Capstone Holding Corp. (NASDAQ:CAPS), a tech-enabled building products distribution platform, today announced a series of commercial wins through its Carolina Stone subsidiary, including the expansion of its D.R. Horton relationship to 19 communities in Raleigh and a new leading national homebuilder relationship in Charlotte, for which Capstone won all of the builder's regional stone installation work. The Company also secured a ~$1 million multifamily project in the Charlotte metropolitan area. The awards have driven order volume to its strongest level in two years.

Revenue from the new awards is expected to begin in the fourth quarter of 2026 and continue through subsequent quarters, adding revenue visibility and opportunities for scope expansion. The Company expects the awards to strengthen its pipeline and support continued gross margin expansion as it progresses toward its FY2026 financial targets.

"These wins reflect what we are seeing across the platform: order volume is the strongest it has been in at least two years, and Capstone's organic growth is poised to accelerate," said Matthew Lipman, Chief Executive Officer. "Winning all of a leading homebuilder's regional stone installation work, and deepening our relationship with D.R. Horton, positions us to deliver positive Adjusted EBITDA in the second quarter and to keep expanding gross profit and margins."

The awards build on a first quarter in which revenue grew 60% year-over-year to $12.6 million, gross profit increased 124% to $3.0 million, and gross margin expanded 670 basis points to 23.5%—the highest first-quarter gross margin in four years.