SEC Filings

Ingersoll Rand Orders Jump 21% To $2,345 Million As $380.1 Million Recovery Inflates Profit

The pump and compressor maker added $2 billion to its buyback and updated its 2026 outlook, with adjusted EBITDA excluding tariff refunds up only 1%.

Ingersoll Rand, which makes compressors, vacuum pumps, blowers and other flow equipment, said third-quarter orders rose 21% to $2,345 million, or 18% on an organic basis. Reported net income of $670 million included a $380.1 million net recovery of acquisition-related losses tied to the ILC Dover transaction, the company said Thursday.

Orders surge, profit gets a lift

Revenue rose 6% to $2,065 million, up 4% organic. Reported net income attributable to Ingersoll Rand was $670 million, or $1.73 per share.

Strip out the recovery and the tariff refunds and the picture is tamer. Adjusted net income excluding refunds of IEEPA tariffs was $390 million, or $1.01 per share, up 17%. Adjusted EBITDA excluding the refunds rose 1% to $552 million, a 26.7% margin, against $584 million and 28.3% with them.

The company expects the rest of the roughly $425.1 million in gross ILC Dover recoveries in the fourth quarter, after collecting $25.0 million in the second quarter and $162.5 million in the third.

Chairman and CEO Vicente Reynal pointed to an "improved demand environment" and said the company saw "healthy short-to-medium cycle and long cycle business activity."

A $195 million infrastructure order

The Industrial Technologies and Services segment posted orders of $1,898 million, up 25%, with a book-to-bill ratio (orders relative to revenue) of 1.17x. A roughly $195 million engineered-to-order solution for large-scale, mission-critical infrastructure contributed. Segment adjusted EBITDA margin excluding tariff refunds fell 120 basis points to 27.8%, which the company blamed mainly on inflationary pressures.

Precision and Science Technologies had orders of $448 million, up 7%, and revenue of $445 million, up 7%. Life sciences orders and revenue rose by low double digits.

Cash, buyback and the new outlook

Free cash flow reached $623 million, against $326 million a year earlier. Liquidity stood at $3.9 billion.

The board added $2 billion to the share repurchase program, on top of $313 million remaining. The company bought back $350 million of stock in the quarter and expects to close on a U.S.-based pump maker acquisition on October 30.

Full-year 2026 guidance now calls for adjusted earnings per share of $3.58 to $3.70 excluding the tariff refunds, and adjusted EBITDA of $2,130 million to $2,190 million on the same basis. Revenue growth is guided to 5.5% to 7.0%.

Ingersoll Rand holds its earnings call Friday at 8:00 a.m. ET.