A maker of precision bearings and engineered components that keep planes, missiles, and factory machinery turning smoothly, RBC Bearings supplies everything from ball and roller bearings to gears and hydraulics, with names like Dodge and Torque Arm on its industrial lineup. Founded in 1919 in Newark as the Roller Bearing Company of America, its initials live on as "RBC." Fun fact: its Oxford, Connecticut headquarters sits at One Tribology Center—named for the science of surfaces in motion—and its lined spherical bearing first appeared in 1957 on the steering joint of the Chevrolet Corvette.
Q1 FY2027 revenue rose 19.2% to $519.5M with gross margin at 47.7% and net income up 48.2% to $101.5M.
reached 47.7%, the highest in the reported series. rose 19.2% to $519.5M and grew 48.2% to $101.5M as Aerospace & Defense grew 36.9% and added nearly a point to margin. The company carries $2.3B of and continues to pay down debt.
Key takeaways
expanded to 47.7% from 44.8% a year earlier, benefiting from higher volumes, improved product mix, and a nearly 100-basis-point benefit from .
Total rose 19.2% to $519.5M, driven by Aerospace & Defense up 36.9% including $33.3M from the VACCO acquisition and Industrial up 8.4%.
grew 48.2% to $101.5M, aided by a 17.2% decline in net to $10.1M from lower balances and rates.
Section summaries
Management's Discussion and Analysis
Q1 FY2027 net sales rose 19.2% to $519.5M, driven by 36.9% growth in Aerospace & Defense and 8.4% in Industrial.
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Total increased 19.2% to $519.5M, with Aerospace & Defense up 36.9% (including $33.3M from the VACCO acquisition) and Industrial up 8.4%.
expanded to 47.7% from 44.8%, benefiting from higher volumes, improved product mix, and a nearly 100-basis-point benefit from tariff refunds.
strengthened to $171.8M from $120.0M in the prior-year quarter, and the company paid down $77.0M more on its than a year earlier.
stood at $2.3B, unchanged from March 2026 but more than double the $1.0B a year ago.
Q2 FY2027 are guided to $505.0M–$515.0M, representing 10.9% to 13.1% growth over Q2 FY2026.
What changed
Q1 FY2027 of $519.5M came in above the $500M–$510M guide flagged in the FY2026 annual report, confirming the aerospace-led pace held post-VACCO.
The test on the Industrial-unit balance remains a continuing critical audit matter; no new test result was reported this quarter.
The DOJ False Claims Act investigation opened March 2023 had no material developments this quarter and remains ongoing with no determined material effect.
The 2025 U.S. steel and retaliatory tariffs, flagged as a risk in the annual report, produced that added nearly 100 to this quarter rather than pressuring it.
Sequential rose 0.3% to $519.5M from $518.0M in Q4 FY2026 and rose 3.3 points from 44.4%, extending the seen through FY2026.
What to watch
Q2 FY2027 against the $505.0M–$515.0M guide to confirm 10.9%–13.1% growth holds.
Next test on the Industrial-unit balance given the continuing critical audit matter.
Resolution or materiality of the DOJ False Claims Act investigation as another period closes with no update.
Impact of 2025 U.S. steel and retaliatory tariffs on in coming quarters after this quarter's refund benefit.
grew 48.2% to $101.5M, aided by a 17.2% decline in net to $10.1M due to lower Term Loan balances and rates.
stood at $2.3B, unchanged from March 2026 but more than double the $1.0B a year ago, supporting continued growth expectations.
strengthened to $171.8M from $120.0M, while the company paid down $77.0M more on its Term Loan versus the prior-year period.
Q2 FY2027 are expected to be $505.0M to $515.0M, representing 10.9% to 13.1% growth over Q2 FY2026.
Quantitative and Qualitative Disclosures About Market Risk
Market risk arises from variable-rate debt and foreign-currency exposure across 10 functional currencies, with FX impacting ~10% of net sales.
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Interest-rate risk stems from variable-rate debt under the Term Loan and ; the company evaluates impacts and limits exposure when appropriate.
Foreign-currency exposure exists because operations in Australia, Canada, China, France, Germany, England, India, Mexico, Poland, and Switzerland use local functional currencies.
Foreign-currency fluctuations affected approximately 10% of in Q1 FY2027, down from 11% in the prior-year period.
A stronger U.S. dollar or weaker local currency would reduce reported , , and shareholders’ equity through effects.
Exchange-rate changes and volatile emerging-market conditions have previously hurt financial performance and could again reduce the value of non-U.S. assets and .
No legal proceeding became a reportable event during the quarter and there were no material developments during the quarter with respect to any legal proceedings previously disclosed.
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No legal proceeding became
a reportable event during the quarter and there were no material developments during the quarter with respect to any legal proceedings
previously disclosed.
There have been no material changes to our risk factors and uncertainties since the filing of our Annual Report with the SEC on May 15, 2026. For a discussion of the risk factors, refer to Part I, Item 2, “Cautionary Statement as to Forward-Looking Information” contained in this…
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There have been no material
changes to our risk factors and uncertainties since the filing of our Annual Report with the SEC on May 15, 2026. For a discussion of
the risk factors, refer to Part I, Item 2, “Cautionary Statement as to Forward-Looking Information” contained in this quarterly
report and Part I, Item 1A, “Risk Factors,” contained in our Annual Report.