Snap-on beats Q2 sales, profit estimates on growth across segments

Snap-On

23/07/2026 11:41

    

    Overview
  
U.S. tools maker's Q2 sales rose 4.7%, beating analyst expectations
Diluted EPS for Q2 beat analyst expectations
Company cites growth in U.S. Tools Group and recent acquisitions as drivers

    

    Outlook
  
Snap-on expects 2026 capital expenditures to approximate $100 mln
Company anticipates full-year 2026 effective income tax rate will approximate 22%
Snap-on expects to make ongoing progress leveraging growth opportunities in automotive repair and critical industries

    

    Result Drivers
  
ORGANIC SALES GROWTH - Company said organic sales rose 3.0% in Q2, with gains in all Commercial & Industrial Group operations and higher sales in U.S. Tools Group and international operations
ACQUISITIONS - Recent acquisitions contributed $11.5 mln to Q2 sales, expanding offerings in torque tools and diagnostics for commercial vehicles
GROSS MARGIN IMPROVEMENT - Gross margin rose to 51.4% from 50.5% a year ago, which the company said reflects ongoing momentum in sales and earnings

    
Company press release: ID:nBw4LpSjha

    

    Key Details
  

            Metric
          

            Beat/Miss
          

            Actual
          

            Consensus Estimate
          
Q2 Sales
Beat
$1.24 bln
$1.22 bln (8 Analysts)
Q2 EPS
Beat
$4.96
$4.95 (9 Analysts)
Q2 Net Income
 
$266.20 mln
 
Q2 Pretax Profit
Miss
$339.20 mln
$346.57 mln (6 Analysts)
Q2 Adjusted Operating Earnings
 
$268.90 mln
 
Q2 Gross Profit
 
$635.20 mln
 

    

    Analyst Coverage
  
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 5 "strong buy" or "buy", 5 "hold" and 2 "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 Snap-On Inc is $415.00, about 2.2% above its July 22 closing price of $406.17
The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 18 three months ago

    

    Reuters Recommended Reads
  
July 21 - 3M boosts annual profit forecast driven by resilient industrial unit
July 21 - Genuine Parts cuts full-year profit forecast on inflation, weaker consumer spending
July 22 - Graco Q2 sales rise less than expected

    
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.)