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Franklin Electric Co. (MX:FELE)
:FELE
Mexico Market
EarningsQ2 2026 Earnings Report

Franklin Electric Co (FELE) Q2 2026 Earnings Report

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MX:FELE Q2 2026 EPS Results

Actual EPS$26.34
Consensus EPS$24.56
Beat/MissBeat by +$1.78
One Year Ago EPS$22.26

MX:FELE Q2 2026 Revenue Results

Actual Revenue$10.59B
Expected Revenue$10.30B
Beat/MissBeat by +$288.20M
YoY Revenue Growth+6.03%

Earnings Announcement Details

QuarterQ2 2026
Date07/28/2026
TimeBefore Open
Conference CallTuesday, July 28, 2026
MX:FELE Upcoming Earnings
Franklin Electric Co's next earnings date is estimated for October 27, 2026, based on past reporting schedules.

Q2 2026 Earnings Call Audio

MX:FELE Q2 2026 Earnings Call
0:00 / 0:00

Q2 2026 Earnings Slide Deck

Q2 2026 Earnings Call Summary

Q2 2026
Earnings Call Date:Jul 28, 2026|
% Change Since:
|
Earnings Call Sentiment|Positive
The call presented a largely positive operating and financial performance: revenue growth (+6%), record adjusted EPS (+18%), margin expansion (adjusted operating margin +80 bps) and stronger cash generation supported by strategic M&A and product-led growth (>$10M new-product sales in Q2). Offsetting items were manageable one-time charges (legal and restructuring), regional softness in parts of EMEA and South America, material inflation and tariff timing headwinds, and geopolitical uncertainty that management is monitoring. Management raised full-year guidance while conservatively modeling H2 risks, indicating confidence in the company’s growth and productivity trajectory despite external headwinds.
Company Guidance
Franklin raised full-year sales guidance to $2.21–$2.29 billion and increased full-year adjusted diluted EPS guidance to $4.50–$4.70, while announcing a quarterly cash dividend of $0.28 (payable Aug. 20; record Aug. 6); that raise reflects Q2 momentum including consolidated Q2 sales of $622.9 million (+6% YoY, 3.5% organic), Q2 adjusted diluted EPS of $1.55 (a quarterly record, +18% YoY), Q2 adjusted operating income of $98.5 million (+12% YoY) with an adjusted operating margin of 15.8% (+80 bps YoY), gross profit of $230.6 million (37.0% margin, +90 bps), and stronger cash flow (H1 operating cash flow $58.7 million vs. $32.0 million prior year) — management noted the guide still reflects macro/geopolitical uncertainties (tariffs, Middle East, Brazil/South America) and expects productivity and new-product sales tailwinds to help offset headwinds.
Revenue Growth
Consolidated sales of $622.9 million in Q2 FY2026, up 6% year-over-year (organic growth ~3.5%); company raised full-year sales guidance to $2.21B–$2.29B.
Earnings and EPS Expansion
GAAP diluted EPS $1.46 vs $1.31 prior year (+11%); adjusted diluted EPS a quarterly record of $1.55 vs $1.31 prior year (+18%), with adjusted EPS growth more than triple sales growth.
Adjusted Operating Income and Margin Expansion
Consolidated adjusted operating income of $98.5 million in Q2, up 12% year-over-year; adjusted operating income margin improved to 15.8% from 15.0% (+80 basis points).
Gross Profit and Productivity
Gross profit increased to $230.6 million from $211.8 million; gross margin improved to 37.0% from 36.1% (+90 basis points). SG&A as a percent of sales was 21.2% (20.8% ex-acquisitions), reflecting 20 bps improvement ex-acquisitions.
Segment Outperformance — Distribution and Energy (adjusted)
Distribution sales grew 11% to $221.1 million with operating margin up 80 bps to 8.9%; Energy Systems adjusted operating income rose 11% to $32.4 million and adjusted operating margin expanded to 40.4% (up 290 bps) after excluding a $4.5M legal provision.
Water Systems Momentum and Product Wins
Global Water Systems sales up 5% (U.S. & Canada +8%); strong end-market performance: groundwater pumping (agriculture) +12%, residential including water treatment +11%, mineral extraction +6%; new product launches drove over $10 million of new sales in Q2 and water treatment dealer additions contributed over $2 million.
Improved Cash Generation and Capital Deployment
Net cash provided by operating activities of $58.7 million in the first half vs $32.0 million prior year; cash balance $97.3 million; announced quarterly dividend of $0.28 and a record capital budget to fund growth and productivity projects.
Strategic M&A and Operational Initiatives
Closed three acquisitions in H1 (water treatment and distribution-focused deals) that are tracking ahead of plan, adding roughly 1% to sales; ramping a new factory in Turkey, executing facility consolidations in North America, and appointing a Chief Supply Chain & Transformation Officer to accelerate productivity.

MX:FELE Earnings History

Report Date
Fiscal Quarter
Forecast / EPS
Last Year's EPS
EPS YoY Change
Press Release
Oct 27, 2026
2026 (Q3)
24.22 / -
22.095
2026 (Q2)
24.56 / 26.34
22.26518.32% (+4.08)
Apr 28, 2026
2026 (Q1)
12.71 / 14.11
11.38723.88% (+2.72)
2025 (Q4)
14.92 / 14.79
12.23720.83% (+2.55)
2025 (Q3)
22.26 / 22.09
19.88511.11% (+2.21)
2025 (Q2)
21.84 / 22.26
21.4153.97% (+0.85)
2025 (Q1)
12.44 / 11.39
11.897-4.29% (-0.51)
2024 (Q4)
11.25 / 12.24
13.937-12.20% (-1.70)
2024 (Q3)
21.14 / 19.89
20.905-4.88% (-1.02)
2024 (Q2)
22.43 / 21.41
21.585-0.79% (-0.17)
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