Advanced Drainage Systems' first quarter revenue grew 21% to $1.0B, beating estimates as FY27 outlook is confirmed.

Advanced Drainage Systems reported first quarter fiscal 2027 revenue of $1.0 billion, a 20.6% year-over-year increase, and diluted EPS from continuing operations of $2.26, up 22.8%. Both figures surpassed analyst expectations.

Key Highlights

• Net sales increased 20.6% to $1.0 billion, while organic net sales grew 9.2%.
• Growth was driven by strength in the non-residential market, customer purchases ahead of price increases, and a $94.7 million contribution from the NDS acquisition.
• The company reported a 230 basis point expansion in Adjusted EBITDA margin to 35.8% and reaffirmed its full-year fiscal 2027 guidance.