Applied Industrial Technologies' Q1 sales beat; raises FY26 EPS forecast

Applied Industrial Technologies

28/10/2025 10:40

Overview

Applied Industrial fiscal Q1 sales rise 9.2% yr/yr, beating analyst expectations

Automation tech provider's net income for fiscal Q1 beats analyst estimates, reaching $100.8 mln

Company raises FY26 EPS guidance to $10.10-$10.85, reflecting Q1 performance

Outlook

Company raises FY26 EPS guidance to $10.10-$10.85

Company maintains FY26 sales growth guidance of 4%-7%

Company expects gradual improvement in end-market demand

Result Drivers

SERVICE CENTER GROWTH - Organic growth led by Service Center segment due to internal initiatives and firming MRO demand

OPERATING LEVERAGE - Favorable operating leverage and cost control improved EBITDA margins

MACRO UNCERTAINTY - Company expects gradual improvement in end-market demand amid macro and trade policy uncertainty

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Beat
$1.20 bln
$1.18 bln (8 Analysts)
Q1 EPS
$2.63
Q1 Net Income
Beat
$100.80 mln
$95.73 mln (6 Analysts)
Q1 EBITDA
Beat
$146.30 mln
$143.23 mln (4 Analysts)
Q1 Operating Income
Beat
$129.03 mln
$125.89 mln (6 Analysts)
Q1 Pretax Profit
Beat
$128.58 mln
$124.16 mln (5 Analysts)
Q1 Basic EPS
$2.67
Q1 Gross Profit
$361.42 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

Wall Street's median 12-month price target for Applied Industrial Technologies Inc is $300.00, about 13.3% above its October 27 closing price of $260.00

The stock recently traded at 24 times the next 12-month earnings vs. a P/E of 22 three months ago

Press Release: ID:nBw3vwRk1a

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)