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EnerSys' Q2 Earnings & Sales Beat Estimates, Increase Year Over Year
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Key Takeaways
EnerSys' Q2 adjusted EPS of $2.56 beat estimates and rose 20.6% year over year.
Net sales climbed 7.7% to $951.3M, driven by data centers and the Bren-Tronics acquisition.
ENS guides Q3 EPS of $2.71-$2.81 on $920-$960M sales, signaling continued earnings momentum.
EnerSys (ENS - Free Report) reported second-quarter fiscal 2026 (ended Sept. 28, 2025) adjusted earnings of $2.56 per share, which surpassed the Zacks Consensus Estimate of $2.08. The bottom line increased 20.6% year over year.
EnerSys’ net sales of $951.3 million beat the consensus estimate of $928 million. The top line increased 7.7% year over year, driven by strength in data center and communications markets, along with the Bren-Tronics acquisition. While acquisitions boosted sales by 1%, pricing had a positive impact of 3%. Foreign currency translation had a positive impact of 1%. Organic sales increased 3%.
Segmental Discussion
The Energy Systems segment’s sales (accounting for 45.7% of total sales) were $435 million, up 14% year over year. The Zacks Consensus Estimate for segmental net sales was $394 million. Net sales increased due to growth in data centers and a continued recovery in the U.S. Communications market. While volume increased 10%, price/mix and foreign currency translation had positive impacts of 3% and 1%, respectively, on sales.
The Motive Power segment generated net sales of $360 million (accounting for 37.9% of total sales), down 2% year over year. The consensus estimate for segmental net sales was $356 million. Volume declined 6% in the quarter, and foreign currency translation had a favorable impact of 1% on sales.
The Specialty segment’s sales were $157 million (accounting for 16.4% of total sales), up 16% year over year. The consensus estimate was $137 million. Results benefited from the strong contribution of the Bren-Tronics acquisition. While volume increased 7%, acquisitions had a positive impact of 7% on sales. Foreign currency translation positively impacted sales by 1%.
EnerSys' cost of sales increased 6.7% year over year to $674 million. Gross profit increased 10% year over year to $277.2 million while the gross margin was up 40 basis points (bps) to 29.1%.
Operating expenses were up 9% year over year to $164.1 million. Operating earnings decreased 7.4% to $92.0 million. The operating margin decreased 150 bps year over year to 9.7%.
Balance Sheet and Cash Flow
At the end of the fiscal second quarter, EnerSys had cash and cash equivalents of $388.6 million compared with $343.1 million at the end of fiscal 2025. Long-term debt (net of unamortized debt issuance costs) was $1.18 billion compared with $1.08 billion at fiscal 2025-end.
EnerSys generated net cash of $219 million from operating activities in the first six months of fiscal 2026 compared with $44 million in the year-ago period. Capital expenditure totaled $53.9 million compared with $66.4 million in the previous fiscal year.
In the first six months of fiscal 2026, EnerSys rewarded its shareholders with a dividend payout of approximately $18.9 million, up 1.7% year over year.
ENS’ Guidance
For third-quarter fiscal 2026 (ending September 2025), EnerSys expects adjusted earnings to be in the range of $2.71–$2.81 per share, indicating growth of 36% at the mid-point. Net sales are expected to be in the band of $920–$960 million.
ENS’ Zacks Rank
The company currently carries a Zacks Rank #3 (Hold).
Dover Corporation (DOV - Free Report) reported earnings of $2.62 per share in third-quarter 2025, beating the Zacks Consensus Estimate of $2.50. This compares with earnings of $2.27 per share a year ago.
Dover posted revenues of $2.08 billion in the quarter, missing the Zacks Consensus Estimate by 0.6%. This compares with year-ago revenues of $1.98 billion.
Ardagh Metal Packaging S.A. (AMBP - Free Report) came out with earnings of eight cents per share in the third quarter of 2025, beating the Zacks Consensus Estimate of seven cents. This compares with earnings of eight cents per share a year ago.
Ardagh Metal posted revenues of $1.43 billion in the quarter, beating the Zacks Consensus Estimate by 2.7%. This compares with year-ago revenues of $1.31 billion.
Packaging Corporation of America (PKG - Free Report) reported earnings of $2.73 per share in the third quarter, missing the Zacks Consensus Estimate of $2.83. This compares with earnings of $2.65 per share a year ago.
Packaging Corp. posted revenues of $2.31 billion in the quarter, surpassing the Zacks Consensus Estimate by 2.2%. This compares with year-ago revenues of $2.18 billion.
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EnerSys' Q2 Earnings & Sales Beat Estimates, Increase Year Over Year
Key Takeaways
EnerSys (ENS - Free Report) reported second-quarter fiscal 2026 (ended Sept. 28, 2025) adjusted earnings of $2.56 per share, which surpassed the Zacks Consensus Estimate of $2.08. The bottom line increased 20.6% year over year.
EnerSys’ net sales of $951.3 million beat the consensus estimate of $928 million. The top line increased 7.7% year over year, driven by strength in data center and communications markets, along with the Bren-Tronics acquisition. While acquisitions boosted sales by 1%, pricing had a positive impact of 3%. Foreign currency translation had a positive impact of 1%. Organic sales increased 3%.
Segmental Discussion
The Energy Systems segment’s sales (accounting for 45.7% of total sales) were $435 million, up 14% year over year. The Zacks Consensus Estimate for segmental net sales was $394 million. Net sales increased due to growth in data centers and a continued recovery in the U.S. Communications market. While volume increased 10%, price/mix and foreign currency translation had positive impacts of 3% and 1%, respectively, on sales.
The Motive Power segment generated net sales of $360 million (accounting for 37.9% of total sales), down 2% year over year. The consensus estimate for segmental net sales was $356 million. Volume declined 6% in the quarter, and foreign currency translation had a favorable impact of 1% on sales.
The Specialty segment’s sales were $157 million (accounting for 16.4% of total sales), up 16% year over year. The consensus estimate was $137 million. Results benefited from the strong contribution of the Bren-Tronics acquisition. While volume increased 7%, acquisitions had a positive impact of 7% on sales. Foreign currency translation positively impacted sales by 1%.
Enersys Price, Consensus and EPS Surprise
Enersys price-consensus-eps-surprise-chart | Enersys Quote
ENS’ Margin Profile
EnerSys' cost of sales increased 6.7% year over year to $674 million. Gross profit increased 10% year over year to $277.2 million while the gross margin was up 40 basis points (bps) to 29.1%.
Operating expenses were up 9% year over year to $164.1 million. Operating earnings decreased 7.4% to $92.0 million. The operating margin decreased 150 bps year over year to 9.7%.
Balance Sheet and Cash Flow
At the end of the fiscal second quarter, EnerSys had cash and cash equivalents of $388.6 million compared with $343.1 million at the end of fiscal 2025. Long-term debt (net of unamortized debt issuance costs) was $1.18 billion compared with $1.08 billion at fiscal 2025-end.
EnerSys generated net cash of $219 million from operating activities in the first six months of fiscal 2026 compared with $44 million in the year-ago period. Capital expenditure totaled $53.9 million compared with $66.4 million in the previous fiscal year.
In the first six months of fiscal 2026, EnerSys rewarded its shareholders with a dividend payout of approximately $18.9 million, up 1.7% year over year.
ENS’ Guidance
For third-quarter fiscal 2026 (ending September 2025), EnerSys expects adjusted earnings to be in the range of $2.71–$2.81 per share, indicating growth of 36% at the mid-point. Net sales are expected to be in the band of $920–$960 million.
ENS’ Zacks Rank
The company currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Companies
Dover Corporation (DOV - Free Report) reported earnings of $2.62 per share in third-quarter 2025, beating the Zacks Consensus Estimate of $2.50. This compares with earnings of $2.27 per share a year ago.
Dover posted revenues of $2.08 billion in the quarter, missing the Zacks Consensus Estimate by 0.6%. This compares with year-ago revenues of $1.98 billion.
Ardagh Metal Packaging S.A. (AMBP - Free Report) came out with earnings of eight cents per share in the third quarter of 2025, beating the Zacks Consensus Estimate of seven cents. This compares with earnings of eight cents per share a year ago.
Ardagh Metal posted revenues of $1.43 billion in the quarter, beating the Zacks Consensus Estimate by 2.7%. This compares with year-ago revenues of $1.31 billion.
Packaging Corporation of America (PKG - Free Report) reported earnings of $2.73 per share in the third quarter, missing the Zacks Consensus Estimate of $2.83. This compares with earnings of $2.65 per share a year ago.
Packaging Corp. posted revenues of $2.31 billion in the quarter, surpassing the Zacks Consensus Estimate by 2.2%. This compares with year-ago revenues of $2.18 billion.