Distributors/Service Centers
July 23, 2026
Reliance logs higher Q2 profits, boosted by border wall project
Written by Ethan Bernard
Reliance Inc.
| Second quarter ended June 30 | 2026 | 2025 | % Change |
|---|---|---|---|
| Net sales | $4,630.0 | $3,659.8 | 26.5% |
| Net earnings (loss) | $322.9 | $233.7 | 38.2% |
| Per diluted share | $6.29 | $4.42 | 42.3% |
| Six months ended June 30 | |||
| Net sales | $8,656.0 | $7,144.5 | 21.2% |
| Net earnings (loss) | $587.8 | $433.4 | 35.6% |
| Per diluted share | $11.38 | $8.15 | 39.6% |
Reliance Inc.’s earnings improved in the second quarter, boosted by a US government project for the border wall with Mexico.
The Scottsdale, Ariz.-based service center group reported net income of $322.9 million, up 38% from $233.7 million a year ago. Net sales rose 27% to $3.66 billion in the same comparison.
Tons sold in the second quarter totaled 1.79 million, up 7% sequentially – which exceeded management expectations – and up 11% year over year.
“Reliance delivered another excellent quarter, building on the positive momentum of the first quarter,” Reliance President and CEO Karla Lewis said in a statement on Wednesday.
“Market conditions remained constructive, supported by improving customer activity, extended mill lead times, and strong pricing across our broad product portfolio,” she added.
Lewis said the company in April began to see initial contributions from the US Department of Homeland Security border wall contract it was awarded earlier this year.
This activity, which delivered beyond management expectations, gave a “meaningful contribution” to Q2’26 earnings, she said.
Outlook
Reliance expects Q3’26 demand and pricing to remain generally consistent at “healthy to improving levels across the key products and end markets it serves.”
This comes despite ongoing domestic and international trade policy uncertainty and the continuing conflict in Iran, which could pose supply availability and macroeconomic risks.
Non-residential construction demand, including infrastructure, which improved year over year in Q2, is expected to continue growing in Q3’26. The sector is Reliance’s largest end market by tons.
The company sees the positive trend supported by strong activity across data centers, energy infrastructure, and public infrastructure projects.
For Q3, the company expects non‑GAAP earnings per diluted share in the range of $6.40 to $6.60. This represents year‑over‑year growth ranging from 76% to 81%.
Reliance noted its outlook includes approximately $0.60 of earnings per share from shipments associated with the US border wall project at pretax income margin levels above the company average.
