NASDAQ$TRNS

Transcat Inc · Q3 2026 earnings

Q3 2026 earnings · · After market close · Investor relations

Briefing

Transcat reported strong fiscal third quarter 2026 financial results with a return to high single-digit service organic revenue growth.

Transcat delivered strong performance across its entire business portfolio in the fiscal third quarter, with consolidated revenue increasing by 25.6% to $83.9 million and gross profit rising by 28.3% to $25.3 million. Despite a net loss of $1.1 million, Adjusted EBITDA* grew 27.2% to $10.1 million, driven by robust revenue growth in both service and distribution segments.

  • Q3'26 Revenue increased 26% to $83.9 million.
  • Q3'26 Service Revenue increased 29% to $53.7 million.
  • Q3'26 Distribution Revenue grew 20% to $30.2 million on increased demand for rentals.
  • Q3 '26 Gross Margin expanded 60 basis points to 30.1%.

Headline financials

Total Revenue

$83.9M

Previous: $66.8M+25.6%
EPS

-$0.12

Previous: $0.45-126.7%
Gross Margin

30.1%

Previous: 29.5%+2.0%
Adjusted EBITDA

$10.1M

Previous: $7.91M+27.2%
Adjusted EBITDA Margin

12.0%

Previous: 11.9%+0.8%
Service Gross Margin

28.8%

Previous: 29.7%-3.0%
Distribution Gross Margin

32.4%

Previous: 29.1%+11.3%
Leverage Ratio

2

Previous: 0.78+156.4%
Adjusted Net Income

$2.38M

Previous: $4.15M-42.7%
Adjusted Net Margin

2.8%

Previous: 6.2%-54.8%
Capital Expenditures

-$11.7M

Previous: -$10.5M-11.5%
Free Cash Flow

-$12.8M

No prior period
Net Income

-$1.1M

Previous: $2M-155.1%
Operating Income

$88K

Previous: $2.1M-95.8%
Gross Profit

$25.3M

Previous: $19.7M+28.2%
Cash & Equivalents

$3.47M

No prior period
Total Assets

$473M

No prior period

Revenue & EPS history

Transcat · Revenue · Quarterly

$83.9M

Q3 2026+25.6%vs Q3 2025
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Transcat · $89.3M total across 2 segments · Q4 2026

  • Service
    $61.6M
  • Distribution
    $27.8M

Forward guidance

Transcat is optimistic about continued high single-digit service organic revenue growth for the fourth quarter of Fiscal 2026, assuming no increased economic uncertainty. The company believes its strong value proposition and recent acquisitions position it well for sustainable, long-term shareholder value.

Tailwinds

  • Expect continued high single-digit service organic revenue growth for the fourth quarter of Fiscal 2026.
  • Momentum building in the service segment driven by strong retention and increased customer activity.
  • Realization of new business wins.
  • Strong value proposition and recent acquisitions expanding geographical footprint.
  • Well-positioned to drive sustainable, long-term shareholder value.

Headwinds

  • Potential for increased economic uncertainty impacting growth.
  • Experienced a lag with service gross margins in the third quarter due to start-up costs for new customers.
  • Need for start-up costs related to onboarding new customers to normalize.
  • Reliance on continued demand in highly regulated end markets.
  • Potential for integration challenges with acquired businesses.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2026

Historical avgQ3 2026

+0.8%

Avg return

Earnings day

+2.4%

Avg return

5 days after

+3.7%

Avg return

30 days after

58%

37 / 64 earnings

Positive

+16.9%

Q4 2013

Best reaction

-17.0%

Q2 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026
Q3 2026+8.9%+26.0%+11.6%
Q2 2026-11.5%-21.6%-24.3%
Q1 2026+2.7%+6.6%+0.3%
Q4 2025+15.7%+12.5%-0.1%
Q3 2025-12.7%-22.3%-18.5%
Q2 2025-17.0%-20.3%-12.3%
Q1 2025-16.5%-23.1%-13.8%
Q4 2024+15.2%+9.3%-1.5%
Q3 2024+10.9%+15.1%+5.7%
Q2 2024-1.6%-5.4%+7.6%
Q1 2024+4.5%+7.4%+22.7%
Q4 2023+4.8%+1.5%+3.4%
Q3 2023+2.6%+6.7%+9.4%
Q2 2023-12.2%-9.8%-2.6%
Q1 2023+8.8%+16.6%+18.9%
Q4 2022-2.8%-0.1%-6.8%
Q3 2022-12.9%-21.3%-17.6%
Q2 2022+11.4%+18.8%+18.7%
Q1 2022+4.0%+5.3%+9.9%
Q4 2021+15.8%+17.9%+14.0%
Q3 2021+8.7%+14.7%+21.3%
Q2 2021+8.5%+12.4%+14.8%
Q1 2021+1.9%+8.5%+11.2%
Q4 2020+0.4%-6.7%-9.2%
Q3 2020+0.4%+5.2%+0.5%
Q2 2020+9.5%+12.6%+20.2%
Q1 2020-1.1%-1.8%-6.8%
Q4 2019+4.5%+3.7%+8.8%
Q3 2019+1.1%+2.7%-0.3%
Q2 2019+2.4%+1.5%+0.5%
Q1 2019-4.6%-0.9%+6.8%
Q4 2018+4.9%+6.5%+21.9%
Q3 2018+8.6%+8.2%+7.9%
Q2 2018-1.5%-2.7%+0.6%
Q1 2018-0.4%+0.0%-1.9%
Q4 2017-4.5%-2.8%-3.2%
Q3 2017+10.3%+4.3%+10.2%
Q2 2017+2.3%+2.7%+6.2%
Q1 2017+1.0%+4.2%+9.5%
Q4 2016-6.9%
Q3 2016-1.3%
Q2 2016-4.5%
Q1 2016+2.1%
Q4 2015+1.5%
Q3 2015-3.0%
Q2 2015+4.5%
Q1 2015-8.9%
Q4 2014-3.0%
Q3 2014-8.1%
Q2 2014-3.9%
Q1 2014+5.9%
Q4 2013+16.9%
Q3 2013+7.8%
Q2 2013-1.7%
Q1 2013-0.8%
Q4 2010+1.9%
Q4 2012-2.7%
Q3 2011-7.7%
Q3 2012+1.0%
Q2 2012+0.0%
Q1 2011+1.1%
Q2 2011+1.1%
Q4 2011+1.1%
Q1 2012-10.1%

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