Timken Sets 2028 Targets: $5B–$5.2B Sales, EBITDA Margins Up to 27%
Timken unveiled its 'Elevate to Outperform' strategy, targeting $5.0–5.2 billion in total sales by 2028 with a mid-single-digit organic net sales CAGR and adjusted EPS of ~$8.50, a >55% increase over 2025. The plan aims to lift Industrial Motion EBITDA margins to 25–27% and Engineered Bearings margins to 21–23%.
1. Investor Day Overview
Timken hosted an Investor Day in New York City on May 20, presenting its new 'Elevate to Outperform' plan aimed at accelerating profitable growth and value creation. CEO Lucian Boldea and the executive team outlined how the company will optimize operations and enhance shareholder value.
2. Elevate to Outperform Strategy
The strategy centers on optimizing the business portfolio, making decisive investments in strategic verticals such as aerospace, electrification and industrial solutions, and better leveraging Timken's multinational footprint under a One Timken operating model. These initiatives are designed to drive structural margin expansion and long-term growth.
3. 2028 Financial Targets
By 2028, Timken plans to achieve total sales of $5.0 to $5.2 billion, supported by a mid-single-digit organic net sales compound annual growth rate. Adjusted earnings per share are targeted at approximately $8.50, representing a more than 55% increase compared to 2025.
4. Segment Margin Goals
Timken aims to raise its Industrial Motion segment adjusted EBITDA margin to 25–27% of sales by 2028, up from 19% in 2025, and its Engineered Bearings segment margin to 21–23%, compared with 18.9% in 2025. These margin targets reflect expected operational efficiencies and portfolio optimization efforts.