Kirby Reports Q3 EPS of $2.09 and Revenue of $977.2 Million
Key Facts
Kirby Corporation reported diluted earnings per share of $2.09 for the third quarter ended September 30, 2026, beating analysts’ estimate of $2.00 by $0.09, while revenue reached $977.2 million compared with a consensus of $935.15 million, according to Investing.com data and the company’s statement. Net earnings attributable to the company were $110.8 million, versus $92.5 million in the same quarter of 2025. Earnings per share rose from $1.65 in the year-earlier period. Total revenue also increased from $871.2 million a year earlier. The stock, listed under the ticker KEX, closed at $137.06 on October 27, according to EL7 daily data.
Revenue and profit growth came from the marine transportation and distribution and services businesses. In marine transportation, Kirby reported revenue of $568.7 million, up from $484.9 million in the third quarter of 2025. The business’s operating income rose to $111.9 million from $88.6 million, while its operating margin widened to 20% from 18%. The company said strong barge utilization and favorable pricing trends supported performance during the quarter. But higher fuel costs continued to pressure margins, Chief Executive David Grzebinski said.
Kirby attributed strong inland barge utilization to robust refinery operating rates, healthy petrochemical activity and limited new capacity in the sector. These factors kept utilization in the low 90s percent range during the quarter. Spot market rates improved sequentially within the low- to mid-single-digit range. However, higher fuel costs remained a near-term headwind. The company said cost escalation and rate recovery mechanisms mitigated the impact of higher expenses but did not fully offset it.
In distribution and services, revenue rose to $408.5 million from $386.2 million a year earlier. Operating income was $48.4 million, compared with $42.7 million, while the operating margin improved to 12% from 11%. The company said demand for behind-the-meter power solutions and backup power supported results. These figures reflect improvement in both businesses, which contributed to revenue and earnings per share beating market estimates. Grzebinski described the quarter’s results as reflecting “strong continued momentum across both businesses and good execution across the enterprise.”
On liquidity, Kirby recorded free cash flow of $74.0 million in the third quarter, a measure not in accordance with U.S. generally accepted accounting principles. Cash flow from operating activities was $143.5 million, while capital expenditures totaled $69.5 million. EBITDA, also a measure not in accordance with those principles, rose to $229.7 million from $201.4 million in the same period of 2025. The company repurchased $112 million of shares during the quarter at an average price of $137.04 per share. This is part of its efforts to return capital to shareholders alongside investment in its businesses.
The company narrowed its 2026 earnings-per-share growth outlook to 10%–15% and said it currently expects results near the high end of the range. It said demand remains healthy across many end markets despite continued economic and geopolitical uncertainty. Kirby expects inland barge utilization to remain in the low 90s percent range for the rest of the year, with further improvement in spot rates and contract renewal rates. For the full year, it expects low double-digit growth in inland transportation revenue and operating margins in the high teens to low 20s range. It also expects net cash from operating activities of between 575 and 675 million dollars and capital expenditures of between 220 and 260 million dollars in 2026.