ESCO Technologies Q2 sales rise, driven by Navy and Aerospace segment growth

Esco Technologies

07/05/2026 21:56

Overview

U.S. engineered products maker's fiscal Q2 sales rose 33%, slightly beating analyst expectations

Adjusted EPS from continuing operations grew 63% year-over-year to $1.91

Company cites broad-based revenue strength and rebound in Test business

Outlook

ESCO maintains FY 2026 revenue guidance of $1.29-$1.33 bln

Company raises FY 2026 adjusted EPS guidance to $8.00-$8.25

ESCO expects Q3 2026 adjusted EPS of $2.05-$2.15

Result Drivers

MARITIME CONTRIBUTION - Recent Maritime acquisition added $48 mln to Q2 revenue, especially boosting Aerospace & Defense segment

BROAD-BASED DEMAND - Co saw revenue strength across Navy, aerospace, Test, and utilities markets, with a strong rebound in Test business

PRICE INCREASES & HIGHER VOLUME - Margin improvement driven by price increases and leverage on higher volume, partially offset by inflation and mix

Company press release: ID:nGNEbSFB72

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Slight Beat*
$309 mln
$307.88 mln (3 Analysts)

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "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 ESCO Technologies Inc is $350.00, about 4.3% above its May 6 closing price of $335.59

The stock recently traded at 38 times the next 12-month earnings vs. a P/E of 28 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)