Parker‑Hannifin reported record first‑quarter results for the fiscal year ending September 30 2025, with total revenue reaching $5.10 billion—up 5% year‑over‑year on an organic basis. The company’s sales growth was driven by a stronger mix of high‑margin industrial electrification solutions and a rebound in its Aerospace Systems segment, offsetting modest headwinds in legacy product lines.
Adjusted earnings per share climbed 17.8% to $7.86, beating the consensus estimate of $6.74 by $1.12 or 16.6%. The earnings beat was largely attributable to disciplined cost management, which kept operating expenses in line with revenue growth, and to pricing power in the electrification portfolio, which allowed the company to maintain healthy margins even as raw‑material costs rose.
Adjusted segment operating margin expanded by 170 basis points to 20.0% from 18.3% in the same quarter a year earlier. The margin lift reflects a higher contribution from the high‑margin industrial electrification business and improved operational leverage as the company scales its manufacturing footprint. The company also reported record year‑to‑date cash flow, underscoring its ability to fund debt reduction and strategic investments.
Management raised its full‑year FY2026 guidance, increasing revenue guidance to $4.396 billion–$4.400 billion from $4.140 billion–$4.150 billion and adjusted operating income guidance to $2.151 billion–$2.155 billion from $1.950 billion–$1.960 billion. The upward revision reflects confidence in continued demand for electrification solutions and the expected contribution of the newly announced $1 billion cash acquisition of Curtis Instruments, which is projected to add $320 million in sales in 2025 and enhance the company’s portfolio of electric and hybrid technologies.
"Curtis adds complementary technologies to our existing industrial electrification platform, better positioning us to serve our customers as they continue the adoption of more electric and hybrid solutions," said Jenny Parmentier, Chairman and CEO. She added that the acquisition aligns with Parker‑Hannifin’s Win Strategy, which focuses on engaged people, premier customer experience, profitable growth, and financial performance. The company’s emphasis on cost discipline and strategic capital deployment signals a strong foundation for sustained growth.
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