NEW YORK - Donaldson Company, Inc. (NYSE:DCI) reported first quarter fiscal 2025 earnings that beat analyst estimates, but its shares fell 2.3% as the company's full-year guidance failed to excite investors.
The filtration products maker posted adjusted earnings per share of $0.83, topping the consensus estimate of $0.82. Revenue rose 6.4% year-over-year to $900.1 million, surpassing expectations of $889.8 million.
"Donaldson's record first quarter earnings, driven by robust sales growth and continued margin strength, mark a strong start to fiscal 2025," said Tod Carpenter, chairman, president and chief executive officer.
The company reaffirmed its fiscal 2025 adjusted EPS guidance range of $3.56 to $3.72, which brackets the analyst consensus of $3.62.
Donaldson's Mobile Solutions segment, its largest by revenue, saw sales increase 6% to $572.4 million. The Industrial Solutions segment grew 4.6% to $257.6 million, while Life Sciences sales jumped 16.6% to $70.1 million.
Gross margin held steady at 35.6% on an adjusted basis. Operating margin expanded 20 basis points to 14.9% as the company continued cost optimization initiatives.
For the full fiscal year, Donaldson expects sales to increase between 2% and 6% compared to fiscal 2024, including a pricing benefit of approximately 1%.
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