10-Q · July 29, 2026
Flowserve reported Q2 revenue of $1.169 billion, down 1.6% year over year but up 9.3% sequentially, while operating margin improved to 13.0% from 12.3% a year earlier. Order momentum was strong, with bookings up 25.5%…
Earnings analysis · 10-Q
FLS earnings analysis
Filed October 28, 2026 · Our reading of the company's report
The latest report
Flowserve delivered a modest revenue beat and a meaningful adjusted EPS beat, with operating margin at 12.5% and adjusted EPS of $1.07 versus $0.98 expected. Share repurchases continued at $50.2 million during the…
Read full summary
Flowserve delivered a modest revenue beat and a meaningful adjusted EPS beat, with operating margin at 12.5% and adjusted EPS of $1.07 versus $0.98 expected. Share repurchases continued at $50.2 million during the quarter, and the board raised total repurchase capacity to $500.0 million after quarter-end. The outlook remains mixed based on the supplied same-day update: EPS improved, while the sales outlook weakened; the 10-Q itself provided no additional quantitative guidance.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $1.07
- Operating margin
- 12.5%
What stood out
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Adjusted EPS beats consensus
Third-quarter revenue was $1.237773 billion, essentially in line with the $1.237656 billion consensus estimate, while adjusted EPS was $1.07 versus the $0.98 estimate, a $0.09 beat.
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Margin expansion drives earnings
Operating margin expanded to 12.5% in the quarter, supporting adjusted EPS of $1.07 despite revenue being approximately flat versus the $1.237 billion consensus estimate.
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Share repurchases continued
The company repurchased 696,110 shares for $50.2 million during the quarter and had $122.7 million of remaining capacity as of September 30, 2026.
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Repurchase authorization increased
The board subsequently increased total remaining share-repurchase capacity to $500.0 million effective October 26, 2026, versus $122.7 million remaining at quarter-end under the prior authorization.
What to watch
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Foreign-exchange exposure
Foreign-exchange exposure remains material: Flowserve had $442.6 million of aggregate notional foreign-exchange forward contracts outstanding at September 30, 2026. A 10% currency move was estimated to affect nine-month net earnings by approximately $1.0 million, excluding the impact of the hedges.
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Currency volatility
Foreign-currency results remain volatile: the company reported nine-month foreign-currency translation gains or losses of $(23.1) million in 2026 versus $142.3 million in 2025, while transactional currency gains or losses were $(2.4) million versus $(36.8) million.
Management's outlook
The provided 10-Q text does not include explicit quantitative revenue or EPS guidance. The same-day earnings update referenced in the supplied context reported adjusted 2026 EPS guidance of $4.10-$4.20 and organic sales guidance of down 2.5% to down 1.5%, but those figures are not included here as 10-Q guidance.
Earlier filings 2
10-Q · April 29, 2026
Flowserve Corporation's Q1 2026 results show a decline in revenue and profitability compared to the previous quarter and year. Revenue decreased to $1.068 billion, a drop of 6.7% year-over-year, and diluted EPS dropped…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.