We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
IR Gears Up to Post Q2 Earnings: What Lies Ahead for the Stock?
Read MoreHide Full Article
Key Takeaways
Ingersoll Rand is expected to report Q2 revenues of $1.84B, up 2.1% year over year, with EPS down 3.6%.
Growth in IT&S and Precision & Science segments is driven by strong orders and recent acquisitions.
Rising costs and forex headwinds are likely to weigh on margins, with EBITDA margin seen down 80 bps.
Ingersoll Rand Inc. (IR - Free Report) is scheduled to release second-quarter 2025 results on July 31, after market close.
The Zacks Consensus Estimate for Ingersoll Rand’s second-quarter earnings has remained steady in the past 30 days. The company has an impressive earnings surprise history, having outperformed the consensus estimate in two of the preceding four quarters, matching on one occasion and missing once, the average surprise being 2.2%.
The consensus estimate for revenues is pegged at $1.84 billion, indicating growth of 2.1% from the prior-year quarter’s figure. However, the consensus estimate for adjusted earnings is pinned at 80 cents per share, indicating a 3.6% decline from the year-ago quarter’s number.
Let’s see how things have shaped up for IR this earnings season.
Factors to Note Ahead of IR’s Results
IR’s Industrial Technologies & Services (IT&S) segment is anticipated to have performed well in the second quarter, driven by higher orders across its product portfolio of industrial vacuums and blowers, compressors and power tools. We anticipate the segment’s revenues to increase 0.3% year over year to $1.47 billion.
The Precision and Science Technologies segment’s results are expected to benefit from solid momentum in the life sciences business, driven by growth in short-cycle orders and multi-year contract wins for the production of legacy space suits. We expect the segment’s revenues to increase 12.4% year over year to $380.9 million.
Ingersoll Rand has been making continued investments to support growth in demand generation and the Industrial Internet of Things, which are expected to have driven its performance. Also, the company’s solid product portfolio, innovation capabilities and focus on boosting aftermarket businesses are other tailwinds for it.
Synergistic gains from the acquisitions made by IR are expected to have boosted revenues. In February 2025, the company acquired SSI Aeration, Inc., integrating it into the IT&S segment. The buyout enhanced Ingersoll Rand’s ability to offer integrated low-pressure compressor and aeration solutions. The acquisitions of Air Power Systems Co., LLC (“APSCO”), Blutek s.r.l. (Blutek) and UT Pumps & Systems Private Limited (UT Pumps) in October 2024 strengthened the company’s market position and technology portfolio across energy-efficient bulk handling, high-specification projects and pump technologies.
In June 2024, Ingersoll Rand acquired ILC Dover, integrating it into the Precision & Science Technologies segment. This acquisition enhanced the company’s capabilities, with ILC Dover’s single-use solutions for biopharma and pharma production complementing its expertise in liquid handling technologies and positive displacement pumps.
However, increasing costs of sales are likely to have weighed on IR’s performance. Rising selling and administrative expenses are expected to have dented the company’s margins and profitability. For the quarter under review, we anticipate Ingersoll Rand’s adjusted EBITDA margin to be 26.6%, indicating a decline of 80 basis points on a year-over-year basis.
The company has considerable exposure to overseas markets. Given its substantial international operations, foreign currency headwinds are likely to have marred its profitability.
Our proven model does not conclusively predict an earnings beat for IR this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as elaborated below.
Earnings ESP: IR has an Earnings ESP of -0.75% as the Most Accurate Estimate is pegged at 79 cents per share, which is lower than the Zacks Consensus Estimate of 80 cents. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Here are some companies within the broader Industrial Products sector, which according to our model, have the right combination of elements to beat on earnings in this reporting cycle.
Parker-Hannifin Corporation (PH - Free Report) has an Earnings ESP of +0.23% and a Zacks Rank of 3 at present. The company is slated to release fourth-quarter fiscal 2025 (ended June 2025) results on Aug. 7.
Parker-Hannifin’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 4.5%.
Eaton Corporation plc (ETN - Free Report) has an Earnings ESP of +0.33% and a Zacks Rank of 3 at present. The company is scheduled to release second-quarter 2025 results on Aug. 5.
Eaton’s earnings surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 1.9%.
Emerson Electric Co. (EMR - Free Report) has an Earnings ESP of +0.46% and a Zacks Rank of 3 at present. The company is slated to release third-quarter fiscal 2025 (ended June 2025) results on Aug. 6.
Emerson’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 3.4%.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
IR Gears Up to Post Q2 Earnings: What Lies Ahead for the Stock?
Key Takeaways
Ingersoll Rand Inc. (IR - Free Report) is scheduled to release second-quarter 2025 results on July 31, after market close.
The Zacks Consensus Estimate for Ingersoll Rand’s second-quarter earnings has remained steady in the past 30 days. The company has an impressive earnings surprise history, having outperformed the consensus estimate in two of the preceding four quarters, matching on one occasion and missing once, the average surprise being 2.2%.
The consensus estimate for revenues is pegged at $1.84 billion, indicating growth of 2.1% from the prior-year quarter’s figure. However, the consensus estimate for adjusted earnings is pinned at 80 cents per share, indicating a 3.6% decline from the year-ago quarter’s number.
Let’s see how things have shaped up for IR this earnings season.
Factors to Note Ahead of IR’s Results
IR’s Industrial Technologies & Services (IT&S) segment is anticipated to have performed well in the second quarter, driven by higher orders across its product portfolio of industrial vacuums and blowers, compressors and power tools. We anticipate the segment’s revenues to increase 0.3% year over year to $1.47 billion.
The Precision and Science Technologies segment’s results are expected to benefit from solid momentum in the life sciences business, driven by growth in short-cycle orders and multi-year contract wins for the production of legacy space suits. We expect the segment’s revenues to increase 12.4% year over year to $380.9 million.
Ingersoll Rand has been making continued investments to support growth in demand generation and the Industrial Internet of Things, which are expected to have driven its performance. Also, the company’s solid product portfolio, innovation capabilities and focus on boosting aftermarket businesses are other tailwinds for it.
Synergistic gains from the acquisitions made by IR are expected to have boosted revenues. In February 2025, the company acquired SSI Aeration, Inc., integrating it into the IT&S segment. The buyout enhanced Ingersoll Rand’s ability to offer integrated low-pressure compressor and aeration solutions. The acquisitions of Air Power Systems Co., LLC (“APSCO”), Blutek s.r.l. (Blutek) and UT Pumps & Systems Private Limited (UT Pumps) in October 2024 strengthened the company’s market position and technology portfolio across energy-efficient bulk handling, high-specification projects and pump technologies.
In June 2024, Ingersoll Rand acquired ILC Dover, integrating it into the Precision & Science Technologies segment. This acquisition enhanced the company’s capabilities, with ILC Dover’s single-use solutions for biopharma and pharma production complementing its expertise in liquid handling technologies and positive displacement pumps.
However, increasing costs of sales are likely to have weighed on IR’s performance. Rising selling and administrative expenses are expected to have dented the company’s margins and profitability. For the quarter under review, we anticipate Ingersoll Rand’s adjusted EBITDA margin to be 26.6%, indicating a decline of 80 basis points on a year-over-year basis.
The company has considerable exposure to overseas markets. Given its substantial international operations, foreign currency headwinds are likely to have marred its profitability.
Ingersoll Rand Inc. Price and EPS Surprise
Ingersoll Rand Inc. price-eps-surprise | Ingersoll Rand Inc. Quote
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for IR this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as elaborated below.
Earnings ESP: IR has an Earnings ESP of -0.75% as the Most Accurate Estimate is pegged at 79 cents per share, which is lower than the Zacks Consensus Estimate of 80 cents. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Zacks Rank: IR presently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Stocks to Consider
Here are some companies within the broader Industrial Products sector, which according to our model, have the right combination of elements to beat on earnings in this reporting cycle.
Parker-Hannifin Corporation (PH - Free Report) has an Earnings ESP of +0.23% and a Zacks Rank of 3 at present. The company is slated to release fourth-quarter fiscal 2025 (ended June 2025) results on Aug. 7.
Parker-Hannifin’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 4.5%.
Eaton Corporation plc (ETN - Free Report) has an Earnings ESP of +0.33% and a Zacks Rank of 3 at present. The company is scheduled to release second-quarter 2025 results on Aug. 5.
Eaton’s earnings surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 1.9%.
Emerson Electric Co. (EMR - Free Report) has an Earnings ESP of +0.46% and a Zacks Rank of 3 at present. The company is slated to release third-quarter fiscal 2025 (ended June 2025) results on Aug. 6.
Emerson’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 3.4%.