The Eastern Company Reports Third Quarter 2026 Results
Key Highlights
- ➤Q3 net sales $75.0 million, up 36% year over year
- ➤Q3 adjusted EBITDA $7.6 million, up approximately 119% year over year
- ➤Q3 adjusted EPS $0.60, versus $0.13 in the prior-year quarter
- ➤Backlog $126.1 million at quarter end, up 70% year over year
- ➤Sungear and Crown Precision contributed $5.4 million in Q3 sales
Expert Statements
Ryan Schroeder, President and CEO of The Eastern Company
“The third quarter showed what Eastern can deliver when the benefits of our restructuring initiatives implemented over the past year are combined with improving demand.”
Ryan Schroeder, President and CEO of The Eastern Company
“Net sales, gross margin and operating profit as a percentage of sales each reached their highest level in five quarters, with net sales increasing 36% from a year ago and operating profit as a percentage of sales more than doubling to 7.4%.”
Ryan Schroeder, President and CEO of The Eastern Company
“Much of our growth was organic: demand improved for truck mirror assemblies, returnable transport packaging, and latch and handle assemblies, new products at Eberhard moved from development into production, and we delivered the increased volume at a higher gross margin.”
Ryan Schroeder, President and CEO of The Eastern Company
“Sungear and Crown Precision made their first full-quarter contribution to our results, adding revenue from the aerospace and defense markets that did not exist a year ago.”
Ryan Schroeder, President and CEO of The Eastern Company
“Importantly, we achieved this growth, reduced debt in the quarter, maintained our dividend, and preserved ample liquidity despite the additional working capital required to support higher sales.”
Ryan Schroeder, President and CEO of The Eastern Company
“Finally, backlog was $126.1 million at quarter end, up 70% from a year ago.”
Ryan Schroeder, President and CEO of The Eastern Company
“New orders in the quarter replaced the strong shipments we delivered, providing visibility through the balance of 2026 and into 2027.”
Ryan Schroeder, President and CEO of The Eastern Company
“Looking ahead to the fourth quarter and its historical seasonality, we are starting from a higher base than a year ago and are better positioned to pursue the opportunities we see across our markets.”
Ryan Schroeder, President and CEO of The Eastern Company
“A full automotive launch calendar and the customer base we have broadened over the past 24 months give our returnable transport packaging business a wider pool of demand to draw upon.”
Ryan Schroeder, President and CEO of The Eastern Company
“Increasing truck production and fleet replacement are favorable for demand for mirror assemblies and other commercial vehicle products.”
Ryan Schroeder, President and CEO of The Eastern Company
“A pipeline of customer-driven and internally developed products positions us well in our industrial hardware markets.”
Ryan Schroeder, President and CEO of The Eastern Company
“Our first full quarter operating Sungear and Crown Precision reinforced our rationale for entering the aerospace and defense market, where demand is strong and there is room for a disciplined operator to grow.”
Ryan Schroeder, President and CEO of The Eastern Company
“At the same time, we are navigating industry-wide macro pressures, including rising input and logistics costs, which we are addressing through the normal commercial process with our customers.”
Ryan Schroeder, President and CEO of The Eastern Company
“Our job from here is execution: convert the backlog, protect our margins, and stay disciplined on capital, including acquisitions that complement our core strengths and enhance long-term value.”
SHELTON, CT / ACCESS Newswire / November 10, 2026 / The Eastern Company ("Eastern" or the "Company") (NASDAQ:EML), an industrial holding company with a portfolio of businesses serving commercial transportation, logistics, aerospace, defense, and other industrial markets, today announced its results of operations for the third fiscal quarter of 2026 ended October 3, 2026.
"The third quarter showed what Eastern can deliver when the benefits of our restructuring initiatives implemented over the past year are combined with improving demand," stated Ryan Schroeder, Eastern's President and CEO. "Net sales, gross margin and operating profit as a percentage of sales each reached their highest level in five quarters, with net sales increasing 36% from a year ago and operating profit as a percentage of sales more than doubling to 7.4%. Much of our growth was organic: demand improved for truck mirror assemblies, returnable transport packaging, and latch and handle assemblies, new products at Eberhard moved from development into production, and we delivered the increased volume at a higher gross margin. Sungear and Crown Precision made their first full-quarter contribution to our results, adding revenue from the aerospace and defense markets that did not exist a year ago. Importantly, we achieved this growth, reduced debt in the quarter, maintained our dividend, and preserved ample liquidity despite the additional working capital required to support higher sales. Finally, backlog was $126.1 million at quarter end, up 70% from a year ago. New orders in the quarter replaced the strong shipments we delivered, providing visibility through the balance of 2026 and into 2027.
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