DCI earnings analysis
What we found in DCI's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Donaldson Company reported record third quarter sales of $995.1 million, up 5.8% from $940.1 million in the prior year, with diluted EPS rising to $1.00 from $0.48. The Mobile Solutions and Life Sciences segments drove growth, while declining performance in Industrial Solutions was noted. Management highlighted increased operating income and improved margins but cited potential risks from geopolitical events and the Facet acquisition.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Record Revenue Growth
- Net sales reached $995.1 million, increasing 5.8% from $940.1 million in Q3 2025.
- Substantial EPS Increase
- Diluted EPS rose to $1.00, up 108.2% from $0.48 in the previous year.
- Segment Advancements
- Mobile Solutions surged 8.1% to $629.9 million; Life Sciences increased 12.7% to $83.5 million.
- Strong Operating Profit
- Operating income jumped significantly to $155.3 million compared to $87.4 million a year ago.
- Improved Cash Flow
- Operating cash flow for the nine months was $293.8 million, up from $251.0 million.
- Liquidity Support
- Cash and cash equivalents rose to $204.1 million from $180.4 million as of July 2025.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Geopolitical Risks from Iran Conflict
- Ongoing military operations in Iran could increase commodity prices and impact business.
- Dependence on Acquisition Integration
- Risks associated with the integration of the Facet acquisition may disrupt operations.
- Earnings Pressure from New Tariffs
- Potential additional U.S. tariffs could adversely affect supply chain costs and customer demand.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $1.0
- Gross margin
- 33.5%
- Operating margin
- 15.6%
- Segment
- Mobile Solutions: $629.9M
- Segment
- Industrial Solutions: $281.7M
- Segment
- Life Sciences: $83.5M
What they said about what is next.
Management narrowed fiscal 2026 adjusted EPS outlook to $3.94-$4.01, reflecting robust sales and margin performance.
The filing reads better than the one before it.
What came before.
- 10-K · September 26, 2025
- Donaldson positions itself as a technology-led filtration leader with three strategic priorities: extend market access (notably bioprocessing), expand technologies & connected solutions, and pursue strategic…
- 10-Q · June 3, 2025
- Donaldson reported quarterly net sales of $940.1 million, up $12.2 million (1.3%) versus the prior-year quarter, but earnings deteriorated as a $62.0 million impairment and higher manufacturing costs drove operating…
- 10-Q · June 4, 2024
- Donaldson reported net sales of $927.9 million for the three months ended April 30, 2024, up $52.2 million or 6.0% year-over-year, with gross margin expanding to 35.6% (from 33.0%) and diluted EPS rising to $0.92 (from…
- 10-Q · March 4, 2024
- Donaldson reported quarter net sales of $876.7 million, up $48.4 million or 5.8% year-over-year, with gross margin expanding to 35.2% from 34.3% and diluted EPS rising to $0.81 from $0.70. Operating income improved to…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
Read the next one first.
We read every filing DCI makes the day it lands, and put it next to what the options market did about it. Members get both, and an alert when a filing arrives.
Cancel anytime · Month to month · Switch tiers whenever