Donaldson Posts Record Margin Quarter and 2027 Guidance Amid Mexico Shift
Donaldson reported a fourth-quarter gross margin of 36.7% and rising operating margin, supported by higher volume, favorable pricing, and product mix, along with 9% aftermarket growth to $512 million. Mobile Solutions grew on volume and pricing, while Industrial Filtration Solutions sales fell 2%. The company reduced Facet-related debt, restarted buybacks, and extended dividend growth, but a Mexico production shift cut gross margin by 40 basis points with full recovery expected by mid–fiscal 2027.