Perma-Pipe International Holdings, Inc. (PPIH) is currently trading at a trailing 12-month enterprise value/sales (EV/sales) ratio of 1.09X, significantly lower than the industry average of 2.8X. In comparison, competitors Valmont Industries, Inc. (VMI) and Tenaris S.A. (TS) have EV/sales multiples of 2.29X and 2.25X, respectively. PPIH’s shares have gained 13% over the past three months, while the broader industry has seen a decline of 7.3%.
In the first half of fiscal 2026, PPIH reported a 16% year-over-year increase in net sales, rising to $109.8 million from $94.6 million. Gross profit was also up, reaching $32 million, bolstered by strong project activity in North America and MENA. However, gross margin narrowed to 29% from 33% due to an unfavorable product mix and rising costs.
As of July 31, 2026, PPIH had $34.8 million in cash and equivalents, increasing from $22.3 million at the start of the fiscal year. The company is also pursuing international expansion, including a project in Jordan aimed at enhancing its capabilities in water and infrastructure sectors. Despite these positive indicators, PPIH faces headwinds such as increased operational costs and geopolitical concerns.
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