RBC Bearings Sales Reach $524.6 Million as Aerospace and Defense Grow 15.8%
Key Facts
RBC Bearings reported results on October 30 for the second quarter of fiscal 2027, ended September 26, with sales of $524.6 million, up 15.2% year over year. The company said sales growth spanned its Aerospace and Defense and Industrial segments, while net income rose to $93.8 million from $60.0 million in the year-earlier period. Diluted earnings per share were $2.96 under GAAP, versus $1.90 a year earlier, while adjusted diluted earnings per share reached $3.74, compared with $2.88. The results cover the third quarter of calendar 2026, but the company's second fiscal quarter of fiscal 2027. According to Investing.com, analysts had expected earnings of $3.53 per share and revenue of $513.95 million; the company did not cite market estimates in its announcement.
The Aerospace and Defense segment posted sales growth of 15.8%, while Industrial segment sales rose 14.8% in the fiscal second quarter. Chief Executive Michael Hartnett said revenue in both segments grew at “mid-teens rates” and gross margins widened year over year. He added that backlog increased, referring to orders awaiting fulfillment. Organic sales grew 14.8% after excluding $2.0 million in net sales related to the PSC acquisition. The company estimated the organic increase in net sales at $67.3 million, separating that measure from the acquisition's impact.
GAAP operating margin rose to 25.1% from 21.5% in the second quarter of the prior fiscal year. Adjusted operating margin also climbed to 25.3%, compared with 23.1% a year earlier. The figures place margin improvement alongside sales and earnings growth during the period, with the adjusted measure remaining separate from the GAAP result. In the first quarter of fiscal 2027, sales were $519.5 million, up 19.2% year over year, and GAAP operating margin was 27.1%. Sales edged up from that level to $524.6 million in the second quarter, while operating margin came in below the first-quarter reading.
Backlog was $2.4 billion on September 26, 2026, compared with $2.3 billion on March 28 and $1.6 billion on September 27, 2025. The comparison shows the balance was higher than a year earlier, and Hartnett also noted the increase in his comments on the quarterly results. The company forecast sales of between $520 and $525 million in the third quarter of fiscal 2027, compared with $461.6 million in the year-earlier period. It also set an expected gross margin range of between 45.5% and 45.75%. The second-quarter results conference call was scheduled for October 30, 2026, at 11:00 a.m. Eastern time.