Mettler-Toledo International (MTD) Q1 2026 earnings summary

Executive summary

• Achieved 7% reported sales growth to $947.1 million in Q1 2026, with 3% local currency growth and 1% excluding acquisitions.

• Adjusted EPS increased 9% to $8.91, supported by margin initiatives and innovation investments, while reported EPS was $8.33, up from $7.81.

• Growth was led by strong industrial automation, food retailing, and bioprocessing segments, offset by softness in Western markets and chemical sectors.

• Management remains confident in achieving solid adjusted EPS growth for the full year, with agility to navigate macroeconomic and geopolitical challenges.

• Continued investment in innovation, automation, and digital tools positions the business for future growth.

Financial highlights

• Net sales reached $947.1 million, up from $883.7 million in Q1 2025; gross profit was $555.8 million, with gross margin at 58.7%, down 80 bps year-over-year.

• Adjusted operating profit was $246.2 million, up 4% year-over-year; adjusted operating margin at 26.0%, down 80 bps.

• Net earnings for the quarter were $169.5 million, a 4% increase; diluted EPS was $8.33, up from $7.81.

• Adjusted free cash flow was $119.7 million, impacted by higher tax payments; cash flow from operations was $139.8 million.

• $206.3 million was spent on share repurchases in Q1 2026.

Outlook and guidance

• Full-year 2026 local currency sales growth forecast at ~4%, with adjusted EPS guidance raised to $46.30–$46.95 (8–10% growth); FX expected to be a 2% sales benefit and neutral to EPS.

• Q2 2026 local currency sales expected to grow ~3%, with adjusted EPS of $10.70–$10.85 (6–8% growth).

• Free cash flow for 2026 expected at ~$900 million, up 5% per share; share repurchases of $825–$875 million planned.

• Management expects sufficient liquidity for foreseeable needs, with ongoing monitoring of global trade, tariffs, and geopolitical risks.

• Uncertainties from geopolitical conflicts and global tariffs may impact future results.