Global Industrial Q3 sales rise 10% on industrial, retail customers 

By Reuters News


Overview

  • Industrial equipment distributor's Q3 sales rose 10% yr/yr, slightly missing analyst expectations

  • Diluted EPS from continuing operations increased 33% yr/yr

  • Company declared $0.28 dividend and $1.00 special dividend


Outlook

  • Company did not provide specific financial guidance for upcoming quarters or full year


Result Drivers

  • TARIFF REFUNDS - Co said gross margin and operating income benefited from tariff refunds in the qtr

  • INDUSTRIAL AND RETAIL VERTICALS - Co said sales growth was driven by industrial and retail customer verticals and strategic accounts

  • GO-TO-MARKET STRATEGY - Co said execution of go-to-market strategy helped strengthen customer relationships and win larger opportunities


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Sales

Slight Miss*

$389.50 mln

$391.11 mln (3 Analysts)

Q3 Gross Margin

35.70%

Q3 Gross Profit

$138.90 mln

Q3 Operating Margin

8.40%

*Applies to a deviation of less than 1%; not applicable for per-share numbers.


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the diversified industrial goods wholesale peer group is "buy."

  • Wall Street's median 12-month price target for Global Industrial Company is $40.50, about 8% below its November 2 closing price of $44.03

  • The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 17 three months ago


Reuters Recommended Reads

  • Nov 2 - Tennant Q3 sales rise 6.2% on higher volumes

  • Nov 2 - Metallus Q3 sales rise 10% on customer demand

  • Nov 3 - Zebra Technologies Q3 revenue beats on strong demand across segments


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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