Carpenter Technology's fourth quarter FY26 earnings beat estimates, driven by record SAO margin expansion to 37.8%.

Carpenter Technology reported fourth quarter fiscal 2026 revenue of $851.0 million and adjusted EPS of $3.23, exceeding analyst expectations. The results were driven by record profitability and strong demand in the Aerospace and Defense markets.

Key Highlights

• The Specialty Alloys Operations (SAO) segment achieved a record adjusted operating margin of 37.8%, a significant expansion from 30.5% in the prior-year period, driven by higher productivity and pricing.
• Company-wide operating income reached a record $206.9 million, an increase of 37% year-over-year.
• The company issued strong fiscal 2027 guidance, projecting operating income growth of 21% to 25% over the record results of fiscal 2026.