Overview

* Gates Industrial ( GTES ) Q2 sales beat analyst expectations, despite a 0.2% decline yr/yr

* Adjusted EPS for Q2 beats estimates, reflecting operational improvements

* Co raises full-year 2025 guidance, citing strong Replacement and Mobility growth

Outlook

* Company raises 2025 full-year guidance for Adjusted EBITDA and Adjusted EPS

* Company expects 2025 core sales growth of +0.5% to +2.5% year-over-year

* Company anticipates 2025 Adjusted EBITDA of $765 mln to $795 mln

* Company expects 2025 Adjusted EPS of $1.44 to $1.52

* Company projects 2025 capital expenditures of approximately $120 mln

Result Drivers

* REPLACEMENT CHANNELS - Generated positive core sales growth, per CEO Ivo Jurek

* MOBILITY BUSINESS - Double-digit growth in Mobility business contributed to results, according to CEO Ivo Jurek

* AGRICULTURE GROWTH - Company reports first growth in Agriculture since Q4 2022, per CEO Ivo Jurek

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Beat $883.70 $876.20

mln mln (7

Analysts

)

Q2 Beat $0.39 $0.38

Adjusted (10

EPS Analysts

)

Q2 EPS $0.22

Q2 Net $56.50

Income mln

Q2 Beat $199.20 $197.70

Adjusted mln mln (7

EBITDA Analysts

)

Q2 Net $63.40

Income mln

continui

ng

operatio

ns

Press Release:

(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.)