Donaldson CEO Says Tariff Impact Is Immaterial, Raises Annual Profit Outlook
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 03 2025
0mins
Source: Benzinga
Third-Quarter Financial Results: Donaldson Company reported a 1.3% increase in sales to $940.1 million but fell short of expectations, with net earnings dropping significantly due to non-recurring charges, including a major impairment of intangible assets.
Revised Guidance and Shareholder Returns: The company adjusted its FY25 guidance for adjusted EPS and sales growth, while also announcing an increase in cash dividends and plans for share repurchases, indicating confidence in achieving record sales and earnings for the year.
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Analyst Views on DCI
Wall Street analysts forecast DCI stock price to rise
5 Analyst Rating
2 Buy
3 Hold
0 Sell
Moderate Buy
Current: 81.870
Low
93.00
Averages
105.50
High
123.00
Current: 81.870
Low
93.00
Averages
105.50
High
123.00
About DCI
Donaldson Company, Inc. specializes in technology-led filtration products and solutions, serving a range of industries and advanced markets. Its segments include Mobile Solutions, Industrial Solutions and Life Sciences. The Mobile Solutions segment is organized based on a combination of customers and products and consists of the off-road, on-road and aftermarket business units. Its products consist of replacement filters for both air and liquid filtration applications and filtration housings for new equipment production and systems related to exhaust and emissions. The Industrial Solutions segment is organized based on product type and consists of industrial air filtration, industrial gases, industrial hydraulics, power generation and aerospace and defense products. The Life Sciences segment is organized by end market and consists of the Food and Beverage, Disk Drive, Vehicle Electrification and Medical Device, Microelectronics and Bioprocessing Equipment and Consumables markets.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Donaldson Company to Announce Q3 Earnings on June 2nd
- Earnings Announcement: Donaldson Company (DCI) is set to announce its Q3 earnings on June 2nd before market open, with a consensus EPS estimate of $1.05, reflecting a significant year-over-year increase of 118.8%, which could directly impact the stock price.
- Revenue Expectations: The revenue estimate for Q3 stands at $973.65 million, representing a modest year-over-year growth of 3.6%, indicating the company's stability and potential for continued growth in the market.
- Historical Performance Review: Over the past two years, DCI has beaten EPS and revenue estimates 63% of the time, showcasing the company's reliability in financial performance, which may bolster investor confidence.
- Expectation Revisions: In the last three months, EPS estimates have seen one upward revision and one downward revision, while revenue estimates experienced no upward revisions and one downward revision, reflecting a cautious market outlook on the company's future performance.
See More
Donaldson Company Forecasts Strong Earnings Growth for FY2026
- Earnings Outlook: Donaldson Company forecasts Facet-related sales between $25 million and $30 million for FY2026, with an expected EPS dilution of approximately $0.03; however, organic adjusted EPS is projected to be between $3.94 and $4.01, reflecting a 7% to 9% increase compared to last year.
- Q3 Financials: The company reported net earnings of $118.1 million for the third quarter, a significant increase from $57.8 million a year ago, with EPS rising from $0.48 to $1.00, indicating strong profitability and market demand.
- Sales Growth: Third-quarter sales reached $995.1 million, up 5.8% year-over-year, driven by favorable foreign currency translation, net pricing benefits, and increased volume, showcasing the company's enhanced competitiveness in the market.
- Acquisition Impact: Donaldson completed the acquisition of Facet Filtration for $829 million in cash on May 4, 2026, with financial results from this acquisition expected to be reported in the Industrial Solutions segment starting in Q4, further propelling the company's growth trajectory.
See More
Donaldson Company Reports Increased Q3 Earnings
- Significant Profit Growth: Donaldson Company reported a third-quarter profit of $118.1 million, translating to earnings per share of $1.00, a substantial increase from last year's $57.8 million and $0.48 per share, indicating strong market performance.
- Adjusted Earnings Rise: Excluding special items, the company reported adjusted earnings of $125.5 million or $1.06 per share, further reflecting the robustness of its core business and enhanced profitability.
- Revenue Growth Continues: The company's revenue for the third quarter rose 5.9% to $995.1 million from $940.1 million last year, demonstrating success in sales and market expansion efforts.
- Optimistic Future Outlook: Donaldson provided full-year EPS guidance in the range of $3.94 to $4.01, showcasing management's confidence in future performance and likely continuing to drive positive investor sentiment.
See More
Donaldson Company Reports 5.8% Sales Growth in Q3
- Sales Performance Boost: Donaldson Company reported third-quarter sales of $995.1 million, reflecting a 5.8% year-over-year increase driven by favorable foreign currency translation, net pricing benefits, and higher volumes, thereby enhancing the company's competitive position in the market.
- Profitability Improvement: The company achieved a GAAP EPS of $1.00 and an adjusted EPS of $1.06, marking a 7.1% increase, which indicates a significant enhancement in profitability and reflects the advantages of its diversified business portfolio.
- Successful Acquisition Strategy: Donaldson completed the acquisition of Facet Filtration for $829 million, which will enhance its Industrial Solutions product portfolio and is expected to drive future sales growth, demonstrating the company's strategic focus on expansion.
- Optimistic Outlook: The company has narrowed its fiscal 2026 guidance, anticipating record sales and adjusted EPS, showcasing its strong commitment to ongoing investment and customer service, further solidifying its market position.
See More
Donaldson Company Reports Strong Q3 Earnings Beat
- Earnings Beat: Donaldson Company reported a Q3 non-GAAP EPS of $1.06, exceeding expectations by $0.01, indicating the company's stable profitability and growth potential.
- Significant Revenue Growth: The company achieved Q3 revenue of $995.1 million, a 5.9% year-over-year increase, surpassing market expectations by $21.45 million, reflecting its competitive position and sustained customer demand.
- Narrowed Financial Guidance: Donaldson has narrowed its fiscal 2026 guidance, anticipating record sales and adjusted operating margins, which demonstrates the company's confidence in its future performance and strategic adjustments.
- Positive Stock Reaction: Following the earnings report, Donaldson's shares rose by 3%, indicating investor recognition of the company's financial health and growth prospects.
See More
Oil Price Surge Triggers Market Sell-Off
- Market Reaction: The stock market experienced a widespread sell-off in the afternoon session due to escalating geopolitical tensions related to the Iran conflict, which pushed oil prices higher, causing the 10-year Treasury yield to rise by nine basis points to 4.57%, its highest level in a year, intensifying concerns about persistent inflation that could lead to further interest rate hikes and pressure corporate valuations.
- Boeing's Decline: Aerospace company Boeing (NYSE:BA) saw its stock drop by 3%, as investor confidence in its future profitability was shaken amid rising oil prices and interest rates, potentially presenting a buying opportunity for long-term investors looking for quality stocks.
- EVgo's Struggles: Renewable energy company EVgo (NASDAQ:EVGO) fell by 2.6%, with market concerns about its profitability prospects increasing in the context of rising energy costs, although the company still holds potential in the renewable sector, it may face short-term pressures.
- Standex's Volatility: Standex (NYSE:SXI) shares dropped by 3.2%, having experienced over ten moves greater than 5% in the past year, indicating that while today's decline reflects market significance, it does not fundamentally alter perceptions of the business, prompting investors to consider its long-term growth potential.
See More
Donaldson Company to Announce Q3 Earnings on June 2nd
- Earnings Announcement: Donaldson Company (DCI) is set to announce its Q3 earnings on June 2nd before market open, with a consensus EPS estimate of $1.05, reflecting a significant year-over-year increase of 118.8%, which could directly impact the stock price.
- Revenue Expectations: The revenue estimate for Q3 stands at $973.65 million, representing a modest year-over-year growth of 3.6%, indicating the company's stability and potential for continued growth in the market.
- Historical Performance Review: Over the past two years, DCI has beaten EPS and revenue estimates 63% of the time, showcasing the company's reliability in financial performance, which may bolster investor confidence.
- Expectation Revisions: In the last three months, EPS estimates have seen one upward revision and one downward revision, while revenue estimates experienced no upward revisions and one downward revision, reflecting a cautious market outlook on the company's future performance.
See More
Donaldson Company Forecasts Strong Earnings Growth for FY2026
- Earnings Outlook: Donaldson Company forecasts Facet-related sales between $25 million and $30 million for FY2026, with an expected EPS dilution of approximately $0.03; however, organic adjusted EPS is projected to be between $3.94 and $4.01, reflecting a 7% to 9% increase compared to last year.
- Q3 Financials: The company reported net earnings of $118.1 million for the third quarter, a significant increase from $57.8 million a year ago, with EPS rising from $0.48 to $1.00, indicating strong profitability and market demand.
- Sales Growth: Third-quarter sales reached $995.1 million, up 5.8% year-over-year, driven by favorable foreign currency translation, net pricing benefits, and increased volume, showcasing the company's enhanced competitiveness in the market.
- Acquisition Impact: Donaldson completed the acquisition of Facet Filtration for $829 million in cash on May 4, 2026, with financial results from this acquisition expected to be reported in the Industrial Solutions segment starting in Q4, further propelling the company's growth trajectory.
See More
Donaldson Company Reports Increased Q3 Earnings
- Significant Profit Growth: Donaldson Company reported a third-quarter profit of $118.1 million, translating to earnings per share of $1.00, a substantial increase from last year's $57.8 million and $0.48 per share, indicating strong market performance.
- Adjusted Earnings Rise: Excluding special items, the company reported adjusted earnings of $125.5 million or $1.06 per share, further reflecting the robustness of its core business and enhanced profitability.
- Revenue Growth Continues: The company's revenue for the third quarter rose 5.9% to $995.1 million from $940.1 million last year, demonstrating success in sales and market expansion efforts.
- Optimistic Future Outlook: Donaldson provided full-year EPS guidance in the range of $3.94 to $4.01, showcasing management's confidence in future performance and likely continuing to drive positive investor sentiment.
See More
Donaldson Company Reports 5.8% Sales Growth in Q3
- Sales Performance Boost: Donaldson Company reported third-quarter sales of $995.1 million, reflecting a 5.8% year-over-year increase driven by favorable foreign currency translation, net pricing benefits, and higher volumes, thereby enhancing the company's competitive position in the market.
- Profitability Improvement: The company achieved a GAAP EPS of $1.00 and an adjusted EPS of $1.06, marking a 7.1% increase, which indicates a significant enhancement in profitability and reflects the advantages of its diversified business portfolio.
- Successful Acquisition Strategy: Donaldson completed the acquisition of Facet Filtration for $829 million, which will enhance its Industrial Solutions product portfolio and is expected to drive future sales growth, demonstrating the company's strategic focus on expansion.
- Optimistic Outlook: The company has narrowed its fiscal 2026 guidance, anticipating record sales and adjusted EPS, showcasing its strong commitment to ongoing investment and customer service, further solidifying its market position.
See More
Donaldson Company Reports Strong Q3 Earnings Beat
- Earnings Beat: Donaldson Company reported a Q3 non-GAAP EPS of $1.06, exceeding expectations by $0.01, indicating the company's stable profitability and growth potential.
- Significant Revenue Growth: The company achieved Q3 revenue of $995.1 million, a 5.9% year-over-year increase, surpassing market expectations by $21.45 million, reflecting its competitive position and sustained customer demand.
- Narrowed Financial Guidance: Donaldson has narrowed its fiscal 2026 guidance, anticipating record sales and adjusted operating margins, which demonstrates the company's confidence in its future performance and strategic adjustments.
- Positive Stock Reaction: Following the earnings report, Donaldson's shares rose by 3%, indicating investor recognition of the company's financial health and growth prospects.
See More
Oil Price Surge Triggers Market Sell-Off
- Market Reaction: The stock market experienced a widespread sell-off in the afternoon session due to escalating geopolitical tensions related to the Iran conflict, which pushed oil prices higher, causing the 10-year Treasury yield to rise by nine basis points to 4.57%, its highest level in a year, intensifying concerns about persistent inflation that could lead to further interest rate hikes and pressure corporate valuations.
- Boeing's Decline: Aerospace company Boeing (NYSE:BA) saw its stock drop by 3%, as investor confidence in its future profitability was shaken amid rising oil prices and interest rates, potentially presenting a buying opportunity for long-term investors looking for quality stocks.
- EVgo's Struggles: Renewable energy company EVgo (NASDAQ:EVGO) fell by 2.6%, with market concerns about its profitability prospects increasing in the context of rising energy costs, although the company still holds potential in the renewable sector, it may face short-term pressures.
- Standex's Volatility: Standex (NYSE:SXI) shares dropped by 3.2%, having experienced over ten moves greater than 5% in the past year, indicating that while today's decline reflects market significance, it does not fundamentally alter perceptions of the business, prompting investors to consider its long-term growth potential.
See More
