Parker Hannifin — Nov 6, 2025 release

Exhibit 99.1 Parker Reports Fiscal 2026 First Quarter Results Organic Sales and Margin Expansion Drive EPS Growth, FY26 Outlook Increased CLEVELAND, November 6, 2025 -- Parker Hannifin Corporation (NYSE: PH), the global leader in motion and control technologies, today reported results for the quarter ended September 30, 2025, that included the following highlights (compared with the prior year period): Fiscal 2026 First Quarter Highlights: • Sales were a record $5.1 billion; organic sales growth was 5% • Net income was $808 million, an increase of 16%, or $927 million adjusted, an increase of 14% • EPS were $6.29, an increase of 18%, or a record $7.22 adjusted, an increase of 16% • Segment operating margin was 24.2%, an increase of 160 bps, or 27.4% adjusted, an increase of 170 bps • Cash flow from operations was $782 million or 15.4% of sales • Repurchased $475 million of shares “Our global team produced record sales, segment operating margin, earnings per share and year-to-date cash flow,” said Jenny Parmentier, Chairman and Chief Executive Officer. “These results demonstrate our ability to consistently deliver operational excellence fueled by our business system The Win Strategy™. First quarter organic sales grew 5%, as strong demand continued in aerospace and our industrial businesses showed a gradual return to growth. Positive sales growth and an adjusted segment margin increase of 170 basis points, contributed to an adjusted earnings per share increase of 16%. With this strong first quarter performance and higher order rates, we have increased our outlook.” This news release contains non-GAAP financial measures. Reconciliations of adjusted numbers and certain non-GAAP financial measures are included in the financial tables of this press release. Outlook Guidance for the fiscal year ending June 30, 2026 has been increased and now includes the Curtis acquisition: • Total sales growth has been increased to the range of 4.0% to 7.0%. Organic sales growth of approximately 4% at the midpoint; acquisitions of approximately 1%, previously completed divestitures of approximately 1%, and favorable currency of 1.5%. • Segment operating margin outlook has been increased to the range of 23.6% to 24.0%, or 26.8% to 27.2% on an adjusted basis • EPS guidance has been increased to the range of $25.53 to $26.33, or $29.60 to $30.40 on an adjusted basis Segment Results Diversified Industrial Segment North America Businesses $ in mm FY26 Q1 FY25 Q1 Change Organic Growth Sales $ 2,044  $ 2,100  -2.7  % 2.1  % Segment Operating Income $ 507  $ 485  4.5  % Segment Operating Margin 24.8  % 23.1  % 170   bps Adjusted Segment Operating Income $ 552  $ 532  3.8  % Adjusted Segment Operating Margin 27.0  % 25.3  % 170   bps • Organic growth turned positive, driven by in-plant & industrial, aerospace & defense, and improvement in off-highway • Achieved record adjusted segment operating margin • Order rates increased 3% International Businesses $ in mm FY26 Q1 FY25 Q1 Change Organic Growth Sales $ 1,399  $ 1,356  3.2  % 1.0  % Segment Operating Income $ 314  $ 299  5.0  % Segment Operating Margin 22.4  % 22.1  % 30   bps Adjusted Segment Operating Income $ 350  $ 327  7.0  % Adjusted Segment Operating Margin 25.0  % 24.1  % 90   bps • Achieved record sales and adjusted segment operating margin • Organic growth positive in the quarter with 6% APAC; (3%) EMEA; 0% LA • Order rates increased 6% Aerospace Systems Segment $ in mm FY26 Q1 FY25 Q1 Change Organic Growth Sales $ 1,641  $ 1,448  13.3  % 12.8  % Segment Operating Income $ 411  $ 323  27.2  % Segment Operating Margin 25.0  % 22.3  % 270   bps Adjusted Segment Operating Income $ 492  $ 403  22.1  % Adjusted Segment Operating Margin 30.0  % 27.9  % 210   bps • Achieved record sales on commercial OEM growth and continued aftermarket strength • Delivered record adjusted segment operating margin • Robust and broad-based order rates continue Order Rates FY26 Q1 Parker +8% Diversified Industrial Segment - North America Businesses +3% Diversified Industrial Segment - International Businesses +6% Aerospace Systems Segment +15% • Parker order rates increased across all reported businesses 8% • Total company backlog increased to a record $11.3 billion About Parker Hannifin Parker Hannifin is a Fortune 250 global leader in motion and control technologies. For more than a century the company has been enabling engineering breakthroughs that lead to a better tomorrow. Learn more at www.parker.com or @parkerhannifin. Contacts: Media: Financial Analysts: Aidan Gormley Jeff Miller 216-896-3258 216-896-2708 aidan.gormley@parker.com jeffrey.miller@parker.com Notice of Webcast Parker Hannifin's conference call and slide presentation to discuss its fiscal 2026 first quarter results are available to all interested parties via live webcast today at 11:00 a.m. ET, at investors.parker.com. A replay of the webcast will be available on the site approximately one hour after the completion of the call and will remain available for one year. To register for e-mail notification of future events please visit investors.parker.com. Note on Orders The company reported orders for the quarter ending September 30, 2025, compared with the same quarter a year ago. All comparisons are at constant currency exchange rates, with the prior year quarter restated to the current-year rates, and exclude divestitures. Diversified Industrial comparisons are on 3-month average computations and Aerospace Systems comparisons are on rolling 12-month average computations . Note on Non-GAAP Financial Measures This press release contains references to non-GAAP financial information including (a) adjusted net income; (b) adjusted earnings per share; (c) adjusted segment operating margin for Parker and by segment; (d) adjusted segment operating income for Parker and by segment; and (e) organic sales growth. These measures are presented to allow investors and the company to meaningfully evaluate changes in net income, earnings per share and segment operating margins on a comparable basis from period to period. Although these measures are not measures of performance calculated in accordance with GAAP, we believe that they are useful to an investor in evaluating the results of this quarter versus the prior period. Comparable descriptions of record adjusted results in this release refer only to the period from the first quarter of FY2011 to the periods presented in this release. This period coincides with recast historical financial results provided in association with our FY2014 change in segment reporting. A reconciliation of non-GAAP measures is included in the financial tables of this press release. Forward-Looking Statements Forward-looking statements contained in this and other written and oral reports are made based on known events and circumstances at the time of release, and as such, are subject in the future to unforeseen uncertainties and risks. Often but not always, these statements may be identified from the use of forward-looking terminology such as “anticipates,” “believes,” “may,” “should,” “could,” “expects,” “targets,” “is likely,” “will,” or the negative of these terms and similar expressions, and may also include statements regarding future performance, orders, earnings projections, events or developments. Parker cautions readers not to place undue reliance on these statements. It is possible that the future performance may differ materially from expectations, including those based on past performance. Among other factors that may affect future performance are: changes in business relationships with and orders by or from major customers, suppliers or distributors, including delays or cancellations in shipments; disputes regarding contract terms, changes in contract costs and revenue estimates for new development programs; changes in product mix; ability to identify acceptable strategic acquisition targets; uncertainties surrounding timing, successful completion or integration of acquisitions and similar transactions, including the integration of Curtis Instruments, Inc.; ability to successfully divest businesses planned for divestiture and realize the anticipated benefits of such divestitures; the determination and ability to successfully undertake business realignment activities and the expected costs, including cost savings, thereof; ability to implement successfully business and operating initiatives, including the timing, price and execution of share repurchases and other capital initiatives; availability, cost increases of or other limitations on our access to raw materials, component products and/or commodities if associated costs cannot be recovered in product pricing; ability to manage costs related to insurance and employee retirement and health care benefits; legal and regulatory developments and other government actions, including related to environmental protection, and associated compliance costs; supply chain and labor disruptions, including as a result of tariffs and labor shortages; threats associated with international conflicts and cybersecurity risks and risks associated with protecting our intellectual property; uncertainties surrounding the ultimate resolution of outstanding legal proceedings, including the outcome of any appeals; effects on market conditions, including sales and pricing, resulting from global reactions to U.S. trade policies; manufacturing activity, air travel trends, currency exchange rates, difficulties entering new markets and economic conditions such as inflation, deflation, interest rates and credit availability; inability to obtain, or meet conditions imposed for, required governmental and regulatory approvals; changes in the tax laws in the United States and foreign jurisdictions and judicial or regulatory interpretations thereof; and large scale disasters, such as floods, earthquakes, hurricanes, industrial accidents and pandemics. Readers should also consider forward-looking statements in light of risk factors discussed in Parker’s Annual Report on Form 10-K for the fiscal year ended June 30, 2025 and other periodic filings made with the SEC. ### Exhibit 99.1 PARKER HANNIFIN CORPORATION - SEPTEMBER 30, 2025 CONSOLIDATED STATEMENTS OF INCOME Three Months Ended (Unaudited) September 30, (In millions, except per share amounts) 2025 2024 Net sales $ 5,084   $ 4,904  Cost of sales 3,177   3,098  Selling, general and administrative expenses 873   849  Interest expense 101   113  Other income, net (107) (31) Income before income taxes 1,040   875  Income taxes 232   177  Net income $ 808   $ 698  Earnings per share: Basic $ 6.39   $ 5.43  Diluted $ 6.29   $ 5.34  Weighted average shares outstanding: Basic 126.5 128.7 Diluted 128.4 130.7 Cash dividends per common share $ 1.80   $ 1.63  BUSINESS SEGMENT INFORMATION Three Months Ended (Unaudited) September 30, (Dollars in millions) 2025 2024 Net sales Diversified Industrial $ 3,443   $ 3,456  Aerospace Systems 1,641   1,448  Total net sales $ 5,084   $ 4,904  Segment operating income Diversified Industrial $ 821   $ 784  Aerospace Systems 411   323  Total segment operating income 1,232   1,107  Corporate general and administrative expenses 49   49  Income before interest expense and other expense, net 1,183   1,058  Interest expense 101   113  Other expense, net 42   70  Income before income taxes $ 1,040   $ 875  Exhibit 99.1 PARKER HANNIFIN CORPORATION - SEPTEMBER 30, 2025 SUPPLEMENTAL FINANCIAL INFORMATION AND NON-GAAP RECONCILIATIONS ADJUSTED SEGMENT OPERATING INCOME AND ORGANIC SALES GROWTH RECONCILIATION Three Months Ended September 30, 2025 Three Months Ended September 30, 2024 Diversified Industrial Segment Aerospace Systems Segment Diversified Industrial Segment Aerospace Systems Segment (Unaudited) (Dollars in millions) North America Int'l Total Total North America Int'l Total Total Net sales $ 2,044   $ 1,399   $ 3,443   $ 1,641   $ 5,084   $ 2,100  $ 1,356  $ 3,456  $ 1,448  $ 4,904  Segment operating income $ 507   $ 314   $ 821   $ 411   $ 1,232   $ 485  $ 299  $ 784  $ 323  $ 1,107  Adjustments:  Amortization of acquired intangibles 42  22  64  76  140  43  22  65  75  140   Business realignment charges 1  13  14  1  15  3  6  9  —  9   Integration costs to achieve 1  1  2  4  6  1  —  1  5  6  Acquisition-related expenses 1  —   1  —  1  —  —  —  —  —  Adjusted segment operating income $ 552   $ 350   $ 902   $ 492   $ 1,394   $ 532  $ 327  $ 859  $ 403  $ 1,262  Segment operating margin 24.8% 22.4% 23.8% 25.0% 24.2% 23.1% 22.1% 22.7% 22.3% 22.6% Adjusted segment operating margin 27.0% 25.0% 26.2% 30.0% 27.4% 25.3% 24.1% 24.8% 27.9% 25.7% Reported sales growth (2.7)% 3.2% (0.4)% 13.3% 3.7% Currency —% 1.8% 0.7% 0.5% 0.7% Divestitures (5.1)% —% (3.1)% —% (2.2)% Acquisitions 0.3% 0.4% 0.3% —% 0.2% Organic sales growth 2.1% 1.0% 1.7% 12.8% 5.0% DIVERSIFIED INDUSTRIAL INTERNATIONAL BUSINESSES - ORGANIC SALES GROWTH SUPPLEMENT Three Months Ended September 30, 2025 (Unaudited) Europe Asia Pacific Latin America Total Reported sales growth 2.0% 5.2% —% 3.2% Currency 4.3% (1.5)% —% 1.8% Acquisitions 0.3% 0.6% —% 0.4% Organic sales growth (2.6)% 6.1% —% 1.0% Exhibit 99.1 PARKER HANNIFIN CORPORATION - SEPTEMBER 30, 2025 SUPPLEMENTAL FINANCIAL INFORMATION AND NON-GAAP RECONCILIATIONS ADJUSTED NET INCOME 1 AND ADJUSTED DILUTED EARNINGS PER SHARE RECONCILIATION Three Months Ended September 30, (Unaudited) 2025 2024 (Dollars in millions, except per share amounts) Net Income 1 Diluted EPS Net Income 1 Diluted EPS As reported $ 808   $ 6.29   $ 698  $ 5.34  Adjustments: Amortization of acquired intangibles 140   1.09   140  1.07  Business realignment charges 15   0.12   10  0.07  Integration costs to achieve 6   0.05   6  0.05  Gain on sale of building —   —   (10) (0.08) Acquisition-related expenses 14   0.11   —  —  Gain on insurance recoveries (20) (0.15) —  —  Tax effect of adjustments 2 (36) (0.29) (34) (0.25) As adjusted $ 927   $ 7.22   $ 810  $ 6.20  1 Represents net income attributable to common shareholders. 2 This line item reflects the aggregate tax effect of all non-tax adjustments reflected in the preceding line items of the table. We estimate the tax effect of each adjustment item by applying our overall effective tax rate for continuing operations to the pre-tax amount, unless the nature of the item and/or the tax jurisdiction in which the item has been recorded requires application of a specific tax rate or tax treatment, in which case the tax effect of such item is estimated by applying such specific tax rate or tax treatment. Exhibit 99.1 PARKER HANNIFIN CORPORATION - SEPTEMBER 30, 2025 CONSOLIDATED BALANCE SHEETS (Unaudited) September 30, June 30, (Dollars in millions) 2025 2025 Assets Current assets: Cash and cash equivalents $ 473   $ 467  Trade accounts receivable, net 2,873   2,910  Non-trade and notes receivable 331   318  Inventories 3,081   2,839  Prepaid expenses 296   263  Other current assets 173   153  Total current assets 7,227   6,950  Property, plant and equipment, net 2,972   2,937  Deferred income taxes 271   270  Other long-term assets 1,306   1,269  Intangible assets, net 7,760   7,374  Goodwill 11,141   10,694  Total assets $ 30,677   $ 29,494  Liabilities and equity Current liabilities: Notes payable and long-term debt payable within one year $ 2,848   $ 1,791  Accounts payable, trade 2,150   2,126  Accrued payrolls and other compensation 432   587  Accrued domestic and foreign taxes 411   382  Other current liabilities 938   933  Total current liabilities 6,779   5,819  Long-term debt 7,485   7,494  Pensions and other postretirement benefits 253   267  Deferred income taxes 1,621   1,490  Other long-term liabilities 753   733  Shareholders' equity 13,777   13,682  Noncontrolling interests 9   9  Total liabilities and equity $ 30,677   $ 29,494  Exhibit 99.1 PARKER HANNIFIN CORPORATION - SEPTEMBER 30, 2025 CONSOLIDATED STATEMENTS OF CASH FLOWS Three Months Ended (Unaudited) September 30, (Dollars in millions) 2025 2024 Cash flows from operating activities: Net income $ 808   $ 698  Depreciation and amortization 232   229  Stock-based compensation expense 80   76  Loss (gain) on property, plant and equipment 1   (8) Net change in receivables, inventories and trade payables (93) (40) Net change in other assets and liabilities (226) (224) Other, net (20) 13  Net cash provided by operating activities 782   744  Cash flows from investing activities: Acquisitions, net of cash acquired (1,013) —  Capital expenditures (89) (95) Proceeds from sale of property, plant and equipment 6   13  Other, net 18   (5) Net cash used in investing activities (1,078) (87) Cash flows from financing activities: Payments for common shares (522) (94) Net proceeds from (payments for) debt 1,056   (409) Dividends paid (228) (210) Other, net —   2  Net cash provided by (used in) financing activities 306   (711) Effect of exchange rate changes on cash (4) 3  Net increase (decrease) in cash and cash equivalents 6   (51) Cash and cash equivalents at beginning of year 467   422  Cash and cash equivalents at end of period $ 473   $ 371  Exhibit 99.1 PARKER HANNIFIN CORPORATION - SEPTEMBER 30, 2025 RECONCILIATION OF FORECASTED SALES GROWTH TO ORGANIC SALES GROWTH (Unaudited) (Amounts in percentages) Fiscal Year 2026 Forecasted net sales 4.0% to 7.0% Adjustments: Currency ~(1.5%) Acquisitions ~(1.0%) Divestitures ~1.0% Adjusted forecasted net sales 2.5% to 5.5% RECONCILIATION OF FORECASTED SEGMENT OPERATING MARGIN TO ADJUSTED FORECASTED SEGMENT OPERATING MARGIN (Unaudited) (Amounts in percentages) Fiscal Year 2026 Forecasted segment operating margin 23.6% to 24.0% Adjustments: Business realignment charges ~0.3% Amortization of acquired intangibles ~2.8% Cost to achieve ~0.1% Acquisition-related expenses ~0.1% Adjusted forecasted segment operating margin 26.8% to 27.2% RECONCILIATION OF FORECASTED EARNINGS PER DILUTED SHARE TO ADJUSTED FORECASTED EARNINGS PER DILUTED SHARE (Unaudited) (Amounts in dollars) Fiscal Year 2026 Forecasted earnings per diluted share $25.53 to $26.33 Adjustments: Business realignment charges 0.54 Amortization of acquired intangibles 4.55 Acquisition-related expenses 0.19 Costs to achieve 0.13 Gain on insurance recoveries (0.16) Tax effect of adjustments 1 (1.18) Adjusted forecasted earnings per diluted share $29.60 to $30.40 1 This line item reflects the aggregate tax effect of all non-tax adjustments reflected in the preceding line items of the table. We estimate the tax effect of each adjustment item by applying our overall effective tax rate for continuing operations to the pre-tax amount, unless the nature of the item and/or the tax jurisdiction in which the item has been recorded requires application of a specific tax rate or tax treatment, in which case the tax effect of such item is estimated by applying such specific tax rate or tax treatment. Note: Totals may not foot due to rounding