Core Insights - Parker Hannifin Corporation reported outstanding performance for fiscal year 2025, achieving record levels in safety, engagement, earnings per share, margins, and cash flow [3] - The company generated full-year cash flow of $3.8 billion, increased its quarterly cash dividend by 10%, repurchased $1.6 billion of shares, and announced an acquisition of Curtis Instruments to enhance its electrification offerings [3][6] - For fiscal year 2026, the company anticipates continued growth in the Aerospace segment and a return to positive organic growth in its Industrial businesses [4] Fiscal 2025 Fourth Quarter Highlights - Sales reached a record $5.2 billion, with organic sales growth of 2% [6] - Net income was $923 million, an increase of 18%, or $992 million adjusted, reflecting a 12% increase [6] - Earnings per share (EPS) were $7.15, up 19%, or a record $7.69 adjusted, an increase of 14% [6] - Segment operating margin improved to 23.9%, an increase of 170 basis points, or 26.9% adjusted, an increase of 160 basis points [6] Fiscal 2025 Full Year Highlights - Total sales for the year were $19.9 billion, with organic sales growth of 1% [6] - Net income for the year was $3.5 billion, a 24% increase, or $3.6 billion adjusted, a 7% increase [6] - EPS for the year was $27.12, a 24% increase, or a record $27.33 adjusted, a 7% increase [6] - EBITDA margin was 27.3%, an increase of 210 basis points, or 26.4% adjusted, an increase of 80 basis points [6] Segment Performance - **Diversified Industrial Segment**: - Q4 sales were $3.6 billion, down 2.5% year-over-year, with an operating income of $847 million [23] - Operating margin was 23.9%, an increase of 200 basis points [23] - **Aerospace Systems Segment**: - Q4 sales were $1.7 billion, up 9.7% year-over-year, with an operating income of $407 million [9] - Operating margin improved to 24.3%, an increase of 260 basis points [9] Outlook for Fiscal Year 2026 - The company expects sales growth of 2% to 5%, with organic sales growth of approximately 3% at the midpoint [7] - Total segment operating margin is projected to be between 23.3% and 23.7%, or 26.3% to 26.7% on an adjusted basis [7] - EPS is forecasted to be between $24.68 and $25.68, or $28.40 to $29.40 on an adjusted basis [7] Order Rates - Overall order rates increased by 5% in Q4 [10] - Aerospace Systems Segment saw a significant increase in order rates of 12% [10] - Diversified Industrial Segment in North America experienced a 2% increase in order rates, while international businesses remained flat [10]

Group 1 - Parker Hannifin Corporation will release its fiscal 2025 fourth quarter and full year earnings on August 7, 2025, before the market opens [1] - A conference call will follow the earnings release at 11:00 a.m. Eastern time, where the company will discuss results and answer questions from investors and analysts [1] - The conference call will be webcast on Parker's investor website and archived for later replay [1] Group 2 - Parker Hannifin is recognized as a Fortune 250 global leader in motion and control technologies [2] - The company has a strong track record of increasing its annual dividend per share for 69 consecutive fiscal years, ranking among the top five longest-running dividend-increase records in the S&P 500 index [2]

Core Points - Parker Hannifin Corporation announced the retirement of Robert W. Malone, Vice President and President of the Filtration Group, effective August 31, 2025, after 12 years of service [1][3] - Matthew A. Jacobson has been elected to succeed Mr. Malone as Vice President and President of the Filtration Group, effective July 1, 2025 [2][4] Leadership Transition - Mr. Malone joined Parker in 2013 and became Vice President and President of the Filtration Group in 2014, leading significant growth and the integration of CLARCOR, which doubled the size of the Filtration Group [3] - Mr. Jacobson has over 20 years of experience at Parker, having held various operational leadership roles since joining in 2005, and is expected to build on the foundation established by Mr. Malone [4][5] Company Overview - Parker Hannifin is a Fortune 250 global leader in motion and control technologies, with a history of enabling engineering breakthroughs for over a century [6]

Core Insights - Parker Hannifin Corporation reported record earnings per share (EPS) of $7.37, a 33% increase year-over-year, and a net income of $961 million, up 32% [4][16] - The company achieved a record adjusted segment operating margin of 26.3%, reflecting a 160 basis points increase compared to the previous year [4][24] - Year-to-date cash flow from operations increased by 8% to $2.3 billion, representing 15.8% of sales [4][28] Financial Performance - Total sales for the quarter were $5.0 billion, with organic sales growth of 1% [4][30] - The Diversified Industrial Segment reported sales of $3.39 billion, down 7.6% year-over-year, while the Aerospace Systems Segment saw sales increase by 11.6% to $1.57 billion [23][8] - The company repurchased $650 million of shares during the quarter and announced a 10% increase in its quarterly cash dividend [2][4] Segment Analysis - North America Businesses within the Diversified Industrial Segment experienced a 9% decline in sales, while the International Businesses saw a 5.3% decrease [3][7] - The Aerospace Systems Segment achieved a record sales figure driven by strength in aftermarket services, with a backlog increasing to $7.3 billion [8][10] - Orders across all segments remained positive, with a 9% increase in overall order rates, including a 14% increase in Aerospace orders [9][10] Outlook - The company updated its guidance for the fiscal year ending June 30, 2025, expecting total sales growth of approximately -1% with organic sales growth of about 1% [5][30] - Forecasted segment operating margin is expected to be around 22.7%, with an adjusted forecasted margin of approximately 25.9% [31][32] - EPS guidance for the fiscal year is projected between $25.92 and $26.12, with adjusted EPS expected to be between $26.60 and $26.80 [32][33]

Core Points - Parker Hannifin Corporation announced a quarterly cash dividend of $1.80 per share, marking a 10% increase from the previous dividend of $1.63 per share [1][2] - This dividend will be the 300th consecutive quarterly dividend paid by the company, reflecting its strong financial position and cash flow generation capabilities [1][2] - The company has a record of increasing its annual dividend per share for 69 consecutive fiscal years, placing it among the top five longest-running dividend-increase records in the S&P 500 index [2] Financial Performance - The increase in the dividend is attributed to the company's strong balance sheet and performance, which provides the flexibility to strategically deploy capital for shareholder value [2] - The announcement indicates the Board's confidence in the company's ability to navigate through business cycles while maintaining robust cash flows [2]

Group 1 - Parker Hannifin Corporation will release its fiscal 2025 third quarter earnings on May 1, 2025, before the market opens [1] - A conference call will be held at 11:00 a.m. Eastern time to discuss the earnings results and answer questions from institutional investors and securities analysts [1] - The conference call will be webcast on Parker's investor website and archived for later replay [1] Group 2 - Parker Hannifin is recognized as a Fortune 250 global leader in motion and control technologies [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]