Overview

* MSC Industrial fiscal Q4 net sales rose 2.7%, beating analyst expectations

* Adjusted EPS for fiscal Q4 beats consensus, rising 5.8% year-over-year

* Company returned $229 mln to shareholders via dividends and buybacks

Outlook

* Company expects Q1 fiscal 2026 ADS growth of 3.5% to 4.5%

* MSC Industrial projects Q1 fiscal 2026 adjusted operating margin of 8.0% to 8.6%

* Company forecasts full-year fiscal 2026 depreciation and amortization expense of $95M-$100M

Result Drivers

* CORE CUSTOMER GROWTH - MSC Industrial reported growth in daily sales driven by core customers, exceeding company average

* CASH FLOW PERFORMANCE - Strong cash flow allowed MSC to return $229 mln to shareholders through dividends and buybacks

* STRATEGIC FOCUS - Execution of Mission Critical strategy contributed to sales and EPS growth, per CEO Erik Gershwind

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q4 Sales Beat $978.20 $964.25

mln mln (9

Analysts

)

Q4 Beat $1.09 $1.01 (9

Adjusted Analysts

EPS )

Q4 EPS $1.01

Q4 EBIT $84.30

mln

Q4 EBIT 8.60%

Margin

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 10 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the industrial machinery & equipment peer group is "buy."

* Wall Street's median 12-month price target for MSC Industrial Direct Co Inc ( MSM ) is $87.50, about 0.6% below its October 21 closing price of $88.03

* The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 22 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)