Vontier shares rise 6.1% after raising 2026 profit forecast
Vontier shares rise 6.1% after raising the 2026 forecast. Adjusted EPS of 92 cents topped the 85 cents consensus; revenue was in line.
Key takeaways
- Vontier (VNT) reported third-quarter adjusted earnings of 92 cents per share, above the 85 cents consensus estimate, and revenue of $736.9 million, in line with estimates. The company raised its 2026 adjusted EPS forecast to $3.60 to $3.64 from $3.45 to $3.55, and set a fourth-quarter range of 99 cents to $1.03.
Vontier (VNT) shares rose 6.1% at 3:59 p.m. ET, from a $37.58 close.
Vontier (VNT) raised its 2026 adjusted EPS forecast after third-quarter adjusted earnings of 92 cents a share beat the 85 cents consensus. Sales of $736.9 million matched the $735.01 million consensus.
Here's how the company did:
- Adjusted EPS: 92 cents vs. 85 cents expected
- GAAP diluted EPS: 73 cents vs. 70 cents a year earlier
- Revenue: $736.9 million vs. $752.5 million a year earlier, in line with the $735.01 million estimate
Sales fell 2.1% from a year earlier, reflecting the divestiture of Teletrac Navman. Core sales, which exclude acquisitions, divestitures and currency, rose 5.7%.
Operating profit rose 11.2% to $158.4 million. Adjusted operating profit margin widened 300 basis points to 24.3%.
CEO Mark Morelli said the simplification and 80/20 initiatives are delivering more meaningful operating leverage, with savings "now tracking ahead of our original commitment."
2026 guidance
The company raised its 2026 adjusted diluted EPS forecast to $3.60 to $3.64, from $3.45 to $3.55 on Aug. 6.
Fourth-quarter adjusted diluted EPS is expected at 99 cents to $1.03, with total sales of about $785 million.
Full-year total sales are expected at about $3,030 million, with core sales growth of about 3% at the midpoint. Adjusted operating profit margin is expected to expand about 180 basis points at the midpoint.
Segment results
Environmental & Fueling Solutions sales rose 8.7% to $388.9 million, and segment operating profit rose 17.6% to $122.8 million.
Mobility Technologies sales fell 13.7% to $233.6 million, while segment operating profit rose 20.6% to $60.4 million.
Repair Solutions sales fell 0.9% to $140.3 million. Segment operating profit fell 9.5% to $26.8 million, due primarily to unfavorable mix.
Cash and capital returns
Operating cash flow was $142.8 million in the quarter, and adjusted free cash flow was $133.1 million.
Vontier repurchased 2.6 million shares for $80.0 million in the quarter. Year to date, share repurchases total 8.8 million shares for $280.0 million.
The net leverage ratio ended the quarter at 2.3 times.