RBC Bearings Incorporated’s RBC fourth-quarter fiscal 2025 (ended March 29, 2025) adjusted earnings of $2.83 per share beat the Zacks Consensus Estimate of $2.68. The figure increased 14.6% from the year-ago adjusted earnings of $2.47 per share, supported by higher revenues. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

RBC’s Revenue Details

RBC Bearings’ revenues were $437.7 million, which increased 5.8% year over year. However, the figure missed the Zacks Consensus Estimate of $441 million.

While exiting the reported quarter, RBC had a backlog of $940.7 million compared with $896.5 million reported at the end of the third quarter of fiscal 2025 (ended Dec. 28, 2024).

RBC Bearings’ Segmental Details

The company currently has two reportable segments, namely Aerospace/Defense and Industrial. Its segmental performance for the fiscal fourth quarter is briefly discussed below:

Industrial revenues of $280.4 million (representing 64.1% of the quarter’s revenues) were up 3.4% year over year. The consensus estimate for the Industrial segment’s revenues was pegged at $283 million.

Aerospace/Defense revenues totaled $157.3 million (35.9%), up 10.5% year over year. The consensus estimate for the Aerospace/Defense segment’s revenues was pegged at $159 million.

RBC Bearings Incorporated Price, Consensus and EPS SurpriseRBC Bearings Incorporated Price, Consensus and EPS Surprise

RBC Bearings Incorporated price-consensus-eps-surprise-chart | RBC Bearings Incorporated Quote

RBC’s Margin Profile

The company’s cost of sales rose 3.8% year over year to $244.3 million. Gross profit grew 8.4% to $193.4 million. The margin expanded 110 basis points (bps) to 44.2%.

Selling, general and administrative expenses (SG&A) were $72.1 million, up 12% year over year. Adjusted EBITDA jumped 7.4% to $139.8 million. The adjusted EBITDA margin was 31.9%, up 50 bps year over year.

Adjusted operating income increased 5.4% year over year to $101.6 million. The adjusted margin decreased 10 bps to 23.2%. Net interest expenses were $12.8 million compared with $18.8 million in the year-ago quarter.

RBC Bearings’ Balance Sheet and Cash Flow

At the time of exiting the fiscal fourth quarter, RBC had cash and cash equivalents of $36.8 million compared with $63.5 million at the end of fiscal 2024. Long-term debt (less current portion) was $918.4 million, down from $1.19 billion at the end of fiscal 2024.

In fiscal 2025, the company generated net cash of $293.6 million from operating activities, which increased 6.9% on a year-over-year basis. Capital expenditure of $49.8 million increased 50% year over year.

In fiscal 2025, RBC Bearings repurchased shares worth $9.5 million, down 14% year over year.

Story Continues

RBC’s Outlook

For the first quarter of fiscal 2026, management anticipates net sales to be in the range of $424-$434 million, indicating an increase of 4.4-6.8% from the prior-year figure of $406.3 million.

It expects gross margin to be in the band of 44.25-44.75% and SG&A (as a percentage of net sales) to be in the range of 16.75% to 17.25%.

Zacks Rank & Stocks to Consider

RBC currently carries a Zacks Rank #4 (Sell). Some better-ranked companies are discussed below:

AptarGroup, Inc. ATR presently sports a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

ATR delivered a trailing four-quarter average earnings surprise of 7.3%. In the past 60 days, the consensus estimate for AptarGroup’s 2025 earnings has increased 5.4%.

The Gorman-Rupp Company GRC currently carries a Zacks Rank #2 (Buy). GRC delivered a trailing four-quarter average earnings surprise of 2.4%. In the past 60 days, the Zacks Consensus Estimate for Gorman-Rupp’s 2025 earnings has increased 0.5%.

Broadwind Energy BWEN currently carries a Zacks Rank #2. BWEN delivered a trailing four-quarter average earnings surprise of 61.1%. In the past 60 days, the consensus estimate for Broadwind Energy’s 2025 earnings has increased 14.3%.

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