Crane Company Reports 20.5% Increase in Q2 Net Income and 9.2% Revenue Growth

Crane Company reported a significant increase in its financial performance for the second quarter and first half of 2025, as detailed in its latest 10-Q filing. For the three months ended June 30, 2025, the company achieved net income attributable to common shareholders of $86.4 million, up from $71.6 million in the same period last year, marking a 20.5% increase. Revenue for the quarter rose to $577.2 million, a 9.2% increase compared to $528.6 million in the prior year. For the first six months of 2025, net income reached $193.5 million, compared to $136.4 million in the first half of 2024, while total revenue increased to $1.134 billion from $1.039 billion.

The company experienced notable changes in its operational metrics, particularly in its Aerospace & Electronics and Process Flow Technologies segments. The Aerospace & Electronics segment reported a 11.8% increase in sales to $258.2 million, driven by strong demand in both commercial and military markets. The Process Flow Technologies segment also saw a 7.2% increase in sales to $319.0 million, attributed to higher pricing and contributions from recent acquisitions. The overall operating profit for the second quarter increased by 15.2% to $102.9 million, reflecting improved productivity and operational efficiencies.

Strategically, Crane Company completed the divestiture of its Engineered Materials segment at the beginning of 2025 for approximately $208 million, which has been classified as discontinued operations. This divestiture allowed the company to recognize a pre-tax gain of $43.5 million. Additionally, Crane has entered into a definitive agreement to acquire Precision Sensors & Instrumentation from Baker Hughes for $1.15 billion, expected to close by early 2026. This acquisition is anticipated to enhance Crane's capabilities in sensor-based technologies across various industries.

Operationally, Crane Company reported a total backlog of $1.456 billion as of June 30, 2025, with expectations to recognize approximately 55% of this backlog as revenue within the year. The company also noted improvements in cash flow, with $58.8 million generated from operating activities in the first half of 2025, a significant turnaround from the cash used in the same period last year. The company’s effective tax rate for the second quarter was 23.2%, higher than the previous year, primarily due to increased non-deductible costs.

Looking ahead, Crane Company projects a year-over-year sales increase of approximately 6% to 7% for 2025, driven by core sales growth and contributions from acquisitions. The company expects to see improvements in operating profit, supported by productivity gains and higher pricing strategies. The outlook reflects confidence in the recovery of demand in key markets, particularly in aerospace and industrial sectors, despite potential challenges from economic fluctuations and market conditions.