EarningsQ3 2026 Earnings Report
DE:ET7 Q3 2026 EPS Results
Actual EPS€1.88
Consensus EPS€1.81
Beat/MissBeat by +€0.07
One Year Ago EPS€1.34
DE:ET7 Q3 2026 Revenue Results
Actual Revenue€290.00M
Expected Revenue€292.03M
Beat/MissMissed by -€2.03M
YoY Revenue Growth+14.40%
Earnings Announcement Details
QuarterQ3 2026
Date08/06/2026
TimeAfter Close
Conference CallThursday, August 6, 2026
DE:ET7 Upcoming Earnings
Esco Technologies's next earnings date is estimated for November 12, 2026, based on past reporting schedules.
Q3 2026 Earnings Call Audio
DE:ET7 Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call highlighted multiple strong operating and financial metrics — record backlog ($1.54B), robust book-to-bill (1.21), double-digit segment order growth (Test +42%, Doble +30%), margin expansion, large EPS upside (Q3 EPS +37.5%, FY26 guide +38–39%), and materially improved operating cash flow (~$193M YTD). Challenges center on renewables weakness at NRG that pressured Utility margins, comparability impacts from prior-year Maritime backlog ($364M) that yielded negative quarter-over-quarter order growth, and integration/financing risks tied to the pending Megger acquisition. Overall, the positive operational momentum, raised guidance, and cash generation outweigh the cited headwinds, though some near-term lumpiness and integration/timing risks remain.Company Guidance
Record Backlog and Strong Order Momentum
Consolidated book-to-bill of 1.21 (121%) in Q3 drove a record consolidated backlog of $1.54 billion, with Aerospace & Defense backlog of $1.1 billion, indicating robust demand across served end markets.
Robust Top-Line Growth and Organic Revenue
Reported sales grew 14% in Q3, comprised of 8% organic growth and $23 million incremental sales from last year's Maritime acquisition; management cites continuing high-single-digit organic revenue growth.
Significant EPS and Margin Improvement
Adjusted EBIT margin improved 90 basis points to 22% in Q3; adjusted earnings per share increased 37.5% year-over-year to $2.20; year-to-date adjusted EBIT margins are up 250 basis points and adjusted EPS up 55%.
Segment-Level Outperformance — Aerospace & Defense
A&D sales were $168 million in Q3, up 23% year-over-year (9% organic). A&D delivered a 116% book-to-bill and expanded adjusted EBIT margin to 30% (+120 bps), with strong commercial OEM and Navy program demand.
Utility Test Strength — Doble and Megger Opportunity
Doble orders grew 30% and sales increased 17% in Q3, driven by condition monitoring, services and protection product lines. Management expects Megger acquisition to close in Q1 FY2027 and to expand scale in utility solutions.
Test Business Order Surge and Margin Expansion
Test orders rose 42% year-over-year (driven by industrial shielding and EMI filters), sales increased 5%, and adjusted EBIT margins rose 50 bps to 16.4%, reflecting improved execution and margin expansion.
Strong Operating Cash Flow and Financial Flexibility
Operating cash flow for the first 9 months exceeded $193 million versus $88 million prior year (approximately +119%), driven in part by advanced payments on large Navy contracts; EBITDA leverage is low at 0.2x and acquisition spending is down vs prior year.
Raised Full-Year Guidance
Management raised FY2026 adjusted EPS guidance to $8.30–$8.40, representing a 38%–39% increase versus fiscal 2025, and expects 2026 to be a record year following strong quarter and YTD performance.
DE:ET7 Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed