Overview

* Middleby ( MIDD ) Q3 revenue grows 4% yr/yr, beating analyst expectations

* Adjusted EPS for Q3 rises to $2.37, surpassing prior year's $2.33

* Company announces strategic review of Residential Kitchen business, incurs $709 mln impairment

Outlook

* Company expects Q4 revenue of $990-1,020 mln

* Middleby ( MIDD ) forecasts Q4 adjusted EBITDA of $200-210 mln

* Company sees full-year revenue of $3.85-3.89 bln

Result Drivers

* COMMERCIAL FOODSERVICE GROWTH - Organic growth driven by key dealer partners and strong performance in institutional and fast casual segments

* RESIDENTIAL KITCHEN PERFORMANCE - Growth in premium indoor brands partially offset by tariffs on outdoor products

* FOOD PROCESSING ORDER GROWTH - Solid order growth in Q3 due to improving market dynamics and better conversion of large projects

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Sales Beat $982.13 $961.08

mln mln (8

Analysts

)

Q3 Net -$512.98

Income mln

Q3 Beat $196.40 $189.63

Adjusted mln mln (7

EBITDA Analysts

)

Q3 Gross $361.31

Profit mln

Q3 -$554.25

Operatin mln

g Income

Q3 -$578.95

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 3 "hold" and 1 "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 Middleby Corp ( MIDD ) is $158.50, about 22.1% above its November 5 closing price of $123.48

* The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 15 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.)