CLEVELAND, Jan. 29, 2026 (GLOBE NEWSWIRE) -- Parker Hannifin Corporation (NYSE: PH), the global leader in motion and control technologies, today reported results for the quarter ended December 31, 2025, that included the following highlights (compared with the prior year period):

Fiscal 2026 Second Quarter Highlights:

• Sales increased 9% to a record $5.2 billion; organic sales increased 6.6%
• Segment operating margin was 23.9%, an increase of 180 bps, or 27.1% adjusted, an increase of 150 bps
• Net income was $845 million, a decrease of 11% compared with the second quarter of fiscal 2025 which included a one-time after-tax gain from divestitures of $223 million
• Adjusted net income increased 15% to $980 million
• EPS were $6.60, a decrease of 9% compared with the second quarter of fiscal 2025 which included a one-time after-tax gain from divestitures of $1.70
• Adjusted EPS increased 17% to a record $7.65
  
  

“This was another outstanding quarter that reflected the performance of our global team, the power of our business system The Win Strategy™, and the strength of our transformed portfolio,” said Jenny Parmentier, Chairman and Chief Executive Officer. “We delivered record sales with organic sales growth of nearly 7% and growth across all reported businesses. Our team expanded adjusted segment operating margin by 150 basis points and delivered an impressive 17% adjusted earnings per share growth. We also announced a definitive agreement to acquire Filtration Group Corporation, expanding our aftermarket business and presence in life sciences, HVAC/R, and in-plant and industrial market verticals. On the strength of our second quarter results, robust aerospace demand, and continued gradual recovery in our industrial markets, we are increasing our outlook for the full year.”

This news release contains non-GAAP financial measures. Reconciliations of adjusted numbers and certain non-GAAP financial measures are included in the financial tables of this press release.

Outlook

Guidance for the fiscal year ending June 30, 2026 has been increased:

• Reported sales growth has been increased to the range of 5.5% to 7.5%. Organic sales growth of approximately 5% at the midpoint, acquisitions of approximately 1%, previously completed divestitures of approximately 1%, and favorable currency of 1.5%.
• Segment operating margin outlook has been increased to the range of 23.7% to 24.1%, or 27.0% to 27.4% on an adjusted basis.
• EPS guidance has been increased to the range of $26.26 to $26.86, or $30.40 to $31.00 on an adjusted basis.
  
  

Segment Results

Diversified Industrial Segment

• Organic growth positive, driven by in-plant & industrial, off-highway and aerospace & defense
• Achieved record adjusted segment operating margin
• Order rates increased to 7% driven by multi-year aerospace & defense bookings

• Achieved record sales and adjusted segment operating margin
• Strong performance in Asia at 9% organic growth; EMEA returns to positive at 2% organic growth
• Order rates increased to 6%, driven by long-cycle aerospace & defense and electronics bookings

• Achieved record sales on 26% commercial OEM growth and 17% aftermarket growth
• Delivered record adjusted segment operating margin
• Double digit order rates continued
• Robust multi-year backlog increased to a record $8 billion
  
  

Order Rates

• Order rates increased to 9% with all reported businesses generating positive growth
• Backlog increased to a record $11.7 billion
  
  

About Parker Hannifin
Parker Hannifin is a Fortune 250 global leader in motion and control technologies. For more than a century the company has been enabling engineering breakthroughs that lead to a better tomorrow. Learn more at www.parker.com or @parkerhannifin.

Notice of Webcast
Parker Hannifin's conference call and slide presentation to discuss its fiscal 2026 second quarter results are available to all interested parties via live webcast today at 11:00 a.m. ET, at investors.parker.com. A replay of the webcast will be available on the site approximately one hour after the completion of the call and will remain available for one year. To register for e-mail notification of future events please visit investors.parker.com.

Note on Orders
The company reported orders for the quarter ending December 31, 2025, compared with the same quarter a year ago. All comparisons are at constant currency exchange rates, with the prior year quarter restated to the current-year rates, and exclude divestitures. Diversified Industrial comparisons are on 3-month average computations and Aerospace Systems comparisons are on rolling 12-month average computations.

Note on Non-GAAP Financial Measures
This press release contains references to non-GAAP financial information including (a) adjusted net income; (b) adjusted earnings per share; (c) adjusted segment operating margin for Parker and by segment; (d) adjusted segment operating income for Parker and by segment; and (e) organic sales growth. These measures are presented to allow investors and the company to meaningfully evaluate changes in net income, earnings per share and segment operating margins on a comparable basis from period to period. Although these measures are not measures of performance calculated in accordance with GAAP, we believe that they are useful to an investor in evaluating the results of this quarter versus the prior period. Comparable descriptions of record adjusted results in this release refer only to the period from the first quarter of FY2011 to the periods presented in this release. This period coincides with recast historical financial results provided in association with our FY2014 change in segment reporting. A reconciliation of non-GAAP measures is included in the financial tables of this press release.

Forward-Looking Statements
Forward-looking statements contained in this and other written and oral reports are made based on known events and circumstances at the time of release, and as such, are subject in the future to unforeseen uncertainties and risks. Often but not always, these statements may be identified from the use of forward-looking terminology such as “anticipates,” “believes,” “may,” “should,” “could,” “expects,” “targets,” “is likely,” “will,” or the negative of these terms and similar expressions, and may also include statements regarding future performance, orders, earnings projections, events or developments. Parker cautions readers not to place undue reliance on these statements. It is possible that the future performance may differ materially from expectations, including those based on past performance.

Among other factors that may affect future performance are: changes in business relationships with and orders by or from major customers, suppliers or distributors, including delays or cancellations in shipments; disputes regarding contract terms, changes in contract costs and revenue estimates for new development programs; changes in product mix; ability to identify acceptable strategic acquisition targets; uncertainties surrounding timing, successful completion or integration of acquisitions and similar transactions, including the pending acquisition of Filtration Group Corporation and the integration of Curtis Instruments, Inc.; ability to successfully divest businesses planned for divestiture and realize the anticipated benefits of such divestitures; the determination and ability to successfully undertake business realignment activities and the expected costs, including cost savings, thereof; ability to implement successfully business and operating initiatives, including the timing, price and execution of share repurchases and other capital initiatives; availability, cost increases of or other limitations on our access to raw materials, component products and/or commodities if associated costs cannot be recovered in product pricing; ability to manage costs related to insurance and employee retirement and health care benefits; legal and regulatory developments and other government actions, including related to environmental protection, and associated compliance costs; supply chain and labor disruptions, including as a result of tariffs and labor shortages; threats associated with international conflicts and cybersecurity risks and risks associated with protecting our intellectual property; uncertainties surrounding the ultimate resolution of outstanding legal proceedings, including the outcome of any appeals; effects on market conditions, including sales and pricing, resulting from global reactions to U.S. trade policies; manufacturing activity, air travel trends, currency exchange rates, difficulties entering new markets and economic conditions such as inflation, deflation, interest rates and credit availability; inability to obtain, or meet conditions imposed for, required governmental and regulatory approvals; changes in the tax laws in the United States and foreign jurisdictions and judicial or regulatory interpretations thereof; and large scale disasters, such as floods, earthquakes, hurricanes, industrial accidents and pandemics. Readers should also consider forward-looking statements in light of risk factors discussed in Parker’s Annual Report on Form 10-K for the fiscal year ended June 30, 2025 and other periodic filings made with the SEC.