REGAL REXNORD CORP SEC 10-Q Report

Regal Rexnord Corp, a leading manufacturer of electric motors, electrical motion controls, power generation, and power transmission products, has released its Form 10-Q report for the second quarter of 2025. The report provides a comprehensive overview of the company's financial and operational performance, reflecting both challenges and achievements in a dynamic market environment.

Financial Highlights

• Net Sales: $1,496.1 million, a decrease of 3.3% compared to the second quarter of 2024, primarily due to a reduction from divestitures and a decline in organic sales.
• Gross Profit: $564.7 million, representing 37.7% of net sales, a slight decrease from the previous year, impacted by divestitures and a decrease in the Automation & Motion Control segment.
• Income from Operations: $182.3 million, reflecting a margin of 12.2% of net sales, with notable performance in the Industrial Powertrain Solutions segment.
• Net Income: $79.6 million, an increase from the previous year, driven by improved performance in the Power Efficiency Solutions segment.
• Earnings Per Share Attributable to Regal Rexnord Corporation: $1.19, reflecting the company's ability to maintain profitability despite a challenging sales environment.

Business Highlights

• Revenue Segments: The Automation & Motion Control (AMC) segment reported net sales of $411.1 million, the Industrial Powertrain Solutions (IPS) segment reported $649.8 million, and the Power Efficiency Solutions (PES) segment reported $435.2 million for the three months ended June 30, 2025.
• Geographical Performance: North America remains the largest market, contributing $1,047.3 million in sales for the three months ended June 30, 2025. Europe followed with $248.4 million, Asia contributed $117.9 million, and the Rest-of-World accounted for $82.5 million.
• Sales Units: The PES segment saw an increase in sales, driven by higher demand for fractional to approximately 5 horsepower AC and DC motors, electronic variable speed controls, and integrated subsystems.
• Operational Efficiency: The IPS segment improved its gross profit margin to 43.2% from 40.0% in the previous year, indicating enhanced operational efficiency and cost management.
• Future Outlook: The company has updated its annual guidance for GAAP diluted earnings per share to a range of $4.50 to $5.10, with mitigation actions expected to neutralize the impact of current tariffs on 2025 earnings.

SEC Filing: REGAL REXNORD CORP [ RRX ] - 10-Q - Aug. 06, 2025