Abstract

Lincoln Electric Holdings will report fiscal results on February 12, 2026 Pre-Market. This preview summarizes consensus expectations for revenue, gross margin, net margin, and adjusted EPS, reviews the prior quarter’s performance, and compiles the latest institutional commentary to frame the most important drivers and risks for the coming print.

Market Forecast

The market’s base case points to continued top-line growth and margin resilience for Lincoln Electric Holdings in the current quarter. Based on the company’s forecasting dataset, revenue is projected at $1.10 billion, implying 10.02% year-over-year growth, with EBIT estimated at $193.54 million and EPS at $2.54, implying an EPS growth of 26.90% year-over-year. Forecasts do not explicitly provide gross profit margin or net margin for the current quarter; however, recent margin trends suggest stability to slight expansion into the release. The mainline welding operations are expected to drive steady demand from industrial, energy, and fabrication customers, while pricing discipline and mix should sustain profitability. The most promising segment is Americas Welding, which accounted for $691.79 million last quarter; its underlying demand indicators and pricing actions position it as the primary near-term growth engine, though explicit segment-level year-over-year growth rates for the forecast quarter are not available.

Last Quarter Review

Lincoln Electric Holdings reported last quarter revenue of $1.06 billion, a gross profit margin of 36.84%, GAAP net profit attributable to shareholders of $123.00 million, a net profit margin of 11.56%, and adjusted EPS of $2.47, with year-over-year adjusted EPS growth of 15.42%. Quarter-on-quarter, net income declined by 14.48%, reflecting seasonal and mix factors, while Americas Welding led performance with $691.79 million in revenue, followed by International Welding at $219.63 million and Harris Products at $149.80 million. This mix underpinned stable gross margins despite softer sequential earnings.

Current Quarter Outlook (with major analytical insights)

Main business: Core welding solutions and consumables

The company’s core welding solutions and consumables business is positioned to sustain revenue growth, supported by the internal forecast for $1.10 billion of sales and EBIT of $193.54 million. The last quarter’s gross margin of 36.84% serves as a strong baseline; continued price realization and favorable product mix should help hold gross margin near recent levels. On the demand side, order activity tied to non-residential construction, maintenance and repair, and energy infrastructure should provide a consistent backdrop, even as some discretionary capital expenditures remain paced by macro uncertainty. Consumables typically track end-market welding arc-hours and installed base utilization, and trends point to ongoing replenishment cycles in the Americas. The International Welding contribution is likely to normalize with currency and regional growth differentials, but the portfolio’s breadth supports diversified volume. Management’s ongoing focus on operational efficiency and supply-chain normalization should limit input cost volatility, which favors EBIT leverage if volumes track internal estimates. In sum, the main business appears set for steady, margin-accretive growth if the volume environment remains as forecast.

Most promising business: Americas Welding

Americas Welding, with $691.79 million in revenue last quarter, remains the company’s largest and most promising growth vector. The region benefits from end-market exposure to U.S. and broader Americas industrial spending, where backlogs and order intake have held up relative to other geographies. Demand from energy, heavy fabrication, and infrastructure-linked projects tends to be multi-quarter, supporting higher equipment attachment rates and a sustained pull on consumables. Pricing carryover from prior increases supports revenue per unit, while mix toward premium process solutions and automation can offer incremental margin upside. If project execution remains on schedule and customers maintain procurement activity, the region’s contribution to consolidated growth should be substantial. The key to upside is conversion of backlogs into shipments without significant supply-chain friction; if achieved, the current quarter could show a favorable balance of volume and price, lifting EBIT above the midpoint of internal expectations.

Factors most impacting the stock this quarter

Earnings sensitivity this quarter hinges on a few measurable factors: volume delivery versus the $1.10 billion revenue estimate, mix effects on gross margin versus the 36.84% last-quarter baseline, and cost discipline translating into the $193.54 million EBIT projection. A beat on adjusted EPS relative to the $2.54 expectation would likely require either better-than-expected volumes in Americas Welding or incremental margin expansion from mix and efficiency. Conversely, any shortfall in International Welding volumes or adverse currency could weigh on consolidated margin and EPS. Investors will also parse commentary on order trends and backlog conversion, as these indicators often lead revenue by a quarter or more in the welding industry. Sustained execution against pricing, plus evidence of consumables resilience, would reinforce the view that margin structure can stay at or above recent levels. The stock reaction will likely be most sensitive to the delta between reported EBIT and the $193.54 million forecast and any update on demand cadence across major verticals.

Analyst Opinions

Recent institutional commentary skews positive, with the majority of published views emphasizing consistent execution, pricing durability, and a healthy Americas demand backdrop ahead of results. Bullish analysts cite the company’s internal projections—revenue of $1.10 billion, EPS of $2.54, and EBIT of $193.54 million—as achievable given consumables stability and margin discipline. These views note that sequential net income softness last quarter reflected typical quarterly dynamics rather than structural headwinds, and that year-over-year adjusted EPS growth of 26.90% in the current quarter would underscore improving operating leverage. Supportive commentary also points to the last quarter’s gross margin of 36.84% and net margin of 11.56% as evidence that pricing and cost management are balancing input inflation. Analysts argue that Americas Welding, at $691.79 million last quarter, continues to provide a foundation for above-trend growth, while International Welding and Harris Products add diversification. In this context, the majority view expects revenue growth near 10.02% year-over-year and a path for adjusted EPS to track or beat $2.54, contingent on steady order patterns and manageable cost inputs. Overall, the dominant institutional stance anticipates a constructive print, with the balance of risks skewed toward execution on backlog conversion and confirmation of demand strength in core verticals.