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Armstrong World Inds Inc Financials

AWI
Source SEC Filings (10-K/10-Q) Updated Dec 31, 2025 Currency USD FYE December

This page shows Armstrong World Inds Inc (AWI) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 17 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Financial Health Signals

Profitability Growth Leverage Liquidity Cash Flow Returns 67 / 100
Financial Profile 67/100

Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores

Profitability
81

Armstrong World Inds Inc has an operating margin of 26.6%, meaning the company retains $27 of operating profit per $100 of revenue. This strong profitability earns a score of 81/100, reflecting efficient cost management and pricing power. This is up from 25.9% the prior year.

Growth
54

Armstrong World Inds Inc's revenue grew 12.1% year-over-year to $1.6B, a solid pace of expansion. This earns a growth score of 54/100.

Leverage
93

Armstrong World Inds Inc carries a low D/E ratio of 0.44, meaning only $0.44 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 93/100, indicating a strong balance sheet with room for future borrowing.

Liquidity
25

Armstrong World Inds Inc's current ratio of 1.46 means current assets barely cover short-term liabilities. This tight liquidity results in a low score of 25/100, which could limit financial flexibility.

Cash Flow
63

Armstrong World Inds Inc has a free cash flow margin of 15.2%, earning a moderate score of 63/100. The company generates positive cash flow after capital investments, but with room for improvement.

Returns
87

Armstrong World Inds Inc earns a strong 34.3% return on equity (ROE), meaning it generates $34 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 87/100. This is down from 35.0% the prior year.

Altman Z-Score Safe
7.12

Armstrong World Inds Inc scores 7.12, well above the 2.99 safe threshold. The score is driven primarily by a large market capitalization ($7.1B) relative to total liabilities ($1.0B). This indicates low bankruptcy risk based on profitability, leverage, and asset efficiency.

Piotroski F-Score Strong
9/9

Armstrong World Inds Inc passes 9 of 9 financial strength tests. All 4 profitability signals pass (positive income, cash flow, and earnings quality), all 3 leverage/liquidity signals pass, both operating efficiency signals pass.

Earnings Quality Cash-Backed
1.15x

For every $1 of reported earnings, Armstrong World Inds Inc generates $1.15 in operating cash flow ($355.5M OCF vs $308.7M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Interest Coverage Safe
13.1x

Armstrong World Inds Inc earns $13.1 in operating income for every $1 of interest expense ($430.9M vs $33.0M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.

Key Financial Metrics

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Earnings & Revenue

Revenue
$1.6B
YoY+12.1%
5Y CAGR+11.6%
10Y CAGR+7.2%

Armstrong World Inds Inc generated $1.6B in revenue in fiscal year 2025. This represents an increase of 12.1% from the prior year.

EBITDA
$551.3M
YoY+15.5%
5Y CAGR+10.2%
10Y CAGR+7.2%

Armstrong World Inds Inc's EBITDA was $551.3M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 15.5% from the prior year.

Net Income
$308.7M
YoY+16.5%
10Y CAGR+12.6%

Armstrong World Inds Inc reported $308.7M in net income in fiscal year 2025. This represents an increase of 16.5% from the prior year.

EPS (Diluted)
$7.08
YoY+17.6%
10Y CAGR+15.5%

Armstrong World Inds Inc earned $7.08 per diluted share (EPS) in fiscal year 2025. This represents an increase of 17.6% from the prior year.

Cash & Balance Sheet

Free Cash Flow
$246.1M
YoY+33.8%
5Y CAGR+8.5%
10Y CAGR+22.3%

Armstrong World Inds Inc generated $246.1M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 33.8% from the prior year.

Cash & Debt
$112.7M
YoY+42.1%
5Y CAGR-3.8%
10Y CAGR-6.0%

Armstrong World Inds Inc held $112.7M in cash against $396.4M in long-term debt as of fiscal year 2025.

Dividends Per Share
$1.26
YoY+10.0%
5Y CAGR+9.3%

Armstrong World Inds Inc paid $1.26 per share in dividends in fiscal year 2025. This represents an increase of 10.0% from the prior year.

Shares Outstanding
43M
YoY-1.5%
5Y CAGR-2.2%
10Y CAGR-2.5%

Armstrong World Inds Inc had 43M shares outstanding in fiscal year 2025. This represents a decrease of 1.5% from the prior year.

Margins & Returns

Gross Margin
40.6%
YoY+0.4pp
5Y CAGR+5.1pp
10Y CAGR+2.6pp

Armstrong World Inds Inc's gross margin was 40.6% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 0.4 percentage points from the prior year.

Operating Margin
26.6%
YoY+0.7pp
5Y CAGR-0.6pp
10Y CAGR+7.1pp

Armstrong World Inds Inc's operating margin was 26.6% in fiscal year 2025, reflecting core business profitability. This is up 0.7 percentage points from the prior year.

Net Margin
19.1%
YoY+0.7pp
5Y CAGR+29.6pp
10Y CAGR+7.3pp

Armstrong World Inds Inc's net profit margin was 19.1% in fiscal year 2025, showing the share of revenue converted to profit. This is up 0.7 percentage points from the prior year.

Return on Equity
34.3%
YoY-0.7pp
5Y CAGR+56.3pp
10Y CAGR+22.0pp

Armstrong World Inds Inc's ROE was 34.3% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 0.7 percentage points from the prior year.

Capital Allocation

R&D Spending
$16.4M
YoY+4.5%
5Y CAGR+2.2%
10Y CAGR-1.3%

Armstrong World Inds Inc invested $16.4M in research and development in fiscal year 2025. This represents an increase of 4.5% from the prior year.

Share Buybacks
$128.9M
YoY+129.0%
5Y CAGR+23.8%

Armstrong World Inds Inc spent $128.9M on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding. This represents an increase of 129.0% from the prior year.

Capital Expenditures
$109.4M
YoY+32.1%
5Y CAGR+14.6%
10Y CAGR-4.4%

Armstrong World Inds Inc invested $109.4M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 32.1% from the prior year.

AWI Income Statement

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Revenue $388.3M-8.7% $425.2M+0.1% $424.6M+10.9% $382.7M+4.1% $367.7M-4.9% $386.6M+5.9% $365.1M+11.9% $326.3M
Cost of Revenue $233.8M-5.2% $246.7M-0.8% $248.8M+6.9% $232.8M+4.0% $223.8M+0.6% $222.5M+3.1% $215.8M+6.8% $202.0M
Gross Profit $154.5M-13.4% $178.5M+1.5% $175.8M+17.3% $149.9M+4.2% $143.9M-12.3% $164.1M+9.9% $149.3M+20.1% $124.3M
R&D Expenses N/A N/A N/A N/A N/A N/A N/A N/A
SG&A Expenses $86.9M-3.6% $90.1M+6.6% $84.5M+8.3% $78.0M-8.1% $84.9M+9.4% $77.6M-3.7% $80.6M+23.2% $65.4M
Operating Income $92.0M-21.5% $117.2M-4.9% $123.2M+25.1% $98.5M+20.3% $81.9M-26.4% $111.3M+17.2% $95.0M+10.3% $86.1M
Interest Expense $7.7M-6.1% $8.2M-4.7% $8.6M+1.2% $8.5M-7.6% $9.2M-12.4% $10.5M-5.4% $11.1M+23.3% $9.0M
Income Tax $19.3M-16.8% $23.2M-15.6% $27.5M+27.3% $21.6M+56.5% $13.8M-48.7% $26.9M+26.9% $21.2M+4.4% $20.3M
Net Income $65.5M-24.1% $86.3M-1.7% $87.8M+27.1% $69.1M+11.1% $62.2M-19.1% $76.9M+16.7% $65.9M+10.0% $59.9M
EPS (Diluted) N/A $1.98-1.5% $2.01+27.2% $1.58 N/A $1.75+16.7% $1.50+10.3% $1.36

AWI Balance Sheet

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Total Assets $1.9B+1.7% $1.9B+1.7% $1.9B+0.4% $1.9B+0.6% $1.8B+2.1% $1.8B-0.9% $1.8B+7.6% $1.7B
Current Assets $391.5M-1.1% $395.7M+5.4% $375.6M+1.1% $371.5M+6.5% $348.9M-2.5% $357.7M+1.9% $351.2M+6.2% $330.7M
Cash & Equivalents $112.7M+25.1% $90.1M+11.1% $81.1M-2.1% $82.8M+4.4% $79.3M+7.6% $73.7M+0.1% $73.6M+5.7% $69.6M
Inventory $124.6M+0.9% $123.5M+6.1% $116.4M-0.6% $117.1M+6.6% $109.8M-5.3% $116.0M+1.9% $113.8M+7.0% $106.4M
Accounts Receivable N/A N/A N/A N/A N/A N/A N/A N/A
Goodwill $217.8M+1.6% $214.4M+2.8% $208.5M-0.7% $210.0M+3.3% $203.2M+4.4% $194.7M+0.5% $193.8M+10.6% $175.3M
Total Liabilities $1.0B+2.0% $1.0B-2.0% $1.0B-3.5% $1.1B-2.3% $1.1B-0.1% $1.1B-5.6% $1.2B+8.1% $1.1B
Current Liabilities $267.4M+2.4% $261.1M+12.1% $232.9M+0.6% $231.6M-7.2% $249.7M+14.3% $218.4M+9.2% $200.0M+8.5% $184.4M
Long-Term Debt $396.4M+2.6% $386.4M-16.3% $461.8M-7.1% $497.2M-1.1% $502.6M-5.7% $533.1M-14.2% $621.5M+11.2% $558.9M
Total Equity $900.7M+1.3% $889.2M+6.1% $837.8M+5.6% $793.4M+4.8% $757.1M+5.6% $717.0M+7.2% $669.0M+6.7% $626.8M
Retained Earnings $1.8B+2.9% $1.8B+4.3% $1.7B+4.6% $1.6B+3.6% $1.6B+3.2% $1.5B+4.5% $1.4B+3.8% $1.4B

AWI Cash Flow Statement

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Operating Cash Flow $110.0M-10.5% $122.9M+50.6% $81.6M+99.0% $41.0M-52.7% $86.6M-10.3% $96.5M+68.4% $57.3M+117.0% $26.4M
Capital Expenditures $47.8M+111.5% $22.6M+13.6% $19.9M+4.2% $19.1M-33.7% $28.8M+48.5% $19.4M-2.5% $19.9M+35.4% $14.7M
Free Cash Flow $62.2M-38.0% $100.3M+62.6% $61.7M+181.7% $21.9M-62.1% $57.8M-25.0% $77.1M+106.1% $37.4M+219.7% $11.7M
Investing Cash Flow -$20.4M-666.7% $3.6M-50.0% $7.2M+20.0% $6.0M+133.1% -$18.1M-189.6% $20.2M+123.1% -$87.3M-1579.7% $5.9M
Financing Cash Flow -$67.3M+42.6% -$117.3M-28.8% -$91.1M-108.9% -$43.6M+29.6% -$61.9M+47.0% -$116.8M-441.5% $34.2M+203.3% -$33.1M
Dividends Paid $14.6M+9.0% $13.4M-2.9% $13.8M+3.0% $13.4M-0.7% $13.5M+10.7% $12.2M-3.2% $12.6M+2.4% $12.3M
Share Buybacks $49.5M+83.3% $27.0M-11.2% $30.4M+38.2% $22.0M+35.0% $16.3M+8.7% $15.0M+50.0% $10.0M-33.3% $15.0M

AWI Financial Ratios

Metric Q4'25 Q3'25 Q2'25 Q1'25 Q4'24 Q3'24 Q2'24 Q1'24
Gross Margin 39.8%-2.2pp 42.0%+0.6pp 41.4%+2.2pp 39.2%+0.0pp 39.1%-3.3pp 42.4%+1.6pp 40.9%+2.8pp 38.1%
Operating Margin 23.7%-3.9pp 27.6%-1.5pp 29.0%+3.3pp 25.7%+3.5pp 22.3%-6.5pp 28.8%+2.8pp 26.0%-0.4pp 26.4%
Net Margin 16.9%-3.4pp 20.3%-0.4pp 20.7%+2.6pp 18.1%+1.1pp 16.9%-3.0pp 19.9%+1.8pp 18.1%-0.3pp 18.4%
Return on Equity 7.3%-2.4pp 9.7%-0.8pp 10.5%+1.8pp 8.7%+0.5pp 8.2%-2.5pp 10.7%+0.9pp 9.8%+0.3pp 9.6%
Return on Assets 3.4%-1.2pp 4.6%-0.2pp 4.7%+1.0pp 3.7%+0.4pp 3.4%-0.9pp 4.3%+0.6pp 3.6%+0.1pp 3.5%
Current Ratio 1.46-0.1 1.52-0.1 1.610.0 1.60+0.2 1.40-0.2 1.64-0.1 1.76-0.0 1.79
Debt-to-Equity 0.440.0 0.43-0.1 0.55-0.1 0.63-0.0 0.66-0.1 0.74-0.2 0.93+0.0 0.89
FCF Margin 16.0%-7.6pp 23.6%+9.1pp 14.5%+8.8pp 5.7%-10.0pp 15.7%-4.2pp 19.9%+9.7pp 10.2%+6.7pp 3.6%

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Frequently Asked Questions

Armstrong World Inds Inc (AWI) reported $1.6B in total revenue for fiscal year 2025. This represents a 12.1% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

Armstrong World Inds Inc (AWI) revenue grew by 12.1% year-over-year, from $1.4B to $1.6B in fiscal year 2025.

Yes, Armstrong World Inds Inc (AWI) reported a net income of $308.7M in fiscal year 2025, with a net profit margin of 19.1%.

Armstrong World Inds Inc (AWI) reported diluted earnings per share of $7.08 for fiscal year 2025. This represents a 17.6% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Armstrong World Inds Inc (AWI) had EBITDA of $551.3M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

As of fiscal year 2025, Armstrong World Inds Inc (AWI) had $112.7M in cash and equivalents against $396.4M in long-term debt.

Armstrong World Inds Inc (AWI) had a gross margin of 40.6% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

Armstrong World Inds Inc (AWI) had an operating margin of 26.6% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

Armstrong World Inds Inc (AWI) had a net profit margin of 19.1% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Yes, Armstrong World Inds Inc (AWI) paid $1.26 per share in dividends during fiscal year 2025.

Armstrong World Inds Inc (AWI) has a return on equity of 34.3% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

Armstrong World Inds Inc (AWI) generated $246.1M in free cash flow during fiscal year 2025. This represents a 33.8% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

Armstrong World Inds Inc (AWI) generated $355.5M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

Armstrong World Inds Inc (AWI) had $1.9B in total assets as of fiscal year 2025, including both current and long-term assets.

Armstrong World Inds Inc (AWI) invested $109.4M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

Armstrong World Inds Inc (AWI) invested $16.4M in research and development during fiscal year 2025.

Yes, Armstrong World Inds Inc (AWI) spent $128.9M on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

Armstrong World Inds Inc (AWI) had 43M shares outstanding as of fiscal year 2025.

Armstrong World Inds Inc (AWI) had a current ratio of 1.46 as of fiscal year 2025, which is considered adequate.

Armstrong World Inds Inc (AWI) had a debt-to-equity ratio of 0.44 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

Armstrong World Inds Inc (AWI) had a return on assets of 16.0% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

Armstrong World Inds Inc (AWI) has an Altman Z-Score of 7.12, placing it in the Safe Zone (low bankruptcy risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

Armstrong World Inds Inc (AWI) has a Piotroski F-Score of 9 out of 9, indicating strong financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Armstrong World Inds Inc (AWI) has an earnings quality ratio of 1.15x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Armstrong World Inds Inc (AWI) has an interest coverage ratio of 13.1x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.

Armstrong World Inds Inc (AWI) scores 67 out of 100 on our Financial Profile, indicating strong overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.

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