Builders FirstSource, Inc.
For the period ended Sep 30, 2026. Filed Oct 29, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2026 · Filed Oct 29, 2026
BLDR$62.54-4.5%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-06-30; filed 2026-07-30.
0001193125-26-325451
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-09-30; filed 2026-10-29.
0001193125-26-437728
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 66 previous paragraphs and 69 current paragraphs.
39 unchanged; 26 reworded; 3 added; 0 removed; 1 previous and 1 current paragraphs rearranged.
Tables are not compared: 4 previous and 4 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (3)
Current report
Investment
Current report
On August 25, 2026, we announced a strategic investment in, and collaboration with, Digs, an AI-based platform for homebuilders and homeowners. Under the partnership, the Company was the solo lead investor on Digs’ $25.3 million Series A financing and also entered into a five-year commercial agreement with Digs to accelerate product development, strengthen platform integration, and expand AI capabilities. The investment in and collaboration with Digs is intended to strengthen our digital ecosystem to better serve homebuilders by helping them eliminate disconnected workflows, reduce manual work, and improve the homeowner experience from pre-construction through warranty and beyond.
Current report
Income Tax Expense (Benefit). We recorded an income tax benefit of $33.6 million in the third quarter of 2026, compared to income tax expense of $37.1 million in the third quarter of 2025. The change was primarily driven by losses before income taxes incurred by certain subsidiaries in the current year period, as well as lower consolidated income before income taxes. Our effective tax rate was (125.0)% in the third quarter of 2026, compared to 23.3% in the third quarter of 2025.
Reworded paragraphs (26)
Previous wording
Statements in this report and the schedules hereto that are not purely historical facts or that necessarily depend upon future events, including statements about expected market share gains, forecasted financial performance, industry and business outlook or other statements about anticipations, beliefs, expectations, hopes, intentions or strategies for the future, may be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Readers are cautioned not to place undue reliance on forward-looking statements. In addition, oral statements made by the Company’s directors, officers and employees to the investor and analyst communities, media representatives and others, depending upon their nature, may also constitute forward-looking statements. All forward-looking statements are based upon currently available information and the Company’s current assumptions, expectations and projections about future events. Forward-looking statements are by nature inherently uncertain, and actual results or events may differ materially from the results or events described in the forward-looking statements as a result of many factors. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Forward-looking statements involve risks and uncertainties, many of which are beyond the Company’s control or may be currently unknown to the Company, that could cause actual events or results to differ materially from the events or results described in the forward-looking statements; such risks or uncertainties include those related to the Company’s growth strategies, including acquisitions, organic growth and digital and technology strategies, including the Company’s ability to drive growth by incorporating artificial intelligence and machine learning solutions into its platform, or the dependence of the Company’s revenues and operating results on, among other things, the homebuilding industry and, to a lesser extent, repair and remodel activity, which in each case is dependent on economic conditions, including inflation, interest rates, home size and affordability, consumer confidence, labor and supply shortages, tariffs and duties and also lumber and other commodity prices. The Company may not succeed in addressing these and other risks. Further information regarding the risk factors that could affect the Company’s financial and other results can be found in the risk factors section of the Company’s 2025 Form 10-K and may also be described from time to time in the other reports the Company files with the Securities and Exchange Commission. Consequently, all forward-looking statements in this report are qualified by the factors, risks and uncertainties contained therein.
Current wording
Statements in this report and the schedules hereto that are not purely historical facts or that necessarily depend upon future events, including statements about expected market share gains, forecasted financial performance, industry and business outlook, including single and multifamily housing starts and repair and remodel activity, capital allocation, acquisitions and integration, or other statements about anticipations, beliefs, expectations, hopes, intentions or strategies for the future, may be forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Readers are cautioned not to place undue reliance on forward-looking statements. In addition, oral statements made by the Company’s directors, officers and employees to the investor and analyst communities, media representatives and others, depending upon their nature, may also constitute forward-looking statements. All forward-looking statements are based upon currently available information and the Company’s current assumptions, expectations and projections about future events. Forward-looking statements are by nature inherently uncertain, and actual results or events may differ materially from the results or events described in the forward-looking statements as a result of many factors. Forward-looking statements involve risks and uncertainties, many of which are beyond the Company’s control or may be currently unknown to the Company, that could cause actual events or results to differ materially from the events or results described in the forward-looking statements; such risks or uncertainties include those related to the Company’s growth strategies, including acquisitions and the integration of acquired businesses and realization of their anticipated benefits, organic growth and digital and technology strategies, including the Company’s ability to drive growth by incorporating artificial intelligence and machine learning solutions into its platform, or the dependence of the Company’s revenues and operating results on, among other things, the homebuilding industry and, to a lesser extent, repair and remodel activity, which in each case is dependent on economic conditions, including inflation, interest rates, home size and affordability, consumer confidence, labor and supply shortages, tariffs and duties, and also lumber and other commodity prices, as well as risks related to the Company’s level of indebtedness and ability to reduce leverage, the outcome of tax positions and settlements with taxing authorities, and the implementation of its enterprise resource planning system. The Company may not succeed in addressing these and other risks. Further information regarding the risk factors that could affect the Company’s financial and other results can be found in Part I, Item 1A, “Risk Factors” of the Company’s 2025 Form 10-K and may also be described from time to time in the other reports the Company files with the S…
Excerpt shortened here; the source contains the full paragraph.
Previous wording
We are a leading provider of building materials for professional builders in new residential construction and repair and remodeling. We deliver integrated homebuilding solutions by manufacturing, supplying, and installing a full range of structural and related building products. The Company operates approximately 565 locations in 43 states across the United States, which are internally organized into two geographic operating divisions (East and West), which represent the Company’s operating segments. Due to the similar economic characteristics, categories of products, distribution methods and customers, our two operating segments are aggregated into one reportable segment.
Current wording
We are a leading provider of building materials for professional builders in new residential construction and repair and remodeling. We deliver integrated homebuilding solutions by manufacturing, supplying, and installing a full range of structural and related building products. The Company operates approximately 575 locations in 43 states across the United States, which are internally organized into two geographic operating divisions (East and West), which represent the Company’s operating segments. Due to the similar economic characteristics, categories of products, distribution methods and customers, our two operating segments are aggregated into one reportable segment.
Previous wording
Through June 30, 2026, we completed the acquisitions of PBC and Precision Design for an aggregate purchase price of approximately $31.0 million. Among other opportunities, these acquisitions further expand our market footprint and provide additional operations in our value-added product categories. These transactions are described in further detail in Note 2 to the condensed consolidated financial statements included in Part I, Item 1 of this quarterly report on Form 10-Q.
Current wording
Through September 30, 2026, we completed the acquisitions of PBC, Precision Design, ICG, and Gleckler and Sons for an aggregate purchase price of approximately $129.3 million. Among other opportunities, these acquisitions further expand our market footprint and provide additional operations in our value-added product categories. These transactions are described in further detail in Note 2 to the condensed consolidated financial statements included in Part I, Item 1 of this quarterly report on Form 10-Q.
Previous wording
During the six months ended June 30, 2026, the Company repurchased 3.3 million shares at a weighted average price of $92.25 per share, for a total cost of $302.9 million, inclusive of applicable fees and taxes. On April 29, 2026, the Company’s board of directors authorized the repurchase of up to $500.0 million of the Company’s outstanding shares of common stock, inclusive of the approximately $200.0 million remaining under the Company’s prior April 2025 $500.0 million share repurchase authorization.
Current wording
During the nine months ended September 30, 2026, the Company repurchased 3.3 million shares at a weighted average price of $92.25 per share, for a total cost of $302.9 million, inclusive of applicable fees and taxes. On April 29, 2026, the Company’s board of directors authorized the repurchase of up to $500.0 million of the Company’s outstanding shares of common stock, inclusive of the approximately $200.0 million remaining under the Company’s prior April 2025 $500.0 million share repurchase authorization.
Previous wording
According to the U.S. Census Bureau, actual U.S. total housing starts were 372 thousand for the second quarter of 2026, a decrease of 0.7% compared to the second quarter of 2025. Actual U.S. single-family starts for the second quarter of 2026 were 253 thousand, representing a decrease of 4.2%, compared to the second quarter of 2025.
Current wording
According to the U.S. Census Bureau, actual U.S. total housing starts were 341 thousand for the third quarter of 2026, a decrease of 4.2% compared to the third quarter of 2025. Actual U.S. single-family starts for the third quarter of 2026 were 232 thousand, representing a decrease of 1.6%, compared to the third quarter of 2025.
Previous wording
A composite of third-party sources, including the National Association of Home Builders and John Burns Research and Consulting, are forecasting approximately 1.3 million U.S. total housing starts and 910 thousand U.S. single-family housing starts for 2026. These forecasts represent decreases of 2.3% and 3.2%, respectively, compared to 2025 housing starts data, as reported by the U.S. Census Bureau.
Current wording
A composite of third-party sources, including the National Association of Home Builders, Zonda Home, and John Burns Research and Consulting, is forecasting approximately 1.3 million U.S. total housing starts and 880 thousand U.S. single-family housing starts for 2026. These forecasts represent decreases of 3.5% and 6.4%, respectively, compared to 2025 housing starts data, as reported by the U.S. Census Bureau.
Previous wording
Notwithstanding these headwinds, we believe the housing industry’s long-term outlook is positive and that it remains underbuilt due to growth in the underlying demographics relative to historical new construction levels. However, consumer confidence and macroeconomic uncertainty, including domestic and global conditions, fluctuations in interest rates, stock market volatility, and the impact of changes in tariffs and inflation, have adversely impacted, and may continue to adversely impact near-term housing industry demand as homes are less affordable for consumers, investors, and builders. Despite these challenges, we believe we are well-positioned to grow and capture market share as industry conditions improve in the long term. Our focus remains on managing the business through this cycle by maintaining disciplined working capital practices, including closely monitoring the credit exposure of our customers, maintaining appropriate inventory levels, and working with our vendors to improve payment terms. We strive to achieve the appropriate balance of short-term expense control while maintaining the expertise and capacity to grow the business.
Current wording
Notwithstanding these headwinds, we believe the housing industry’s long-term outlook is positive and that it remains underbuilt due to growth in the underlying demographics relative to historical new construction levels. However, consumer confidence and macroeconomic uncertainty, including domestic and global conditions, fluctuations in interest rates, stock market volatility, and the impact of changes in tariffs and inflation, have adversely impacted, and may continue to adversely impact near-term housing industry demand as homes are less affordable for consumers, investors, and builders. In addition, the housing industry may continue to experience labor constraints, including shortages of skilled tradespeople, which could affect residential construction activity and housing supply.
Previous wording
The following table sets forth the percentage relationship to net sales of certain costs, expenses and income (loss) items:
Current wording
The following table sets forth the percentage relationship to net sales of certain costs, expenses and income items:
Previous wording
Net Sales. Net sales for the three months ended June 30, 2026, were $3.9 billion, an 8.8% decrease from net sales of $4.2 billion for the three months ended June 30, 2025. Core organic sales decreased net sales by 7.0%, primarily due to a lower housing starts environment and related headwinds, while commodity price deflation decreased net sales by another 2.7%. These decreases were partially offset by an increase in net sales from acquisitions of 0.9%.
Current wording
Net Sales. Net sales for the three months ended September 30, 2026, were $3.9 billion, a 2.2% decrease from net sales of $3.9 billion for the three months ended September 30, 2025. Core organic sales decreased net sales by 3.9%, primarily due to a lower housing starts environment and related headwinds, while commodity price deflation decreased net sales by another 0.1%. These decreases were partially offset by an increase in net sales from acquisitions of 1.8%.
Previous wording
We experienced decreased net sales in our manufactured products category primarily due to a lower single-family housing starts environment and commodity price deflation, partially offset by an increase in net sales from acquisitions. Our windows, doors and millwork and specialty building products and services net sales decreased primarily due to decreased single-family activity resulting from a lower housing starts environment, partially offset by an increase in net sales from acquisitions. Our lumber and lumber sheet goods category decreased primarily due to commodity price deflation and a lower single-family housing starts environment, partially offset by an increase in net sales from acquisitions.
Current wording
We experienced decreased net sales in our manufactured products category primarily due to a lower single-family housing starts environment and commodity price deflation, partially offset by an increase in net sales from acquisitions. Our windows, doors and millwork and specialty building products and services net sales decreased primarily due to decreased single-family activity resulting from a lower housing starts environment, partially offset by an increase in net sales from acquisitions. Our lumber and lumber sheet goods category increased primarily due to increased sales volumes resulting from certain sales initiatives.
Previous wording
Gross Margin. Gross margin decreased $0.2 billion to $1.1 billion. Our gross margin percentage decreased to 28.1% in the second quarter of 2026 from 30.7% in the second quarter of 2025, a 2.6% decrease. This decrease was primarily driven by a lower housing starts environment and related headwinds.
Current wording
Gross Margin. Gross margin decreased $0.1 billion to $1.1 billion. Our gross margin percentage decreased to 27.8% in the third quarter of 2026 from 30.4% in the third quarter of 2025, a 2.6% decrease. This decrease was primarily driven by a lower housing starts environment and related headwinds.
Previous wording
Selling, General and Administrative Expenses. Selling, general and administrative expenses decreased by $29.5 million, or 3.0%, primarily due to lower variable compensation resulting from decreased net sales and lower wages as a result of cost saving actions, partially offset by expenses from our ongoing enterprise resource planning system implementation and higher fuel costs.
Current wording
Selling, General and Administrative Expenses. Selling, general and administrative expenses increased by $2.5 million, or 0.3%, primarily due to additional operating expenses from locations acquired within the last twelve months as well as increased insurance and fuel costs, partially offset by lower variable compensation resulting from decreased net sales and lower wages as a result of cost saving actions.
Previous wording
As a percentage of net sales, selling, general and administrative expenses increased to 24.8%, up from 23.3%, for the three months ended June 30, 2026 and 2025, respectively, primarily attributable to reduced operating leverage.
Current wording
As a percentage of net sales, selling, general and administrative expenses increased to 25.3%, up from 24.6%, for the three months ended September 30, 2026 and 2025, respectively, primarily attributable to reduced operating leverage.
Previous wording
Interest Expense, Net. Interest expense was $76.1 million in the second quarter of 2026, an increase of $4.1 million from the second quarter of 2025. The increase was primarily due to additional interest expense from purchase options exercised related to other finance obligations.
Current wording
Interest Expense, Net. Interest expense was $72.2 million in the third quarter of 2026, an increase of $3.0 million from the third quarter of 2025. The increase was primarily due to additional interest expense from other finance obligations and higher average debt balances.
Previous wording
Six Months Ended June 30, 2026 Compared with the Six Months Ended June 30, 2025
Current wording
Nine Months Ended September 30, 2026 Compared with the Nine Months Ended September 30, 2025
Previous wording
Net Sales. Net sales for the six months ended June 30, 2026, were $7.1 billion, a 9.4% decrease from net sales of $7.9 billion for the six months ended June 30, 2025. Core organic sales decreased net sales by 7.5%, primarily due to a lower housing starts environment and related headwinds, while commodity price deflation decreased net sales by another 3.0%. These decreases were partially offset by increased net sales from acquisitions of 1.1%.
Current wording
Net Sales. Net sales for the nine months ended September 30, 2026, were $11.0 billion, a 7.0% decrease from net sales of $11.8 billion for the nine months ended September 30, 2025. Core organic sales decreased net sales by 6.4%, primarily due to a lower housing starts environment and related headwinds, while commodity price deflation decreased net sales by another 2.0%. These decreases were partially offset by increased net sales from acquisitions of 1.4%.
Previous wording
Gross Margin. Gross margin decreased $0.4 billion to $2.0 billion, and our gross margin percentage decreased to 28.2% for the six months ended June 30, 2026, from 30.6% in the six months ended June 30, 2025, a 2.4% decrease. This decrease was primarily driven by a lower housing starts environment and related headwinds.
Current wording
Gross Margin. Gross margin decreased $0.5 billion to $3.1 billion, and our gross margin percentage decreased to 28.1% for the nine months ended September 30, 2026, from 30.5% in the nine months ended September 30, 2025, a 2.4% decrease. This decrease was primarily driven by a lower housing starts environment and related headwinds.
Previous wording
Selling, General and Administrative Expenses. Selling, general and administrative expenses decreased $47.8 million, or 2.5%. This decrease was primarily due to lower variable compensation resulting from decreased net sales and lower wages as a result of cost saving actions, partially offset by additional operating expenses from locations acquired within the last twelve months and expenses from our ongoing enterprise resource planning system implementation.
Current wording
Selling, General and Administrative Expenses. Selling, general and administrative expenses decreased $45.4 million, or 1.6%. This decrease was primarily due to lower variable compensation resulting from decreased net sales and lower wages as a result of cost saving actions, partially offset by additional operating expenses from locations acquired within the last twelve months and increased fuel costs.
Previous wording
As a percentage of net sales, selling, general and administrative expenses increased to 26.2% up from 24.3% for the six months ended June 30, 2026 and 2025, respectively, primarily attributable to reduced operating leverage.
Current wording
As a percentage of net sales, selling, general and administrative expenses increased to 25.8%, up from 24.4%, for the nine months ended September 30, 2026 and 2025, respectively, primarily attributable to reduced operating leverage.
Previous wording
Interest Expense, Net. Interest expense was $150.5 million in the six months ended June 30, 2026, an increase of $13.6 million from the six months ended June 30, 2025. Interest expense increased primarily due to additional interest expense from purchase options exercised related to other finance obligations.
Current wording
Interest Expense, Net. Interest expense was $222.7 million in the nine months ended September 30, 2026, an increase of $16.6 million from the nine months ended September 30, 2025. Interest expense increased primarily due to additional interest expense from purchase options exercised related to other finance obligations.
Previous wording
Income Tax Expense. We recorded income tax expense of $56.3 million and $54.3 million in the second quarters of 2026 and 2025, respectively. The increase in the tax expense was primarily driven by a settlement agreement with the IRS regarding the treatment of certain research and development expenses claimed in prior years. As a result of the settlement agreement, we recognized a discrete income tax expense of approximately $43.9 million in the current year period, which significantly increased income tax expense and our effective tax rate. Excluding the impact of the settlement agreement, income tax expense decreased primarily as a result of a decrease in income before income taxes in the current period. Our effective tax rate was 107.4% in the second quarter of 2026, compared to 22.7% in the second quarter of 2025.
Current wording
Income Tax Expense. We recorded income tax expense of $12.3 million and $114.6 million for the nine months ended September 30, 2026 and 2025, respectively. Current year tax expense was primarily driven by a settlement agreement with the IRS regarding the treatment of certain research and development expenses claimed in prior years. As a result of the settlement agreement, we recognized a discrete income tax expense of approximately $43.9 million in the current year period. Excluding the impact of the settlement agreement, income tax expense decreased primarily as a result of losses before income taxes incurred by certain subsidiaries in the current year period, as well as lower consolidated income before income taxes. Our effective tax rate was 57.4% for the nine months ended September 30, 2026, compared to 22.1% for the nine months ended September 30, 2025.
Previous wording
As of June 30, 2026, we had $165.0 million outstanding borrowings under our Revolving Facility, and our net excess borrowing availability was $1.6 billion after being reduced by outstanding letters of credit totaling $76.0 million. Excess availability must equal or exceed a minimum specified amount, currently $180.1 million, or we are required to meet a fixed charge coverage ratio of 1.00 to 1.00. We were not in violation of any covenants or restrictions imposed by any of our debt agreements at June 30, 2026.
Current wording
As of September 30, 2026, we had $197.0 million outstanding borrowings under our Revolving Facility, and our net excess borrowing availability was approximately $1.4 billion after being reduced by outstanding letters of credit totaling $75.6 million. Excess availability must equal or exceed a minimum specified amount, currently $173.2 million, or we are required to meet a fixed charge coverage ratio of 1.00 to 1.00. We were not in violation of any covenants or restrictions imposed by any of our debt agreements at September 30, 2026.
Previous wording
Our liquidity at June 30, 2026, was $1.6 billion, consisting of approximately $1.5 billion in net borrowing availability under the Revolving Facility and $0.1 billion cash on hand.
Current wording
Our liquidity at September 30, 2026, was $1.5 billion, consisting of approximately $1.4 billion in net borrowing availability under the Revolving Facility and $0.1 billion cash on hand.
Previous wording
Cash provided by operating activities was $155.5 million for the six months ended June 30, 2026, compared to cash provided by operating activities of $473.4 million for the six months ended June 30, 2025. The decrease in cash provided by operating activities was primarily driven by a net loss in the current period compared to net income in the prior year period, partially offset by an increase in deferred income tax liabilities and a decrease in net working capital in the first six months of 2026.
Current wording
Cash provided by operating activities was $302.0 million for the nine months ended September 30, 2026, compared to cash provided by operating activities of $1,021.1 million for the nine months ended September 30, 2025. The decrease in cash provided by operating activities was primarily driven by the decrease in net income in the current period compared to the prior year period, and an increase in net working capital in the first nine months of 2026.
Previous wording
For the six months ended June 30, 2026, cash used in investing activities decreased $952.4 million compared to the six months ended June 30, 2025, primarily due to $859.6 million less cash used for acquisitions.
Current wording
For the nine months ended September 30, 2026, cash used in investing activities decreased $866.6 million compared to the nine months ended September 30, 2025, primarily due to $787.8 million less cash used for acquisitions.
Previous wording
Cash used in financing activities was $164.5 million for the six months ended June 30, 2026, which consisted primarily of using $303.5 million for repurchases of common stock, partially offset by $165.0 million in net borrowings on the Revolving Facility. Cash provided by financing activities was $519.5 million for the six months ended June 30, 2025, which consisted primarily of a net $739.3 million received for the issuance of the 6.75% 2035 Notes, and $233.0 million net borrowings on the Revolving Facility, offset by $414.0 million for repurchases of common stock.
Current wording
Cash used in financing activities was $133.4 million for the nine months ended September 30, 2026, which consisted primarily of using $303.5 million for repurchases of common stock, partially offset by $197.0 million in net borrowings on the Revolving Facility. Cash provided by financing activities was $283.4 million for the nine months ended September 30, 2025, which consisted primarily of a net $739.3 million received for the issuance of the 6.75% 2035 Notes, offset by $414.0 million for repurchases of common stock.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
Despite these challenges, we believe we are well-positioned to grow and capture market share as industry conditions improve in the long term. We believe our value-added products, including factory-built trusses, wall panels, and pre-hung doors, help builders address the ongoing shortage of skilled construction labor. By moving work from the jobsite into our manufacturing facilities, these products reduce the on-site labor needed and help builders improve cycle times and build quality. Our focus remains on managing the business through this cycle by maintaining disciplined working capital practices, including closely monitoring the credit exposure of our customers, maintaining appropriate inventory levels, and working with our vendors to improve payment terms. We strive to achieve the appropriate balance of short-term expense control while maintaining the expertise and capacity to grow the business.
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
Income Tax Expense. We recorded income tax expense of $45.8 million and $77.5 million for the six months ended June 30, 2026 and 2025, respectively. Current period tax expense was primarily driven by a settlement agreement with the IRS regarding the treatment of certain research and development expenses claimed in prior years. As a result of the settlement agreement, we recognized a discrete income tax expense of approximately $43.9 million in the current year period, which significantly increased income tax expense and decreased our effective tax rate. Excluding the impact of the settlement agreement, income tax expense decreased primarily as a result of a net loss before income taxes in 2026 compared to net income in 2025. Due to the Company’s loss before income taxes and the recognition of the discrete tax expense associated with the IRS settlement agreement, the effective tax rate for the six months ended June 30, 2026 is not meaningful and not comparable to the effective tax rate of 21.6% for the six months ended June 30, 2025.