amounts and percentages)    2026                     2025                 \n 1. Reconciliation of Net (Loss) Income to EBITDA to ADJUSTED EBITDA                                                             \n Net (loss) income (GAAP)                                                          $      (57.6  )          $      37.3          \n Interest expense                                                                         20.8                     18.9          \n Income tax expense                                                                       9.1                      11.7          \n Depreciation and amortization expense                                                    34.4                     24.2          \n EBITDA (Non-GAAP Measure)                                                         $      6.7               $      92.1          \n [1] Restructuring charges                                                                9.2                      6.6           \n [2] Restructuring-related charges                                                        5.6                      4.9           \n [3] Acquisition-related costs                                                            38.4                     1.9           \n [5] Recognition of pension settlement adjustment                                         —                        (0.1   )      \n [6] Purchase accounting cost of products sold                                            2.6                      —             \n Adjusted EBITDA (Non-GAAP Measure)                                                $      62.5              $      105.4         \n                                                                                                                                 \n 2. Reconciliation of Net (Loss) Income to Adjusted Net Income                                                                   \n Net (loss) income (GAAP)                                                          $      (57.6  )          $      37.3          \n [1] Restructuring charges                                                                9.2                      6.6           \n [2] Restructuring-related charges                                                        5.6                      4.9           \n [3] Acquisition-related costs                                                            38.4                     1.9           \n [5] Recognition of pension settlement adjustment                                         —                        (0.1   )      \n [6] Purchase accounting cost of products sold                                            2.6                      —             \n [7] Amortization of intangible assets                                                    7.4                      6.4           \n [8] Change in effective tax rate                                                         15.8                     —             \n [9] Income tax impact of adjustments                                                     (13.8  )                 (4.9   )      \n Adjusted Net Income (Non-GAAP Measure)                                            $      7.6               $      52.1          \n                                                                                                                                 \n 3. (Loss) Earnings per Share Summary                                                                                            \n Diluted (Loss) Earnings Per Share (GAAP)                                          $      (0.38  )          $      0.29          \n Impact of adjustments                                                             $      0.43              $      0.11          \n Adjusted Diluted Earnings Per Share (Non-GAAP Measure)                            $      0.05              $      0.40          \n                                                                                                                                 \n Weighted average diluted shares outstanding                                              153.6                    129.1         \n                                                                                                                                 \n 4. Profit Margins                                                                                                               \n Net Sales (GAAP)                                                                  $      815.2             $      730.9         \n Net (Loss) Income Margin percentage (GAAP)                                               (7.1   )%                5.1    %      \n Adjusted Net Income Margin percentage (Non-GAAP Measure)                                 0.9    %                 7.1    %      \n Adjusted EBITDA Margin percentage (Non-GAAP Measure)                                     7.7    %                 14.4   %      \n\n SUPPLEMENTAL INFORMATION                                                                                                              \n (Unaudited)                                                                                                                           \n                                                                                                                                       \n                                                                                     26 Weeks Ended             26 Weeks Ended         \n                                                                                     June 28,                   June 29,               \n (U.S. Dollars presented in millions, except per share amounts and percentages)      2026                       2025                   \n 1. Reconciliation of Net (Loss) Income to EBITDA to Adjusted EBITDA                                                                   \n Net (Loss) Income (GAAP)                                                            $      (73.0    )          $      50.6            \n Interest expense                                                                           39.2                       38.3            \n Income tax (benefit) expense                                                               (11.6    )                 15.7            \n Depreciation and amortization expense                                                      57.1                       47.0            \n EBITDA (Non-GAAP Measure)                                                           $      11.7                $      151.6           \n [1] Restructuring charges                                                                  22.0                       11.3            \n [2] Restructuring-related charges                                                          10.7                       5.9             \n [3] Acquisition-related costs                                                              44.0                       3.5             \n [4] Insurance recoveries                                                                   (0.5     )                 —               \n [5] Recognition of pension settlement charge                                               —                          0.2             \n [6] Purchase accounting cost of products sold                                              2.6                        —               \n Adjusted EBITDA (Non-GAAP Measure)                                                  $      90.5                $      172.5           \n                                                                                                                                       \n 2. Reconciliation of Net (Loss) Income to Adjusted Net (Loss) Income                                                                  \n Net (Loss) Income (GAAP)                                                            $      (73.0    )          $      50.6            \n [1] Restructuring charges                                                                  22.0                       11.3            \n [2] Restructuring-related charges                                                          10.7                       5.9             \n [3] Acquisition-related costs                                                              44.0                       3.5             \n [4] Insurance recoveries                                                                   (0.5     )                 —               \n [5] Recognition of pension settlement charge                                               —                          0.2             \n [6] Purchase accounting cost of products sold                                              2.6                        —               \n [7] Amortization of intangible assets                                                      13.8                       12.8            \n [9] Income tax impact of adjustments                                                       (19.8    )                 (8.4     )      \n Adjusted Net (Loss) Income (Non-GAAP Measure)                                       $      (0.2     )          $      75.9            \n                                                                                                                                       \n 3. (Loss) Earnings per Share Summary                                                                                                  \n Diluted (Loss) Earnings Per Share (GAAP)                                            $      (0.52    )          $      0.39            \n Impact of adjustments                                                               $      0.52                $      0.19            \n Adjusted Diluted (Loss) Earnings Per Share (Non-GAAP Measure)                       $      —                   $      0.58            \n                                                                                                                                       \n Weighted average diluted shares outstanding                                                140.6                      129.9           \n                                                                                                                                       \n 4. Profit Margins                                                                                                                     \n Net Sales (GAAP)                                                                    $      1,433.2             $      1,391.2         \n Net (Loss) Income margin percentage (GAAP)                                                 (5.1     )%                3.6      %      \n Adjusted Net (Loss) Income margin percentage (Non-GAAP Measure)                            —        %                 5.5      %      \n Adjusted EBITDA margin percentage (Non-GAAP Measure)                                       6.3      %                 12.4     %      \n                                                                                                                                       \n TICK LEGEND:                                                                                                                          \n [1] Restructuring charges are nonrecurring costs incurred to implement                                                                \n significant cost reduction initiatives and may consist of workforce reduction                                                         \n costs, facility closure costs, cessation of operations and other costs to                                                             \n maintain certain facilities where operations have ceased, but which we are                                                            \n still responsible for. The restructuring charges for all periods presented                                                            \n primarily include costs related to workforce reductions, lease abandonment and                                                        \n asset disposals for facilities that have been closed, but not yet sold. During                                                        \n the thirteen weeks ended March 29, 2026, the Company implemented a voluntary                                                          \n and involuntary separation program to reduce overall headcount, primarily in                                                          \n our corporate functions. As a result of the workforce reduction, the Company                                                          \n recorded $8.1 million of one-time termination benefits during the thirteen                                                            \n weeks ended March 29, 2026.                                                                                                           \n [2] Restructuring-related charges are expenses directly related to                                                                    \n restructuring initiatives that do not represent normal, recurring expenses                                                            \n necessary to operate the business, but cannot be reported as restructuring                                                            \n under GAAP. The restructuring-related charges for all periods presented                                                               \n primarily include losses on disposal of inventories from exiting product                                                              \n lines, losses on the sale of facilities closed as a result of restructuring                                                           \n actions and costs resulting from the redeployment of equipment within the                                                             \n manufacturing footprint.                                                                                                              \n [3] Acquisition-related costs are transaction and integration costs, including                                                        \n legal, accounting and other professional fees, severance, stock-based                                                                 \n compensation and other integration related costs. These charges are primarily                                                         \n recorded within selling, general and administrative expenses within the                                                               \n Condensed Consolidated Statements of Income. Acquisition-related costs are                                                            \n significantly impacted by the timing and complexity of the underlying                                                                 \n acquisition related activities and are not indicative of the Company’s                                                                \n ongoing operating performance. The acquisition-related costs incurred in the                                                          \n thirteen and twenty-six weeks ended June 28, 2026, are primarily associated                                                           \n with the acquisition of American Woodmark, which closed on May 28, 2026. Costs                                                        \n for both periods are comprised primarily of severance costs, including                                                                \n accelerated share-based compensation, and professional fees. The                                                                      \n acquisition-related costs incurred in the thirteen and twenty-six weeks ended                                                         \n June 29, 2025, are associated with the acquisition of Supreme Cabinetry                                                               \n Brands, Inc., which was announced in the second quarter of fiscal 2024 and                                                            \n closed early in the third quarter of fiscal 2024. Costs for both periods are                                                          \n comprised primarily of professional fees.                                                                                             \n Certain of the acquisition-related costs incurred are deemed non-deductible                                                           \n for U.S. tax purposes. The tax impact of these non-deductible                                                                         \n acquisition-related costs was $2.0 million and $3.4 million for the thirteen                                                          \n and twenty-six weeks ended June 28, 2026, respectively. For the thirteen and                                                          \n twenty-six weeks ended June 29, 2025, all acquisition-related costs were                                                              \n deductible. These items are not deemed indicative of ongoing operations and                                                           \n have been excluded from the income tax impact of adjustments for the relevant                                                         \n periods.                                                                                                                              \n [4] Recoveries related to insurance claims are excluded as they are not deemed                                                        \n indicative of future operations. The amount recognized in the twenty-six weeks                                                        \n ended June 28, 2026, related to recoveries of costs from insurable events that                                                        \n occurred within the manufacturing footprint in 2025.                                                                                  \n [5] We exclude the impact of actuarial gains and losses related to our U.S.                                                           \n defined benefit pension plan as they are not deemed indicative of future                                                              \n operations. In 2024, the Company made the decision to terminate our defined                                                           \n benefit pension plan. During the twenty-six weeks ended June 29, 2025, the                                                            \n Company recognized a settlement charge of $0.2 million related to the final                                                           \n valuation of the pension plan.                                                                                                        \n [6] Purchase accounting cost of products sold relates to the fair market value                                                        \n adjustment required under GAAP for inventory obtained in the acquisition of                                                           \n American Woodmark, $2.6 million of which was sold in the second quarter                                                               \n subsequent to the transaction close on May 28, 2026.                                                                                  \n [7] We add back amortization of intangible assets in calculating adjusted net                                                         \n income and adjusted diluted EPS for all periods presented. Non-cash                                                                   \n amortization expenses are not indicative of the Company’s ongoing                                                                     \n operations.                                                                                                                           \n [8] Change in effective tax rate represents catch-up tax expense recorded in                                                          \n the quarter to reflect a change in the estimated annual effective tax rate and                                                        \n is not indicative of future operating results. The Company determines its                                                             \n interim tax provision using an estimated annual effective tax rate                                                                    \n methodology. In the second quarter, an updated full-year pretax income                                                                \n forecast resulted in a significant change to the estimated annual effective                                                           \n tax rate compared with the first quarter, which drove the catch-up tax expense                                                        \n recorded in the quarter. As a result of this adjustment, the sum of quarterly                                                         \n non-GAAP net income reported does not equal the year-to-date non-GAAP net                                                             \n income reported herein.                                                                                                               \n [9] In calculating adjusted net income, the tax effects of each of the                                                                \n adjustments described in Items [1] through [7] above have been reflected using                                                        \n an estimated annual effective income tax rate of 25.0 percent, which includes                                                         \n the impact of recurring permanent differences and state income taxes, but                                                             \n excludes discrete items. Discrete income tax items are adjusted in the period                                                         \n they are identified and may include, but are not limited to, changes in                                                               \n uncertain tax positions, return-to-provision adjustments, the tax effects of                                                          \n certain stock-based compensation, and changes in valuation allowances on                                                              \n deferred tax assets. Management believes this approach provides investors with                                                        \n a clearer understanding of the income tax provision and the estimated annual                                                          \n effective income tax rate applicable to the Company’s ongoing operations.                                                             \n\n CONDENSED CONSOLIDATED BALANCE SHEETS                                                                                \n (Unaudited)                                                                                                          \n                                                                                                                      \n                                                                            June 28,               June 29,           \n (U.S. Dollars presented in millions)                                       2026                   2025               \n ASSETS                                                                                                               \n Current assets                                                                                                       \n Cash and cash equivalents                                                  $    241.6             $    120.1         \n Accounts receivable, net                                                        247.2                  218.8         \n Inventories                                                                     435.6                  277.0         \n Other current assets                                                            137.3                  73.8          \n TOTAL CURRENT ASSETS                                                            1,061.7                689.7         \n Property, plant and equipment, net                                              832.6                  478.4         \n Operating lease right-of-use assets, net                                        282.6                  67.7          \n Goodwill                                                                        1,318.5                1,127.6       \n Other intangible assets, net                                                    888.6                  560.5         \n Other assets                                                                    95.6                   33.5          \n TOTAL ASSETS                                                               $    4,479.6           $    2,957.4       \n LIABILITIES AND EQUITY                                                                                               \n Current liabilities                                                                                                  \n Accounts payable                                                           $    249.5             $    176.7         \n Current portion of long-term debt                                               18.8                   —             \n Current operating lease liabilities                                             56.3                   19.3          \n Other current liabilities                                                       279.1                  172.6         \n TOTAL CURRENT LIABILITIES                                                       603.7                  368.6         \n Long-term debt                                                                  1,371.5                998.7         \n Deferred income taxes                                                           270.9                  154.7         \n Operating lease liabilities                                                     243.2                  56.9          \n Other non-current liabilities                                                   21.6                   17.5          \n TOTAL LIABILITIES                                                               2,510.9                1,596.4       \n Stockholders' equity                                                            1,968.7                1,361.0       \n TOTAL EQUITY                                                                    1,968.7                1,361.0       \n TOTAL LIABILITIES AND EQUITY                                               $    4,479.6           $    2,957.4       \n                                                                                                                      \n Reconciliation of Net Debt to Adjusted EBITDA                                                                        \n Current portion of long-term debt                                          $    18.8              $    —             \n Long-term debt                                                             $    1,371.5           $    998.7         \n Less: Cash and cash equivalents                                                 (241.6   )             (120.1   )    \n Net Debt                                                                   $    1,148.7           $    878.6         \n Adjusted EBITDA for Prior Fiscal Year                                           298.2                  363.6         \n Less: Prior Period Adjusted EBITDA                                              (172.5   )             (184.5   )    \n Plus: Current Period Adjusted EBITDA                                            90.5                   172.5         \n Adjusted EBITDA (trailing twelve months)                                   $    216.2             $    351.6         \n Less: American Woodmark Adjusted EBITDA post-acquisition contribution           (4.3     )             —             \n Legacy MasterBrand Adjusted EBITDA (trailing twelve months)                $    211.9             $    —             \n Add: American Woodmark Adjusted EBITDA (trailing twelve months)            $    82.6              $    —             \n Combined Adjusted EBITDA (trailing twelve months)                          $    294.5             $    —             \n Combined Net Debt to Adjusted EBITDA                                            3.9      x             2.5      x    \n\n CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS                                                                                   \n (Unaudited)                                                                                                                       \n                                                                                                                                   \n                                                                                   26 Weeks Ended            26 Weeks Ended        \n                                                                                   June 28,                  June 29,              \n (U.S. Dollars presented in millions)                                              2026                      2025                  \n OPERATING ACTIVITIES                                                                                                              \n Net (loss) income                                                                 $      (73.0   )          $      50.6           \n Adjustments to reconcile net (loss) income to net cash provided by operating                                                      \n activities:                                                                                                                       \n Depreciation and amortization                                                            57.1                      47.0           \n Restructuring charges, net of cash payments                                              8.1                       5.0            \n Amortization of finance fees                                                             1.5                       1.4            \n Stock-based compensation                                                                 17.0                      10.8           \n Recognition of pension settlement charge                                                 —                         0.2            \n Changes in operating assets and liabilities:                                                                                      \n Accounts receivable                                                                      (6.3    )                 (26.9   )      \n Inventories                                                                              7.5                       0.2            \n Other current assets                                                                     2.6                       0.1            \n Accounts payable                                                                         3.4                       (5.5    )      \n Accrued expenses and other current liabilities                                           (8.1    )                 (23.2   )      \n Other items                                                                              (4.0    )                 (6.3    )      \n NET CASH PROVIDED BY OPERATING ACTIVITIES                                                5.8                       53.4           \n INVESTING ACTIVITIES                                                                                                              \n Capital expenditures                                                                     (23.4   )                 (27.9   )      \n Proceeds from the disposition of assets                                                  0.3                       3.6            \n Acquisition of business, net of cash acquired                                            (330.3  )                 —              \n NET CASH USED IN INVESTING ACTIVITIES                                                    (353.4  )                 (24.3   )      \n FINANCING ACTIVITIES                                                                                                              \n Proceeds from revolving credit facility borrowings                                       150.0                     115.0          \n Issuance of Term Loan A                                                                  375.0                     —              \n Repayment of revolving credit facility borrowings                                        (110.0  )                 (125.0  )      \n Payment of financing fees                                                                (1.0    )                 —              \n Repurchase of common stock                                                               —                         (18.1   )      \n Payments of employee taxes withheld from share-based awards                              (7.8    )                 (4.6    )      \n Other items                                                                              (1.6    )                 (1.3    )      \n NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES                                      404.6                     (34.0   )      \n Effect of foreign exchange rate changes on cash, cash equivalents, and                   0.7                       4.0            \n restricted cash                                                                                                                   \n NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH            $      57.7               $      (0.9    )      \n Cash, cash equivalents, and restricted cash at beginning of period                $      183.9              $      121.6          \n Cash, cash equivalents, and restricted cash at end of period                      $      241.6              $      120.7          \n                                                                                                                                   \n Cash and cash equivalents                                                         $      241.6              $      120.1          \n Restricted cash included in other assets                                                 —                         0.6            \n Total cash, cash equivalents and restricted cash                                  $      241.6              $      120.7          \n                                                                                                                                   \n Reconciliation of Free Cash Flow                                                                                                  \n Net cash provided by operating activities                                         $      5.8                $      53.4           \n Less: Capital expenditures                                                               (23.4   )                 (27.9   )      \n Free cash flow                                                                    $      (17.6   )          $      25.5           \n\n\n \n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20260804517345/en/\n(https://www.businesswire.com/news/home/20260804517345/en/)\n\nInvestor Relations \n\nInvestorrelations@masterbrand.com (mailto:Investorrelations@masterbrand.com)\n\nMedia Contact \n\nMedia@masterbrand.com (mailto:Media@masterbrand.com)\n\n\nCopyright Business Wire 2026"},"type":"article","timestamp":"2026-08-04T20:05:00.505368308Z","server_sent_at_ms":1785873900505},"received_at":"2026-08-04T20:05:00.724Z","source_url":"https://www.businesswire.com/news/home/20260804517345/en/"},"analysis":{"id":"97506","press_release_id":"108500","analysis_json":{"industry":{"label":"Building Products","sector":"Industrials"},"redFlags":["Reported net loss of $(57.6) million for the quarter","Legacy gross profit margin declined 540 basis points to 27.4%","H2 2026 adjusted EPS guidance includes a potential net loss of $(0.05) per share"],"eventType":"earnings","narrative":"MasterBrand reported Q2 net sales of $815.2 million, boosted by the American Woodmark merger, but posted a net loss of $57.6 million due to higher costs and market softness that drove legacy gross margin down 540 basis points to 27.4%.\n\nThe company completed the transformative all-stock merger with American Woodmark in May and raised its long-term annual synergy target to over $100 million, significantly exceeding prior expectations.\n\nManagement issued H2 2026 outlook for the combined company, guiding for net sales of $2.05B-$2.11B and adjusted EBITDA of $129M-$149M, while projecting net leverage to fall below 2.0x by the end of 2028.","sentiment":"neutral","agentHooks":{"shouldPost":true,"suggestedAngle":"Merger integration and raised synergy targets offset near-term margin pressure and net loss."},"keyFigures":{"revenue":815200000,"guidance":"H2 2026 Net sales $2.05B-$2.11B; Adj EBITDA $129M-$149M; Adj EPS $(0.05)-$0.03","revenueYoy":"11.6% (Legacy down 5.6%)","customDimensions":{"gross_profit":205500000,"adjusted_ebitda":62500000,"gross_profit_margin":"25.2%","synergy_target_annual":100000000,"net_debt_to_adj_ebitda":"3.9x","legacy_organic_sales_decline":"-5.6%"}},"quotedText":"We completed our merger with American Woodmark, establishing the most comprehensive portfolio of trusted cabinetry brands in North America","namedEntities":{"people":[{"name":"Dave Banyard","role":"President and Chief Executive Officer"},{"name":"Andi Simon","role":"Executive Vice President and Chief Financial Officer"}],"products":[],"companies":[{"name":"MasterBrand, Inc.","ticker":"MBC"},{"name":"American Woodmark","relationship":"acquired"}],"dollarAmounts":[{"amount":"$815.2 million","context":"Q2 2026 net sales"},{"amount":"$125.5 million","context":"American Woodmark contribution to Q2 net sales"},{"amount":"$57.6 million","context":"Q2 2026 net loss"},{"amount":"$62.5 million","context":"Q2 2026 adjusted EBITDA"},{"amount":"$100 million","context":"new long-term annual run-rate cost synergy target"},{"amount":"$2.05 to $2.11 billion","context":"H2 2026 net sales guidance"}]},"materialImpact":{"score":4,"reasoning":"Reported Q2 net loss of $(57.6) million and a 540 bps decline in legacy gross margin to 27.4%, signaling significant operational pressure. However, the quarter featured the transformative closure of the American Woodmark merger and the announcement of raised synergy targets (>$100 million). The issuance of H2 2026 guidance, while projecting a net loss, provides a forward-looking roadmap for the combined entity."},"tickerRelevance":{"others":[],"primary":"MBC"},"globalImportance":25,"audienceRelevance":20,"eventTypeSecondary":["m_and_a","guidance_update"],"importanceComponents":{"tickerTier":"mid-cap","eventGravity":"earnings_with_major_m_a_integration","sectorWeight":"industrials"}},"event_type":"earnings","event_type_secondary":["m_and_a","guidance_update"],"sentiment":"neutral","material_impact_score":4,"narrative":"MasterBrand reported Q2 net sales of $815.2 million, boosted by the American Woodmark merger, but posted a net loss of $57.6 million due to higher costs and market softness that drove legacy gross margin down 540 basis points to 27.4%.\n\nThe company completed the transformative all-stock merger with American Woodmark in May and raised its long-term annual synergy target to over $100 million, significantly exceeding prior expectations.\n\nManagement issued H2 2026 outlook for the combined company, guiding for net sales of $2.05B-$2.11B and adjusted EBITDA of $129M-$149M, while projecting net leverage to fall below 2.0x by the end of 2028.","key_figures":{"revenue":815200000,"guidance":"H2 2026 Net sales $2.05B-$2.11B; Adj EBITDA $129M-$149M; Adj EPS $(0.05)-$0.03","revenueYoy":"11.6% (Legacy down 5.6%)","customDimensions":{"gross_profit":205500000,"adjusted_ebitda":62500000,"gross_profit_margin":"25.2%","synergy_target_annual":100000000,"net_debt_to_adj_ebitda":"3.9x","legacy_organic_sales_decline":"-5.6%"}},"named_entities":{"people":[{"name":"Dave Banyard","role":"President and Chief Executive Officer"},{"name":"Andi Simon","role":"Executive Vice President and Chief Financial Officer"}],"products":[],"companies":[{"name":"MasterBrand, Inc.","ticker":"MBC"},{"name":"American Woodmark","relationship":"acquired"}],"dollarAmounts":[{"amount":"$815.2 million","context":"Q2 2026 net sales"},{"amount":"$125.5 million","context":"American Woodmark contribution to Q2 net sales"},{"amount":"$57.6 million","context":"Q2 2026 net loss"},{"amount":"$62.5 million","context":"Q2 2026 adjusted EBITDA"},{"amount":"$100 million","context":"new long-term annual run-rate cost synergy target"},{"amount":"$2.05 to $2.11 billion","context":"H2 2026 net sales guidance"}]},"model_name":"glm-4.7","prompt_hash":"sha256:727b4b9429a443af","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-08-05T01:04:13.379Z","global_importance":25,"audience_relevance":20,"importance_components":{"tickerTier":"mid-cap","eventGravity":"earnings_with_major_m_a_integration","sectorWeight":"industrials"}},"durationMs":148710,"modelName":"glm-4.7"}}