$LECO · LINCOLN ELECTRIC HOLDINGS INC
Lincoln Electric reported Q3 2026 results with net sales of $1,221.3M (+15.1% YoY), GAAP diluted EPS of $2.63 (+19%), and adjusted EPS of $2.98 (+21%). Organic sales grew 14.5% led by volume. Adjusted operating margin expanded to 18.0%. The board declared a $0.87 quarterly dividend, a 10.1% increase.
- Net sales rose 15.1% YoY to $1,221.3M, with organic sales up 14.5% driven by volume growth.
- GAAP diluted EPS of $2.63, up 19% YoY; adjusted EPS of $2.98, up 21% YoY.
- Adjusted operating income margin expanded to 18.0% from 17.4% in the prior-year quarter.
- Cash from operations was $216M with 107% cash conversion; $143M returned to shareholders via dividends and buybacks.
- Quarterly dividend raised 10.1% to $0.87 per share, payable January 15, 2027.
Markets closed — no regular-session reaction yet; extended-hours move not captured here. At $14.10B market cap, the strong organic volume growth and margin expansion are likely to be received positively.
Lincoln Electric posted broad-based strength with double-digit organic volume growth across all three segments, record adjusted EPS, and a dividend hike — signaling management confidence in sustained demand.
Lincoln Electric's 14.5% organic sales growth and 18.0% adjusted operating margin stand out in the industrial machinery sector, where peers are navigating uneven demand. The Harris Products Group segment surged 28.9% on 25.7% price gains, suggesting strong pricing power in that business line.
Gross margin contracted 190 bps to 34.8% as cost of goods sold grew 18.5% YoY, outpacing sales growth. Rationalization and asset impairment charges rose 34.7% to $7.9M. Tariff exposure and commodity price fluctuations remain ongoing risks per forward-looking statements.