Crane NXT Cuts 2026 Sales Outlook After Organic Growth Slows

The Tip Desk · November 10, 2026 · 3 min read

Third-quarter sales were $497.1 million, up 11.7% year over year, as organic growth slowed to 1.1% and the company trimmed full-year sales guidance to about 14%.

Crane NXT, Co. (CXT), a global authentication and traceability technologies company, reported third-quarter sales of $497.1 million, up 11.7% from a year earlier, as organic growth slowed to 1.1% after 2.8% in the second quarter. Acquisitions contributed 11.2 percentage points of the year-over-year increase.

GAAP net income was $38.4 million, or $0.66 a share, down 24.0% from $50.5 million a year earlier. Net income margin fell 360 basis points to 7.7%. Adjusted EPS was $1.28, unchanged from $1.28 a year earlier. Adjusted EBITDA was $127.2 million, up 3.9%, with the adjusted EBITDA margin compressing 190 basis points to 25.6%.

The mix of the two reportable segments told the quarter’s story. Security and Authentication Technologies posted net sales of $243.5 million, up 6.4%, with organic sales growth of 7.2%. SAT operating profit rose 17.3% to $46.1 million, and operating margin expanded 170 basis points to 18.9%. SAT adjusted EBITDA was $71.0 million, up 8.6%, with margin up 60 basis points to 29.2%.

Detection and Traceability Technologies net sales were $253.6 million, up 17.2%, but organic sales fell 5.3% while acquisitions contributed 23.1%. DTT operating profit fell 41.2% to $35.7 million, and operating margin compressed to 14.1% from 28.1%. DTT adjusted EBITDA was $71.1 million, up 1.9%, with adjusted EBITDA margin down 430 basis points to 28.0%.

Cash from operations was $111.8 million. Adjusted free cash flow conversion was 132%. President and Chief Executive Officer Aaron W. Saak said the company secured long-term customer wins, delivered on synergy commitments, and generated strong free cash flow. He said the results keep the company on track to achieve its year-end deleveraging target.

As of September 30, 2026, the net leverage ratio was 2.5 times, with net debt of $1.16 billion and trailing-twelve-months adjusted EBITDA of $460.3 million. Total order backlog was $715.5 million, down from $755.5 million at June 30, 2026. SAT backlog was $481.6 million. DTT backlog was $233.9 million, including about $125 million related to Antares Vision, acquired in March 2026.

The company updated full-year 2026 guidance. Sales growth was cut to about 14% from a prior range of +15% to +17%. SAT sales growth was cut to about 11% from about high-single to low-double digits. DTT sales growth was cut to high-teens from low-20s%. Adjusted EPS guidance was raised at the midpoint to $4.32 to $4.42 from $4.22 to $4.42. Adjusted EBITDA margin guidance remained about 24%. Adjusted free cash flow conversion guidance remained about 90% to about 110%.

Crane NXT announced a fourth-quarter dividend of $0.18 a share, payable December 9, 2026, to shareholders of record as of November 30, 2026.