Flowserve(US:FLS) Yahoo Finance·2026-02-06 23:28Core Insights - Flowserve reported strong financial performance for the fourth quarter and full year 2025, achieving long-term margin targets two years ahead of schedule [4][7][20] Group 1: Financial Performance - For the full year, Flowserve delivered $4.7 billion in bookings, including $400 million in nuclear awards [1][6] - Fourth-quarter bookings reached $1.2 billion, a 3% increase from the prior year, with aftermarket bookings growing 10% to $682 million [3][8] - Adjusted gross margin for Q4 rose to 36%, up 320 basis points year-over-year, while adjusted operating margin reached 16.8%, exceeding long-term targets [7][9] Group 2: Cash Flow and Shareholder Returns - Flowserve generated $199 million in operating cash for Q4, with a full-year operating cash flow of $506 million, up 19% from 2024 [5][15] - The company returned $365 million to shareholders in 2025, including $255 million in share repurchases [5][15] Group 3: Market Opportunities and Acquisitions - CEO Scott Rowe highlighted steady project activity with significant opportunities in nuclear and traditional power, including a $28 million power award as the largest booking in the quarter [2][4] - Flowserve announced a definitive agreement to acquire the valve and actuation business from Trillium Flow Technologies, which is expected to enhance its nuclear aftermarket offerings [16][17] Group 4: Guidance and Long-term Targets - For 2026, Flowserve guided sales growth of 5% to 7% and adjusted EPS of $4.00 to $4.20, implying a 13% increase from 2025 [18][19] - Long-term targets include a mid-single-digit organic sales CAGR from 2025 to 2030 and 20% adjusted operating margins by 2030 [20]