Gates Industrial reports record Q2 sales, raises full-year guidance on strengthening demand

Filed July 31, 2026 · Period ending July 31, 2026 · ~1 min read

Key Changes

• high

  Q2 net sales rose 6.6% to $941.6M (4.9% core growth); adjusted EPS $0.44, reported EPS $0.67 boosted by $100.7M discrete tax benefit; adjusted EBITDA $211.4M at 22.5% margin.

  Exhibit 99.1 view on EDGAR →
• high

  Raised 2026 guidance: core sales growth to 2.5%–4.5% (up 100 bps at midpoint), adjusted EBITDA to $800M–$830M (up $10M), adjusted EPS to $1.62–$1.70 (up $0.06), citing improving global order momentum.

  Exhibit 99.1 view on EDGAR →
• medium

  Power Transmission segment sales up 7.0% to $588.5M with 5.3% core growth; adjusted EBITDA margin expanded 60 bps to 22.9%, showing strong operational leverage.

  Exhibit 99.1 view on EDGAR →