LECO (NASDAQ:LECO) Posts 5.5% Revenue Growth and Surpasses EPS Outlook Amid Automation Headwinds

Lincoln Electric (NASDAQ:LECO) reported Q4 CY2025 revenue of $1.08 billion, up 5.5% year-on-year, and non-GAAP profit of $2.65 per share, exceeding analyst estimates by 4.2 percentage points. The results followed a volatile sales environment, with organic growth driven by pricing strength and disciplined cost controls, including $31 million in savings from its savings programs. CEO Steven B. Hedlund said automation sales faced a tough prior-year comparison, but the company maintains a strong backlog and a pivot to automation growth is expected in Q2 CY2026, supported by higher OEM capital spending and a normalizing manufacturing environment. CFO Gabriel Bruno highlighted the RISE strategy driving operational efficiency and incremental operating margin expansion through 2030. LECO trades at $295.59, up from $290.50 before the earnings. Key watchpoints include conversion of automation backlog to revenue, stabilization of consumables sales, and early returns from efficiency initiatives.