Core Viewpoint - Parker-Hannifin reported quarterly earnings of $6.53 per share, exceeding the Zacks Consensus Estimate of $6.22 per share, and showing an increase from $6.15 per share a year ago, indicating a 4.98% earnings surprise [1] Financial Performance - The company achieved revenues of $4.74 billion for the quarter ended December 2024, which was 1.17% below the Zacks Consensus Estimate and a decrease from $4.82 billion in the same quarter last year [2] - Over the last four quarters, Parker-Hannifin has surpassed consensus EPS estimates four times but has only topped consensus revenue estimates once [2] Stock Performance - Parker-Hannifin shares have increased approximately 4.7% since the beginning of the year, outperforming the S&P 500's gain of 2.7% [3] - The stock's immediate price movement will largely depend on management's commentary during the earnings call [3] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $6.97, with expected revenues of $5.17 billion, and for the current fiscal year, the EPS estimate is $26.73 on revenues of $20.2 billion [7] - The estimate revisions trend for Parker-Hannifin is mixed, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [6] Industry Context - The Manufacturing - General Industrial industry, to which Parker-Hannifin belongs, is currently ranked in the bottom 35% of over 250 Zacks industries, indicating potential challenges ahead [8]

Financial Performance - Fiscal 2025 Q2 sales were $4.74 billion, a decrease of 1.6% year-over-year, with organic sales growth of 0.7% after adjusting for currency and divestitures [3][16]. - Net income for the quarter was $948.6 million, representing a 39% increase compared to the prior year, with diluted EPS of $7.25, also up 39% [3][14]. - Year-to-date cash flow from operations increased by 24% to $1.7 billion, which is 17.4% of sales [3]. - Total net sales for Q2 2024 were $4,742,593,000, a slight decrease of 1.6% from $4,820,947,000 in Q2 2023 [19]. - Adjusted net income attributable to common shareholders for the first half of 2024 was $1,663,017,000, compared to $1,578,816,000 in the same period of 2023, reflecting a 5.3% increase [17]. - Net income for the six months ended December 31, 2024, increased to $1,647,177 thousand from $1,333,129 thousand in 2023, representing a growth of approximately 23.5% [23]. Segment Performance - Aerospace Systems Segment sales grew by 14% to $1.49 billion, with a segment operating margin of 22.7%, up 260 basis points [3][7]. - Aerospace Systems segment sales increased by 14.0% to $1,489,787,000 in Q2 2024 from $1,306,474,000 in Q2 2023 [19]. - The Diversified Industrial Segment in North America reported sales of $1.93 billion, down 8.6% year-over-year, with an organic decline of 5% [5]. - The Diversified Industrial segment operating margin improved to 24.4% in Q2 2024 from 23.7% in Q2 2023 [20]. - The North America businesses operating margin for the six months ended December 31, 2024, was 22.6%, while the adjusted operating margin was 24.9% [30]. - The International businesses operating margin for the six months ended December 31, 2024, was 21.7%, with an adjusted operating margin of 24.1% [30]. Cash Flow and Debt Management - The company reduced debt by $1.1 billion during the quarter, supported by strong cash flow and proceeds from divestitures [2]. - Total assets decreased to $28,271,463,000 as of December 31, 2024, down from $29,297,842,000 as of June 30, 2024 [22]. - Cash and cash equivalents decreased to $395,507,000 from $422,027,000 over the same period [22]. - Long-term debt decreased to $6,667,955,000 from $7,157,034,000, indicating a reduction in leverage [22]. - The company reported net cash provided by operating activities of $1,678,733 thousand for the six months ended December 31, 2024, compared to $1,351,987 thousand in 2023, an increase of about 24.1% [23]. - The company reported a net cash used in financing activities of $2,104,226 thousand for the six months ended December 31, 2024, compared to $1,305,239 thousand in 2023, indicating an increase in cash outflow [23]. Guidance and Forecast - Guidance for fiscal year 2025 anticipates sales growth of -2% to 1%, with organic sales growth projected at approximately 2% [4]. - Forecasted net sales for fiscal year 2025 are expected to range from a decrease of 2% to an increase of 1% [24]. - Adjusted forecasted earnings per diluted share for fiscal year 2025 is projected to be between $26.40 and $27.00, up from the forecasted earnings per diluted share of $24.46 to $25.06 [26]. - The forecasted segment operating margin for fiscal year 2025 is approximately 22.7%, with an adjusted forecasted segment operating margin of around 25.8% [25]. Orders and Market Trends - Order rates increased across all segments, with Aerospace Systems Segment orders accelerating by 9% [8][10]. - North America businesses' net sales for the six months ended December 31, 2024, were $4,028,332 thousand, down from $4,340,109 thousand in 2023, reflecting a decline of approximately 7.2% [27]. - International businesses' net sales for the six months ended December 31, 2024, decreased to $2,680,632 thousand from $2,792,892 thousand in 2023, a decline of about 4.0% [27].

Core Insights - Parker Hannifin Corporation reported strong financial performance for the quarter ended December 31, 2024, with record segment operating margins, earnings per share, and cash flow from operations [1][4][5] - The company reduced its debt by $1.1 billion during the quarter, supported by strong cash flow and proceeds from divestitures [1][4] - The outlook for fiscal year 2025 has been updated, reflecting stronger growth in Aerospace, currency headwinds, and delays in industrial recovery [1][5] Financial Performance - Total sales for the quarter were $4.7 billion, with organic sales growth of 1% [4] - Net income increased by 39% to $949 million, with adjusted net income rising by 6% to $853 million [4][23] - Earnings per share (EPS) rose by 39% to $7.25, with adjusted EPS increasing by 6% to $6.53 [4][24] Segment Results Diversified Industrial Segment - North America sales decreased by 8.6% to $1.93 billion, with an organic growth decline of 5% [2][36] - Segment operating income fell by 7.6% to $427 million, while the operating margin improved by 20 basis points to 22.1% [2][36] - International sales decreased by 5.7% to $1.33 billion, with an organic growth decline of 3% [3][36] Aerospace Systems Segment - Sales increased by 14% to $1.49 billion, with organic growth also at 14% [7][36] - Segment operating income rose by 28.5% to $338 million, and the operating margin improved by 260 basis points to 22.7% [7][36] Cash Flow and Debt Management - Year-to-date cash flow from operations increased by 24% to $1.7 billion, representing 17.4% of sales [4] - The company utilized strong cash generation to significantly reduce debt by $1.1 billion during the quarter [1][4] Order Rates - Overall order rates increased by 5%, with North America businesses showing a 3% increase and Aerospace Systems segment orders rising by 9% [8][15]

Core Viewpoint - Parker-Hannifin Corporation is expected to report its second-quarter fiscal 2025 results on January 30, with a consensus estimate for revenues at $4.8 billion, reflecting a 0.5% decline year-over-year, while earnings are projected at $6.22 per share, indicating a 1.1% increase from the previous year [1][2]. Group 1: Revenue and Earnings Estimates - The Zacks Consensus Estimate for revenues is pegged at $4.8 billion, indicating a decline of 0.5% from the prior-year quarter's number [2]. - The consensus mark for earnings is pinned at $6.22 per share, which has inched up a penny in the past 30 days, indicating an increase of 1.1% from the year-ago quarter's figure [2]. Group 2: Performance Drivers - The Aerospace Systems segment is expected to benefit from persistent strength in commercial and military end markets, with healthy demand in the general aviation market and increased defense spending [4]. - The acquisition of Meggitt is anticipated to enhance the Aerospace Systems segment's results, with quarterly revenues estimated at $1.44 billion, indicating a 10.2% growth from the year-ago number [5]. - The Win Strategy, focusing on innovation and strategic positioning, is expected to aid margins in the fiscal second quarter [6]. Group 3: Challenges and Risks - The Diversified Industrial segment is likely to face challenges due to difficult conditions in the off-highway end market, particularly in construction and agricultural sectors [7]. - The consensus estimate for the Diversified Industrial North America segment's revenues is pinned at $1.96 billion, indicating a 7.1% decline year-over-year, while the international segment's revenues are estimated at $1.37 billion, reflecting a 2.4% decrease [8].

Core Viewpoint - Parker Hannifin Corporation will release its fiscal 2025 second quarter earnings on January 30, 2025, and will hold a conference call to discuss the results and answer questions from investors and analysts [1]. Company Overview - Parker Hannifin is a Fortune 250 global leader in motion and control technologies, with over a century of experience in enabling engineering breakthroughs [2]. - The company has a strong track record of increasing its annual dividend per share for 68 consecutive fiscal years, ranking among the top five longest-running dividend-increase records in the S&P 500 index [2]. Investor Communication - The earnings conference call will take place at 11:00 a.m. Eastern time and will be webcast on Parker's investor website, with an accompanying slide presentation [1]. - The webcast will be archived for replay later on the same day [1].

Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Parker-Hannifin (PH) , which belongs to the Zacks Manufacturing - General Industrial industry.When looking at the last two reports, this maker of motion and control products has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 4.90%, on average, in the last two quarters.For the last reported quarter, Parker-Hannif ...

Company Overview - Parker-Hannifin Corporation (NYSE: PH) is a leader in motion and control technologies, serving a broad range of industries with an impressive portfolio of products [1] - The company specializes in manufacturing components used in diverse industrial applications and products [1] Analyst Background - The analyst has a background in both equity and real estate markets, with a focus on identifying long-only opportunities that offer safe and growing dividends [1] - The analyst has extensive experience in real estate investment, having successfully sourced over $100 million in commercial real estate investments [1] - The analyst's emphasis on correlation across asset classes and sectors, combined with a background in economics, enables the provision of timely analyses and strategies for investors [1] Disclosure - The analyst has a beneficial long position in Parker-Hannifin Corporation (PH) through stock ownership, options, or other derivatives [1] - The article expresses the analyst's own opinions and is not influenced by any compensation or business relationships with the mentioned companies [1]

Parker-Hannifin (NYSE: PH ) is a large cap company with a market capitalization of $82 billion operating in the industrial machinery and supplies and components industry. It attracts investors who seek solid, medium to long-term alternatives with a defensive profile. The company hasMr. Mavroudis is a professional portfolio manager specializing in institutional and private portfolios. He focuses on risk management, which is accompanied by in-depth financial market analysis (fundamental, macro and technical) ...

Parker-Hannifin Corporation (PH) has been benefiting from strength in the Aerospace Systems segment, driven by solid momentum in commercial and military end markets. Segmental organic revenues jumped 17.2% year over year in the first quarter of fiscal 2025 (ended Sept. 30, 2024), supported by strength across both OEM and aftermarket channels. In the quarters ahead, the segment is expected to benefit from solid demand for its products and aftermarket support services in general aviation and military end mark ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File number 1-4982 PARKER-HANNIFIN CORPORATION (Exact name of registrant as specified in its charter) (State or other jurisdiction of IncorporationorOr ...