Applied Industrial Technologies reports Q3 EPS $2.65, consensus $2.65

Reports Q3 revenue $1.3B, consensus $1.23B. CEO Neil Schrimsher commented, “We delivered a solid Q3 underscored by strengthening organic sales growth across both segments…Combined with steady underlying gross margin performance, we reported record quarterly EBITDA at the high end of our expectations…I am encouraged by our performance year to date and the company-specific opportunities that continue to develop. Organic sales month to date in April are trending up by a high single-digit percent year over year, while orders and business funnel activity remain favorable. We are mindful of recent geopolitical developments and ongoing trade policy uncertainty, which we have incorporated into our fourth quarter outlook. That said, the demand backdrop across our North American centric operations is showing favorable signs with U.S. industrial macro indicators now in more positive territory, break-fix activity firming, and customers’ capital spending gradually improving. Combined with our balance sheet capacity, we are in a solid position moving forward.”