Donaldson Company (NYSE:DCI) delivered solid third-quarter results that exceeded Wall Street estimates, prompting the company to raise its profit guidance for the full year. As a result, shares rose more than 3% intra-day today.
For the quarter, Donaldson reported adjusted earnings of $0.99 per share, topping the consensus forecast of $0.95. Revenue rose 1.3% from the same period last year to $940.1 million, also beating expectations of $936.84 million.
Stronger aftermarket demand, particularly in the Mobile Solutions segment, played a key role in the quarter’s performance. Sales of replacement parts grew 3.3% year-over-year, helping offset softness in other areas. Meanwhile, the Aerospace and Defense unit saw a standout 27.1% jump in revenue.
Encouraged by the results, the company raised its adjusted full-year earnings guidance to a range of $3.64 to $3.70 per share, compared to the prior forecast of $3.57 to $3.67. The new midpoint surpasses analyst projections of $3.60. However, Donaldson held its full-year revenue growth target steady at 1% to 3%.