REGAL REXNORD REPORTS THIRD QUARTER 2026 FINANCIAL RESULTS

Quarterly operating cash flow increased, but nine-month operating cash flow fell to $411.4 million from $823.0 million.

Rhea-AI Summary

Regal Rexnord (NYSE: RRX) reported third-quarter 2026 sales of $1,588 million, up 6% from the prior year, alongside a GAAP net loss. The net loss was $12.3 million versus $80.0 million of income a year earlier, including a $119.3 million noncash goodwill impairment primarily related to autonomous mobile solutions. Adjusted diluted earnings per share rose to $2.90 from $2.51.

Adjusted EBITDA, an adjusted earnings measure excluding interest, taxes, depreciation and amortization, increased 4% to $351 million; excluding IEEPA tariff refunds, it was $337 million. Daily orders rose 6%, while data center sales increased 307%, or 169% excluding E-Pods. The company lowered and narrowed 2026 GAAP EPS guidance to $3.76–$4.06, but raised and narrowed adjusted diluted EPS guidance to $10.60–$10.90. A portfolio review is underway, including exploration of an autonomous mobile solutions sale. Net debt to adjusted EBITDA, including synergies, ended the quarter at 2.9x.

17 points · 1 major

MixediHow this balance works

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Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

1 major · 11 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Major point. Forward-looking: it has not happened yet and may not happen.2026 adjusted diluted EPS guidance raised and narrowed to $10.60–$10.90, with a $10.75 midpoint.
• Moderate pointThird-quarter sales of $1,588 million increased 6% versus the prior year.
• Moderate pointAdjusted diluted EPS of $2.90 rose from $2.51 in third-quarter 2025.
• Moderate pointAdjusted EBITDA of $351 million increased $12 million, or 4%, versus the prior year.
• Moderate pointDaily orders increased 6% versus the prior year; orders excluding data centers grew 13%.
• Moderate pointData center sales increased 307%, or 169% excluding E-Pods.
• Moderate pointAMC sales of $500.6 million increased 24.5%, or 25.2% organically, versus third-quarter 2025.
• Moderate pointQuarterly operating cash flow of $219.8 million increased from $197.5 million a year earlier.
• Moderate pointQuarterly gross profit of $590.2 million increased from $554.2 million a year earlier.
• Moderate pointLong-term debt of $4,427.5 million decreased from $4,764.6 million at December 31, 2025.

7 minor points

• Minor pointAdjusted EBITDA excluding IEEPA tariff refunds of $337 million exceeded company expectations.
• Minor pointCommercial HVAC orders grew 47%, aided by new air moving solutions.
• Minor pointDiscrete automation orders increased 26% in the third quarter.
• Minor pointPES sales of $437.9 million increased 1.2%, or 0.4% organically, versus third-quarter 2025.
• Minor pointQuarterly interest expense of $77.0 million decreased from $87.0 million a year earlier.
• Minor pointNine-month sales of $4,625.5 million increased from $4,411.2 million in 2025.
• Minor pointNine-month adjusted diluted EPS of $8.05 increased from $7.14 in 2025.

Negative

• Major point. Forward-looking: it has not happened yet and may not happen.2026 GAAP EPS guidance lowered and narrowed to $3.76–$4.06.
• Moderate pointQuarterly GAAP net loss of $12.3 million compared with $80.0 million of income a year earlier.
• Moderate pointNoncash goodwill impairment of $119.3 million primarily related to autonomous mobile solutions; diluted EPS impact was $1.78. 1.1% of market cap
• Moderate pointQuarterly operating income of $81.4 million fell from $174.4 million a year earlier.
• Moderate pointNine-month GAAP diluted EPS of $2.52 fell from $3.25 in 2025.

6 minor points

• Minor pointIPS sales of $649.5 million declined 1.9%, or 1.8% organically, versus third-quarter 2025.
• Minor pointResidential HVAC and pool weakness partially offset commercial HVAC growth in PES.
• Minor pointQuarterly operating expenses excluding impairment of $389.5 million increased from $379.8 million a year earlier.
• Minor pointQuarterly income tax provision of $22.9 million increased from $11.9 million a year earlier.
• Minor pointNine-month operating cash flow of $411.4 million decreased from $823.0 million in 2025.
• Minor pointCash and cash equivalents of $449.6 million declined from $521.7 million at December 31, 2025.

Key Figures

Net sales: $1,588 million, up 6% versus prior year Daily orders: Up 6% versus prior year Data center sales: Up 307% +5 more

Net sales

$1,588 million, up 6% versus prior year

Third quarter 2026

Daily orders

Up 6% versus prior year

Third quarter 2026

Data center sales

Up 307%

Third quarter 2026

GAAP net loss

$12 million

Third quarter 2026

Adjusted EBITDA

$351 million, up 4% versus prior year

Third quarter 2026

GAAP diluted EPS guidance

$3.76–$4.06

2026 guidance; lowered and narrowed

Adjusted diluted EPS guidance

$10.60–$10.90

2026 guidance; raised and narrowed

Goodwill impairment charge

$119 million

Non-cash charge recorded in the quarter

Previous Earnings Reports

1 past event · Latest: Aug 05

Same Type 1 event

1. Aug 05

   Earnings report

   24h Move

   -16.7%

   Q2 results reported $10.35–$10.85 adjusted EPS guidance, preceding the current raised range.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

gaap, adjusted ebitda, goodwill impairment, ieepa

4 terms

gaap financial

"GAAP Net Loss Of $12 Million"

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

View in glossary

adjusted ebitda financial

"Adjusted EBITDA Of $351 Million"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

goodwill impairment financial

"a goodwill impairment recorded in the quarter"

Goodwill impairment occurs when a company’s valued reputation or brand strength, known as goodwill, is found to be worth less than previously recorded on its financial statements. This usually happens when the company's performance declines or market conditions change, signaling that the expected benefits from acquisitions or brand value are no longer as strong. It matters to investors because it can indicate that a company's assets are less valuable than initially thought, potentially affecting its overall financial health.

ieepa regulatory

"adjusted EBITDA excluding IEEPA refunds"

A U.S. law that gives the president broad authority to control trade, freeze assets, and block financial transactions during a declared national emergency. Investors care because those powers can abruptly restrict a company's ability to sell products, access cash, or do business with certain countries or parties, creating sudden risks to revenues, supply chains and share prices — like an emergency brake that can stop or reroute parts of a business overnight.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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MILWAUKEE, Nov. 3, 2026 /PRNewswire/ -- Regal Rexnord Corporation (NYSE: RRX)

3Q Highlights

• Daily Orders Up 6% Versus PY
• Sales Of $1,588 Million, Up 6% Versus PY
• Data Center Sales Up 307%, Or Up 169% Excluding E-Pods  
• GAAP Net Loss Of $12 Million* Versus PY GAAP Net Income Of $80 Million
• Adjusted EBITDA Of $351 Million Versus PY Of $339 Million, Up $12 Million, Or 4%, Versus PY
• Adjusted EBITDA Of $337 Million Excluding IEEPA Tariff Refunds, Ahead Of Expectations
• Net Debt To Adjusted EBITDA (Including Synergies) Ended 3Q At 2.9x

CEO Aamir Paul commented on the third quarter performance, "Our third quarter execution showed steady progress. We delivered adjusted EBITDA excluding IEEPA refunds slightly ahead of our expectations. We had healthy order demand across the portfolio, with 13% orders growth excluding data centers. We were encouraged by the orders growth in commercial HVAC, up 47%, aided by new air moving solutions. Discrete automation orders were up 26%. Data center order growth continues to scale, with some specific project order timing effects in the quarter."

Providing a strategic update, Paul continued, "Four months into the role, I see opportunities to accelerate profitable growth. These encompass improving operational performance, sharpening the focus of our growth agenda, and building a stronger growth mindset in our team. To improve focus and maximize value creation at the enterprise level, we have begun a comprehensive review of our portfolio, working closely with our Board and with the support of outside advisors. Ultimately the goal is directing capital to our most attractive opportunities. While this work is ongoing, we are committed to moving with urgency when we see opportunity. Today's announcement that we are exploring the sale of our autonomous mobile solutions business in the AMC segment reflects this approach. We plan to share further updates when we have something definitive to share."

Paul concluded, "There is significant work ahead, but we have a strong foundation and clear opportunities to build upon. I am confident in our ability to deliver on that potential and excited about what lies ahead."

Guidance Update

We are lowering and narrowing our 2026 GAAP EPS guidance to a range of $3.76 to $4.06^*. We are raising and narrowing our 2026 Adjusted Diluted EPS guidance range to $10.60 to $10.90. Our Adjusted Diluted EPS guidance range mid-point rises to $10.75.

* Includes a non-cash charge of $119 million, or $1.78 impact to Diluted EPS, in connection with a goodwill impairment recorded in the quarter primarily related to the autonomous mobile solutions ("AMS") business in the AMC segment.

Segment Performance

Segment results for the third quarter of 2026 versus the same period of the prior year are summarized below:

• Automation & Motion Control (AMC) net sales were $500.6 million, an increase of 24.5%, or an increase of 25.2% on an organic basis. Growth was broad-based, but with particular strength in data center, including $25 million of sales related to E-Pods, and in discrete automation. Adjusted EBITDA margin was 19.2% of net sales or 18.7% excluding net IEEPA refund benefits.

• Industrial Powertrain Solutions (IPS) net sales were $649.5 million, a decrease of 1.9%, or a decrease of 1.8% on an organic basis driven by weakness in metals and mining partially offset by strength in discrete automation and energy markets. Adjusted EBITDA margin was 26.0% of net sales or 25.2% excluding net IEEPA refund benefits.

• Power Efficiency Solutions (PES) net sales were $437.9 million, an increase of 1.2%, or an increase of 0.4% on an organic basis. Growth in the commercial HVAC market was partially offset by weakness in the residential HVAC and pool markets. Adjusted EBITDA margin was 19.7% of net sales, or 18.1% excluding net IEEPA refund benefits.

Conference Call

Regal Rexnord will hold a conference call to discuss this earnings release at 9:00 AM CT (10:00 AM ET) on Tuesday, November 3, 2026. To listen to the live audio and view the presentation during the call, please visit Regal Rexnord's Investor website: https://investors.regalrexnord.com. To listen by phone or to ask the presenters a question, dial 1-877-264-6786 (U.S. callers) or 1-412-317-5177 (international callers) and enter 7570153# when prompted. Participants on the call will include Aamir Paul, CEO, and Rob Rehard, EVP & CFO.

A webcast replay will be available at the link above, and a telephone replay will be available at 1-855-669-9658 (U.S. callers) or 1-412-317-0088 (international callers), using a replay access code of 9141496#. Both replays will be accessible for three months after the earnings call.

Supplemental Materials

Supplemental materials and additional information for the quarter ended September 30, 2026 will be accessible before the conference call on November 3, 2026 on Regal Rexnord's Investor website: https://investors.regalrexnord.com. The Company intends to disseminate important information about the Company to its investors on the Investors section of its website: https://investors.regalrexnord.com. Investors are advised to look at Regal Rexnord's website for future important information about the Company. The content of the Company's website is not incorporated by reference into this document or any other report or document Regal Rexnord files with the Securities and Exchange Commission.

About Regal Rexnord

Regal Rexnord's 30,000 associates around the world help create a better tomorrow by providing sustainable solutions that power, transmit and control motion. The Company's electric motors and air moving subsystems provide the power to create motion. A portfolio of highly engineered power transmission components and subsystems efficiently transmits motion to power industrial applications. The Company's automation offering, comprised of controllers, drives, precision motors, and actuators, controls motion in applications ranging from factory automation to precision tools used in surgical applications.

The Company's end markets benefit from meaningful secular demand tailwinds, and include discrete automation, food & beverage, aerospace & defense, medical, data center, energy, residential and commercial buildings, general industrial, and metals and mining.

Regal Rexnord is comprised of three operating segments: Automation & Motion Control, Industrial Powertrain Solutions, and Power Efficiency Solutions. Regal Rexnord is headquartered in Milwaukee, Wisconsin and has manufacturing, sales and service facilities worldwide. For more information, including a copy of our Sustainability Report, visit RegalRexnord.com.

Forward Looking Statements

All statements in this communication, other than those relating to historical facts, are "forward-looking statements." Forward-looking statements can generally be identified by their use of terms such as "anticipate," "believe," "confident," "estimate," "expect," "intend," "plan," "may," "will," "project," "forecast," "would," "could," "should," and similar expressions, including references to assumptions. Forward-looking statements are not guarantees of future performance and are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from such statements. Forward-looking statements include, but are not limited to, statements about expected market or macroeconomic trends, future strategic plans, and future financial and operating results. Important factors that could cause actual results to differ materially from those presented or implied in the forward-looking statements in this communication include, without limitation: the possibility that the Company may be unable to achieve expected benefits, synergies and operating efficiencies in connection with the sale of the Industrial Motors and Generators businesses in 2024 and the acquisition of Altra Industrial Motion Corp. in 2023 ("Altra Transaction") within the expected time-frames or at all and to successfully integrate Altra Industrial Motion Corp. ("Altra"); the Company's substantial indebtedness as a result of the Altra Transaction and the effects of such indebtedness on the Company's financial flexibility; the Company's ability to achieve its objectives on reducing its indebtedness on the desired timeline; dependence on key suppliers and the potential effects of supply disruptions; fluctuations in commodity prices and raw material costs; any unforeseen changes to or the effects on liabilities, future capital expenditures, revenue, expenses, synergies, indebtedness, financial condition, losses and future prospects; unanticipated operating costs, customer loss and business disruption or the Company's inability to forecast customer needs; the Company's ability to retain key executives and employees and risks associated with the transition of our new CEO; uncertainties regarding our ability to execute restructuring plans within expected costs and timing or at all; challenges to the tax treatment that was elected with respect to the merger with the Rexnord PMC business and related transactions; actions taken by competitors and our ability to effectively compete in the increasingly competitive global industries and markets; our ability to develop new products based on technological innovation and marketplace acceptance of new and existing products; our ability to keep pace with rapidly evolving technological developments related to advances in artificial intelligence; dependence on significant customers and distributors; risks that customers may make changes and adjustments to their orders which could result in actual revenue recognized being lower or higher than disclosed order values; risks associated with climate change, including unexpected weather events in markets in which we do business, and uncertainty regarding our ability to deliver on our sustainability commitments and/or to meet related investor, customer and other third party expectations relating to our sustainability efforts and rapidly evolving sustainability regulations; changes to and uncertainty in trade policy, including tariffs on imports into the US from Canada, Mexico, China, and other countries, and retaliatory tariffs and import/export restrictions, including Chinese export restrictions on certain rare earth minerals, or other trade restrictions imposed by the US or other governments; risks associated with global manufacturing, including risks associated with public health crises and political, societal or economic instability, including instability caused by ongoing geopolitical conflicts; issues and costs arising from the integration of acquired companies and businesses; prolonged declines in one or more markets, including disruptions caused by labor disputes or other labor activities, natural disasters, terrorism, acts of war, international conflicts, pandemics and political and government actions; risks associated with excess or obsolete inventory charges including related write-offs or write-downs; economic changes in global markets, such as reduced demand for products, currency exchange rates, inflation rates, interest rates, recession, government policies, including policy changes affecting taxation, trade, tariffs, import/export regulations, immigration, customs, border actions and the like, and other external factors that the Company cannot control; product liability, asbestos and other litigation, or claims by end users, government agencies or others that products or customers' applications failed to perform as anticipated; the Company's ability to identify and execute on future mergers and acquisitions ("M&A") opportunities or other strategic transactions; the impact of any such M&A transactions on the Company's results, operations and financial condition, including the impact from costs to execute and finance any such transactions; unanticipated costs or expenses that may be incurred related to product warranty issues; infringement of intellectual property by third parties, challenges to intellectual property, and claims of infringement on third party technologies; risks related to foreign currency fluctuations or changes in global commodity prices or interest rates; effects on earnings of any significant impairment of goodwill; losses from failures, breaches, attacks or disclosures involving information technology infrastructure and data; costs and unanticipated liabilities arising from rapidly evolving laws and regulations, including data privacy laws, labor and employment laws, environmental laws and regulations, and tax laws and regulations; risks associated with stock price volatility; and other factors that can be found in our filings with the SEC, including our most recent periodic reports filed on Form 10-K and Form 10-Q, which are available on our Investor Relations website. Forward-looking statements are given only as of the date of this communication and we disclaim any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. 

Non-GAAP Measures
(Unaudited)
(Dollars in Millions, Except per Share Data)

We prepare our financial statements in accordance with accounting principles generally accepted in the United States of America ("GAAP"). We also periodically disclose certain financial measures in our quarterly earnings releases, on investor conference calls, and in investor presentations and similar events that may be considered "non-GAAP" financial measures. This additional information is not meant to be considered in isolation or as a substitute for our results of operations prepared and presented in accordance with GAAP.

In this release, we disclose the following non-GAAP financial measures, and we reconcile these measures in the tables below to the most directly comparable GAAP financial measures: adjusted diluted earnings per share, adjusted income from operations, adjusted operating margin, adjusted net sales, adjusted gross margin, net debt, EBITDA, adjusted EBITDA, adjusted EBITDA (including synergies), interest coverage ratio, interest coverage ratio (including synergies), adjusted EBITDA margin, gross debt/adjusted EBITDA, net debt/adjusted EBITDA, net debt/adjusted EBITDA (including synergies), free cash flow, adjusted income before taxes, adjusted provision for income taxes, and adjusted effective tax rate. We believe that these non-GAAP financial measures are useful measures for providing investors with additional information regarding our results of operations and for helping investors understand and compare our operating results across accounting periods and compared to our peers. Our management primarily uses adjusted income from operations and adjusted operating margin to help us manage and evaluate our business and make operating decisions, while the other non-GAAP measures disclosed are primarily used to help us evaluate our business and forecast our future results. Accordingly, we believe disclosing and reconciling each of these measures helps investors evaluate our business in the same manner as management. This release also includes non-GAAP forward-looking information. The Company believes that a quantitative reconciliation of this forward-looking information to the most comparable financial measure calculated and presented in accordance with GAAP cannot be made available without unreasonable efforts. A reconciliation of this non-GAAP financial measure would require the Company to predict the timing and likelihood of future restructurings and other charges. Neither these forward-looking measures, nor their probable significance, can be quantified with a reasonable degree of accuracy. Accordingly, a reconciliation of the most directly comparable forward-looking GAAP measure is not provided.

In addition to these non-GAAP measures, we use the term "organic sales growth" to refer to the increase in our sales between periods that is attributable to organic sales. "Organic sales" refers to GAAP sales from existing operations excluding any sales from acquired businesses recorded prior to the first anniversary of the acquisition and excluding any sales from business divested/to be exited recorded prior to the first anniversary of the exit and excluding the impact of foreign currency translation. The impact of foreign currency translation is determined by translating the respective period's organic sales using the currency exchange rates that were in effect during the prior year periods.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS)
Unaudited
(Dollars in Millions, Except per Share Data)
		Three Months Ended				Nine Months Ended
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
Net Sales		$       1,588.0		$       1,497.0		$       4,625.5		$       4,411.2
Cost of Sales		997.8		942.8		2,873.8		2,764.7
Gross Profit		590.2		554.2		1,751.7		1,646.5
Operating Expenses		389.5		379.8		1,183.1		1,130.2
Goodwill Impairment		119.3		—		119.3		—
Total Operating Expenses		508.8		379.8		1,302.4		1,130.2
Income from Operations		81.4		174.4		449.3		516.3
Interest Expense		77.0		87.0		234.9		262.5
Interest Income		(6.5)		(5.3)		(17.3)		(14.6)
Other Expense, Net		0.3		0.8		0.9		2.4
Income before Taxes		10.6		91.9		230.8		266.0
Provision for Income Taxes		22.9		11.9		62.0		49.0
Net (Loss) Income		(12.3)		80.0		168.8		217.0
Less: Net Income Attributable to Noncontrolling Interests		0.2		0.4		0.4		1.1
Net (Loss) Income Attributable to Regal Rexnord Corporation		$         (12.5)		$          79.6		$         168.4		$         215.9
(Loss) Earnings Per Share Attributable to Regal Rexnord Corporation:
Basic		$         (0.19)		$          1.20		$          2.53		$          3.26
Assuming Dilution		$         (0.19)		$          1.20		$          2.52		$          3.25
Cash Dividends Declared Per Share		$          0.35		$          0.35		$          1.05		$          1.05
Weighted Average Number of Shares Outstanding:
Basic		66.6		66.4		66.5		66.3
Assuming Dilution		66.6		66.6		66.9		66.5

 

CONDENSED CONSOLIDATED BALANCE SHEETS
Unaudited
(Dollars in Millions)
		Sep 30, 2026		Dec 31, 2025
ASSETS
Current Assets:
Cash and Cash Equivalents		$            449.6		$            521.7
Trade Receivables, Less Allowances of $10.4 Million and $10.5 Million as of September 30, 2026 and December 31, 2025, Respectively		584.7		524.2
Inventories		1,392.7		1,321.7
Prepaid Expenses and Other Current Assets		466.6		344.7
Total Current Assets		2,893.6		2,712.3
Net Property, Plant and Equipment		853.2		911.8
Operating Lease Assets		140.4		145.2
Goodwill		6,447.8		6,611.3
Intangible Assets, Net of Amortization		3,093.0		3,418.4
Deferred Income Tax Benefits		36.3		36.2
Other Noncurrent Assets		124.5		85.8
Total Assets		$        13,588.8		$         13,921.0
LIABILITIES AND EQUITY
Current Liabilities:
Accounts Payable		$            653.4		$            607.3
Dividends Payable		23.3		23.2
Accrued Compensation and Benefits		200.2		205.5
Accrued Interest		82.0		84.0
Other Accrued Expenses		283.8		281.7
Current Operating Lease Liabilities		39.1		38.5
Current Maturities of Long-Term Debt		24.7		24.1
Total Current Liabilities		1,306.5		1,264.3
Long-Term Debt		4,427.5		4,764.6
Deferred Income Taxes		685.4		752.6
Pension and Other Post Retirement Benefits		93.7		106.0
Noncurrent Operating Lease Liabilities		111.5		114.0
Other Noncurrent Liabilities		87.7		66.2
Equity:
Regal Rexnord Corporation Shareholders' Equity:
Common Stock, $0.01 Par Value, 150.0 Million Shares Authorized, 66.6 Million and 66.4 Million Shares Issued and Outstanding as of September 30, 2026 and December 31, 2025, Respectively		0.7		0.7
Additional Paid-In Capital		4,696.7		4,688.5
Retained Earnings		2,328.8		2,230.3
Accumulated Other Comprehensive Loss		(158.1)		(75.4)
Total Regal Rexnord Corporation Shareholders' Equity		6,868.1		6,844.1
Noncontrolling Interests		8.4		9.2
Total Equity		6,876.5		6,853.3
Total Liabilities and Equity		$        13,588.8		$         13,921.0

 

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW
Unaudited
(Dollars in Millions)
	Three Months Ended				Nine Months Ended
	Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (Loss) Income	$       (12.3)		$        80.0		$      168.8		$       217.0
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities (Net of Acquisitions and Divestitures):
Depreciation	35.4		41.9		111.2		117.5
Amortization	86.9		87.3		259.9		259.5
Goodwill Impairment	119.3		—		119.3		—
Noncash Lease Expense	11.6		10.7		35.1		32.5
Share-Based Compensation Expense	9.3		9.4		19.7		29.1
Financing Fee Expense	2.1		3.1		6.5		10.4
(Gain) Loss on Sale of Assets	(1.1)		2.1		1.8		(6.2)
Benefit from Deferred Income Taxes	(19.2)		(30.1)		(50.0)		(73.2)
Other Non-Cash Changes	1.4		2.0		0.8		4.3
Change in Operating Assets and Liabilities, Net of Acquisitions and Divestitures
Receivables	(11.5)		40.7		(72.0)		359.3
Inventories	(18.8)		(17.6)		(80.3)		(107.4)
Accounts Payable	15.0		(18.3)		49.6		38.7
Other Assets and Liabilities	1.7		(13.7)		(159.0)		(58.5)
Net Cash Provided by Operating Activities	219.8		197.5		411.4		823.0
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to Property, Plant and Equipment	(26.1)		(23.5)		(66.0)		(70.5)
Proceeds Received from Sales of Property, Plant and Equipment	1.4		0.6		4.2		15.4
Proceeds Received from Sale of Businesses, Net of Cash Transferred	—		—		—		3.0
Net Cash Used in Investing Activities	(24.7)		(22.9)		(61.8)		(52.1)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings Under Revolving Credit Facility	676.6		283.5		1,860.6		1,143.3
Repayments Under Revolving Credit Facility	(477.9)		(306.5)		(1,589.4)		(1,183.3)
Proceeds from Long-Term Borrowings	—		—		850.0		—
Repayments of Long-Term Borrowings	(358.6)		(51.5)		(1,461.2)		(668.4)
Dividends Paid to Shareholders	(23.3)		(23.3)		(69.9)		(69.7)
Shares Surrendered for Taxes	(0.5)		(0.7)		(15.9)		(8.0)
Proceeds from the Exercise of Stock Options	0.1		0.2		6.8		1.6
Distributions to Noncontrolling Interests	(1.5)		—		(1.5)		—
Net Cash Used in Financing Activities	(185.1)		(98.3)		(420.5)		(784.5)
EFFECT OF EXCHANGE RATES ON CASH AND CASH EQUIVALENTS	(0.4)		3.6		0.4		20.1
Net Increase (Decrease) in Cash and Cash Equivalents	9.6		79.9		(70.5)		6.5
Cash and Cash Equivalents at Beginning of Period	441.6		320.1		521.7		393.5
Cash and Cash Equivalents at End of Period⁽ᵃ⁾	$      451.2		$       400.0		$      451.2		$       400.0
(a)      Includes cash and cash equivalents in Assets Held for Sale of $1.6 Million as of September 30, 2026.

 

ADJUSTED DILUTED EARNINGS PER SHARE
Unaudited
		Three Months Ended				Nine Months Ended
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
GAAP Diluted (Loss) Earnings Per Share⁽ᵃ⁾		$         (0.19)		$          1.20		$          2.52		$          3.25
Intangible Amortization		0.98		0.99		2.94		2.95
Goodwill Impairment		1.78		—		1.78		—
Restructuring and Related Costs⁽ᵇ⁾		0.13		0.15		0.35		0.45
Share-Based Compensation Expense		0.14		0.13		0.21		0.38
Transaction and Integration Related Costs⁽ᶜ⁾		0.04		0.07		0.16		0.22
CEO Transition Costs		0.01		—		0.03		—
(Gain) Loss on Sale of Assets		(0.01)		0.02		0.02		(0.07)
Discrete Tax Items		0.02		(0.05)		0.02		(0.06)
Accounts Receivable Securitization Transaction Costs		—		—		0.01		0.01
Operating Lease Asset Step Up		—		—		0.01		0.01
Adjusted Diluted Earnings Per Share⁽ᵃ⁾⁽ᵈ⁾		$          2.90		$          2.51		$          8.05		$          7.14

(a)	Includes $0.18 and $0.58 of net benefit related to IEEPA tariff refunds for the three and nine months ended September 30, 2026, respectively.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	For 2026, primarily relates to integration costs associated with the Altra Transaction. For 2025, primarily relates to (1) integration costs associated with the Altra Transaction and (2) IT carve-out costs associated with the sale of the industrial motors and generators businesses.
(d)	For the three months ended September 30, 2026, Adjusted Diluted Earnings Per Share is based on weighted average shares outstanding assuming dilution of 66.8 million.

 

2026 ADJUSTED ANNUAL GUIDANCE
Unaudited
		Minimum		Maximum
GAAP Diluted Earnings Per Share⁽ᵃ⁾		$                 3.76		$                 4.06
Intangible Amortization		3.91		3.91
Goodwill Impairment		1.78		1.78
Restructuring and Related Costs⁽ᵇ⁾		0.53		0.53
Share-Based Compensation Expense		0.32		0.32
Transaction and Related Costs⁽ᶜ⁾		0.21		0.21
CEO Transition Costs		0.03		0.03
Loss on Sale of Assets		0.02		0.02
Discrete Tax Items		0.02		0.02
Accounts Receivable Securitization Transaction Costs		0.01		0.01
Operating Lease Asset Step Up		0.01		0.01
Adjusted Diluted Earnings Per Share⁽ᵃ⁾		$                10.60		$                10.90

(a)	Includes $0.58 of net benefit related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	Primarily relates to integration costs associated with the Altra Transaction.

 

ORGANIC SALES GROWTH
Unaudited
(Dollars in Millions)
		Three Months Ended
		September 30, 2026
		Automation & Motion Control		Industrial Powertrain Solutions		Power Efficiency Solutions		Total Regal  Rexnord
Net Sales Three Months Ended Sep 30, 2026		$        500.6		$        649.5		$        437.9		$      1,588.0
Impact from Foreign Currency Exchange Rates		2.6		(0.2)		(3.5)		(1.1)
Organic Sales Three Months Ended Sep 30, 2026		$        503.2		$        649.3		$        434.4		$      1,586.9
Net Sales Three Months Ended Sep 30, 2025		$        402.0		$        662.3		$        432.7		$      1,497.0
Net Sales from Businesses Divested		—		(0.8)		—		(0.8)
Adjusted Net Sales Three Months Ended Sep 30, 2025		$        402.0		$        661.5		$        432.7		$      1,496.2
Three Months Ended Sep 30, 2026 Net Sales Growth %		24.5 %		(1.9) %		1.2 %		6.1 %
Three Months Ended Sep 30, 2026 Foreign Currency Impact %		(0.7) %		— %		0.8 %		0.1 %
Three Months Ended Sep 30, 2026 Divestitures %		— %		(0.1) %		— %		(0.1) %
Three Months Ended Sep 30, 2026 Organic Sales Growth %		25.2 %		(1.8) %		0.4 %		6.1 %

 

ORGANIC SALES GROWTH
Unaudited
(Dollars in Millions)
		Nine Months Ended
		September 30, 2026
		Automation & Motion Control		Industrial Powertrain Solutions		Power Efficiency Solutions		Total Regal  Rexnord
Net Sales Nine Months Ended Sep 30, 2026		$      1,435.4		$      1,967.2		$      1,222.9		$      4,625.5
Impact from Foreign Currency Exchange Rates		(12.5)		(27.0)		(15.2)		(54.7)
Organic Sales Nine Months Ended Sep 30, 2026		$      1,422.9		$      1,940.2		$      1,207.7		$      4,570.8
Net Sales Nine Months Ended Sep 30, 2025		$      1,209.4		$      1,924.8		$      1,277.0		$      4,411.2
Net Sales from Businesses Divested		—		(2.4)		—		(2.4)
Adjusted Net Sales Nine Months Ended Sep 30, 2025		$      1,209.4		$      1,922.4		$      1,277.0		$      4,408.8
Nine Months Ended Sep 30, 2026 Net Sales Growth %		18.7 %		2.2 %		(4.2) %		4.9 %
Nine Months Ended Sep 30, 2026 Foreign Currency Impact %		1.0 %		1.4 %		1.2 %		1.3 %
Nine Months Ended Sep 30, 2026 Divestitures %		— %		(0.1) %		— %		(0.1) %
Nine Months Ended Sep 30, 2026 Organic Sales Growth %		17.7 %		0.9 %		(5.4) %		3.7 %

 

ADJUSTED EBITDA
Unaudited
(Dollars in Millions)
		Three Months Ended
		Automation & Motion Control				Industrial Powertrain Solutions				Power Efficiency Solutions				Total Regal Rexnord
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
GAAP (Loss) Income from Operations⁽ᵃ⁾		$  (81.3)		$   22.7		$   88.6		$   86.1		$   74.1		$   65.6		$   81.4		$  174.4
Goodwill Impairment		119.3		—		—		—		—		—		119.3		—
Restructuring and Related Costs⁽ᵇ⁾		6.7		2.5		4.1		9.6		0.7		1.7		11.5		13.8
Transaction and Integration Related Costs⁽ᶜ⁾		0.5		1.3		2.4		3.8		0.4		0.9		3.3		6.0
CEO Transition Costs		0.2		—		0.4		—		0.2		—		0.8		—
Loss on Sale of Accounts Receivable⁽ᵈ⁾		1.3		1.0		2.0		2.3		1.0		1.7		4.3		5.0
Accounts Receivable Securitization Transaction Costs		—		—		—		0.1		—		—		—		0.1
Operating Lease Asset Step Up		—		—		0.2		0.2		—		—		0.2		0.2
Loss (Gain) on Sale of Assets		—		2.1		—		—		(1.1)		—		(1.1)		2.1
Adjusted Income from Operations		$   46.7		$   29.6		$   97.7		$  102.1		$   75.3		$   69.9		$  219.7		$  201.6
Amortization		$   35.2		$   34.6		$   51.1		$   51.1		$    0.6		$     1.6		$   86.9		$   87.3
Depreciation		11.2		14.8		15.6		17.9		8.6		9.2		35.4		41.9
Amortization of Internal Use Software		0.1		—		0.1		—		0.1		—		0.3		—
Share-Based Compensation Expense		2.9		3.6		4.4		4.0		2.0		1.8		9.3		9.4
Other (Expense) Income, Net		(0.1)		—		0.1		(0.5)		(0.3)		(0.3)		(0.3)		(0.8)
Adjusted EBITDA⁽ᵃ⁾		$   96.0		$   82.6		$  169.0		$  174.6		$   86.3		$   82.2		$  351.3		$  339.4
GAAP Operating Margin %		(16.2) %		5.6 %		13.6 %		13.0 %		16.9 %		15.2 %		5.1 %		11.6 %
Adjusted Operating Margin %		9.3 %		7.4 %		15.0 %		15.4 %		17.2 %		16.2 %		13.8 %		13.5 %
Adjusted EBITDA Margin %		19.2 %		20.5 %		26.0 %		26.4 %		19.7 %		19.0 %		22.1 %		22.7 %

(a)	For 2026, includes net benefits of $2.6 million, $5.1 million, $7.0 million and $14.7 million for AMC, IPS, PES and total Regal Rexnord, respectively, related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	Primarily relates to integration costs associated with the Altra Transaction.
(d)	Represents charges associated with the Securitization Facility.

 

ADJUSTED EBITDA
Unaudited
(Dollars in Millions)
		Nine Months Ended
		Automation & Motion Control				Industrial Powertrain Solutions				Power Efficiency Solutions				Total Regal Rexnord
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
GAAP (Loss) Income from Operations⁽ᵃ⁾		$ (1.3)		$  88.2		$ 265.5		$ 260.2		$ 185.1		$ 167.9		$ 449.3		$ 516.3
Goodwill Impairment		119.3		—		—		—		—		—		119.3		—
Restructuring and Related Costs⁽ᵇ⁾		8.7		5.5		16.1		30.3		6.5		4.0		31.3		39.8
Transaction and Integration Related Costs⁽ᶜ⁾		2.7		3.9		9.1		12.0		1.9		3.3		13.7		19.2
CEO Transition Costs		0.9		—		1.4		—		0.7		—		3.0		—
Loss on Sale of Accounts Receivable⁽ᵈ⁾		3.4		1.0		5.2		2.3		3.3		1.7		11.9		5.0
Accounts Receivable Securitization Transaction Costs		0.2		0.3		0.4		0.5		0.2		0.3		0.8		1.1
Operating Lease Asset Step Up		—		—		0.6		0.6		—		—		0.6		0.6
(Gain) Loss on Sale of Assets		—		(0.2)		2.4		(6.0)		(0.6)		—		1.8		(6.2)
Adjusted Income from Operations		$ 133.9		$  98.7		$ 300.7		$ 299.9		$ 197.1		$ 177.2		$ 631.7		$ 575.8
Amortization		$ 104.5		$ 103.0		$ 153.5		$ 151.6		$   1.9		$   4.9		$ 259.9		$ 259.5
Depreciation		35.7		37.3		48.9		52.3		26.6		26.9		111.2		116.5
Amortization of Internal Use Software		0.2		—		0.4		—		0.2		—		0.8		—
Share-Based Compensation Expense		6.1		10.3		8.8		12.3		4.8		6.5		19.7		29.1
Other (Expense) Income, Net		(0.4)		(0.1)		0.3		(1.3)		(0.8)		(1.0)		(0.9)		(2.4)
Adjusted EBITDA⁽ᵃ⁾		$ 280.0		$ 249.2		$ 512.6		$ 514.8		$ 229.8		$ 214.5		$1,022.4		$ 978.5
GAAP Operating Margin %		(0.1) %		7.3 %		13.5 %		13.5 %		15.1 %		13.1 %		9.7 %		11.7 %
Adjusted Operating Margin %		9.3 %		8.2 %		15.3 %		15.6 %		16.1 %		13.9 %		13.7 %		13.1 %
Adjusted EBITDA Margin %		19.5 %		20.6 %		26.1 %		26.7 %		18.8 %		16.8 %		22.1 %		22.2 %

(a)	For 2026, includes net benefits of $8.5 million, $13.3 million, $24.8 million and $46.6 million for AMC, IPS, PES and total Regal Rexnord, respectively, related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	For 2026, primarily relates to integration costs associated with the Altra Transaction. For 2025, primarily relates to (1) integration costs associated with the Altra Transaction and (2) IT carve-out costs associated with the sale of the industrial motors and generators businesses.
(d)	Represents charges associated with the Securitization Facility.

 

ADJUSTED GROSS MARGIN
Unaudited
(Dollars in Millions)
		Three Months Ended
		Automation & Motion Control				Industrial Powertrain Solutions				Power Efficiency Solutions				Total Regal Rexnord
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
Gross Margin⁽ᵃ⁾		$ 173.1		$ 148.7		$ 274.9		$ 274.0		$ 142.2		$ 131.5		$ 590.2		$ 554.2
Restructuring and Related Costs⁽ᵇ⁾		5.6		1.5		3.2		5.3		(0.4)		1.6		8.4		8.4
Operating Lease Asset Step Up		—		—		0.2		0.2		—		—		0.2		0.2
Adjusted Gross Margin⁽ᵃ⁾		$ 178.7		$ 150.2		$ 278.3		$ 279.5		$ 141.8		$ 133.1		$ 598.8		$ 562.8
Gross Margin %		34.6 %		37.0 %		42.3 %		41.4 %		32.5 %		30.4 %		37.2 %		37.0 %
Adjusted Gross Margin %		35.7 %		37.4 %		42.8 %		42.2 %		32.4 %		30.8 %		37.7 %		37.6 %

(a)	For 2026, includes net benefits of $2.6 million, $5.1 million, $7.0 million and $14.7 million for AMC, IPS, PES and total Regal Rexnord, respectively, related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.

 

ADJUSTED GROSS MARGIN
Unaudited
(Dollars in Millions)
		Nine Months Ended
		Automation & Motion Control				Industrial Powertrain Solutions				Power Efficiency Solutions				Total Regal Rexnord
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
Gross Margin⁽ᵃ⁾		$ 518.2		$ 461.4		$ 836.6		$ 811.9		$ 396.9		$ 373.2		$1,751.7		$1,646.5
Restructuring and Related Costs⁽ᵇ⁾		6.3		3.7		11.6		18.1		4.6		3.1		22.5		24.9
Operating Lease Asset Step Up		—		—		0.6		0.6		—		—		0.6		0.6
Loss on Sale of Assets		—		—		2.4		—		0.5		—		2.9		—
Adjusted Gross Margin⁽ᵃ⁾		$ 524.5		$ 465.1		$ 851.2		$ 830.6		$ 402.0		$ 376.3		$1,777.7		$1,672.0
Gross Margin %		36.1 %		38.2 %		42.5 %		42.2 %		32.5 %		29.2 %		37.9 %		37.3 %
Adjusted Gross Margin %		36.5 %		38.5 %		43.3 %		43.2 %		32.9 %		29.5 %		38.4 %		37.9 %

(a)	For 2026, includes net benefits of $8.5 million, $13.3 million, $24.8 million and $46.6 million for AMC, IPS, PES and total Regal Rexnord, respectively, related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.

 

NET (LOSS) INCOME TO ADJUSTED EBITDA
Unaudited
(Dollars in Millions)
		Three Months Ended				Nine Months Ended
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
Net (Loss) Income		$        (12.3)		$         80.0		$       168.8		$        217.0
Plus: Income Taxes		22.9		11.9		62.0		49.0
Plus: Interest Expense		77.0		87.0		234.9		262.5
Less: Interest Income		(6.5)		(5.3)		(17.3)		(14.6)
Plus: Depreciation		35.4		41.9		111.2		116.5
Plus: Amortization		86.9		87.3		259.9		259.5
EBITDA⁽ᵃ⁾		$       203.4		$        302.8		$       819.5		$        889.9
Plus: Goodwill Impairment		119.3		—		119.3		—
Plus: Restructuring and Related Costs⁽ᵇ⁾		11.5		13.8		31.3		39.8
Plus: Share-Based Compensation Expense		9.3		9.4		19.7		29.1
Plus: Transaction and Integration Related Costs⁽ᶜ⁾		3.3		6.0		13.7		19.2
Plus: CEO Transition Costs		0.8		—		3.0		—
Plus: Loss on Sale of Accounts Receivable⁽ᵈ⁾		4.3		5.0		11.9		5.0
Plus: Accounts Receivable Securitization Transaction Costs		—		0.1		0.8		1.1
Plus: Operating Lease Asset Step Up		0.2		0.2		0.6		0.6
Plus: Amortization of Internal Use Software		0.3		—		0.8		—
Plus: (Gain) Loss on Sale of Assets		(1.1)		2.1		1.8		(6.2)
Adjusted EBITDA⁽ᵃ⁾		$       351.3		$        339.4		$      1,022.4		$        978.5

(a)	Includes a net benefit of $14.7 million and $46.6 million related to IEEPA tariff refunds for the three and nine months ended September 30, 2026, respectively.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	For 2026, primarily relates to integration costs associated with the Altra Transaction. For 2025, primarily relates to (1) integration costs associated with the Altra Transaction and (2) IT carve-out costs associated with the sale of the industrial motors and generators businesses.
(d)	Represents charges associated with the Securitization Facility.

 

DEBT TO EBITDA
Unaudited
(Dollars in Millions)
		Last Twelve Months
		Sep 30, 2026
Net Income		$                         232.6
Plus: Income Taxes		84.7
Plus: Interest Expense		321.6
Less: Interest Income		(26.4)
Plus: Depreciation		148.2
Plus: Amortization		346.5
EBITDA⁽ᵃ⁾		$                       1,107.2
Plus: Goodwill Impairment		119.3
Plus: Restructuring and Related Costs⁽ᵇ⁾		38.3
Plus: Share-Based Compensation Expense		27.8
Plus: Transaction and Integration Related Costs⁽ᶜ⁾		19.4
Plus: Loss on Sale of Accounts Receivable⁽ᵈ⁾		16.5
Plus: Accounts Receivable Securitization Transaction Costs		0.8
Plus: CEO Transition Costs		10.0
Plus: Operating Lease Asset Step Up		0.8
Plus: Amortization of Internal Use Software		0.8
Plus: Loss on Sale of Businesses		4.5
Plus: Loss on Sale of Assets		5.4
Adjusted EBITDA⁽ᵃ⁾⁽ᵉ⁾		$                       1,350.8
Current Maturities of Long-Term Debt		24.7
Long-Term Debt		4,427.5
Total Gross Debt		$                       4,452.2
Cash and Cash Equivalents⁽ᶠ⁾		(451.2)
Net Debt		$                       4,001.0
Gross Debt/Adjusted EBITDA		3.30
Net Debt/Adjusted EBITDA(e)		2.96
Interest Coverage Ratio(e)(g)		4.58

(a)	Includes a net benefit of $46.6 million related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	Primarily relates to integration costs associated with the Altra Transaction.
(d)	Represents charges associated with the Securitization Facility.
(e)	Synergies expected to be realized in the future are included in the calculation of EBITDA that serves as the basis for financial covenant compliance for certain of the Company's debt. The impact of the synergies the Company expects to realize within 15 months is as follows:
	Adjusted EBITDA	$                      1,350.8
	Synergies to be Realized Within 15 Months	20.0
	Adjusted EBITDA (including synergies)	$                      1,370.8
	Net Debt/Adjusted EBITDA (including synergies)	2.92
	Interest Expense	$                        321.6
	Interest Income	(26.4)
	Net Interest Expense	$                        295.2
	Interest Coverage Ratio (including synergies)(1)	4.64
	(1) Computed as Adjusted EBITDA (including synergies)/Net Interest Expense
(f)	Includes cash and cash equivalents in Assets Held for Sale of $1.6 Million as of September 30, 2026.
(g)	Computed as Adjusted EBITDA/Net Interest Expense

 

FREE CASH FLOW
Unaudited
(Dollars in Millions)
		Three Months Ended				Nine Months Ended
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
Net Cash Provided by Operating Activities		$       219.8		$        197.5		$       411.4		$        823.0
Additions to Property, Plant and Equipment		(26.1)		(23.5)		(66.0)		(70.5)
Free Cash Flow		$       193.7		$        174.0		$       345.4		$        752.5

 

ADJUSTED EFFECTIVE TAX RATE
Unaudited
(Dollars in Millions)
		Three Months Ended				Nine Months Ended
		Sep 30, 2026		Sep 30, 2025		Sep 30, 2026		Sep 30, 2025
Income before Taxes		$       10.6		$       91.9		$     230.8		$      266.0
Provision for Income Taxes		22.9		11.9		62.0		49.0
Effective Tax Rate		216.0 %		12.9 %		26.9 %		18.4 %
Income before Taxes		$       10.6		$       91.9		$     230.8		$      266.0
Goodwill Impairment		119.3		—		119.3		—
Intangible Amortization		86.9		87.3		259.9		259.5
Restructuring and Related Costs⁽ᵃ⁾		11.5		13.8		31.3		39.8
Share-Based Compensation Expense		9.3		9.4		19.7		29.1
Transaction and Integration Related Costs⁽ᵇ⁾		3.3		6.0		13.7		19.2
CEO Transition Costs		0.8		—		3.0		—
Accounts Receivable Securitization Transaction Costs		—		0.1		0.8		1.1
Operating Lease Asset Step Up		0.2		0.2		0.6		0.6
(Gain) Loss on Sale of Assets		(1.1)		2.1		1.8		(6.2)
Adjusted Income before Taxes		$     240.8		$      210.8		$     680.9		$      609.1
Provision for Income Taxes		$       22.9		$       11.9		$       62.0		$       49.0
Tax Effect of Intangible Amortization		21.2		21.2		63.6		63.3
Tax Effect of Restructuring and Related Costs		2.6		3.7		7.4		9.6
Tax Effect of Share-Based Compensation Expense		0.3		0.9		5.6		3.5
Tax Effect of Transaction and Integration Related Costs		0.8		1.4		3.3		4.7
Tax Effect of CEO Transition Costs		0.2		—		0.7		—
Tax Effect of Accounts Receivable Securitization Transaction Costs		—		—		0.2		0.3
Tax Effect of Operating Lease Asset Step Up		—		—		0.1		0.1
Tax Effect of (Gain) Loss on Sale of Assets		(0.3)		0.6		0.4		(1.5)
Discrete Tax Items		(1.0)		3.7		(1.3)		4.2
Adjusted Provision for Income Taxes		$       46.7		$       43.4		$     142.0		$      133.2
Adjusted Effective Tax Rate		19.4 %		20.6 %		20.9 %		21.9 %

(a)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(b)	For 2026, primarily relates to integration costs associated with the Altra Transaction. For 2025, primarily relates to (1) integration costs associated with the Altra Transaction and (2) IT carve-out costs associated with the sale of the industrial motors and generators businesses.

 

 

View original content:https://www.prnewswire.com/news-releases/regal-rexnord-reports-third-quarter-2026-financial-results-302927042.html

SOURCE Regal Rexnord Corporation

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What is Regal Rexnord's updated 2026 earnings guidance?

Regal Rexnord lowered and narrowed its 2026 GAAP diluted EPS guidance to $3.76–$4.06 and raised and narrowed adjusted diluted EPS guidance to $10.60–$10.90. The adjusted guidance midpoint increased to $10.75.

Why did Regal Rexnord report a third-quarter 2026 net loss?

Regal Rexnord's third-quarter results included a $119.3 million noncash goodwill impairment, primarily related to the autonomous mobile solutions business in AMC. The charge had a $1.78 diluted EPS impact. GAAP net loss was $12.3 million, compared with $80.0 million of net income a year earlier.

Why is Regal Rexnord reviewing its portfolio and exploring an autonomous mobile solutions sale?

Regal Rexnord says the portfolio review aims to improve focus and direct capital toward its most attractive opportunities. The review involves the board and outside advisors. Exploration of a sale of the autonomous mobile solutions business in AMC is part of that process; the company plans further updates when it has something definitive to share.