Measurement equipment distributor Transcat (NASDAQ:TRNS) will be reporting earnings tomorrow afternoon. Here’s what to expect.

Transcat missed analysts’ revenue expectations by 3.8% last quarter, reporting revenues of $66.71 million, up 10.1% year on year. It was a slower quarter for the company, with a miss of analysts’ EBITDA estimates.

Is Transcat a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Transcat’s revenue to grow 11.9% year on year to $70.29 million, in line with the 11.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.65 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Transcat has missed Wall Street’s revenue estimates twice over the last two years.

Looking at Transcat’s peers in the industrial distributors segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Fastenal delivered year-on-year revenue growth of 3.5%, meeting analysts’ expectations, and MSC Industrial reported a revenue decline of 8%, in line with consensus estimates. Fastenal traded up 9.6% following the results while MSC Industrial was down 2.6%.

Read our full analysis of Fastenal’s results here and MSC Industrial’s results here.

Investors in the industrial distributors segment have had fairly steady hands going into earnings, with share prices down 1.1% on average over the last month. Transcat’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $144.70 (compared to the current share price of $119.76).

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