MSC Industrial Supply Co. released its financial report for Q3 2025, indicating a slight decrease in net sales compared to the previous year. However, the results surpassed expectations.
Financial Results for Q3
Net sales amounted to $971.1 million, a 0.8% decrease from $979.4 million in the same period of the previous year. Operating income was $82.7 million, with an adjusted figure of $87.2 million. The adjusted operating margin was 9.0%, down from 11.4% last year.
Despite the sales drop, the company exceeded expectations for earnings per share (EPS). The diluted EPS was $1.02, slightly below the anticipated $1.03, while the adjusted EPS was $1.08, surpassing the forecast.
Company Outlook for Q4
MSC expects average daily sales growth in Q4 2025 to range from a decline of 0.5% to an increase of 1.5% year-over-year. The adjusted operating margin is projected to be between 8.5% and 9.0%, indicating a stable outlook despite ongoing market challenges.
MSC's Long-Term Goals
MSC's leadership remains committed to its long-term objectives, which include growing at a rate 400 basis points above the IP Index and expanding operating margins to the mid-teens. The company plans to continue focusing on its strategic priorities, such as enhancing core customer engagement and optimizing cost structures, aimed at positioning MSC for sustainable growth and improved profitability in the coming quarters.
Despite the slight decline in sales, MSC Industrial Supply Co. shows positive results in other key financial metrics and remains on track to meet its long-term goals.
