Lincoln Electric ( (LECO) ) has released its Q2 earnings. Here is a breakdown of the information Lincoln Electric presented to its investors.
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Lincoln Electric Holdings, Inc., headquartered in Cleveland, Ohio, is a global leader in the engineering, design, and manufacturing of advanced arc welding solutions, automated joining, assembly and cutting systems, and holds a prominent position in brazing and soldering alloys. The company operates 71 manufacturing and automation system integration locations across 20 countries, serving customers in over 160 countries worldwide.
In its second quarter of 2025, Lincoln Electric reported net sales of $1,089 million, marking a 6.6% increase compared to the previous year. The company’s operating income margin stood at 17.6%, with an adjusted margin of 17.9%. Earnings per share (EPS) were reported at $2.56, with an adjusted EPS of $2.60. The company generated $144 million in cash flows from operations and returned $169 million to shareholders through dividends and share repurchases.
Key financial highlights include a net income of $143.4 million for the quarter, a significant increase from $101.7 million in the same period last year. The company’s sales growth was driven by a 2.9% increase in organic sales and a 3.0% benefit from acquisitions. Lincoln Electric’s operating income rose to $192.1 million, up from $148.8 million in the previous year. Additionally, the company announced its acquisition of the remaining 65% of Alloy Steel Australia, expected to close on August 1, 2025, which is anticipated to be accretive to earnings.
For the first half of 2025, Lincoln Electric’s net income reached $261.9 million, with sales increasing by 4.5% to $2,093.1 million. The company maintained a strong operating income margin of 17.1%, with adjusted operating income at $364.6 million. The acquisition of Alloy Steel Australia is expected to enhance the company’s earnings, contributing approximately $0.13 to $0.15 per diluted share annually.
Looking ahead, Lincoln Electric’s management remains optimistic about the company’s future performance, emphasizing their strong cash generation and operational agility. The company is well-positioned to continue delivering value to shareholders, supported by strategic acquisitions and a focus on long-term growth and margin expansion.