Key Highlights

  • Polaris booked $10 million of tariff refunds worth $0.13 per share in third-quarter adjusted EPS of $1.08.
  • Rocky Brands lifted gross margin 480 basis points to 45.0%, with $2.5 million of IEEPA refunds inside it.
  • Acme United received $6.0 million of tariff refunds and recognized $4.0 million of it in the quarter.
  • DMC Global's refunds of $5.4 million made up about 28.4% of its $19.0 million adjusted EBITDA (calculated).
  • Simply Good Foods guided fiscal 2027 sales down 13% to 17%, with no refund figure cited.

Which Companies Booked Tariff Refund Benefits in Their October 27 Earnings?

Four companies on Tuesday, October 27, reported results with a tariff refund inside the numbers, and a fifth supplied the contrast. Polaris (NYSE:PII) booked $10 million of refunds worth $0.13 per share in adjusted EPS of $1.08. Rocky Brands (NASDAQ:RCKY) recognized $2.5 million of refunds of IEEPA tariffs in a gross margin of 45.0%. Acme United (NYSEAMERICAN:ACU) received $6.0 million and recognized $4.0 million of it in the quarter.

DMC Global (NASDAQ:BOOM) reported refunds of $5.4 million inside adjusted EBITDA of $19.0 million. Simply Good Foods (NASDAQ:SMPL) is the contrast: it cites no refund, and its fiscal 2027 outlook assumes prevailing tariff rates stay broadly consistent. None of the five stories states a share reaction on the day.

Polaris: Did Tariff Refunds Flatter the Raised 2026 Outlook?

Polaris reported third-quarter sales of $2,042.6 million, up 11%, and adjusted EPS of $1.08 against $0.41 a year earlier. The $0.13 refund effect means adjusted EPS excluding it was $0.95 (calculated), still above the $0.59 estimate as screened. GAAP diluted EPS was $0.66, compared with a loss of $0.28.

Management raised 2026 adjusted EPS guidance to $3.50 to $3.60 from $3.00 to $3.10, and sales to $7.55 billion to $7.60 billion. Refunds recorded in the second and third quarters account for about $1.09 of that EPS range, which leaves roughly $2.41 to $2.51 without them (calculated from the release). Cash generation was weaker, with nine-month operating cash flow of $291.8 million against $562.3 million as inventories absorbed $153.9 million.

Rocky Brands: How Much of the 480 Basis Point Margin Jump Is One-Time?

Rocky Brands reported net sales of $138.8 million, up 13.3%, and adjusted EPS of $1.76 against $1.03. Gross margin rose to 45.0% from 40.2%. Besides the $2.5 million of refunds, a temporary $3.5 million benefit came from selling free trade zone inventory that carried no incremental tariffs.

Together the two items equal about 4.3% of sales, or roughly 430 basis points (calculated), which would put margin near 40.7% without them. Management said margin excluding the refund still reflected strong full-price selling, and the release carried no numerical guidance. Retail sales grew 20.0% to $35.4 million, wholesale rose 11.8% to $99.6 million, and total debt fell 16.6% to $116.0 million.

Acme United: How Much of the Record $58 Million Quarter Is Refund?

Acme United reported record net sales of $58.0 million, up 18%, or 10% excluding the My Medic acquisition. Net income rose 80% to $3.4 million, and diluted EPS was $0.80 against $0.46. Of the $6.0 million of refunds received, $4.0 million reduced cost of goods sold and $2.0 million sits as an accrued liability.

Gross margin was 45.3% against 39.1%. The refund added about 690 basis points, while closing the DMT sharpening facility cost about 310 basis points. Removing both gives roughly 41.5% (calculated), still above last year's level, as management said. Long-term debt was $28.1 million against $18.3 million, and the DMT closure is expected to save more than $1.0 million in 2027.

DMC Global: Did Refunds Drive the Third-Quarter Turn?

DMC Global reported net sales of $172.8 million, up 14%, and adjusted EPS of $0.48 against a loss of $0.08 a year earlier. Adjusted EBITDA attributable to DMC was $19.0 million including refunds and $13.6 million excluding them, up 59% from $8.6 million on that basis.

Refunds of $5.4 million therefore account for about 28.4% of the reported figure (calculated). For the fourth quarter, management guided sales to $154 million to $164 million and adjusted EBITDA to $10 million to $13 million, reflecting seasonal moderation and a planned maintenance shutdown at Arcadia. NobelClad sales jumped 38% to $28.8 million with a backlog of $72.4 million, and net debt of $13.7 million is the lowest since December 2021.

Simply Good Foods: What Happens When the Story Is Volume, Not Tariff Refunds?

Simply Good Foods reported fiscal fourth-quarter net sales of $333.3 million, down 9.7%, and adjusted EPS of $0.44 against $0.46. The screened estimate was $0.40. Fiscal 2027 net sales are guided down 13% to 17%, which applied to fiscal 2026 sales of $1,356.5 million implies about $1.13 billion to $1.18 billion (calculated).

Atkins fell 14.9% and OWYN 20.6% in the quarter, and the company blamed softer takeaway. Full-year Adjusted EBITDA was $225.9 million, down 18.8%, after a $331.0 million non-cash impairment. Its only tariff reference is the outlook assumption that prevailing rates remain broadly consistent.

Tariff Refunds Compared: How Large Was Each Benefit Against Sales and Profit?

Calculated from the figures above, Acme United's recognized $4.0 million equals about 6.9% of its $58.0 million of sales, which matches the 690 basis points it cited. Rocky Brands' $2.5 million equals about 1.8% of sales, and Polaris' $10 million about 0.5% of its $2,042.6 million. Polaris' refund is smallest against sales, yet its $0.13 is a large share of a $0.41 prior-year quarter.

Sales growth ran from 18% at Acme United to 14% at DMC Global, 13.3% at Rocky Brands and 11% at Polaris, against a 9.7% decline at Simply Good Foods, a 27.7 point spread between the top and bottom (calculated). Rocky Brands' adjusted EPS rose about 71% and Acme United's GAAP EPS about 74%, while Polaris' $1.08 is about 2.6 times its prior-year figure (calculated).

What to Watch Next: Does the Margin Gain Persist Once Refunds Drop Out?

Each refund company has flagged the same question for its next report: how much of the margin gain remains without the one-time item. Polaris' fourth-quarter release will show whether refunds repeat and whether retail keeps outpacing the industry. Acme United will show its My Medic contribution, which management expects to be mostly in the fourth quarter, while DMC Global's fourth-quarter results test its $10 million to $13 million EBITDA range. Rocky Brands heads into the holiday season, and Simply Good Foods' first-quarter results are the next gauge of its guided 19% to 22% sales decline.