Filing Flows › Gates Industrial (GTES) › Q2 2026
Gates Industrial (GTES) Q2 2026 earnings results (second quarter 2026)
10-Q filed Jul 31, 2026
Gates Industrial (GTES) reported revenue of $942M for the second quarter 2026 (Q2 2026), +7% from a year earlier and +11% from the quarter before. Operating margin was 14.0%, net earnings $171M (18.1% of revenue).
Gates Industrial, Q2 2026: revenue $942M (+7% year over year), operating margin 14.0%, net earnings $171M, operating cash flow $78.6M. The chart follows the revenue to costs, profit and cash.
| Q2 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $942M | +11% | +7% |
| Gross profit | $386M | +14% | +7% |
| Operating profit | $132M | +20% | +14% |
| Net earnings | $171M | +186% | +202% |
| Operating cash flow | $78.6M | +160% | -24% |
| Free cash flow | $60.3M | +347% | -28% |
What changed
Revenue was $941.6M in Q2 2026, up 7% year over year and up 11% from the previous quarter. Power Transmission was the largest line at 62% of revenue. Power Transmission added $38.4M year over year (up 7%), 66% of the total change.
Gross margin was 41.0%, up 0.2 points from Q2 2025. Operating profit was $131.6M, a 14.0% margin (up 0.9 points year over year). Of the extra revenue versus Q2 2025, 27% reached operating profit, above the 13% margin then. Operating expenses grew 4% against revenue growth of 7%. Net earnings were $170.9M, up 202% year over year. The effective tax rate was -77.8%.
Operating cash flow was $78.6M (down 24% year over year), 44% of net income including minority interests. Non-cash charges added back $57.1M of depreciation and amortization and $9.4M of share-based compensation. Working capital and other items used $165.9M. Capital expenditures of $18.3M left free cash flow of $60.3M.
Questions
What was Gates Industrial's revenue in the second quarter 2026?
Gates Industrial (GTES) reported revenue of $942M for the second quarter 2026 (Q2 2026), +7% from a year earlier and +11% from the quarter before.
Was Gates Industrial profitable in the second quarter 2026?
Operating profit was $132M (14.0% of revenue) and net earnings $171M.
Source: Gates Industrial 10-Q on SEC EDGAR.