Timken is seeing encouraging order activity across several industrial markets, with a backlog increase from the prior year. The outlook for 2026 includes organic sales up 2%, driven by higher pricing and modest volume growth. The company is focusing on strategic initiatives, including 80/20 portfolio work.

Timken expects to exit underperforming businesses and prioritize resources for greater impact on margins and growth. The 80/20 discipline will be extended across the entire enterprise, simplifying the portfolio and optimizing processes. The company aims for value creation and increased performance over time.

Timken’s fourth-quarter results show total revenue of $1.11 billion, up 3.5% from last year. Adjusted EBITDA margins were 16%, with adjusted earnings per share at $1.14. Organically, sales were up 1.3% from last year, driven by higher pricing and volume growth in the Industrial Motion segment.

Timken anticipates full-year 2026 revenue to increase 2% to 4%, with currency contributing around 1% and organic revenue up 2% at the midpoint due to higher volumes and pricing in both segments. Adjusted earnings per share are expected to be in the range of $5.50 to $6, up 8% at the midpoint versus 2025. The company aims for year-over-year earnings growth in each quarter of 2026.

Read more at Yahoo Finance: Timken (TKR) Q4 2025 Earnings Call Transcript