REGAL REXNORD REPORTS THIRD QUARTER 2026 FINANCIAL RESULTS

PR Newswire

MILWAUKEE, Nov. 3, 2026

MILWAUKEE, Nov. 3, 2026 /PRNewswire/ — Regal Rexnord Corporation (NYSE: RRX)

3Q Highlights

Daily Orders Up 6% Versus PY
Sales Of $1,588 Million, Up 6% Versus PY
Data Center Sales Up 307%, Or Up 169% Excluding E-Pods
GAAP Net Loss Of $12 Million* Versus PY GAAP Net Income Of $80 Million
Adjusted EBITDA Of $351 Million Versus PY Of $339 Million, Up $12 Million, Or 4%, Versus PY
Adjusted EBITDA Of $337 Million Excluding IEEPA Tariff Refunds, Ahead Of Expectations
Net Debt To Adjusted EBITDA (Including Synergies) Ended 3Q At 2.9x

CEO Aamir Paul commented on the third quarter performance, “Our third quarter execution showed steady progress. We delivered adjusted EBITDA excluding IEEPA refunds slightly ahead of our expectations. We had healthy order demand across the portfolio, with 13% orders growth excluding data centers. We were encouraged by the orders growth in commercial HVAC, up 47%, aided by new air moving solutions. Discrete automation orders were up 26%. Data center order growth continues to scale, with some specific project order timing effects in the quarter.”

Providing a strategic update, Paul continued, “Four months into the role, I see opportunities to accelerate profitable growth. These encompass improving operational performance, sharpening the focus of our growth agenda, and building a stronger growth mindset in our team. To improve focus and maximize value creation at the enterprise level, we have begun a comprehensive review of our portfolio, working closely with our Board and with the support of outside advisors. Ultimately the goal is directing capital to our most attractive opportunities. While this work is ongoing, we are committed to moving with urgency when we see opportunity. Today’s announcement that we are exploring the sale of our autonomous mobile solutions business in the AMC segment reflects this approach. We plan to share further updates when we have something definitive to share.”

Paul concluded, “There is significant work ahead, but we have a strong foundation and clear opportunities to build upon. I am confident in our ability to deliver on that potential and excited about what lies ahead.”

Guidance Update

We are lowering and narrowing our 2026 GAAP EPS guidance to a range of $3.76 to $4.06^*. We are raising and narrowing our 2026 Adjusted Diluted EPS guidance range to $10.60 to $10.90. Our Adjusted Diluted EPS guidance range mid-point rises to $10.75.

* Includes a non-cash charge of $119 million, or $1.78 impact to Diluted EPS, in connection with a goodwill impairment recorded in the quarter primarily related to the autonomous mobile solutions (“AMS”) business in the AMC segment.

Segment Performance

Segment results for the third quarter of 2026 versus the same period of the prior year are summarized below:

Automation & Motion Control (AMC) net sales were $500.6 million, an increase of 24.5%, or an increase of 25.2% on an organic basis. Growth was broad-based, but with particular strength in data center, including $25 million of sales related to E-Pods, and in discrete automation. Adjusted EBITDA margin was 19.2% of net sales or 18.7% excluding net IEEPA refund benefits.

Industrial Powertrain Solutions (IPS) net sales were $649.5 million, a decrease of 1.9%, or a decrease of 1.8% on an organic basis driven by weakness in metals and mining partially offset by strength in discrete automation and energy markets. Adjusted EBITDA margin was 26.0% of net sales or 25.2% excluding net IEEPA refund benefits.

Power Efficiency Solutions (PES) net sales were $437.9 million, an increase of 1.2%, or an increase of 0.4% on an organic basis. Growth in the commercial HVAC market was partially offset by weakness in the residential HVAC and pool markets. Adjusted EBITDA margin was 19.7% of net sales, or 18.1% excluding net IEEPA refund benefits.

Conference Call

Regal Rexnord will hold a conference call to discuss this earnings release at 9:00 AM CT (10:00 AM ET) on Tuesday, November 3, 2026. To listen to the live audio and view the presentation during the call, please visit Regal Rexnord’s Investor website: https://investors.regalrexnord.com. To listen by phone or to ask the presenters a question, dial 1-877-264-6786 (U.S. callers) or 1-412-317-5177 (international callers) and enter 7570153# when prompted. Participants on the call will include Aamir Paul, CEO, and Rob Rehard, EVP & CFO.

A webcast replay will be available at the link above, and a telephone replay will be available at 1-855-669-9658 (U.S. callers) or 1-412-317-0088 (international callers), using a replay access code of 9141496#. Both replays will be accessible for three months after the earnings call.

Supplemental Materials

Supplemental materials and additional information for the quarter ended September 30, 2026 will be accessible before the conference call on November 3, 2026 on Regal Rexnord’s Investor website: https://investors.regalrexnord.com. The Company intends to disseminate important information about the Company to its investors on the Investors section of its website: https://investors.regalrexnord.com. Investors are advised to look at Regal Rexnord’s website for future important information about the Company. The content of the Company’s website is not incorporated by reference into this document or any other report or document Regal Rexnord files with the Securities and Exchange Commission.

About Regal Rexnord

Regal Rexnord’s 30,000 associates around the world help create a better tomorrow by providing sustainable solutions that power, transmit and control motion. The Company’s electric motors and air moving subsystems provide the power to create motion. A portfolio of highly engineered power transmission components and subsystems efficiently transmits motion to power industrial applications. The Company’s automation offering, comprised of controllers, drives, precision motors, and actuators, controls motion in applications ranging from factory automation to precision tools used in surgical applications.

The Company’s end markets benefit from meaningful secular demand tailwinds, and include discrete automation, food & beverage, aerospace & defense, medical, data center, energy, residential and commercial buildings, general industrial, and metals and mining.

Regal Rexnord is comprised of three operating segments: Automation & Motion Control, Industrial Powertrain Solutions, and Power Efficiency Solutions. Regal Rexnord is headquartered in Milwaukee, Wisconsin and has manufacturing, sales and service facilities worldwide. For more information, including a copy of our Sustainability Report, visit RegalRexnord.com.

Forward Looking Statements

All statements in this communication, other than those relating to historical facts, are “forward-looking statements.” Forward-looking statements can generally be identified by their use of terms such as “anticipate,” “believe,” “confident,” “estimate,” “expect,” “intend,” “plan,” “may,” “will,” “project,” “forecast,” “would,” “could,” “should,” and similar expressions, including references to assumptions. Forward-looking statements are not guarantees of future performance and are subject to a number of assumptions, risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from such statements. Forward-looking statements include, but are not limited to, statements about expected market or macroeconomic trends, future strategic plans, and future financial and operating results. Important factors that could cause actual results to differ materially from those presented or implied in the forward-looking statements in this communication include, without limitation: the possibility that the Company may be unable to achieve expected benefits, synergies and operating efficiencies in connection with the sale of the Industrial Motors and Generators businesses in 2024 and the acquisition of Altra Industrial Motion Corp. in 2023 (“Altra Transaction”) within the expected time-frames or at all and to successfully integrate Altra Industrial Motion Corp. (“Altra”); the Company’s substantial indebtedness as a result of the Altra Transaction and the effects of such indebtedness on the Company’s financial flexibility; the Company’s ability to achieve its objectives on reducing its indebtedness on the desired timeline; dependence on key suppliers and the potential effects of supply disruptions; fluctuations in commodity prices and raw material costs; any unforeseen changes to or the effects on liabilities, future capital expenditures, revenue, expenses, synergies, indebtedness, financial condition, losses and future prospects; unanticipated operating costs, customer loss and business disruption or the Company’s inability to forecast customer needs; the Company’s ability to retain key executives and employees and risks associated with the transition of our new CEO; uncertainties regarding our ability to execute restructuring plans within expected costs and timing or at all; challenges to the tax treatment that was elected with respect to the merger with the Rexnord PMC business and related transactions; actions taken by competitors and our ability to effectively compete in the increasingly competitive global industries and markets; our ability to develop new products based on technological innovation and marketplace acceptance of new and existing products; our ability to keep pace with rapidly evolving technological developments related to advances in artificial intelligence; dependence on significant customers and distributors; risks that customers may make changes and adjustments to their orders which could result in actual revenue recognized being lower or higher than disclosed order values; risks associated with climate change, including unexpected weather events in markets in which we do business, and uncertainty regarding our ability to deliver on our sustainability commitments and/or to meet related investor, customer and other third party expectations relating to our sustainability efforts and rapidly evolving sustainability regulations; changes to and uncertainty in trade policy, including tariffs on imports into the US from Canada, Mexico, China, and other countries, and retaliatory tariffs and import/export restrictions, including Chinese export restrictions on certain rare earth minerals, or other trade restrictions imposed by the US or other governments; risks associated with global manufacturing, including risks associated with public health crises and political, societal or economic instability, including instability caused by ongoing geopolitical conflicts; issues and costs arising from the integration of acquired companies and businesses; prolonged declines in one or more markets, including disruptions caused by labor disputes or other labor activities, natural disasters, terrorism, acts of war, international conflicts, pandemics and political and government actions; risks associated with excess or obsolete inventory charges including related write-offs or write-downs; economic changes in global markets, such as reduced demand for products, currency exchange rates, inflation rates, interest rates, recession, government policies, including policy changes affecting taxation, trade, tariffs, import/export regulations, immigration, customs, border actions and the like, and other external factors that the Company cannot control; product liability, asbestos and other litigation, or claims by end users, government agencies or others that products or customers’ applications failed to perform as anticipated; the Company’s ability to identify and execute on future mergers and acquisitions (“M&A”) opportunities or other strategic transactions; the impact of any such M&A transactions on the Company’s results, operations and financial condition, including the impact from costs to execute and finance any such transactions; unanticipated costs or expenses that may be incurred related to product warranty issues; infringement of intellectual property by third parties, challenges to intellectual property, and claims of infringement on third party technologies; risks related to foreign currency fluctuations or changes in global commodity prices or interest rates; effects on earnings of any significant impairment of goodwill; losses from failures, breaches, attacks or disclosures involving information technology infrastructure and data; costs and unanticipated liabilities arising from rapidly evolving laws and regulations, including data privacy laws, labor and employment laws, environmental laws and regulations, and tax laws and regulations; risks associated with stock price volatility; and other factors that can be found in our filings with the SEC, including our most recent periodic reports filed on Form 10-K and Form 10-Q, which are available on our Investor Relations website. Forward-looking statements are given only as of the date of this communication and we disclaim any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.

Non-GAAP Measures
(Unaudited)
(Dollars in Millions, Except per Share Data)

We prepare our financial statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”). We also periodically disclose certain financial measures in our quarterly earnings releases, on investor conference calls, and in investor presentations and similar events that may be considered “non-GAAP” financial measures. This additional information is not meant to be considered in isolation or as a substitute for our results of operations prepared and presented in accordance with GAAP.

In this release, we disclose the following non-GAAP financial measures, and we reconcile these measures in the tables below to the most directly comparable GAAP financial measures: adjusted diluted earnings per share, adjusted income from operations, adjusted operating margin, adjusted net sales, adjusted gross margin, net debt, EBITDA, adjusted EBITDA, adjusted EBITDA (including synergies), interest coverage ratio, interest coverage ratio (including synergies), adjusted EBITDA margin, gross debt/adjusted EBITDA, net debt/adjusted EBITDA, net debt/adjusted EBITDA (including synergies), free cash flow, adjusted income before taxes, adjusted provision for income taxes, and adjusted effective tax rate. We believe that these non-GAAP financial measures are useful measures for providing investors with additional information regarding our results of operations and for helping investors understand and compare our operating results across accounting periods and compared to our peers. Our management primarily uses adjusted income from operations and adjusted operating margin to help us manage and evaluate our business and make operating decisions, while the other non-GAAP measures disclosed are primarily used to help us evaluate our business and forecast our future results. Accordingly, we believe disclosing and reconciling each of these measures helps investors evaluate our business in the same manner as management. This release also includes non-GAAP forward-looking information. The Company believes that a quantitative reconciliation of this forward-looking information to the most comparable financial measure calculated and presented in accordance with GAAP cannot be made available without unreasonable efforts. A reconciliation of this non-GAAP financial measure would require the Company to predict the timing and likelihood of future restructurings and other charges. Neither these forward-looking measures, nor their probable significance, can be quantified with a reasonable degree of accuracy. Accordingly, a reconciliation of the most directly comparable forward-looking GAAP measure is not provided.

In addition to these non-GAAP measures, we use the term “organic sales growth” to refer to the increase in our sales between periods that is attributable to organic sales. “Organic sales” refers to GAAP sales from existing operations excluding any sales from acquired businesses recorded prior to the first anniversary of the acquisition and excluding any sales from business divested/to be exited recorded prior to the first anniversary of the exit and excluding the impact of foreign currency translation. The impact of foreign currency translation is determined by translating the respective period’s organic sales using the currency exchange rates that were in effect during the prior year periods.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS)
Unaudited
(Dollars in Millions, Except per Share Data)

	Three Months Ended		Nine Months Ended
	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025
Net Sales	$ 1,588.0	$ 1,497.0	$ 4,625.5	$ 4,411.2
Cost of Sales	997.8	942.8	2,873.8	2,764.7
Gross Profit	590.2	554.2	1,751.7	1,646.5
Operating Expenses	389.5	379.8	1,183.1	1,130.2
Goodwill Impairment	119.3	—	119.3	—
Total Operating Expenses	508.8	379.8	1,302.4	1,130.2
Income from Operations	81.4	174.4	449.3	516.3
Interest Expense	77.0	87.0	234.9	262.5
Interest Income	(6.5)	(5.3)	(17.3)	(14.6)
Other Expense, Net	0.3	0.8	0.9	2.4
Income before Taxes	10.6	91.9	230.8	266.0
Provision for Income Taxes	22.9	11.9	62.0	49.0
Net (Loss) Income	(12.3)	80.0	168.8	217.0
Less: Net Income Attributable to Noncontrolling Interests	0.2	0.4	0.4	1.1
Net (Loss) Income Attributable to Regal Rexnord Corporation	$ (12.5)	$ 79.6	$ 168.4	$ 215.9
(Loss) Earnings Per Share Attributable to Regal Rexnord Corporation:
Basic	$ (0.19)	$ 1.20	$ 2.53	$ 3.26
Assuming Dilution	$ (0.19)	$ 1.20	$ 2.52	$ 3.25
Cash Dividends Declared Per Share	$ 0.35	$ 0.35	$ 1.05	$ 1.05
Weighted Average Number of Shares Outstanding:
Basic	66.6	66.4	66.5	66.3
Assuming Dilution	66.6	66.6	66.9	66.5

CONDENSED CONSOLIDATED BALANCE SHEETS
Unaudited
(Dollars in Millions)
	Sep 30, 2026	Dec 31, 2025
ASSETS
Current Assets:
Cash and Cash Equivalents	$ 449.6	$ 521.7
Trade Receivables, Less Allowances of $10.4 Million and $10.5 Million as of September 30, 2026 and December 31, 2025, Respectively	584.7	524.2
Inventories	1,392.7	1,321.7
Prepaid Expenses and Other Current Assets	466.6	344.7
Total Current Assets	2,893.6	2,712.3
Net Property, Plant and Equipment	853.2	911.8
Operating Lease Assets	140.4	145.2
Goodwill	6,447.8	6,611.3
Intangible Assets, Net of Amortization	3,093.0	3,418.4
Deferred Income Tax Benefits	36.3	36.2
Other Noncurrent Assets	124.5	85.8
Total Assets	$ 13,588.8	$ 13,921.0

LIABILITIES AND EQUITY
Current Liabilities:
Accounts Payable	$ 653.4	$ 607.3
Dividends Payable	23.3	23.2
Accrued Compensation and Benefits	200.2	205.5
Accrued Interest	82.0	84.0
Other Accrued Expenses	283.8	281.7
Current Operating Lease Liabilities	39.1	38.5
Current Maturities of Long-Term Debt	24.7	24.1
Total Current Liabilities	1,306.5	1,264.3
Long-Term Debt	4,427.5	4,764.6
Deferred Income Taxes	685.4	752.6
Pension and Other Post Retirement Benefits	93.7	106.0
Noncurrent Operating Lease Liabilities	111.5	114.0
Other Noncurrent Liabilities	87.7	66.2
Equity:
Regal Rexnord Corporation Shareholders’ Equity:
Common Stock, $0.01 Par Value, 150.0 Million Shares Authorized, 66.6 Million and 66.4 Million Shares Issued and Outstanding as of September 30, 2026 and December 31, 2025, Respectively	0.7	0.7
Additional Paid-In Capital	4,696.7	4,688.5
Retained Earnings	2,328.8	2,230.3
Accumulated Other Comprehensive Loss	(158.1)	(75.4)
Total Regal Rexnord Corporation Shareholders’ Equity	6,868.1	6,844.1
Noncontrolling Interests	8.4	9.2
Total Equity	6,876.5	6,853.3
Total Liabilities and Equity	$ 13,588.8	$ 13,921.0

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW
Unaudited
(Dollars in Millions)
	Three Months Ended		Nine Months Ended
	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net (Loss) Income	$ (12.3)	$ 80.0	$ 168.8	$ 217.0
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities (Net of Acquisitions and Divestitures):
Depreciation	35.4	41.9	111.2	117.5
Amortization	86.9	87.3	259.9	259.5
Goodwill Impairment	119.3	—	119.3	—
Noncash Lease Expense	11.6	10.7	35.1	32.5
Share-Based Compensation Expense	9.3	9.4	19.7	29.1
Financing Fee Expense	2.1	3.1	6.5	10.4
(Gain) Loss on Sale of Assets	(1.1)	2.1	1.8	(6.2)
Benefit from Deferred Income Taxes	(19.2)	(30.1)	(50.0)	(73.2)
Other Non-Cash Changes	1.4	2.0	0.8	4.3
Change in Operating Assets and Liabilities, Net of Acquisitions and Divestitures
Receivables	(11.5)	40.7	(72.0)	359.3
Inventories	(18.8)	(17.6)	(80.3)	(107.4)
Accounts Payable	15.0	(18.3)	49.6	38.7
Other Assets and Liabilities	1.7	(13.7)	(159.0)	(58.5)
Net Cash Provided by Operating Activities	219.8	197.5	411.4	823.0
CASH FLOWS FROM INVESTING ACTIVITIES:
Additions to Property, Plant and Equipment	(26.1)	(23.5)	(66.0)	(70.5)
Proceeds Received from Sales of Property, Plant and Equipment	1.4	0.6	4.2	15.4
Proceeds Received from Sale of Businesses, Net of Cash Transferred	—	—	—	3.0
Net Cash Used in Investing Activities	(24.7)	(22.9)	(61.8)	(52.1)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings Under Revolving Credit Facility	676.6	283.5	1,860.6	1,143.3
Repayments Under Revolving Credit Facility	(477.9)	(306.5)	(1,589.4)	(1,183.3)
Proceeds from Long-Term Borrowings	—	—	850.0	—
Repayments of Long-Term Borrowings	(358.6)	(51.5)	(1,461.2)	(668.4)
Dividends Paid to Shareholders	(23.3)	(23.3)	(69.9)	(69.7)
Shares Surrendered for Taxes	(0.5)	(0.7)	(15.9)	(8.0)
Proceeds from the Exercise of Stock Options	0.1	0.2	6.8	1.6
Distributions to Noncontrolling Interests	(1.5)	—	(1.5)	—
Net Cash Used in Financing Activities	(185.1)	(98.3)	(420.5)	(784.5)
EFFECT OF EXCHANGE RATES ON CASH AND CASH EQUIVALENTS	(0.4)	3.6	0.4	20.1
Net Increase (Decrease) in Cash and Cash Equivalents	9.6	79.9	(70.5)	6.5
Cash and Cash Equivalents at Beginning of Period	441.6	320.1	521.7	393.5
Cash and Cash Equivalents at End of Period⁽ᵃ⁾	$ 451.2	$ 400.0	$ 451.2	$ 400.0

(a) Includes cash and cash equivalents in Assets Held for Sale of $1.6 Million as of September 30, 2026.

ADJUSTED DILUTED EARNINGS PER SHARE
Unaudited
	Three Months Ended		Nine Months Ended
	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025
GAAP Diluted (Loss) Earnings Per Share⁽ᵃ⁾	$ (0.19)	$ 1.20	$ 2.52	$ 3.25
Intangible Amortization	0.98	0.99	2.94	2.95
Goodwill Impairment	1.78	—	1.78	—
Restructuring and Related Costs⁽ᵇ⁾	0.13	0.15	0.35	0.45
Share-Based Compensation Expense	0.14	0.13	0.21	0.38
Transaction and Integration Related Costs⁽ᶜ⁾	0.04	0.07	0.16	0.22
CEO Transition Costs	0.01	—	0.03	—
(Gain) Loss on Sale of Assets	(0.01)	0.02	0.02	(0.07)
Discrete Tax Items	0.02	(0.05)	0.02	(0.06)
Accounts Receivable Securitization Transaction Costs	—	—	0.01	0.01
Operating Lease Asset Step Up	—	—	0.01	0.01
Adjusted Diluted Earnings Per Share⁽ᵃ⁾⁽ᵈ⁾	$ 2.90	$ 2.51	$ 8.05	$ 7.14

(a)	Includes $0.18 and $0.58 of net benefit related to IEEPA tariff refunds for the three and nine months ended September 30, 2026, respectively.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	For 2026, primarily relates to integration costs associated with the Altra Transaction. For 2025, primarily relates to (1) integration costs associated with the Altra Transaction and (2) IT carve-out costs associated with the sale of the industrial motors and generators businesses.
(d)	For the three months ended September 30, 2026, Adjusted Diluted Earnings Per Share is based on weighted average shares outstanding assuming dilution of 66.8 million.

2026 ADJUSTED ANNUAL GUIDANCE
Unaudited
	Minimum	Maximum
GAAP Diluted Earnings Per Share⁽ᵃ⁾	$ 3.76	$ 4.06
Intangible Amortization	3.91	3.91
Goodwill Impairment	1.78	1.78
Restructuring and Related Costs⁽ᵇ⁾	0.53	0.53
Share-Based Compensation Expense	0.32	0.32
Transaction and Related Costs⁽ᶜ⁾	0.21	0.21
CEO Transition Costs	0.03	0.03
Loss on Sale of Assets	0.02	0.02
Discrete Tax Items	0.02	0.02
Accounts Receivable Securitization Transaction Costs	0.01	0.01
Operating Lease Asset Step Up	0.01	0.01
Adjusted Diluted Earnings Per Share⁽ᵃ⁾	$ 10.60	$ 10.90

(a)	Includes $0.58 of net benefit related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	Primarily relates to integration costs associated with the Altra Transaction.

ORGANIC SALES GROWTH
Unaudited
(Dollars in Millions)
	Three Months Ended
	September 30, 2026
	Automation & Motion Control	Industrial Powertrain Solutions	Power Efficiency Solutions	Total Regal Rexnord
Net Sales Three Months Ended Sep 30, 2026	$ 500.6	$ 649.5	$ 437.9	$ 1,588.0
Impact from Foreign Currency Exchange Rates	2.6	(0.2)	(3.5)	(1.1)
Organic Sales Three Months Ended Sep 30, 2026	$ 503.2	$ 649.3	$ 434.4	$ 1,586.9

Net Sales Three Months Ended Sep 30, 2025	$ 402.0	$ 662.3	$ 432.7	$ 1,497.0
Net Sales from Businesses Divested	—	(0.8)	—	(0.8)
Adjusted Net Sales Three Months Ended Sep 30, 2025	$ 402.0	$ 661.5	$ 432.7	$ 1,496.2

Three Months Ended Sep 30, 2026 Net Sales Growth %	24.5 %	(1.9) %	1.2 %	6.1 %
Three Months Ended Sep 30, 2026 Foreign Currency Impact %	(0.7) %	— %	0.8 %	0.1 %
Three Months Ended Sep 30, 2026 Divestitures %	— %	(0.1) %	— %	(0.1) %
Three Months Ended Sep 30, 2026 Organic Sales Growth %	25.2 %	(1.8) %	0.4 %	6.1 %

ORGANIC SALES GROWTH
Unaudited
(Dollars in Millions)
	Nine Months Ended
	September 30, 2026
	Automation & Motion Control	Industrial Powertrain Solutions	Power Efficiency Solutions	Total Regal Rexnord
Net Sales Nine Months Ended Sep 30, 2026	$ 1,435.4	$ 1,967.2	$ 1,222.9	$ 4,625.5
Impact from Foreign Currency Exchange Rates	(12.5)	(27.0)	(15.2)	(54.7)
Organic Sales Nine Months Ended Sep 30, 2026	$ 1,422.9	$ 1,940.2	$ 1,207.7	$ 4,570.8

Net Sales Nine Months Ended Sep 30, 2025	$ 1,209.4	$ 1,924.8	$ 1,277.0	$ 4,411.2
Net Sales from Businesses Divested	—	(2.4)	—	(2.4)
Adjusted Net Sales Nine Months Ended Sep 30, 2025	$ 1,209.4	$ 1,922.4	$ 1,277.0	$ 4,408.8

Nine Months Ended Sep 30, 2026 Net Sales Growth %	18.7 %	2.2 %	(4.2) %	4.9 %
Nine Months Ended Sep 30, 2026 Foreign Currency Impact %	1.0 %	1.4 %	1.2 %	1.3 %
Nine Months Ended Sep 30, 2026 Divestitures %	— %	(0.1) %	— %	(0.1) %
Nine Months Ended Sep 30, 2026 Organic Sales Growth %	17.7 %	0.9 %	(5.4) %	3.7 %

ADJUSTED EBITDA
Unaudited
(Dollars in Millions)
	Three Months Ended
	Automation & Motion Control		Industrial Powertrain Solutions		Power Efficiency Solutions		Total Regal Rexnord
	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025
GAAP (Loss) Income from Operations⁽ᵃ⁾	$ (81.3)	$ 22.7	$ 88.6	$ 86.1	$ 74.1	$ 65.6	$ 81.4	$ 174.4
Goodwill Impairment	119.3	—	—	—	—	—	119.3	—
Restructuring and Related Costs⁽ᵇ⁾	6.7	2.5	4.1	9.6	0.7	1.7	11.5	13.8
Transaction and Integration Related Costs⁽ᶜ⁾	0.5	1.3	2.4	3.8	0.4	0.9	3.3	6.0
CEO Transition Costs	0.2	—	0.4	—	0.2	—	0.8	—
Loss on Sale of Accounts Receivable⁽ᵈ⁾	1.3	1.0	2.0	2.3	1.0	1.7	4.3	5.0
Accounts Receivable Securitization Transaction Costs	—	—	—	0.1	—	—	—	0.1
Operating Lease Asset Step Up	—	—	0.2	0.2	—	—	0.2	0.2
Loss (Gain) on Sale of Assets	—	2.1	—	—	(1.1)	—	(1.1)	2.1
Adjusted Income from Operations	$ 46.7	$ 29.6	$ 97.7	$ 102.1	$ 75.3	$ 69.9	$ 219.7	$ 201.6

Amortization	$ 35.2	$ 34.6	$ 51.1	$ 51.1	$ 0.6	$ 1.6	$ 86.9	$ 87.3
Depreciation	11.2	14.8	15.6	17.9	8.6	9.2	35.4	41.9
Amortization of Internal Use Software	0.1	—	0.1	—	0.1	—	0.3	—
Share-Based Compensation Expense	2.9	3.6	4.4	4.0	2.0	1.8	9.3	9.4
Other (Expense) Income, Net	(0.1)	—	0.1	(0.5)	(0.3)	(0.3)	(0.3)	(0.8)
Adjusted EBITDA⁽ᵃ⁾	$ 96.0	$ 82.6	$ 169.0	$ 174.6	$ 86.3	$ 82.2	$ 351.3	$ 339.4

GAAP Operating Margin %	(16.2) %	5.6 %	13.6 %	13.0 %	16.9 %	15.2 %	5.1 %	11.6 %
Adjusted Operating Margin %	9.3 %	7.4 %	15.0 %	15.4 %	17.2 %	16.2 %	13.8 %	13.5 %
Adjusted EBITDA Margin %	19.2 %	20.5 %	26.0 %	26.4 %	19.7 %	19.0 %	22.1 %	22.7 %

(a)	For 2026, includes net benefits of $2.6 million, $5.1 million, $7.0 million and $14.7 million for AMC, IPS, PES and total Regal Rexnord, respectively, related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	Primarily relates to integration costs associated with the Altra Transaction.
(d)	Represents charges associated with the Securitization Facility.

ADJUSTED EBITDA
Unaudited
(Dollars in Millions)
	Nine Months Ended
	Automation & Motion Control		Industrial Powertrain Solutions		Power Efficiency Solutions		Total Regal Rexnord
	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025
GAAP (Loss) Income from Operations⁽ᵃ⁾	$ (1.3)	$ 88.2	$ 265.5	$ 260.2	$ 185.1	$ 167.9	$ 449.3	$ 516.3
Goodwill Impairment	119.3	—	—	—	—	—	119.3	—
Restructuring and Related Costs⁽ᵇ⁾	8.7	5.5	16.1	30.3	6.5	4.0	31.3	39.8
Transaction and Integration Related Costs⁽ᶜ⁾	2.7	3.9	9.1	12.0	1.9	3.3	13.7	19.2
CEO Transition Costs	0.9	—	1.4	—	0.7	—	3.0	—
Loss on Sale of Accounts Receivable⁽ᵈ⁾	3.4	1.0	5.2	2.3	3.3	1.7	11.9	5.0
Accounts Receivable Securitization Transaction Costs	0.2	0.3	0.4	0.5	0.2	0.3	0.8	1.1
Operating Lease Asset Step Up	—	—	0.6	0.6	—	—	0.6	0.6
(Gain) Loss on Sale of Assets	—	(0.2)	2.4	(6.0)	(0.6)	—	1.8	(6.2)
Adjusted Income from Operations	$ 133.9	$ 98.7	$ 300.7	$ 299.9	$ 197.1	$ 177.2	$ 631.7	$ 575.8

Amortization	$ 104.5	$ 103.0	$ 153.5	$ 151.6	$ 1.9	$ 4.9	$ 259.9	$ 259.5
Depreciation	35.7	37.3	48.9	52.3	26.6	26.9	111.2	116.5
Amortization of Internal Use Software	0.2	—	0.4	—	0.2	—	0.8	—
Share-Based Compensation Expense	6.1	10.3	8.8	12.3	4.8	6.5	19.7	29.1
Other (Expense) Income, Net	(0.4)	(0.1)	0.3	(1.3)	(0.8)	(1.0)	(0.9)	(2.4)
Adjusted EBITDA⁽ᵃ⁾	$ 280.0	$ 249.2	$ 512.6	$ 514.8	$ 229.8	$ 214.5	$1,022.4	$ 978.5

GAAP Operating Margin %	(0.1) %	7.3 %	13.5 %	13.5 %	15.1 %	13.1 %	9.7 %	11.7 %
Adjusted Operating Margin %	9.3 %	8.2 %	15.3 %	15.6 %	16.1 %	13.9 %	13.7 %	13.1 %
Adjusted EBITDA Margin %	19.5 %	20.6 %	26.1 %	26.7 %	18.8 %	16.8 %	22.1 %	22.2 %

(a)	For 2026, includes net benefits of $8.5 million, $13.3 million, $24.8 million and $46.6 million for AMC, IPS, PES and total Regal Rexnord, respectively, related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	For 2026, primarily relates to integration costs associated with the Altra Transaction. For 2025, primarily relates to (1) integration costs associated with the Altra Transaction and (2) IT carve-out costs associated with the sale of the industrial motors and generators businesses.
(d)	Represents charges associated with the Securitization Facility.

ADJUSTED GROSS MARGIN

Unaudited

(Dollars in Millions)

Three Months Ended

Automation &
Motion Control

Industrial
Powertrain
Solutions

Power Efficiency
Solutions

Total Regal
Rexnord

Sep 30,
2026

Sep 30,
2025

Sep 30,
2026

Sep 30,
2025

Sep 30,
2026

Sep 30,
2025

Sep 30,
2026

Sep 30,
2025

Gross Margin⁽ᵃ⁾

$ 173.1

$ 148.7

$ 274.9

$ 274.0

$ 142.2

$ 131.5

$ 590.2

$ 554.2

Restructuring and Related Costs⁽ᵇ⁾

5.6

1.5

3.2

5.3

(0.4)

1.6

8.4

8.4

Operating Lease Asset Step Up

—

0.2

0.2

—

0.2

0.2

Adjusted Gross Margin⁽ᵃ⁾

$ 178.7

$ 150.2

$ 278.3

$ 279.5

$ 141.8

$ 133.1

$ 598.8

$ 562.8

Gross Margin %

34.6 %

37.0 %

42.3 %

41.4 %

32.5 %

30.4 %

37.2 %

37.0 %

Adjusted Gross Margin %

35.7 %

37.4 %

42.8 %

42.2 %

32.4 %

30.8 %

37.7 %

37.6 %

(a)	For 2026, includes net benefits of $2.6 million, $5.1 million, $7.0 million and $14.7 million for AMC, IPS, PES and total Regal Rexnord, respectively, related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.

ADJUSTED GROSS MARGIN

Unaudited

(Dollars in Millions)

Nine Months Ended

Automation &
Motion Control

Industrial
Powertrain
Solutions

Power Efficiency
Solutions

Total Regal
Rexnord

Sep 30,
2026

Sep 30,
2025

Sep 30,
2026

Sep 30,
2025

Sep 30,
2026

Sep 30,
2025

Sep 30,
2026

Sep 30,
2025

Gross Margin⁽ᵃ⁾

$ 518.2

$ 461.4

$ 836.6

$ 811.9

$ 396.9

$ 373.2

$1,751.7

$1,646.5

Restructuring and Related Costs⁽ᵇ⁾

6.3

3.7

11.6

18.1

4.6

3.1

22.5

24.9

Operating Lease Asset Step Up

—

0.6

0.6

—

0.6

0.6

Loss on Sale of Assets

—

2.4

—

0.5

—

2.9

—

Adjusted Gross Margin⁽ᵃ⁾

$ 524.5

$ 465.1

$ 851.2

$ 830.6

$ 402.0

$ 376.3

$1,777.7

$1,672.0

Gross Margin %

36.1 %

38.2 %

42.5 %

42.2 %

32.5 %

29.2 %

37.9 %

37.3 %

Adjusted Gross Margin %

36.5 %

38.5 %

43.3 %

43.2 %

32.9 %

29.5 %

38.4 %

37.9 %

(a)	For 2026, includes net benefits of $8.5 million, $13.3 million, $24.8 million and $46.6 million for AMC, IPS, PES and total Regal Rexnord, respectively, related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.

NET (LOSS) INCOME TO ADJUSTED EBITDA
Unaudited
(Dollars in Millions)
	Three Months Ended		Nine Months Ended
	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025
Net (Loss) Income	$ (12.3)	$ 80.0	$ 168.8	$ 217.0
Plus: Income Taxes	22.9	11.9	62.0	49.0
Plus: Interest Expense	77.0	87.0	234.9	262.5
Less: Interest Income	(6.5)	(5.3)	(17.3)	(14.6)
Plus: Depreciation	35.4	41.9	111.2	116.5
Plus: Amortization	86.9	87.3	259.9	259.5
EBITDA⁽ᵃ⁾	$ 203.4	$ 302.8	$ 819.5	$ 889.9
Plus: Goodwill Impairment	119.3	—	119.3	—
Plus: Restructuring and Related Costs⁽ᵇ⁾	11.5	13.8	31.3	39.8
Plus: Share-Based Compensation Expense	9.3	9.4	19.7	29.1
Plus: Transaction and Integration Related Costs⁽ᶜ⁾	3.3	6.0	13.7	19.2
Plus: CEO Transition Costs	0.8	—	3.0	—
Plus: Loss on Sale of Accounts Receivable⁽ᵈ⁾	4.3	5.0	11.9	5.0
Plus: Accounts Receivable Securitization Transaction Costs	—	0.1	0.8	1.1
Plus: Operating Lease Asset Step Up	0.2	0.2	0.6	0.6
Plus: Amortization of Internal Use Software	0.3	—	0.8	—
Plus: (Gain) Loss on Sale of Assets	(1.1)	2.1	1.8	(6.2)
Adjusted EBITDA⁽ᵃ⁾	$ 351.3	$ 339.4	$ 1,022.4	$ 978.5

(a)	Includes a net benefit of $14.7 million and $46.6 million related to IEEPA tariff refunds for the three and nine months ended September 30, 2026, respectively.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	For 2026, primarily relates to integration costs associated with the Altra Transaction. For 2025, primarily relates to (1) integration costs associated with the Altra Transaction and (2) IT carve-out costs associated with the sale of the industrial motors and generators businesses.
(d)	Represents charges associated with the Securitization Facility.

DEBT TO EBITDA
Unaudited
(Dollars in Millions)
		Last Twelve Months
		Sep 30, 2026
Net Income		$ 232.6
Plus: Income Taxes		84.7
Plus: Interest Expense		321.6
Less: Interest Income		(26.4)
Plus: Depreciation		148.2
Plus: Amortization		346.5
EBITDA⁽ᵃ⁾		$ 1,107.2
Plus: Goodwill Impairment		119.3
Plus: Restructuring and Related Costs⁽ᵇ⁾		38.3
Plus: Share-Based Compensation Expense		27.8
Plus: Transaction and Integration Related Costs⁽ᶜ⁾		19.4
Plus: Loss on Sale of Accounts Receivable⁽ᵈ⁾		16.5
Plus: Accounts Receivable Securitization Transaction Costs		0.8
Plus: CEO Transition Costs		10.0
Plus: Operating Lease Asset Step Up		0.8
Plus: Amortization of Internal Use Software		0.8
Plus: Loss on Sale of Businesses		4.5
Plus: Loss on Sale of Assets		5.4
Adjusted EBITDA⁽ᵃ⁾⁽ᵉ⁾		$ 1,350.8

Current Maturities of Long-Term Debt		24.7
Long-Term Debt		4,427.5
Total Gross Debt		$ 4,452.2
Cash and Cash Equivalents⁽ᶠ⁾		(451.2)
Net Debt		$ 4,001.0

Gross Debt/Adjusted EBITDA		3.30

Net Debt/Adjusted EBITDA^(e)		2.96

Interest Coverage Ratio^(e)(g)		4.58

(a)	Includes a net benefit of $46.6 million related to IEEPA tariff refunds.
(b)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(c)	Primarily relates to integration costs associated with the Altra Transaction.
(d)	Represents charges associated with the Securitization Facility.
(e)	Synergies expected to be realized in the future are included in the calculation of EBITDA that serves as the basis for financial covenant compliance for certain of the Company’s debt. The impact of the synergies the Company expects to realize within 15 months is as follows:

	Adjusted EBITDA	$ 1,350.8
	Synergies to be Realized Within 15 Months	20.0
	Adjusted EBITDA (including synergies)	$ 1,370.8

	Net Debt/Adjusted EBITDA (including synergies)	2.92

	Interest Expense	$ 321.6
	Interest Income	(26.4)
	Net Interest Expense	$ 295.2

	Interest Coverage Ratio (including synergies)⁽¹⁾	4.64
	(1) Computed as Adjusted EBITDA (including synergies)/Net Interest Expense

(f)	Includes cash and cash equivalents in Assets Held for Sale of $1.6 Million as of September 30, 2026.
(g)	Computed as Adjusted EBITDA/Net Interest Expense

FREE CASH FLOW
Unaudited
(Dollars in Millions)
	Three Months Ended		Nine Months Ended
	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025
Net Cash Provided by Operating Activities	$ 219.8	$ 197.5	$ 411.4	$ 823.0
Additions to Property, Plant and Equipment	(26.1)	(23.5)	(66.0)	(70.5)
Free Cash Flow	$ 193.7	$ 174.0	$ 345.4	$ 752.5

ADJUSTED EFFECTIVE TAX RATE
Unaudited
(Dollars in Millions)
	Three Months Ended		Nine Months Ended
	Sep 30, 2026	Sep 30, 2025	Sep 30, 2026	Sep 30, 2025
Income before Taxes	$ 10.6	$ 91.9	$ 230.8	$ 266.0
Provision for Income Taxes	22.9	11.9	62.0	49.0
Effective Tax Rate	216.0 %	12.9 %	26.9 %	18.4 %

Income before Taxes	$ 10.6	$ 91.9	$ 230.8	$ 266.0
Goodwill Impairment	119.3	—	119.3	—
Intangible Amortization	86.9	87.3	259.9	259.5
Restructuring and Related Costs⁽ᵃ⁾	11.5	13.8	31.3	39.8
Share-Based Compensation Expense	9.3	9.4	19.7	29.1
Transaction and Integration Related Costs⁽ᵇ⁾	3.3	6.0	13.7	19.2
CEO Transition Costs	0.8	—	3.0	—
Accounts Receivable Securitization Transaction Costs	—	0.1	0.8	1.1
Operating Lease Asset Step Up	0.2	0.2	0.6	0.6
(Gain) Loss on Sale of Assets	(1.1)	2.1	1.8	(6.2)
Adjusted Income before Taxes	$ 240.8	$ 210.8	$ 680.9	$ 609.1

Provision for Income Taxes	$ 22.9	$ 11.9	$ 62.0	$ 49.0
Tax Effect of Intangible Amortization	21.2	21.2	63.6	63.3
Tax Effect of Restructuring and Related Costs	2.6	3.7	7.4	9.6
Tax Effect of Share-Based Compensation Expense	0.3	0.9	5.6	3.5
Tax Effect of Transaction and Integration Related Costs	0.8	1.4	3.3	4.7
Tax Effect of CEO Transition Costs	0.2	—	0.7	—
Tax Effect of Accounts Receivable Securitization Transaction Costs	—	—	0.2	0.3
Tax Effect of Operating Lease Asset Step Up	—	—	0.1	0.1
Tax Effect of (Gain) Loss on Sale of Assets	(0.3)	0.6	0.4	(1.5)
Discrete Tax Items	(1.0)	3.7	(1.3)	4.2
Adjusted Provision for Income Taxes	$ 46.7	$ 43.4	$ 142.0	$ 133.2

Adjusted Effective Tax Rate	19.4 %	20.6 %	20.9 %	21.9 %

(a)	Relates to costs associated with actions taken for employee reductions, facility consolidations and site closures, product line exits and other asset charges.
(b)	For 2026, primarily relates to integration costs associated with the Altra Transaction. For 2025, primarily relates to (1) integration costs associated with the Altra Transaction and (2) IT carve-out costs associated with the sale of the industrial motors and generators businesses.

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SOURCE Regal Rexnord Corporation

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Regal Rexnord Corporation