Revenue growth remains inconsistent, while operating margins have significantly deteriorated from 20.3% in 2023Q4 to 5.7% in 2026Q1 due to rising SG&A expenses.
| Sales/Revenue | 1.71B | 1.66B | 1.49B | 1.39B | 1.34B | 1.35B | 2.94B | 3.28B | 3.35B | 2.79B | 2.75B | 2.74B |
| Revenue Growth % | 14.01% | 11.43% | 6.86% | 3.84% | -0.39% | -54.2% | -10.54% | -1.87% | 20.08% | 1.38% | 0.27% | - |
| Cost of Goods Sold | 994.6M | 952.9M | 821.7M | 737.2M | 713.7M | 746.2M | 1.93B | 2.1B | 2.16B | 1.77B | 1.76B | 1.79B |
| COGS % of Revenue | - | 57.52% | 55.27% | 52.99% | 53.27% | 55.48% | 65.74% | 64.09% | 64.45% | 63.56% | 63.98% | 65.17% |
| Gross Profit | 719.5M | 703.8M | 665.1M | 654.1M | 626.2M | 598.9M | 1.01B | 1.18B | 1.19B | 1.02B | 989.7M | 954.4M |
| Gross Margin % | 41.98% | 42.48% | 44.73% | 47.01% | 46.73% | 44.52% | 34.26% | 35.91% | 35.55% | 36.44% | 36.02% | 34.83% |
| Gross Profit Growth % | - | 5.82% | 1.68% | 4.46% | 4.56% | -40.48% | -14.66% | -0.87% | 17.16% | 2.57% | 3.7% | - |
| Operating Expenses | 478.8M | 440.3M | 396.3M | 367.3M | 324.9M | 319.7M | 743.3M | 968.6M | 721M | 605.9M | 592M | 563.3M |
| OpEx % of Revenue | - | 26.58% | 26.65% | 26.4% | 24.25% | 23.77% | 25.31% | 29.5% | 21.55% | 21.75% | 21.54% | 20.55% |
| Selling, General & Admin | 468M | 440.3M | 386.2M | 366.8M | 318.7M | 323.4M | 698.1M | 698M | 662.6M | 547.4M | 530.5M | 500.5M |
| SG&A % of Revenue | - | 26.58% | 25.98% | 26.36% | 23.79% | 24.04% | 23.77% | 21.26% | 19.81% | 19.65% | 19.3% | 18.26% |
| Research & Development | 0 | 0 | 39.5M | 0 | 0 | 0 | 0 | 0 | 58.4M | 58.5M | 61.5M | 62.8M |
| R&D % of Revenue | - | - | 2.66% | - | - | - | - | - | 1.75% | 2.1% | 2.24% | 2.29% |
| Other Operating Expenses | 2M | 0 | -29.4M | 500K | 6.2M | -3.7M | 45.2M | 270.6M | 0 | 0 | 0 | 0 |
| Operating Income | 237.6M | 263.5M | 268.8M | 286.8M | 301.3M | 279.2M | 262.9M | 210.4M | 468.3M | 409.2M | 397.7M | 391.1M |
| Operating Margin % | 13.86% | 15.91% | 18.08% | 20.61% | 22.49% | 20.76% | 8.95% | 6.41% | 14% | 14.69% | 14.47% | 14.27% |
| Operating Income Growth % | - | -1.97% | -6.28% | -4.81% | 7.92% | 6.2% | 24.95% | -55.07% | 14.44% | 2.89% | 1.69% | - |
| EBITDA | 313.5M | 370.1M | 355.6M | 364.4M | 380M | 361M | 390.4M | 323.9M | 588.3M | 481.9M | 468.6M | 461.7M |
| EBITDA Margin % | 18.29% | 22.34% | 23.92% | 26.19% | 28.36% | 26.84% | 13.29% | 9.87% | 17.58% | 17.3% | 17.05% | 16.85% |
| EBITDA Growth % | -7.96% | 4.08% | -2.41% | -4.11% | 5.26% | -7.53% | 20.53% | -44.94% | 22.08% | 2.84% | 1.49% | - |
| D&A (Non-Cash Add-back) | 75.9M | 106.6M | 86.8M | 77.6M | 78.7M | 81.8M | 127.5M | 113.5M | 120M | 72.7M | 70.9M | 70.6M |
| EBIT | 201.7M | 241.3M | 274.2M | 290.4M | 304.6M | 284M | 279.8M | 217.5M | 462.3M | 403.6M | 200.6M | 374.1M |
| Net Interest Income | -30.2M | -59.3M | -46.2M | -49.5M | -56.1M | -57.8M | -53.3M | -44.1M | -48.6M | -33.6M | -34.6M | -35.7M |
| Interest Income | 800K | 1M | 1.6M | 1.1M | 200K | 100K | 2M | 2.7M | 2.3M | 2.5M | 1.9M | 1.9M |
| Interest Expense | 31M | 60.3M | 47.8M | 50.6M | 56.3M | 57.9M | 55.3M | 46.8M | 50.9M | 36.1M | 36.5M | 37.6M |
| Other Income/Expense | -62.5M | -82.5M | -42.4M | -47M | -53M | -53.1M | -38.4M | -39.7M | -56.9M | -41.7M | -233.6M | -54.6M |
| Pretax Income | 162.1M | 181M | 226.4M | 239.8M | 248.3M | 226.1M | 224.5M | 170.7M | 411.4M | 367.5M | 164.1M | 336.5M |
| Pretax Margin % | 9.46% | 10.93% | 15.23% | 17.24% | 18.53% | 16.81% | 7.64% | 5.2% | 12.3% | 13.19% | 5.97% | 12.28% |
| Income Tax | 31.9M | 35.9M | 42.3M | 51.5M | 43.4M | 48.1M | 43.4M | 37.1M | 75.9M | 195M | 40.3M | 106.5M |
| Effective Tax Rate % | 19.68% | 19.83% | 18.68% | 21.48% | 17.48% | 21.27% | 19.33% | 21.73% | 18.45% | 53.06% | 24.56% | 31.65% |
| Net Income | 129.8M | 145.1M | 184.1M | 188.3M | 204.9M | 178M | 181M | 133.3M | 335.6M | 171.8M | 122.8M | 228.9M |
| Net Margin % | 7.57% | 8.76% | 12.38% | 13.53% | 15.29% | 13.23% | 6.16% | 4.06% | 10.03% | 6.17% | 4.47% | 8.35% |
| Net Income Growth % | -22.74% | -21.18% | -2.23% | -8.1% | 15.11% | -1.66% | 35.78% | -60.28% | 95.34% | 39.9% | -46.35% | - |
| Net Income (Continuing) | 129.8M | 145.1M | 184.1M | 188.3M | 204.9M | 178M | 181.1M | 133.6M | 335.5M | 172.5M | 123.8M | 230M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 19.5M | 0 | 0 | 0 | 2.6M | 2.8M | 2.2M | 2.6M | 2.9M | 3.3M | 11.9M | 11.4M |
| EPS (Diluted) | 2.24 | 2.50 | 3.19 | 3.27 | 7.07 | 7.68 | 3.19 | 2.35 | 5.50 | 2.84 | 2.07 | 3.89 |
| EPS Growth % | -23.02% | -21.63% | -2.45% | -53.75% | -7.94% | 140.75% | 35.74% | -57.27% | 93.66% | 37.2% | -46.79% | - |
| EPS (Basic) | - | 2.53 | 3.22 | 3.32 | 7.07 | 7.68 | 3.19 | 2.35 | 5.63 | 2.89 | 2.10 | 3.94 |
| Diluted Shares Outstanding | 58M | 58M | 57.8M | 57.5M | 56.73M | 56.7M | 56.7M | 56.7M | 61M | 60.4M | 59.3M | 58.8M |
| Basic Shares Outstanding | 57.5M | 57.4M | 57.1M | 56.8M | 56.7M | 56.7M | 56.7M | 56.7M | 59.6M | 59.4M | 58.5M | 58.1M |
| Dividend Payout Ratio | - | 26.88% | 19.88% | 12.59% | - | 56.52% | 55.47% | 69.92% | 24.88% | 45.63% | 62.87% | 33.46% |
Secular cash usage decline
According to recent financial disclosures, CXT's revenue growth has fluctuated significantly, peaking at 19.5% in 2025Q4 before decelerating to 17.4% in 2026Q1, suggesting that the company's top-line trajectory remains sensitive to the timing of large-scale authentication contracts and the inherent lumpiness of its industrial hardware sales cycles.
The inconsistency in quarterly revenue growth suggests that CXT is currently navigating a transition period where organic growth is heavily influenced by project-based milestones rather than steady-state recurring demand. Investors should monitor whether the recent acquisition of OpSec Security can provide a more predictable revenue baseline to offset the inherent volatility of its legacy payment validation business.
As reported in the company's income statement, gross margins have experienced notable contraction, sliding from a peak of 48.6% in 2024Q1 to 40.2% in 2026Q1, which may indicate rising input costs or a shift in product mix toward lower-margin hardware solutions within the payment segment.
The erosion of gross margin suggests that CXT's pricing power may be under pressure, potentially due to competitive intensity or supply chain inefficiencies in its specialized component sourcing. If this downward trend persists, it could signal that the company's proprietary micro-optic technology is facing increased commoditization or that the cost of maintaining its global field service footprint is outpacing revenue gains.
Based on the provided quarterly data, operating margins have significantly deteriorated from 20.3% in 2023Q4 to 5.7% in 2026Q1, indicating that the company is currently failing to achieve the expected operating leverage as SG&A expenses continue to consume a larger portion of the gross profit generated.
The sharp decline in operating margin suggests that CXT is struggling to scale its overhead efficiently following its spin-off, with SG&A costs appearing sticky despite revenue fluctuations. This trend warrants further investigation into whether the company is incurring excessive integration costs or if the current organizational structure is too heavy for the existing revenue base.
As indicated by the reported figures, net income has shown extreme variability, dropping from $57.6 million in 2024Q4 to $6.4 million in 2026Q1, a trend that appears to be exacerbated by non-operating items and the ongoing impact of post-spin-off restructuring costs on the bottom line.
The significant divergence between revenue growth and net income performance suggests that CXT's earnings quality is currently compromised by one-time charges and potential inefficiencies in its cost structure. Investors should be wary of relying on GAAP EPS as a proxy for operational health until the company demonstrates a sustained period of normalized profitability without significant quarterly swings.
Based on an analysis of the income statement, the most significant risk to the narrative is the potential for permanent margin compression, as the company's operating income has fallen by over 70% in the most recent quarter compared to historical highs observed in late 2024.
Short-sellers may focus on the disconnect between the company's high-tech valuation and the reality of its declining operating margins, which could suggest that the 'moat' around its currency business is narrowing. The reliance on hardware-heavy revenue streams in an increasingly digital global economy may lead to a structural re-rating if the pivot to brand protection fails to materialize as a high-margin growth engine.
Quick answers to the most common questions about buying CXT stock.
For fiscal year 2025, Crane NXT, Co. (CXT) reported total revenue of $1.66B. This represents a 39.5% decline compared to $2.74B in 2015.
Crane NXT, Co. (CXT) is profitable, generating $145.1M in net income for the fiscal year ending 2025 with a net profit margin of 8.8%.
Crane NXT, Co. (CXT) reported an operating income of $263.5M, resulting in an operating profit margin of 15.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Crane NXT, Co. (CXT) generated $703.8M in gross profit for the year, representing a gross profit margin of 42.5%. This demonstrates the company's core pricing power and production efficiency.