BRC · Brady Corporation

Brady Corporation delivered a strong fiscal 2026 third quarter, with organic sales growth of 8.2% led by a 10.1% increase in the Americas & Asia segment and 4.5% in Europe & Australia. The growth was broad-based across wire ID, product ID, safety and facility ID products, supported by investments in research & development. Gross margin expanded 80 basis points to 51.8%, benefiting from favorable product mix and cost actions. Adjusted EPS rose 23% to a record $1.50, outpacing revenue growth due to operating leverage and disciplined expense management. Cash flow from operations strengthened to $78.2 million, enabling a net cash balance of $148.6 million. Management raised full-year adjusted EPS guidance to $5.20–$5.30, implying 13–15% growth, while narrowing GAAP EPS to $4.66–$4.76. The company also disclosed a definitive agreement to acquire Honeywell's PSS business, expected to close in H2 2026, which will expand Brady's portfolio into mobile computing and scanning. Overall, the quarter reflects successful execution of organic growth initiatives and a strengthening balance sheet to support both organic investments and strategic M&A.