Sees FY26 Revenue of $2.17B to $2.24B
Sees FY26 $2.17B-$2.24B, consensus $2.24B
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- Earnings Announcement: Franklin Electric (FELE) is set to release its Q1 2023 earnings on April 28 before market open, with a consensus EPS estimate of $0.77, reflecting a 26.7% year-over-year decline, which may negatively impact investor sentiment.
- Revenue Expectations: The revenue estimate stands at $479.19 million, indicating a 47.4% year-over-year increase; however, the company has only beaten revenue estimates 25% of the time over the past year, highlighting performance uncertainty.
- Earnings Revisions: Over the last three months, EPS estimates have seen one upward revision and two downward revisions, while revenue estimates have faced no upward revisions and four downward adjustments, indicating a weakening market confidence in the company's future performance.
- Future Guidance: Franklin Electric has outlined a sales guidance of $2.17 billion to $2.24 billion for 2026, focusing on margin expansion through value acceleration, demonstrating resilience in its long-term strategic outlook despite current performance pressures.
- Quarterly Cash Dividend: Franklin Electric's Board of Directors has declared a cash dividend of $0.28 per share, payable on May 21, 2026, to shareholders of record on May 7, 2026, demonstrating the company's commitment to shareholder returns.
- Global Leadership: Franklin Electric is recognized as a global leader in the production and marketing of systems and components for the movement of water and energy, serving various sectors including residential, commercial, agricultural, industrial, municipal, and fueling applications, showcasing its technical prowess and market influence.
- Responsibility and Trust: The company has been recognized in Newsweek's lists of America's Most Responsible Companies 2025, Most Trustworthy Companies 2025, and Greenest Companies 2025, reflecting its efforts and achievements in corporate social responsibility and sustainability.
- Forward-Looking Statement Risks: The company highlights in its forward-looking statements that market conditions, financial results, and various other factors may cause actual results to differ materially from expectations, reminding investors to be aware of potential risks.
- Significant Sales Growth: Franklin Electric reported Q4 2025 sales of $506.9 million, a 4.4% year-over-year increase, with total sales for the year reaching $2.1 billion, showcasing strong performance across all business segments and reinforcing its market position.
- Improved Profitability: The adjusted diluted earnings per share for 2025 was $4.14, up 6% from $3.92 in 2024, despite a $0.91 negative impact from a pension settlement charge, demonstrating the company's resilience in profitability.
- Strategic Investments and Acquisitions: The company executed $120 million in acquisitions and $160 million in share buybacks during 2025, indicating confidence in future growth, while the establishment of the Value Acceleration Office aims to streamline internal processes and enhance cost management for improved operational efficiency.
- Optimistic Future Outlook: Management expects 2026 sales to range between $2.17 billion and $2.24 billion, with adjusted EPS projected between $4.40 and $4.60, reflecting confidence in sustained growth across business segments, particularly in organic growth expectations for Water Treatment and Energy businesses.
- Earnings Performance: Franklin Electric reported a Q4 Non-GAAP EPS of $0.87, missing expectations by $0.02, and despite a 4.4% year-over-year revenue growth to $506.9 million, it fell short of market consensus, indicating pressure on profitability.
- Segment Growth: The company saw net sales increases across all three segments, with Water Systems up 4%, Energy Systems up 9%, and Distribution up 3%, demonstrating strong market demand across its diversified product lines.
- Operating Income Increase: Operating income for 2025 reached $51.6 million, a 20% increase year-over-year, with an operating margin of 10.2%, showcasing the company's success in cost control and efficiency improvements, despite overall earnings not meeting expectations.
- Cash Flow Situation: By the end of 2025, the company had a cash balance of $99.7 million, a decrease of $120.9 million from 2024, with net cash flows from operating activities at $238.9 million, down from $261.4 million in the same period last year, reflecting challenges in liquidity management.
- Dividend Increase: Franklin Electric declares a quarterly dividend of $0.28 per share, marking a 5.7% increase from the previous $0.265, indicating ongoing improvements in the company's cash flow and profitability.
- Yield Metrics: The forward yield of 1.12% reflects the company's competitiveness in attracting investors while demonstrating its commitment to shareholder returns amidst market conditions.
- Payment Schedule: The dividend is payable on February 19, with a record date of February 5 and an ex-dividend date also on February 5, ensuring timely returns for shareholders and bolstering investor confidence.
- Sales Projections: Franklin Electric targets FY25 sales between $2.09 billion and $2.15 billion, highlighting the company's proactive advancements in innovation and capacity expansion aimed at driving future growth.
Upcoming Ex-Dividend Dates: Eaton Corp plc, Franklin Electric Co., Inc., and TriMas Corp will trade ex-dividend on 11/6/25, with respective dividends of $1.04, $0.265, and $0.04 scheduled for payment on 11/21/25, 11/20/25, and 11/13/25.
Expected Price Adjustments: Following the ex-dividend date, shares of Eaton Corp are expected to open 0.27% lower, Franklin Electric 0.28% lower, and TriMas Corp 0.11% lower, based on their recent stock prices.
Dividend Yield Estimates: The estimated annualized yields for the upcoming dividends are 1.08% for Eaton Corp, 1.14% for Franklin Electric, and 0.44% for TriMas Corp, reflecting their historical dividend stability.
Current Stock Performance: In recent trading, Eaton Corp shares are up 1.3%, Franklin Electric shares are down 1.7%, and TriMas Corp shares are up 1.7%.








