Brady achieved its 20th consecutive quarter of organic sales growth, with organic revenue up 1.6%, acquisitions adding 2.3% and favorable FX contributing 3.8%, driving total sales growth of 7.7% year-over-year. Adjusted earnings per share rose 9%, reflecting strong cash generation and consistent demand for engineered solutions.

Gross margin expanded to 50.6% from 49.3% in the prior-year quarter and 49.8% on an adjusted basis, aided by cost-structure actions including facility closures in Beijing and Buffalo and an overhead reorganization in Europe. Higher-margin product mix further supported margin gains.

SG&A expenses totaled $107.9 million, down to 28.1% of sales from 29.7% a year earlier, and 26.7% excluding amortization and prior-year reorganization charges. Efficiency gains from previous cost actions offset ongoing investments in sales resources and geographic expansion.

R&D expenditure increased nearly 30% to $24.3 million, or 6.3% of sales, up from 5.2% a year ago, as part of Brady’s push into advanced engineered products. The company expects R&D intensity to average just under 6% of sales for fiscal 2026 and appointed Jane Li as CTO to drive its long-term technical roadmap.