Tecnoglass, Inc. (NYSE: TGLS) reported first-quarter 2026 revenue of $249.0 million USD, a 12.0% year-over-year increase and a first-quarter record for the Barranquilla, Colombia-based window and architectural glass manufacturer. Despite the top-line growth, net income fell to $31.9 million USD, or $0.71 per diluted share, from $42.2 million USD, or $0.90 per diluted share, in the same period of 2025, as elevated US aluminum costs linked to import tariffs, mandatory minimum wage increases in Colombia, and a strengthening Colombian peso combined to compress gross margins by 540 basis points to 38.5%.
Multi-family and commercial revenues rose 20.4% year-over-year, driven by continued activity across key markets including geographies beyond Florida, which has historically dominated the company’s US revenue mix. Single-family residential revenues were relatively flat on a year-over-year basis, with management attributing the result to the timing of order conversion into revenue rather than underlying demand, noting that order growth in the segment remained positive into April 2026. On a geographic basis, the US accounted for $237.1 million USD, or approximately 95% of total revenues, up 11.6%. Colombia generated $7.5 million USD, up 17.2%, and other international markets contributed $4.4 million USD, up 27.3%.
Gross profit declined to $95.8 million USD from $97.5 million USD in Q1 2025 despite the higher revenue base. The company cited an unfavorable revenue mix driven by a greater proportion of installation-related revenue, higher raw material costs — with US aluminum tariffs representing an incremental headwind of approximately $6.4 million USD in the quarter — higher salary expenses resulting from annual minimum wage adjustments in Colombia, and the effect of a stronger Colombian peso on costs incurred locally. Pricing actions and operating leverage on higher volume partly offset these pressures.
“We see a clear path to fully offsetting the impact of tariffs in 2027, when full-year pricing across both businesses and incremental automation savings are expected to be realized.” — Santiago Giraldo, Chief Financial Officer, Tecnoglass
Selling, general, and administrative expenses rose to $50.9 million USD, or 20.4% of revenues, from $42.5 million USD, or 19.1%, in Q1 2025. The increase reflected higher personnel costs from annual salary adjustments, peso appreciation, and higher transportation and commission costs tied to revenue growth. The period also included a one-time charge of $2.9 million USD related to Colombia’s *impuesto al patrimonio*, a government-imposed wealth tax levied on large corporations to fund measures addressing recent climate-related events in the country.
Adjusted EBITDA — which excludes non-cash foreign exchange gains and losses, the bad-debt provision, non-recurring charges, and equity-method adjustments related to the company’s joint venture in Vidrio Andino with Saint-Gobain (EPA: SGO) — came in at $61.5 million USD, or 24.7% of total revenues, compared to $70.2 million USD, or 31.6%, in Q1 2025. Adjusted net income was $34.6 million USD, or $0.78 per diluted share, versus $43.1 million USD, or $0.92, in the prior-year quarter.
Cash provided by operating activities was $6.7 million USD, a significant decline from $46.9 million USD in Q1 2025, driven in part by a deliberate build-up of US-sourced aluminum inventories — up $34.3 million USD in the quarter — as part of the company’s tariff mitigation strategy. Capital expenditures of $17.3 million USD reflected scheduled payments tied to previously announced capacity and automation projects. During the quarter, Tecnoglass returned $16.5 million USD to shareholders through share repurchases and paid $6.7 million USD in cash dividends. As of May 7, 2026, approximately $92.5 million USD remained available under the current share repurchase program. The company ended the quarter with total liquidity of approximately $425.0 million USD, comprising $91.1 million USD in cash and cash equivalents and more than $330.0 million USD in revolving credit facility availability, against total debt of $200.3 million USD.
The company’s order backlog reached a record $1.36 billion USD at quarter-end, up 19.1% year-over-year, extending multi-family and commercial pipeline visibility into 2027. Tecnoglass cited continued expansion of its dealer network and showroom footprint as supporting geographic diversification and market share gains, with vinyl product lines identified as an incremental growth driver broadening the company’s addressable market.
José Manuel Daes, chief executive officer, commented on the results: “First quarter results were in line with our expectations, with resilient performance across our key metrics reflecting the continued strength of our vertically integrated business model despite a dynamic cost environment. Demand for our product offerings remains strong, as demonstrated by another quarter of record backlog and healthy order activity, with momentum continuing into the second quarter. Our previously announced pricing actions are now in place, and the broad-based nature of industry cost pressures supports our confidence in executing these increases while preserving our competitive positioning.”
Christian Daes, chief operating officer, addressed the tariff response and the company’s assessment of a potential US manufacturing presence. “Our pricing initiatives and cost mitigation efforts are well underway, including logistics improvements, further automation across our operations, and ongoing supply chain optimization,” he said. “We are also advancing our assessment of a proposed US manufacturing initiative, with a well-located site identified and significant state and local incentives secured that strengthen the project’s potential economics if we decide to move forward based on market demand.”
Santiago Giraldo, chief financial officer, reaffirmed full-year 2026 guidance and outlined the company’s tariff offset timeline. “Based on our strong execution to start the year, we are reiterating our full year revenue outlook in the range of $1.06 billion to $1.13 billion USD and Adjusted EBITDA outlook in the range of $225 million to $245 million USD,” Giraldo said. “This reflects the impact of the recently implemented 10% tariff on finished aluminum window imports as previously disclosed, which is expected to be partly offset in 2026 through pricing actions effective on orders from early May forward, with additional efficiency initiatives from logistics optimization and automation underway and expected to begin contributing benefits by year end. We see a clear path to fully offsetting the impact of tariffs in 2027, when full-year pricing across both businesses and incremental automation savings are expected to be realized.”
On the corporate structure front, Tecnoglass’ board of directors has approved a plan to redomicile the company from the Cayman Islands to the United States, subject to shareholder approval. If approved, the redomiciliation is expected to be completed during Q2 2026. The company stated that the move is intended to simplify its organizational and regulatory structure, improve the tax efficiency of dividend distributions, and expand its potential investor base to include funds and accounts limited to US-domiciled securities. Tecnoglass will retain its Miami, Florida headquarters following the change.
Separately, the company is conducting a feasibility study for a potential new US manufacturing facility. A site meeting project specifications has been identified and substantial state and local tax credits have been secured. The proposed facility is described as highly automated and intended to support future growth while also improving lead times, reducing transportation costs for certain markets, enhancing supply chain efficiency, and enabling the company to compete for Buy America-eligible projects and rapid-turnaround contracts. Tecnoglass expects to complete the purchase of land for the potential facility during Q2 2026, at an estimated cost of $20 million to $25 million USD to be financed through available credit facilities. The company noted that the land purchase does not constitute a commitment to proceed with construction, which would occur in phases contingent on demand, market conditions, and return profiles. The company’s 5.8-million-square-foot vertically integrated manufacturing complex in Barranquilla, Colombia, would continue to serve as its primary production base.
Above photo: Tecnoglass facilities in Barranquilla
| Feature | IdeaPad Slim 3x | MacBook Neo |
|---|---|---|
| Display Size | 15.3-inch | 13-inch |
| CPU | Snapdragon X1 with "90% faster" multi-core Cinebench 2026 score | A18 Pro |
| Base RAM | 16GB | 8GB |
| Fingerprint Scanner | Included | Touch ID limited to $699 model |
| Ports | 1× USB-C, 2× USB-A, SD, and HDMI | 2× USB-C only |
| Wi-Fi | Wi-Fi 7 | Wi-Fi 6E |
| Backlit Keyboard | Yes | No |
| Touch Screen | Yes | No |
| Feature | MacBook Neo | IdeaPad Slim 3x |
|---|---|---|
| Display Resolution | 2,408×1,506 pixels (Retina quality) | 1,920×1,200 pixels |
| Display Brightness | 500 nits | 300 nits |
| Build Material | Fully aluminum enclosure | Mix of aluminum and plastic |
| Webcam | 1080p camera | 720p camera |
Barranquilla-based window and architectural glass manufacturer Tecnoglass, Inc. (NYSE: TGLS) has revised its full-year 2026 financial guidance following the April 2 announcement of updated US trade policy that introduced a 10% tariff on finished aluminum window products imported into the United States.
The company stated that its first quarter 2026 performance was in line with internal expectations, supported by continued order activity and a record project backlog. Those results, the company indicated, support the continuation of its previously stated expectation of strong double-digit full-year revenue growth. However, the tariff development — which was not incorporated into the original 2026 guidance issued February 26, 2026 — required a revision to Adjusted EBITDA projections.
“We are executing at a high level to start 2026, with first quarter performance in line with our expectations and continued strength across our residential and commercial platforms. Our record backlog and strong order activity provide excellent visibility, and we continue to gain market share supported by our differentiated vertically integrated model and industry-leading cost structure. The developments in U.S. trade policy applicable to aluminum-containing imports do not reflect any change in our competitive positioning or underlying demand environment. We have proactively restructured our supply chain over the past several years to significantly reduce raw material tariff exposure, and our platform remains advantaged within our industry,” said CEO José Manuel Daes.
Tecnoglass is now guiding for full-year 2026 Adjusted EBITDA in the range of $225 million USD to $245 million USD. The updated range reflects an estimated net incremental impact of approximately $50 million USD compared to the midpoint of the company’s previously stated guidance, attributable to the newly applied 10% tariff on certain finished aluminum window imports into the US market.
The April 2 White House announcement updated Section 232 metals tariffs on steel, aluminum, and copper imports, and expanded the applicability of those tariffs to finished goods and certain derivative products containing those metals. The action affects Tecnoglass and other aluminum window exporters that ship products into the United States.
In response, Tecnoglass says it has implemented pricing adjustments effective on orders placed beginning in early May, the benefit of which is expected to materialize in the second half of 2026. The company is also advancing operational efficiency measures including logistics improvements, increased automation, and workforce adjustments. The revised guidance also accounts for the potential effect of sustained elevated aluminum prices in the second half of the year.
“The developments in US trade policy applicable to aluminum-containing imports do not reflect any change in our competitive positioning or underlying demand environment. We have proactively restructured our supply chain over the past several years to significantly reduce raw material tariff exposure.” – CEO José Manuel Daes
Santiago Giraldo, Chief Financial Officer of Tecnoglass, added, “The change to our full year 2026 Adjusted EBITDA expectations is entirely a result of the revised U.S. tariff framework, which was not contemplated in our original guidance. We have already announced pricing actions that will start with orders in early May, and we are advancing additional efficiency initiatives, including automation and logistics optimization, to further mitigate the anticipated net impact of tariffs disclosed today. These actions, combined with our strong margin profile and disciplined cost management, position us to partially offset the tariff impact as we move through the year and fully neutralize it in 2027. Our updated outlook reflects this discrete policy-driven headwind and does not change our confidence in the trajectory of the business. We remain well positioned to drive growth, expand margins over time, and continue delivering industry-leading financial performance.”
A more comprehensive update, including first quarter results and a full restatement of 2026 guidance, is expected in early May.
Tecnoglass operates a 5.8 million square foot vertically integrated manufacturing complex in Barranquilla, Colombia, and counts the United States as its dominant market, representing approximately 95% of total revenues. The company describes itself as the second-largest glass fabricator serving the US market and the largest architectural glass transformation company in Latin America. Its products have been specified for notable projects including One Thousand Museum and Paramount in Miami, Salesforce Tower in San Francisco, and Aeropuerto Internacional El Dorado in Bogotá.
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