Consolidus posts record first half as growth outpaces industry

Consolidus said August 27, 2026, that first-half revenue rose 24.5% year over year, with second-quarter growth accelerating to 32.9% and profitability more than quadrupling. The Akron-based branded merchandise platform said the results came as the broader promotional products industry grew 2.5% in the second quarter.

Why it matters: - Consolidus said it is growing far faster than the broader promotional products market, signaling demand for centralized buying tools in education, government and healthcare. - The company’s first-half results show that branded-merchandise buyers are still spending, but shifting toward systems that promise more control, savings and efficiency. - Consolidus said it achieved record growth while holding headcount essentially flat, a sign that AI-led automation is becoming a lever for scaling service businesses.

What happened: - Consolidus announced record first-half 2026 results on Aug. 27, 2026. - Sales rose 24.5% year over year in the first half. - Second-quarter sales grew 32.9% year over year, up from 12.8% growth in the first quarter. - June was the highest-revenue month in company history. - The second quarter was the highest-revenue quarter in Consolidus’ history. - The first half was the most profitable in company history, with adjusted profitability more than quadrupling year over year. - Consolidus said the company grew roughly 13 times faster than the promotional products industry in the second quarter.

The details: - The Advertising Specialty Institute’s July 2026 Quarterly Sales Survey showed promotional products industry sales grew 2.5% year over year in the second quarter. - ASI reported first-quarter industry growth of 1.8% and said growth remained uneven with business pressures persisting. - Consolidus said growth was broad-based across higher education and local government. - Institutions used Consolidus to centralize and streamline branded merchandise purchasing. - The company said customers used cooperative contracts through OMNIA Partners, E&I Cooperative Services and GovMVMT. - New enterprise partnerships in the first half included Florida SouthWestern State College, Bay Area Air Quality Management District, St. Louis Community College, City of Apopka, Florida, Saginaw County, Michigan, City of Kalamazoo, Michigan and the Philadelphia Parking Authority. - Consolidus said its headcount stayed essentially flat during the period. - The company named Dan Capri as its first vice president of technology and AI. - Consolidus said Capri is a longtime technology leader. - The company said it is applying AI across operations to accelerate growth and improve efficiency. - Consolidus said that automation is freeing employees to spend more time with customers.

Between the lines: - The results suggest Consolidus is benefiting from a market preference for managed procurement, not just from general spending growth. - The company’s faster growth in the second quarter points to momentum building rather than a one-time spike. - Adding a healthcare vertical could open a larger addressable market, since Consolidus called healthcare the second-largest and fastest-growing segment of branded merchandise. - The AI messaging positions Consolidus as a tech-enabled service business, not just a merchandise distributor. - CEO Jeffrey Jones tied the company’s performance to a 20-year platform build and use of AI as a foundational operating tool. - Jones also said the company’s growth shows institutions still buy branded merchandise when budgets tighten, but want a smarter way to do it.

What’s next: - Consolidus said it is entering the second half of 2026 with continued momentum in higher education and government. - The company expects its newly launched healthcare vertical to add another growth lane. - Consolidus will keep investing in AI and technology as part of its operating model. - Jones said the company will continue focusing on delivering high-tech service with a high-touch customer experience.

The bottom line: - Consolidus is turning a niche procurement platform into a growth story, with record results, flat staffing and an AI-driven operating model helping it outpace a slow-growing industry.