CICERO, Ill., Sept. 10, 2025 (GLOBE NEWSWIRE) -- Broadwind (Nasdaq: BWEN, or the “Company”), a diversified precision manufacturer of specialized components and equipment serving global markets, today announced that its Board of Directors has authorized a share repurchase program of up to $3 million in common stock. The authorization permits the repurchase of shares from time to time through open market transactions, privately negotiated purchases, and otherwise as determined by the Company’s management, all ...

CICERO, Ill., Sept. 10, 2025 (GLOBE NEWSWIRE) -- Broadwind (Nasdaq: BWEN, or the “Company”), a diversified precision manufacturer of specialized components and equipment serving global markets, today announced the completion of the previously disclosed sale of its industrial fabrication operations in Manitowoc, WI, effective September 8, 2025. MANAGEMENT COMMENTARY “Our successful completion of this transaction marks a significant step forward in Broadwind’s strategy to streamline operations, enhance bala ...

NEW YORK, Aug. 25, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Broadwind, Inc. (“Broadwind” or the “Company”) (NASDAQ: BWEN).   Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980.   The investigation concerns whether Broadwind and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.  [Click here for information about joining the class action] On August ...

NEW YORK, Aug. 22, 2025 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of Broadwind, Inc. ("Broadwind" or the "Company") (NASDAQ: BWEN). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980. The investigation concerns whether Broadwind and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices. [Click here for information about joining the class action] Pomerantz LLP, with o ...

Core Viewpoint - Pomerantz LLP is investigating potential securities fraud or unlawful business practices involving Broadwind, Inc. and its officers or directors, following disappointing financial results and a significant stock price drop [1][3][4]. Financial Performance - On August 12, 2025, Broadwind reported a GAAP loss per share of $0.04 for Q2 2025, which was $0.05 below consensus estimates [3]. - The company suspended its full-year 2025 financial guidance due to a definitive agreement to sell its industrial fabrication operations in Manitowoc, Wisconsin [3]. Stock Market Reaction - Following the announcement of the financial results, Broadwind's stock price decreased by $0.36, or 14.46%, closing at $2.13 per share on August 12, 2025 [4].

Company Performance - Broadwind Energy, Inc. reported a quarterly loss of $0.04 per share, missing the Zacks Consensus Estimate of $0.02, compared to earnings of $0.02 per share a year ago, representing an earnings surprise of -300.00% [1] - The company posted revenues of $39.24 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 3.20%, and showing an increase from year-ago revenues of $36.45 million [2] - Over the last four quarters, Broadwind Energy has surpassed consensus EPS estimates three times and topped consensus revenue estimates three times as well [2] Stock Performance - Broadwind Energy shares have increased approximately 32.5% since the beginning of the year, outperforming the S&P 500's gain of 8.4% [3] - The current consensus EPS estimate for the coming quarter is $0.08 on revenues of $40.52 million, and for the current fiscal year, it is $0.08 on revenues of $151.29 million [7] Industry Outlook - The Manufacturing - General Industrial industry, to which Broadwind Energy belongs, is currently ranked in the top 13% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry performance can significantly impact stock performance [5][8]

Core Viewpoint - Broadwind, Inc. held its Q2 2025 earnings conference call, where key executives discussed the company's performance and future outlook [1][3]. Group 1: Company Overview - The conference call was led by CEO Eric Blashford and CFO Thomas A. Ciccone, who provided insights into the company's second quarter results [3][5]. - A press release detailing the second quarter results was issued before the market opened on the same day [3]. Group 2: Financial Performance - The management's commentary included forward-looking statements, indicating expectations and beliefs about future performance, which are subject to uncertainties [4]. - The company provided reconciliations of historical non-GAAP financial measures discussed during the call, available in the press release [5].

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) The company's H1 2025 financial statements show a decline in profitability and liquidity, alongside the reclassification of certain assets as held for sale [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Balance Sheet Summary (in thousands) | Balance Sheet Items | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Assets** | **$130,511** | **$128,290** | | Cash | $1,037 | $7,721 | | Inventories | $51,432 | $39,950 | | Assets held for sale | $3,849 | $0 | | **Total Liabilities** | **$71,558** | **$68,890** | | Line of credit | $19,099 | $1,454 | | Customer deposits | $4,341 | $18,037 | | **Total Stockholders' Equity** | **$58,953** | **$59,400** | - Key changes from Dec 31, 2024 to June 30, 2025 include a significant decrease in cash from **$7.7 million** to **$1.0 million**, a substantial increase in inventories by **$11.5 million**, and a large draw on the line of credit, which increased from **$1.5 million** to **$19.1 million** Customer deposits also saw a major reduction from **$18.0 million** to **$4.3 million**[9](index=9&type=chunk) [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Statement of Operations Summary (in thousands) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | **$39,235** | **$36,452** | **$76,073** | **$74,068** | | Gross Profit | $3,975 | $5,566 | $8,301 | $12,203 | | Operating (Loss) Income | ($165) | $1,257 | $19 | $3,335 | | **Net (Loss) Income** | **($989)** | **$482** | **($1,359)** | **$1,992** | | **Diluted EPS** | **($0.04)** | **$0.02** | **($0.06)** | **$0.09** | - For the six months ended June 30, the company's performance shifted from a net income of **$2.0 million** in 2024 to a net loss of **$1.4 million** in 2025, despite a slight increase in revenues The decline was primarily driven by a significant increase in the cost of sales, which reduced gross profit by **32%** year-over-year[11](index=11&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Cash Flow Summary for Six Months Ended June 30 (in thousands) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | ($20,498) | ($3,427) | | Net cash used in investing activities | ($2,115) | ($2,375) | | Net cash provided by financing activities | $15,929 | $5,641 | | **Net Decrease in Cash** | **($6,684)** | **($161)** | - The significant increase in cash used in operating activities in H1 2025 was mainly due to an **$11.5 million** increase in inventories and a **$13.7 million** decrease in customer deposits This was partially offset by a **$17.6 million** net draw from the line of credit under financing activities[16](index=16&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) - The company's revenue from the U.S. wind energy industry constituted **52%** of total revenue in the first six months of 2025, up from **40%** in the same period of 2024[21](index=21&type=chunk) Revenue by Segment (in thousands) | Segment | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Heavy Fabrications | $24,989 | $19,611 | $50,236 | $41,628 | | Gearing | $7,284 | $10,454 | $13,251 | $18,791 | | Industrial Solutions | $7,363 | $6,463 | $13,010 | $14,456 | | **Consolidated** | **$39,235** | **$36,452** | **$76,073** | **$74,068** | - On June 4, 2025, the company entered into an agreement to sell certain assets from its industrial fabrication operations in Manitowoc, Wisconsin for up to **$13.8 million** in cash The transaction is expected to close in Q3 2025 The related assets are now classified as held for sale[42](index=42&type=chunk) Advanced Manufacturing Production (AMP) Credits Recognized (in thousands) | Period | Gross AMP Credits | | :--- | :--- | | Q2 2025 | $3,132 | | Q2 2024 | $1,848 | | Six Months 2025 | $5,904 | | Six Months 2024 | $3,720 | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=26&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management's discussion highlights a challenging financial period, impacted by operational inefficiencies and legislative changes, with liquidity managed through credit facilities and asset sales Key Financial Metrics (in thousands) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Net Revenues | $39,235 | $36,452 | $76,073 | $74,068 | | Net (Loss) Income | ($989) | $482 | ($1,359) | $1,992 | | Adjusted EBITDA | $2,085 | $3,642 | $4,453 | $7,811 | | Total Orders | $20,956 | $18,372 | $49,090 | $47,368 | | Backlog | $95,279 | $139,060 | $95,279 | $139,060 | - The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, eliminates AMP credits for components produced after December 31, 2027 This shortens the benefit period and is expected to adversely impact the profitability of the Heavy Fabrications segment[108](index=108&type=chunk) - The company entered into a definitive agreement to sell assets of its industrial fabrication operations in Manitowoc, Wisconsin for up to **$13.8 million** The transaction is expected to close in Q3 2025[112](index=112&type=chunk) [Results of Operations: Three Months Ended June 30, 2025 vs. 2024](index=28&type=section&id=Results%20of%20Operations%20-%20Three%20Months%20Comparison) - Consolidated revenues for Q2 2025 increased by **7.6%** to **$39.2 million**, driven by a **27%** revenue increase in the Heavy Fabrications segment However, gross profit decreased by **28.6%** to **$4.0 million** due to manufacturing inefficiencies and higher fixed costs[114](index=114&type=chunk)[115](index=115&type=chunk)[116](index=116&type=chunk) - The Heavy Fabrications segment saw a **27%** revenue increase, but operating margin declined from **7.9%** to **6.8%** due to inefficiencies with a new, larger wind tower model[119](index=119&type=chunk)[120](index=120&type=chunk) - The Gearing segment experienced a **30%** revenue decline to **$7.3 million**, primarily from reduced shipments to O&G customers, causing operating income to swing from a **$482 thousand** profit to an **$819 thousand** loss[121](index=121&type=chunk)[122](index=122&type=chunk) - The Industrial Solutions segment orders more than tripled to **$13.9 million**, and revenue grew **14%** to **$7.4 million** However, operating income decreased due to a less profitable product mix[123](index=123&type=chunk)[124](index=124&type=chunk) [Results of Operations: Six Months Ended June 30, 2025 vs. 2024](index=30&type=section&id=Results%20of%20Operations%20-%20Six%20Months%20Comparison) - For the first six months of 2025, consolidated revenues increased **2.7%** to **$76.1 million** Despite this, gross profit fell **32%** to **$8.3 million**, and the company recorded a net loss of **$1.4 million** compared to a **$2.0 million** net income in the prior year period[127](index=127&type=chunk)[130](index=130&type=chunk) - Heavy Fabrications segment revenue grew **21%** to **$50.2 million** in H1 2025, driven by a **39%** increase in wind revenue Operating income increased slightly to **$4.0 million** from **$3.6 million**[131](index=131&type=chunk)[132](index=132&type=chunk) - Gearing segment revenue decreased **29%** to **$13.3 million** in H1 2025, leading to an operating loss of **$1.7 million** compared to a **$0.5 million** profit in H1 2024[133](index=133&type=chunk)[134](index=134&type=chunk) - Industrial Solutions segment orders more than doubled to **$24.0 million** in H1 2025 However, revenue decreased **10%** to **$13.0 million**, and operating income fell sharply to **$0.8 million** from **$2.4 million** due to lower sales and a less profitable product mix[135](index=135&type=chunk)[136](index=136&type=chunk) [Liquidity, Financial Position and Capital Resources](index=33&type=section&id=Liquidity%2C%20Financial%20Position%20and%20Capital%20Resources) - As of June 30, 2025, the company had **$1.0 million** in cash, a decrease of **$6.7 million** from year-end 2024 Total debt and finance lease obligations stood at **$31.4 million**[138](index=138&type=chunk) - The company has a **$35 million** senior secured revolving credit facility As of June 30, 2025, **$24.7 million** was outstanding, with an additional **$13.8 million** available for borrowing[138](index=138&type=chunk) - The company utilizes an at-the-market (ATM) equity offering program with approximately **$11.7 million** remaining available for issuance as of June 30, 2025 No shares were issued under this program in H1 2025[142](index=142&type=chunk) Summary of Cash Flows for Six Months Ended June 30 (in thousands) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | Operating activities | ($20,498) | ($3,427) | | Investing activities | ($2,115) | ($2,375) | | Financing activities | $15,929 | $5,641 | | **Net decrease in cash** | **($6,684)** | **($161)** | [Quantitative and Qualitative Disclosures About Market Risk](index=36&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is classified as a smaller reporting company and is therefore not required to provide quantitative and qualitative disclosures about market risk - As a smaller reporting company, Broadwind, Inc. is exempt from the requirement to provide information regarding market risk under Item 305I of Regulation S-K[155](index=155&type=chunk) [Controls and Procedures](index=36&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures and concluded they were effective as of June 30, 2025, with no material changes to internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of the quarter ended June 30, 2025[156](index=156&type=chunk) - No material changes were made to the internal control over financial reporting during the three months ended June 30, 2025[157](index=157&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=37&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings that arise in the normal course of business, with management not expecting a material adverse effect on financial outcomes - The company is party to various legal proceedings arising in the normal course of business, but management believes the outcomes will not be materially adverse[82](index=82&type=chunk)[160](index=160&type=chunk) [Risk Factors](index=37&type=section&id=Item%201A.%20Risk%20Factors) The company highlights a significant updated risk factor related to changes in U.S. tax and economic incentives for the wind energy industry, particularly the OBBBA's impact on AMP credits and project eligibility - The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, significantly shortens the eligibility windows for federal tax incentives crucial to the U.S. wind energy industry[162](index=162&type=chunk) - The OBBBA eliminates the Advanced Manufacturing Production (AMP) credits for wind components produced and sold after December 31, 2027, which could materially and adversely affect the company's business in the near term[167](index=167&type=chunk) - Under the OBBBA, wind projects starting construction after July 4, 2026, must be in service by December 31, 2027, to qualify for the Production Tax Credit (PTC) or Investment Tax Credit (ITC) This change may lead to a decrease in new wind projects and lower demand for the company's products[166](index=166&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=38&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities during the period - There were no unregistered sales of equity securities or use of proceeds to report for the period[171](index=171&type=chunk) [Other Information](index=38&type=section&id=Item%205.%20Other%20Information) During the three months ended June 30, 2025, none of the company's directors or officers adopted, terminated, or modified a Rule 10b5-1 trading arrangement - No directors or officers adopted, terminated, or modified a Rule 10b5-1 trading arrangement in Q2 2025[174](index=174&type=chunk) [Exhibits](index=38&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed as part of the Quarterly Report on Form 10-Q, including certifications by the CEO and CFO, and agreements related to the asset purchase of the Manitowoc facility - The exhibits filed with this report include the Asset Purchase Agreement and Sublease Agreement related to the sale of the Manitowoc facility, as well as CEO and CFO certifications[175](index=175&type=chunk)[178](index=178&type=chunk)

Financial Data and Key Metrics Changes - Second quarter consolidated revenues were $39.2 million, an 8% increase compared to the prior year period [11] - Adjusted EBITDA for the second quarter declined to $2.1 million from $3.6 million in the prior year, with an adjusted EBITDA margin dropping by 5.3% [12] - Total cash and availability on the credit facility at the end of the second quarter was approximately $15 million, with line of credit borrowings increasing to support a nearly $14 million increase in operating working capital [18] Business Line Data and Key Metrics Changes - Revenue in the Heavy Fabrication segment grew year over year by 27% to $25 million, driven by increased sales of wind power sectors [13] - Gearing orders increased to $6.8 million, up over $2 million compared to the prior year, although segment revenue fell to $7.3 million, down over $3 million year over year [14][15] - Industrial Solutions recorded nearly $14 million in orders, surpassing the previous record of $10 million, with segment revenue up 30% sequentially to $7.4 million [16] Market Data and Key Metrics Changes - Customer activity in the power generation market saw a 14% year-over-year increase in order rates, totaling $21 million [5] - Orders within the industrial solutions business more than tripled year over year, driven by strong demand for new gas turbine units [7] - The company noted robust demand from power generation and increasing demand from oil and gas customers, offsetting softness in wind, industrials, and mining [5] Company Strategy and Development Direction - The company is focusing on high-value precision manufacturing end markets and optimizing its asset footprint through the sale of its industrial fabrication operations in Manitowoc [4][5] - Investments are being made in equipment technology to improve process capabilities and profitability, particularly in the Industrial Solutions segment [8] - The company aims to capitalize on growth opportunities in the natural gas turbine market and is expanding its manufacturing capacity to meet future demand [21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the domestic onshore wind power activity continuing at its present rate through 2026, with sustained demand for wind repowering adapters [23] - The company anticipates improved utilization of its manufacturing footprint for the rest of the year and into 2026, positioning itself for steady, profitable growth [25] - Management highlighted the importance of a diverse customer base during periods of trade policy uncertainty, emphasizing the competitive advantage of a 100% domestic manufacturing base [11] Other Important Information - The company is suspending its previously issued financial guidance for the full year 2025 due to the pending asset sale of Manitowoc [18] - The expected completion of the Manitowoc transaction is anticipated to add approximately $13 million in cash to the balance sheet while reducing costs by $8 million annually [5] Q&A Session Summary Question: Guidance uncertainty related to the Manitowoc sale - Management indicated that uncertainty is mostly related to timing, with some transitional costs expected as operations wind down [28][29] Question: Visibility into additional demand for Industrial Solutions - Management noted strong visibility with key customers, particularly GE Vernova, and indicated that they can fulfill increased demand with existing capacity [34][35] Question: Strategies to capitalize on growing demand for power generation - The company has expanded its independent sales rep organizations and is increasing capacity in Industrial Solutions and gearing markets to meet demand [41][42] Question: Demand outlook for wind-related business - Management expects a pull-in of orders in 2026 and 2027 as developers take advantage of recent tax law changes [49] Question: Demand visibility for tower orders - Management confirmed strong visibility for orders through 2026, with a good flow of power and adapter orders expected [53]

Financial Performance - Broadwind's total revenue increased by 7.6% year-over-year in Q2 2025, reaching $39.2 million[16], driven by strong demand from the wind and industrial verticals[12] - Gross margin decreased to 10.1% in Q2 2025 due to manufacturing inefficiencies in the Heavy Fabrications segment and lower capacity utilization within the Gearing segment[12] - Adjusted EBITDA margin decreased to 5.3% year-over-year, amounting to $2.1 million in Q2 2025, as labor was added to support increased volumes in the wind and power generation verticals[12, 15] - GAAP Net Income turned into a loss of $1.0 million in Q2 2025, compared to a profit of $0.5 million in Q2 2024[17] Segment Performance - Heavy Fabrications segment revenue increased due to wind tower and repowering adapter sales, reaching $25.0 million[20, 23] - Heavy Fabrications segment EBITDA margin decreased to 11.4% in Q2 2025[20] - Gearing segment revenue declined by 30% year-over-year to $7.3 million in Q2 2025, but orders increased by 45% to $6.8 million[26, 27, 28] - Industrial Solutions segment revenue increased by 13.9% year-over-year to $7.4 million, with orders up by 207% to $13.9 million[32, 33, 34] Balance Sheet - Net working capital investment increased by 24% year-over-year to $42.5 million in Q2 2025[40, 43] - Total inventory increased to $51.4 million in Q2 2025[45] - Cash and LOC availability at quarter-end was $14.9 million[41]