Adjusted Earnings Per Share Exceeded Expectations
Regal Rexnord delivered adjusted earnings per share of $2.48, up 8.3% versus the prior year, modestly ahead of expectations.
Strong Free Cash Flow Generation
The company generated $493 million of free cash flow in the second quarter, including $368.5 million from an accounts receivable securitization program.
Data Center Order Success
Regal Rexnord secured a significant $35 million data center order with potential for more similar-sized orders, boosting the enterprise growth rate next year.
Cross-Sell Synergies Progress
The company is on track to achieve $250 million in cross-sell synergies, with a current funnel of $300 million and a win rate tracking 10 points above the enterprise average.
Positive Momentum in Automation and Motion Control (AMC) Segment
The AMC segment saw July orders up approximately 21.5% due to multiple data center wins, indicating strong momentum.