Machinery maker Gates Industrial beats Q2 sales expectations, raises 2025 guidance
Overview
Gates Industrial Q2 sales beat analyst expectations, despite a 0.2% decline yr/yr
Adjusted EPS for Q2 beats estimates, reflecting operational improvements
Co raises full-year 2025 guidance, citing strong Replacement and Mobility growth
Outlook
Company raises 2025 full-year guidance for Adjusted EBITDA and Adjusted EPS
Company expects 2025 core sales growth of +0.5% to +2.5% year-over-year
Company anticipates 2025 Adjusted EBITDA of $765 mln to $795 mln
Company expects 2025 Adjusted EPS of $1.44 to $1.52
Company projects 2025 capital expenditures of approximately $120 mln
Result Drivers
REPLACEMENT CHANNELS - Generated positive core sales growth, per CEO Ivo Jurek
MOBILITY BUSINESS - Double-digit growth in Mobility business contributed to results, according to CEO Ivo Jurek
AGRICULTURE GROWTH - Company reports first growth in Agriculture since Q4 2022, per CEO Ivo Jurek
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales | Beat | $883.70 mln | $876.20 mln (7 Analysts) |
Q2 Adjusted EPS | Beat | $0.39 | $0.38 (10 Analysts) |
Q2 EPS |
| $0.22 |
|
Q2 Net Income |
| $56.50 mln |
|
Q2 Adjusted EBITDA | Beat | $199.20 mln | $197.70 mln (7 Analysts) |
Q2 Net Income continuing operations |
| $63.40 mln |
|
Press Release: ID:nPnbQvMX0a
