Quad Graphics Stock Earnings Reports

Quad reported Q1 2026 results in line with expectations and reaffirmed full-year 2026 guidance. Net sales were $581M (down ~4.3% YoY excluding the prior European divestiture) driven by lower print volumes and weaker agency solutions, while adjusted EBITDA was $45M and adjusted EBITDA margin expanded to 7.7%. Adjusted diluted EPS rose to $0.25. The company returned $7M to shareholders in Q1 (dividends and buybacks) and continues opportunistic share repurchases with ~$68.4M remaining authorization. Free cash flow was negative $107M in Q1, reflecting normal seasonality; Quad expects full-year 2026 free cash flow of $40M–$60M and adjusted EBITDA of $175M–$215M (midpoint roughly flat vs. 2025). Quad is investing in marketing solutions and audience strategy (powered by a household-based data stack), rolling out product innovations like At-Home Direct, and expanding postal optimization (Co-mail, Household Fusion) to help clients mitigate rising postage and supply-cost pressures. Management highlighted temporary ink surcharges and ongoing postage rate headwinds (next USPS increase expected mid-July, average impact up to ~10% for some clients), while expressing cautious optimism around long-term postal reform and emphasizing disciplined cost management, continued automation/CapEx ($55M–$65M expected), and a plan to reach ~1.5x net debt leverage by year-end 2026 and an inflection to revenue growth by 2028.