Regal Rexnord shares tumbled 8.20% in pre-market trading on Wednesday, following the release of its second-quarter earnings report that showed a revenue miss and a steady full-year outlook.

While the company reported adjusted earnings per share of $2.99, handily beating the consensus estimate of $2.58, its quarterly sales of $1.558 billion came in below the $1.579 billion analysts had expected. The top-line shortfall, combined with management’s decision to hold its revenue outlook unchanged and merely narrow its adjusted EPS guidance range without raising the midpoint, sparked a sell-off among investors. The company’s adjusted EPS guidance for the full year was narrowed to $10.35 to $10.85, with the midpoint kept at $10.60, which includes expected tariff refund benefits.

The results revealed mixed segment performance, with a notable 5.5% decline in the Power Efficiency Solutions segment due to weakness in residential HVAC and pool markets, partially offsetting strength in data center and automation markets. The unchanged top-line guidance raised concerns about near-term demand momentum, particularly in light of the revenue miss and lingering inflation pressures.