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Jun 30
Timken Q2 2025 Earnings Report
Timken reported its second quarter 2025 earnings, with sales slightly down and a decrease in net income and adjusted EBITDA compared to the prior year.
Key Takeaways
The Timken Company reported second-quarter 2025 sales of $1.17 billion, a 0.8 percent decrease from the same period last year, primarily due to lower end-market demand. Net income was $78.5 million, or $1.12 per diluted share, down from $96.2 million or $1.36 per diluted share in Q2 2024. Adjusted net income was $99.3 million, or $1.42 per diluted share. The company's net income margin was 6.7 percent, and adjusted EBITDA margin was 17.7 percent.
Net sales for Q2 2025 were $1.17 billion, a slight decrease of 0.8% compared to Q2 2024.
Diluted EPS was $1.12, a 17.6% decrease from $1.36 in the prior year's quarter.
Adjusted EPS was $1.42, down 12.9% from $1.63 in Q2 2024.
Free cash flow for the quarter was $78.2 million, and the company returned $47.0 million to shareholders through dividends and share repurchases.
Timken
Timken
Timken Revenue by Segment
Revenue by Segment
Engineered Bearings Revenue
CapyFin.comIndustrial Motion Revenue
CapyFin.com Forward Guidance
Timken is adjusting its full-year 2025 outlook, reducing the high-end of its earnings per diluted share and adjusted earnings per diluted share forecasts, and anticipating a slight revenue decline for the year.
Positive Outlook
- The company is implementing pricing and other actions to mitigate the impact of tariffs.
- Management remains focused on serving customers and driving cost initiatives.
- Optimism for 2026, with steps being taken to position the business for an industrial market expansion.
- Confidence in delivering higher levels of performance and compelling shareholder value through strategy execution and disciplined capital allocation.
- Forecasted full year adjusted diluted EPS range of $5.10 to $5.40.
Challenges Ahead
- Reducing the high-end of full-year 2025 outlook for earnings per diluted share.
- Forecasted GAAP diluted EPS for full year 2025 is in the range of $3.90 to $4.20.
- Expecting the operating environment to remain challenging in the second half of 2025.
- Planning for 2025 revenue to be in the range of -2.0% to -0.5% compared to 2024.
- Cautious view on second half demand due to trade situation and related macro effects.