Fastenal Q3 2026 earnings: sales jump 15.5% and EPS rises to $0.35 on gains with larger customers

Fastenal’s third-quarter sales rose 15.5% to $2.46 billion, and earnings climbed to $0.35 a share from $0.29, as the industrial supplier gained ground with larger customers, the company said Wednesday in a regulatory filing.

Net income increased 19.7% to $401.6 million. The quarter had the same number of business days as a year earlier, so daily sales also rose 15.5%, to $38.5 million.

Fastenal credited share gains with larger customers, pricing actions and broad-based demand across its core end markets. Product pricing added roughly 240 basis points to sales growth, the company said, while foreign exchange trimmed about 10 basis points.

Profitability improved even as gross margin narrowed. Gross profit was 44.8% of sales, down from 45.3%, which Fastenal tied to customer mix. But selling, general and administrative expenses fell to 23.3% of sales from 24.6%, lifting operating margin to 21.5% from 20.7%.

Manufacturing customers led the way. Sales of direct materials — products that go into customers’ production — grew 18.6% on a daily basis, outpacing 14.3% growth in indirect maintenance and facilities supplies. Non-residential construction grew for the sixth straight quarter.

Operating cash flow was $422 million, or 105% of net income, and Fastenal returned $328 million to shareholders through dividends and share repurchases.

By the numbers

• Net sales: $2.46 billion, up 15.5%
• Diluted EPS: $0.35, up from $0.29
• Operating margin: 21.5%, up from 20.7%
• Gross margin: 44.8%, down from 45.3%
• Operating cash flow: $422 million
• Returned to shareholders: $328 million

Sources

1. Fastenal Company, Form 8-K (Item 2.02), Exhibit 99.1, 2026 third-quarter earnings release, filed Oct. 14, 2026, accession 0000815556-26-000046.

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