Canada's ATS beats Q3 revenue estimates on growth in consumer products, energy sectors

ATS

04/02/2026 11:09

Overview

Canada automation solutions provider's fiscal Q3 revenue rose 16.7%, beating analyst expectations

Net income for fiscal Q3 increased significantly to C$30 million

Order bookings for fiscal Q3 decreased by 7% year-over-year

Outlook

ATS expects Q4 revenues between C$710 mln and C$750 mln

Company sees strong funnel activity in life sciences and energy sectors

ATS aims for margin expansion despite inflationary pressures and tariffs

Result Drivers

ORGANIC REVENUE GROWTH - Co reported 12.6% increase in organic revenues, driven by growth in consumer products and energy sectors

FOREIGN EXCHANGE IMPACT - Positive foreign exchange translation contributed 4.1% to revenue growth

CONSUMER PRODUCTS GROWTH - Revenue from consumer products rose 57.4% due to organic growth and warehouse packaging automation projects

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
C$760.70 mln
C$725.66 mln (5 Analysts)
Q3 Net Income
C$30 mln
Q3 Basic EPS
C$0.31
Q3 Order Backlog
C$2.05 bln
Q3 Orders
C$821 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "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 ATS Corp is C$49.50, about 27.8% above its February 3 closing price of C$38.73

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release: ID:nBw6kkSGka

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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.)