AI-extracted from the 10-Q filed 2026-09-03 — Q3 FY2026 (quarter ended July 31, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Toro's Q3 FY2026 net sales rose 8.4% to $1,225.8M and diluted EPS reached $0.81, with GAAP earnings depressed by $43.1M of non-cash impairment charges tied to the Monterrey plant closure and a residential mower platform exit.
Biggest Revenue Drivers
Professional$1,012.6M+8.8% YoY
Driven primarily by higher volume, net price realization, and the Tornado acquisition.
Residential$209.3M+8.6% YoY
Primarily driven by higher volume of walk power mowers and net price realization.
Biggest Revenue Drivers
Total revenue: $1,225.8M+8.4% YoY
Professional$1,012.6M+8.8% YoY
Driven primarily by higher volume, net price realization, and the Tornado acquisition.
Residential$209.3M+8.6% YoY
Primarily driven by higher volume of walk power mowers and net price realization.
Other$3.9M-49.4% YoY
Net sales from wholly-owned domestic distribution company, net of intersegment sales.
Largest Expense Items
Cost of sales$807.7M+7.8% YoY
Gross margin rose to 34.1% on net price realization, productivity improvements, and net sales leverage, partially offset by higher material and manufacturing costs.
Selling, general and administrative expense$259.8M+10.1% YoY
Increase primarily due to higher incentive expenses.
Related to planned closure of Monterrey manufacturing facility and write-down of assets for exit of a residential mower platform.
Margins: Gross margin expanded 40 basis points to 34.1% on net price realization, productivity improvements, and sales leverage, partly offset by material and manufacturing costs. Operating margin rose to 9.4% from 5.7%, though Q3 FY2026 carried $56.2M of productivity initiative charges.
Watch Items from the Filing
Field inventory was higher at Q3 end versus prior year, with replenished underground construction product balances at healthy levels.
Monterrey facility closure and residential mower platform exit resulted in $43.1M non-cash impairment charges recorded in Q3 FY2026.
Approximately $20M of IEEPA tariffs paid may be eligible for recovery; about $8M recorded as cost of goods sold reduction to date.
Red Iron joint venture receivables outstanding were $790.0M, and the company is contingently liable to repurchase up to $31.9M of financed inventory.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
9 transactions in TTC reported by 3 members of Congress under the STOCK Act, most recent trade Jun 11, 2025. Reported transactions, not recommendations.
About TORO CO (TTC): stock profile, AI score and financials
TORO CO (TTC) stock profile, AI quality score, and SEC EDGAR financial data, a Industrials sector company. 13F Pro's AI-powered ranking engine scores TTC at 62.8/100 on a composite quality score built from its SEC filings, placing it at rank #673 of 2,925 stocks — the top 25% of the AI-ranked universe. TTC scores in the top quartile across balance sheet strength (85.0), revenue scale (77.1), earnings quality (76.2). Areas of concern include revenue growth (34.6), which score below median versus the broader universe. Based on the latest XBRL financial filings (Q3 2026), TORO CO reports quarterly revenue of $1.2B, net income of $77.0M, an operating margin of 9.4%. Top institutional holders of TTC by reported 13-F value include BlackRock, KAYNE ANDERSON RUDNICK INVESTMENT MANAGEMENT, VANGUARD PORTFOLIO MANAGEMENT, based on the most recent SEC filings. TTC trades on the NYSE exchange and files with the SEC under CIK 737758. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate TTC daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for TORO CO directly from SEC EDGAR.