Donaldson Narrows FY Outlook as 3Q Profit, Revenue Lift

Dow Jones06-02
 

By Adriano Marchese

 

Donaldson narrowed its full-year outlook after posting profit and sales growth in its third quarter, supported by its Mobile and Life Sciences units.

The filtration products and solutions company on Tuesday narrowed its organic sales expectations and adjusted earnings for the full year.

Donaldson now expects organic sales to grow between 3% and 5%, compared with a previous 1% to 5%, and for adjusted earnings to be between $3.94 and $4.01 a share. Previously the company expected the low-end of the range to be $3.93.

The new adjusted earnings figures reflect an increase of between 7% and 9% compared with fiscal 2025's $3.68 a share.

For its Mobile segment, the company has trimmed both sides of its range, with growth expected between 3.5% and 5.5%, compared with 2% to 6% previously.

Off-road sales are projected to rise in the mid-single digits on improving end-market demand, while on-Road sales are expected to slip slightly as global truck product remains soft.

Aftermarket revenue, on the other hand, is expected to grow at a mid-single-digit pace, supported by market-share gains and higher vehicle-use rates.

For the three months ended April 30, Donaldson posted net income of $118.1 million, or $1.00 a share, compared with $57.8 million, or 48 cents a share, in the same quarter a year ago.

Adjusted earnings were $1.06 a share. According to FactSet, analysts were expecting $1.05 a share.

Sales rose 5.8% to $995.1 million, benefiting from favorable foreign currency translation, net pricing benefits and higher volume. The quarter's revenue came in ahead of the $973.6 million expected by analysts.

Chief Executive Rich Lewis credits the results to a strong performance in its Mobile and Life Sciences segments which offset near-term operating headwinds in the Industrial segment.

 

Write to Adriano Marchese at adriano.marchese@wsj.com

 

(END) Dow Jones Newswires

June 02, 2026 07:15 ET (11:15 GMT)

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