Regal Rexnord Q1 Sales Up 4.3% with 34% AMC Orders Surge; New CEO Named
Regal Rexnord’s first-quarter sales rose 4.3% to $1.479 billion, with GAAP net income up 11.8% at $64.3 million and diluted EPS increasing 11.6% to $0.96. Enterprise daily orders climbed 8.5%, led by a 34% jump in AMC bookings and acceleration in IPS orders, and Aamir Paul is appointed next CEO.
1. Strong Q1 Financial Results
Regal Rexnord posted Q1 sales of $1.479 billion, up 4.3% year-over-year, while GAAP net income rose 11.8% to $64.3 million and diluted EPS increased 11.6% to $0.96; adjusted EBITDA reached $304.4 million. The company reaffirmed its 2026 adjusted EPS guidance, citing resilient margins and strategic growth investments.
2. Order Growth and Segment Trends
Enterprise daily orders increased 8.5% versus prior year, driven by a 34% surge in Automation & Motion Control bookings and accelerating Industrial Powertrain Solutions orders in distribution and OEM markets. Power Efficiency Solutions net sales declined 8.6% to $373.8 million, reflecting expected residential HVAC headwinds partially offset by stronger commercial demand.
3. CEO Transition and Forward Outlook
Louis Pinkham will step down as CEO, with Aamir Paul succeeding him, leveraging a track record of commercial growth and customer-focused innovation. Management expects organic sales growth to accelerate, margins to expand, and free cash flow to improve as tariff impacts neutralize and sales mix shifts toward higher-margin segments.