Gates Industrial (GTES) Q2 2026: EPS and Revenue Both Top Estimates
As seen on the 24/7 Wall St. homepage on July 31, 2026.
Gates Industrial beat both earnings and revenue while raising full-year guidance on record sales and accelerating industrial demand. The power transmission segment drove growth with 7% revenue gains as management now expects adjusted EPS of $1.62 to $1.70, up from prior guidance of $1.52 to $1.68.
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Gates Industrial reported Q2 2026 adjusted EPS of $0.44, beating the $0.42 consensus estimate by nearly 6%. Revenue came in at $941.6 million, clearing the $925.4 million estimate by about 1.7%, with the company pointing to record sales and accelerating industrial demand as the drivers behind the outperformance.
The power transmission segment was the standout, posting 7% revenue gains and doing much of the heavy lifting for the quarter. That momentum gave management enough confidence to lift full-year adjusted EPS guidance to a range of $1.62 to $1.70, compared with the prior outlook of $1.52 to $1.68.
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The Q2 2026 beat extends a consistent pattern for Gates Industrial — the company has now topped EPS estimates in each of the past eight reported quarters, with reported figures ranging from $0.33 to the current $0.44. Investors will be watching whether the power transmission segment can sustain its growth rate and whether the raised guidance proves conservative as the year progresses.
Mentioned: GTES