Ingersoll Rand Inc. IR reported first-quarter 2026 adjusted earnings of 77 cents per share, which surpassed the Zacks Consensus Estimate of 74 cents. The bottom line increased 7% year over year.
Total revenues of $1.85 billion beat the consensus estimate of $1.83 billion. The top line increased 7.6% year over year. Acquisitions contributed 3.7% to revenues while organic revenues inched down 0.3%. Foreign currency movements had a positive impact of 4.2%.
Orders totaled $1.98 billion, up 5.1% year over year. However, organically, orders decreased 1.9%.
IR’s Segmental Discussion
The Industrial Technologies & Services segment generated revenues of $1.45 billion, accounting for 78.2% of net revenues. Sales increased 6.8% year over year. Acquisitions contributed 4.2%, while movement in foreign currencies also had a positive impact of 4.2%. However, the segment’s organic sales decreased 1.6%. Our estimate for the segment’s sales was $1.44 billion.
Segmental orders were up 4.8%. Adjusted EBITDA decreased 1% year over year to $386 million. Our estimate for adjusted EBITDA was $395.3 million.
The Precision & Science Technologies segment’s revenues totaled $403 million, representing 21.8% of net revenues. Our estimate for segmental revenues was $378.6 million. On a year-over-year basis, the segment’s revenues increased 10.4%. Organic sales increased 4.4% while movement in foreign currencies had a positive impact of 3.9%. Acquisitions contributed 2.1% to revenue growth.
The segment’s orders increased 6.3% on a year-over-year basis. Adjusted EBITDA increased 15% year over year to $122 million. Our estimate for adjusted EBITDA was $107.8 million.
Ingersoll Rand Inc. Price, Consensus and EPS Surprise
Ingersoll Rand Inc. price-consensus-eps-surprise-chart | Ingersoll Rand Inc. Quote
IR’s Margin Profile
IR's cost of sales increased 10.9% year over year to $1.05 billion. Selling and administrative expenses were up 5.9% to $370.7 million.
Adjusted EBITDA increased 2% year over year to $469.1 million. The margin decreased to 25.4% from 26.8% in the year-ago period.
Balance Sheet & Cash Flow of IR
While exiting the first quarter, Ingersoll Rand had cash and cash equivalents of $1.27 billion compared with $1.25 billion at the end of December 2025. Long-term debt (less of current maturities) was $4.78 billion, in line with the figure reported in December 2025.
In the first three months of 2026, the company paid out dividends of $7.8 million and repurchased treasury stocks worth $89.5 million.
For the first three months, IR generated net cash of $199.7 million from operating activities, down 22.1% year over year. Capital expenditure totaled $36.3 million compared with $33.7 million in the year-ago quarter. Free cash flow decreased 26.6% to $163.4 million.
Ingersoll Rand’s 2026 Outlook
Ingersoll Rand reaffirmed its 2026 guidance. The company expects revenues to increase 2.5-4.5% year over year. Organic revenues are estimated to increase in the range of 0-2%. Foreign currency translation and acquisitions are expected to have a positive impact of approximately 0.5% and 2%, respectively, on revenues.
Adjusted EBITDA is expected to be in the $2.13-$2.19 billion band, indicating an increase of 3-6% from the prior-year level. Adjusted earnings are anticipated to be in the range of $3.45 - $3.57 per share. This indicates 5% growth at the mid point from the year-earlier actual.
IR’s Zacks Rank & Stocks to Consider
The company currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Companies
Graco Inc. GGG posted quarterly earnings of 66 cents per share in the first quarter of 2026, missing the Zacks Consensus Estimate of 75 cents per share. This compares with earnings of 70 cents per share a year ago.
Graco posted revenues of $540.1 million for the quarter, missing the Zacks Consensus Estimate by 3.5%. This compares with year-ago revenues of $528.3 million.
Danaher Corporation’s DHR first-quarter 2026 adjusted earnings of $2.06 per share beat the Zacks Consensus Estimate of $1.95. The bottom line increased 9.6% year over year.
Danaher reported net sales of $5.95 billion, which missed the consensus estimate of $5.99 billion. However, the metric increased 3.5% year over year.
3M Company MMM delivered adjusted earnings of $2.14 per share in the first quarter of 2026, which surpassed the Zacks Consensus Estimate of $2.02. The bottom line increased 14% year over year.
MMM’s adjusted revenues of $6.00 billion missed the consensus estimate of $6.02 billion. On an adjusted basis, organic revenues increased 1.2% year over year.
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This article originally published on Zacks Investment Research (zacks.com).