Ralliant Raises 2026 Outlook as Q3 Revenue Grows 17% and EPS More Than Doubles to $0.77
Ralliant raised its full-year 2026 outlook after third-quarter revenue grew 17% to $620 million and earnings per share more than doubled, according to its 8-K released Wednesday.
Diluted EPS rose 117% to $0.77, and adjusted EPS climbed 64% on a normalized basis to $0.93. Net earnings were $86 million, and the net earnings margin widened 630 basis points to 13.9%. Adjusted EBITDA margin improved 310 basis points to 23.5%.
President and CEO Tami Newcombe said the quarter exceeded "the high end of our expectations."
Defense, grid and data centers
Both segments grew by double digits. Sensors & Safety Systems revenue rose 15% to $376 million, with operating profit up 24% to $112 million. The company said Defense & Space grew on a multi-year backlog, Utilities posted another record quarter of orders and revenue on grid modernization spending, and industrial markets accelerated on data center demand.
Newcombe said book-to-bill was above 1.1 across both segments.
New outlook
For the fourth quarter, Ralliant expects revenue of $620 million to $640 million and adjusted EPS of $0.93 to $0.99. For the full year, it now sees revenue of $2.340 billion to $2.360 billion and adjusted EPS of $3.10 to $3.16.
The guidance includes cost-of-sales benefits from tariff refunds of $7 million in the third quarter and $5 million in the fourth, the company said.
Ralliant also accelerated its Enterprise Productivity Program, now expecting to exit 2026 at $30 million to $35 million of annualized run-rate savings, on the way to a $50 million to $60 million target by 2028. Trailing 12-month free cash flow was $303 million.
By the numbers
- Q3 revenue: $620 million, up 17%
- Diluted EPS: $0.77, up 117%
- Adjusted EPS: $0.93
- Adjusted EBITDA margin: 23.5%
- 2026 adjusted EPS guidance: $3.10 to $3.16
Sources
- Ralliant Corporation Form 8-K with third-quarter 2026 earnings release, filed Nov. 4, 2026 (accession 0002041385-26-000070)
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