Ferguson reported strong results for the quarter ended October 31, 2025, with sales rising 5.1 percent to $8.2 billion and gross margin improving to 30.7 percent. Operating margin increased to 9.4 percent, and diluted EPS rose 23.9 percent to $2.90. The company continued its capital returns with a higher quarterly dividend of $0.89 and $208 million in share repurchases. Ferguson completed one acquisition and ended the quarter with low leverage at 1.1x net debt to adjusted EBITDA.

The U.S. business grew 5.3 percent, driven by 12 percent non-residential growth, while residential markets remained soft. Canada increased sales modestly but faced weaker markets and foreign-exchange pressure. Ferguson raised its full-year 2025 guidance, now expecting around 5 percent sales growth, operating margin between 9.4 and 9.6 percent, and capital expenditures near $350 million.