Crane NXT (CXT) Q3 2026 earnings summary

Executive summary

• Q3 sales rose 11.7% to $497.1M, including 1.1% organic growth; SAT growth and margin expansion contrasted with DTT organic softness and lower GAAP profit.

• Strong cash generation and long-term customer wins supported a higher FY26 adjusted EPS guidance midpoint and year-end deleveraging target.

Financial highlights

• Adjusted EBITDA rose 4% to $127.2M; adjusted EBITDA margin was 25.6%, down 190 bps YoY.

• Adjusted EPS was $1.28, flat YoY; GAAP diluted EPS was $0.66 versus $0.87, and net income attributable to common shareholders was $38.4M versus $50.5M.

• GAAP operating profit fell to $65.7M from $81.9M; operating margin was 13.2% versus 18.4%.

• Adjusted free cash flow was $97.7M, up from $85.3M, with 131.8% conversion; 9M operating cash flow was $184.5M versus $135.7M.

Outlook and guidance

• FY26 adjusted EPS guidance increased to $4.32–$4.42, a $4.37 midpoint; sales growth guidance is ~14%, with SAT ~11% and DTT in the high teens.

• Organic sales growth expectations are ~5% for SAT and -5% for DTT; adjusted EBITDA margin guidance remains ~24%, with adjusted segment EBITDA margin around 27%.

• Adjusted free cash flow conversion guidance remains ~90%–110%; year-end net leverage is estimated at ~2.3x versus 2.5x at September 30.

• Non-operating expenses are expected at $75M–$80M, reflecting lower borrowing costs; corporate expense is expected at ~$58M and adjusted tax rate at ~21.5%.