| Metric | Value ($ M) | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Revenue | 951.29 | 6.5% | 7.7% |
| Total Income | 951.29 | 6.5% | 7.7% |
| Expenditure | 859.25 | 6.5% | 9.6% |
| PBT | 76.48 | 16.5% | 9.2% |
| Net Profit | 68.43 | 19.1% | 16.8% |
| OPM | 9.67% | 0.01pp | 1.57pp |
| NPM | 7.19% | 0.76pp | 2.12pp |
| EPS | 1.83 | 23.6% | 10.7% |
EnerSys Reports Q2 FY26 Net Sales Up 8% to $951M
04 May 2026 · 4 May, 7:57 am
Summary
EnerSys reported net sales of $951 million for the second quarter of fiscal year 2026, an increase of 8% compared to the prior year. Adjusted diluted EPS ex 45X was up 15%. The company returned $78 million to shareholders through buybacks and dividends in Q2. EnerSys expects net sales in the range of $920M to $960M and adjusted diluted EPS in the range of $2.71 to $2.81 for the third quarter of fiscal 2026.
Key Highlights
- 1
EnerSys delivered net sales of $951 million, an increase of 8% driven by improving demand across the majority of end markets.
- 2
The company achieved a gross margin of 29.1%, up 60 bps, while the gross margin ex 45X was 24.9%, in line with the prior year.
- 3
Diluted EPS was $1.80, down 10%, while adjusted diluted EPS was $2.56, up 21%, and adjusted diluted EPS ex IRC 45X was $1.51, up 15%.
- 4
EnerSys returned $78 million to shareholders through buybacks and dividends in Q2, and repurchased an additional $37 million in shares in October.
- 5
The company maintained a net leverage ratio below the low end of the target range at 1.3 X EBITDA.
- 6
Net sales for the six months of fiscal 2026 were $1,844.3 million, an increase of 6.2% from the prior year.
- 7
The Board of Directors has declared a quarterly cash dividend of $0.2625 per share of common stock payable on December 26, 2025.
Management Comments
Shawn O’Connell
“Our strong performance in the quarter reflects solid execution and our commitment to continuous improvement and collaboration across the organization,” said Shawn O’Connell, President and Chief Executive Officer of EnerSys. “We delivered net sales up 8% and adjusted diluted EPS ex 45X up 15%. “We are beginning to realize the impact of our EnerGize strategic framework that we introduced last quarter. We expect these benefits to accelerate as we are increasing our rigor around R&D and CapEx investments, reallocating resources to focus on higher-return opportunities and executing with greater speed. At the same time, we are right-sizing the organization in order to generate meaningful reductions in operating expenses,” O’Connell added. “We expect to see increasing benefits from our cost reduction initiatives and targeted new product introductions in the coming quarters. As we navigate the current environment of mixed end-market demand trends, we are optimistic but cautious about the near-term outlook. We remain focused on optimizing our core, invigorating our operating model, and accelerating growth through our strategic framework, EnerGize. We are positioning EnerSys for long-term sustainable success in delivering for our customers and generating value for our shareholders,” O’Connell concluded.
Andrea Funk
“We are pleased with our second quarter results and trajectory, and remain confident in the earnings power of our business and our ability to navigate through evolving policy and macroeconomic conditions,” said Andrea Funk, EnerSys Chief Financial Officer. “Our diversified business model continues to be a source of resilience. Operational efficiencies aligned with our EnerGize strategic framework are beginning to take hold, with early wins in process optimization, capital allocation discipline, and manufacturing performance. These initiatives are laying the groundwork for additional long-term top-line growth and margin expansion,” added Funk. “While we are pleased with EnerSys’s overall trajectory and are seeing positive momentum across several key growth areas, we believe it remains prudent to keep full-year quantitative guidance paused due to the dynamic macro environment and its downstream effect on customer buying patterns. That said, we reaffirm our expectation that full-year adjusted operating earnings growth, excluding 45X benefits, will outpace revenue growth. We look forward to sharing details of our strategic roadmap and longer-term financial targets at our 2026 Investor Day on June 11, 2026,” concluded Funk.
Informational and educational content only. Not investment advice.