Overview
US environmental and safety solutions firm's Q1 net sales rose 35%, beating analyst expectations
Adjusted EPS for Q1 rose 55% yr/yr to $1.18
Company raised full-year net sales and adjusted EPS outlooks
Outlook
Federal Signal raises 2026 net sales outlook to $2.57 bln-$2.66 bln from $2.55 bln-$2.65 bln
Company lifts 2026 adjusted EPS outlook to $4.80-$5.05 from $4.50-$4.80
Federal Signal increases 2026 EBITDA margin targets for Safety and Security Systems Group to 22%-28%
Result Drivers
PRODUCTION INCREASES - Co said higher production at several businesses contributed to year-over-year growth
AFTERMARKET SALES - Higher sales of aftermarket offerings supported revenue growth
ACQUISITIONS - Recent acquisitions provided a meaningful boost to year-over-year growth, according to management
Company press release: ID:nPn7LbPdDa
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Beat
$625.60 mln
$579.34 mln (7 Analysts)
Q1 Net Income
$70.40 mln
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the heavy machinery & vehicles peer group is "buy"
Wall Street's median 12-month price target for Federal Signal Corp is $138.00, about 23.5% above its April 28 closing price of $111.74
The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 24 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.)