RBC Bearings Incorporated (NYSE: RBC) reported financial results for the second quarter of fiscal 2027, which ended September 26, 2026. The company announced net sales of $524.6 million for the quarter, representing a 15.2% increase compared to the prior year's period. This growth was driven by both the Aerospace & Defense and Industrial segments, which saw sales rise by 15.8% and 14.8%, respectively. Excluding the impact of the PSC acquisition, which closed on August 10, 2026, organic net sales increased by 14.8%.
On the cost side, the company reported a gross margin of $239.0 million, or 45.6% of net sales, compared to $200.6 million (44.1%) in the prior year. This improvement was attributed to a $1.7 million tariff refund. Operating income for the quarter reached $131.6 million, or 25.1% of net sales, compared to $97.8 million (21.5%) in the prior year. Net income for the period was $93.8 million, with diluted earnings per share (EPS) of $2.96.
Management highlighted a reduction in debt during the quarter, noting that the Term Loan was fully repaid. Interest expense net of interest income decreased to $9.3 million from $13.4 million in the prior year. The company also reported a backlog of $2.4 billion as of September 26, 2026, up from $2.3 billion at the end of the prior fiscal year.
Looking ahead, RBC Bearings provided guidance for the third quarter of fiscal 2027. The company expects net sales to be approximately $520.0 million to $525.0 million, with a gross margin projected to range between 45.5% and 45.75%.
