Atmus Filtration Technologies Inc. (NYSE:ATMU) reported stronger-than-expected third-quarter 2026 earnings and raised its full-year financial outlook, supported by acquisition-related growth, higher sales volumes and improved pricing. Shares advanced 2% following the announcement.
The filtration technology company posted adjusted earnings of $0.77 per share, exceeding analysts’ consensus estimate of $0.70. Revenue increased 13.9% year over year to $510 million, compared with $448 million in the third quarter of 2025.
Revenue growth was primarily supported by the acquisition of Koch Filter Corporation, favourable sales volumes, currency movements and pricing increases. These benefits were partially offset by tariff refunds payable to customers.
Profitability Remains Stable as Cash Flow Strengthens
Atmus reported adjusted EBITDA of $104 million for the quarter, maintaining an adjusted EBITDA margin of 20.4%, unchanged from the previous year.
Net income increased to $61 million, or $0.74 per diluted share, compared with $55 million, or $0.66 per diluted share, in the corresponding period of 2025.
The company generated $98 million in operating cash flow and $88 million in adjusted free cash flow during the quarter, supporting its capital allocation priorities.
Chief Executive Officer Steph Disher highlighted the contribution of employees and the company’s filtration product portfolio.
“I am proud of the Atmus team, whose continued commitment delivered strong financial results while ensuring our industry-leading Fleetguard and Koch Filter products continue protecting what matters most to our customers,” Disher said.
Atmus Raises Full-Year Revenue and Earnings Forecasts
Following the quarterly performance, Atmus increased its adjusted earnings guidance for 2026 to between $2.90 and $3.05 per share.
The midpoint of approximately $2.98 is slightly above analysts’ consensus forecast of $2.96.
The company also expects full-year revenue of $2.01 billion to $2.03 billion, with a midpoint of $2.02 billion, compared with market expectations of $2.01 billion.
The improved outlook reflects the contribution of Koch Filter, continued demand for filtration products and management’s expectations for the remainder of the year.
New $300 Million Share Buyback Programme Approved
Atmus continued returning capital to shareholders during the third quarter, repurchasing $20 million of common stock and paying a quarterly dividend of $0.06 per share.
The dividend represented a 9% increase from the previous quarter.
On November 4, 2026, the company’s board authorised a new $300 million share repurchase programme, replacing its previous $150 million authorisation.
The expanded buyback programme provides additional flexibility for future shareholder distributions alongside ongoing business investment.
Atmus’ third-quarter performance demonstrated revenue growth, stable operating margins and strong cash generation. Investors will continue monitoring the integration of Koch Filter, organic sales trends and the company’s ability to deliver its revised full-year targets.