Crane NXT 2025 Q3 Earnings Beats Expectations with 8.1% Net Income Growth

Crane NXT (CXT) reported Q3 2025 results that exceeded expectations, with revenue rising 10.3% year-over-year to $445.10 million and net income growing 8.1% to $50.90 million. The company raised full-year sales guidance to 9%-11% but narrowed adjusted EPS guidance to $4.00-$4.10 due to macroeconomic uncertainty.

Revenue

Crane NXT’s total revenue surged to $445.10 million in Q3 2025, reflecting a 10.3% year-over-year increase. The Security and Authentication Technologies segment led growth with $228.80 million in revenue, while the Crane Payment Innovations segment contributed $216.30 million. These two segments collectively accounted for the entire revenue increase, underscoring the company’s diversified performance.

Earnings/Net Income

The company’s EPS rose 7.3% to $0.88, while net income expanded to $50.90 million, a 8.1% year-over-year increase. This sustained profitability, now in its 20th consecutive year for the quarter, highlights strong operational resilience. The 7.3% EPS growth and 8.1% net income increase indicate continued momentum in cost management and revenue generation.

Post-Earnings Price Action Review

The strategy of buying Crane NXT shares on the earnings release date and holding for 30 days yielded a 14.5% cumulative return over 36 months, though it faced higher volatility, including a -15.3% maximum drawdown. Initial positive reactions to earnings (5-10% gains) were often followed by consolidation or corrections, particularly amid broader market fluctuations. While Crane NXT’s fundamentals supported long-term price stability, the 30-day holding period exposed investors to short-term market risks. A longer holding period or disciplined dip-buying approach could mitigate these risks, aligning with the S&P 500’s mixed performance during the backtest period.

CEO Commentary

CEO Aaron W. Saak highlighted robust margins in the Crane Payment Innovations segment and accelerating growth in Security and Authentication Technologies. He emphasized the $0.17 per share Q4 dividend and the pending acquisition of Antares Vision, which is expected to close in H1 2026, enhancing market leadership in authentication technologies.

Guidance

Crane NXT raised full-year 2025 sales guidance to 9%-11% (from 6%-8%) and narrowed adjusted EPS guidance to $4.00-$4.10. Segment-specific guidance includes -4% to -2% CPI sales growth and 27%-29% SAT growth. Adjusted operating margin is projected at ~26.5%, with ~110% free cash flow conversion.

Additional News

Crane NXT announced a definitive agreement to acquire Antares Vision, a €120 million deal expected to close in H1 2026, expanding its authentication technology portfolio. The company also declared a $0.17 per share dividend for Q4 2025, reflecting its commitment to shareholder returns. Additionally, the acquisition of De La Rue Authentication Solutions in 2024 contributed 7% of Q3 revenue, underscoring its strategic focus on high-growth segments.