RESTRUCTURING CHARGES

12 Months Ended

Sep. 30, 2025

Restructuring and Related Activities [Abstract]

Griffon announced in May 2023 that CPP was expanding its global sourcing strategy to include long handled tools, material handling, and wood storage and organization product lines for the U.S. market. This initiative was successfully completed as of September 30, 2024.

As a result of this global sourcing expansion initiative, manufacturing operations have concluded at four manufacturing sites and four wood mills, resulting in a total facility footprint reduction of approximately 1.2 million square feet, or approximately 15% of CPP's square footage, and a headcount reduction of approximately 600. The closed locations have met the held for sale criteria and have been classified as such on our Consolidated Balance Sheets as of September 30, 2025 and September 30, 2024. The net book value of these properties as of September 30, 2025 and September 30, 2024 totaled $5,609 and $14,532, respectively.

The adoption of an asset-light business model for these U.S. products has positioned CPP to better serve customers with a more flexible and cost-effective sourcing model that leverages supplier relationships around the world, and improved its competitive positioning.

Implementation of this strategy over the duration of the project resulted in charges of $133,777, which included $51,082 of cash charges for employee retention and severance, operational transition, and facility and lease exit costs, and $82,695 of non-cash charges primarily related to asset write-downs. In addition, there were $2,678 of capital investments to effectuate the project. This excluded cash proceeds from the sale of real estate and equipment, which through September 30, 2024 were $13,271, and excluded future proceeds from the sale of remaining real estate and equipment. During the year ended September 30, 2025, cash proceeds related to the sale of the remaining real estate and equipment held for sale totaled $17,729.

In the year ended September 30, 2024, CPP incurred pre-tax restructuring and related exit costs approximating $41,309. Cash charges totaled $17,546 and non-cash, asset-related charges totaled $23,763; the cash charges included $5,856 for one-time termination benefits and other personnel related costs and $11,690 for facility exit costs. Non-cash charges related to $23,763 recorded to adjust inventory to its net realizable value.

In the year ended September 30, 2023, CPP incurred pre-tax restructuring and related exit costs approximating $92,468. Cash charges totaled $33,536 and non-cash, asset-related charges totaled $58,932; the cash charges included $16,772 for one-time termination benefits and other personnel-related costs and $16,764 for facility exit costs. Non-cash charges included a $21,832 impairment charge related to certain fixed assets at several manufacturing locations and $37,100 recorded to adjust inventory to its net realizable value.

A summary of the restructuring and other related charges included in COGS and SG&A expenses in the Company's Consolidated Statements of Operations were as follows:


	For the Year Ended September 30,
	2024		2023
Cost of goods and services	$	35,806	$	82,028
Selling, general and administrative expenses	5,503		10,440
Total restructuring charges	$	41,309	$	92,468


	For the Year Ended September 30,
	2024		2023
Personnel related costs	$	5,856	$	16,772
Facilities, exit costs and other	11,690		16,764

Non-cash facility and other	23,763		58,932
Total	$	41,309	$	92,468

The following table summarizes the accrued liabilities of the Company's restructuring actions:


	Cash Charges		Cash Charges		Non-Cash Charges
	Personnel related costs		Facilities & Exit Costs		Facility and Other Costs		Total








Accrued liability at September 30, 2022	$	386	$	264	$	—	$	650
Charges	16,772		16,764		58,932		92,468
Payments	(3,051)		(11,477)		—		(14,528)
Non-cash charges (1)	—		—		(58,932)		(58,932)
Accrued liability at September 30, 2023	$	14,107	$	5,551	$	—	$	19,658
Charges	5,856		11,690		23,763		41,309
Payments	(11,781)		(12,425)		—		(24,206)
Non-cash charges (1)	—		—		(23,763)		(23,763)
Accrued liability at September 30, 2024	$	8,182	$	4,816	$	—	$	12,998

Payments	(5,355)		(3,600)		—		(8,955)

Accrued liability at September 30, 2025	$	2,827	$	1,216	$	—	$	4,043
(1) Non-cash charges in Facility and Other Costs primarily represent the non-cash write-off of certain long-lived assets and inventory that has no recoverable value in connection with certain facility closures.