Teledyne Technologies Incorporated raised its 2026 earnings forecasts Oct. 21 after third-quarter revenue grew 9.4%, supported by stronger imaging sales and a wider operating margin.
Revenue reached $1.68 billion, Teledyne said in an earnings release furnished with a filing to the SEC. Net income attributable to the company rose to $272.8 million from $220.7 million a year earlier. Diluted earnings per share increased to $5.82 from $4.65.
Teledyne now projects full-year diluted earnings under U.S. accounting rules of $21.71 to $21.87 per share, compared with its previous range of $20.73 to $20.99. Its forecast for non-GAAP diluted earnings per share rose to $25.40 to $25.50 from $24.45 to $24.65.
Digital Imaging generated $903 million in sales, up 15%. Teledyne attributed the segment’s 15% sales increase to demand across several imaging categories, including infrared and maritime products. The company said higher sales and a favorable product mix also helped lift the segment’s operating income.
Teledyne’s companywide operating margin increased to 20.6% from 18.4% a year earlier. Executive Chairman Robert Mehrabian said the company had nearly $5.3 billion in funded backlog; he also said orders had exceeded sales in each quarter for the past three years.
Teledyne’s proposed acquisition of Varex Imaging Corporation remains pending. The transaction is valued at about $1.1 billion, a figure that includes Varex equity awards and net debt. If the deal closes, Varex shareholders would receive $18.90 in cash per share. Teledyne plans to fund the purchase with cash and available borrowing and expects it to close in early 2027, subject to shareholder and regulatory approvals.
Varex shareholders are scheduled to vote on the merger Oct. 28.
