UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ——————————— FORM 10-Q ———————————— (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended May 31, 2023 (Registrant's telephone number, including area code) ———————————— OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-11288 ———————————— ENERPAC TOOL GROUP CORP. (Exact name of registrant as speci ...

Enerpac Tool Group Corp. (NYSE:EPAC) Q3 2023 Earnings Conference Call June 22, 2023 8:30 AM ET Company Participants Travis Williams - Director of Investor Relations Paul Sternlieb - President and Chief Executive Officer Anthony Colucci - Executive Vice President and Chief Financial Officer Operator Ladies and gentlemen, thank you for standing by. Welcome to Enerpac Tool Group's Third Quarter Earnings Conference Call. As a reminder, this conference is being recorded, June 22, 2023. It's now my pleasure to tu ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ——————————— FORM 10-Q ———————————— (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended February 28, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-11288 ———————————— ENERPAC TOOL GROUP CORP. (Exact name of registrant as specified in its charter) ———————————— Wisconsin 39-0168610 (State ...

Financial Data and Key Metrics - Net sales for Q1 2023 were $139 million, a 13% increase in core sales over Q1 2022 [31] - Adjusted EBITDA margin was 19% in Q1, reflecting a currency-neutral incremental profitability of 64% [31] - Adjusted EPS for Q1 was $0.29, up $0.13 from the prior year, representing an 80% increase year-over-year [32] - Free cash flow for Q1 was $16 million, compared to negative $8 million in Q1 2022 [44] Business Line Data and Key Metrics - IT&S product core sales increased by 14%, service core sales by 3%, and Cortland core sales by 26% in Q1 [31] - Cortland business delivered core growth of 26% year-over-year, with strong performance in oil and gas, aerospace, and defense [29][30] - New product launches, including battery-powered machine skates, contributed to growth in Q1 [18][19] Market Data and Key Metrics - Americas experienced core sales growth in the high teens, driven by product growth and demand in rail and wind sectors [22][23] - Europe saw low double-digit core growth, benefiting from government investments in infrastructure and rail [24] - Asia Pacific had low single-digit core growth, with challenges in China due to COVID restrictions [26] - MENAC region experienced low single-digit core growth, driven by oil and gas investments [28] Company Strategy and Industry Competition - The ASCEND transformation program aims to drive organic growth, operational excellence, and efficiency, with an expected $40 million to $50 million adjusted EBITDA benefit by fiscal 2024 [12][16] - The company focuses on four growth verticals: infrastructure, wind, rail, and industrial MRO, with a long-term target of 6% to 7% organic revenue CAGR [9] - Innovation is a key aspect of the growth strategy, with new products like battery-powered machine skates driving customer demand [18][19] Management Commentary on Operating Environment and Future Outlook - Management remains confident in the company's ability to grow and execute, despite macroeconomic uncertainty [11][48] - Order rates remained solid in the first few weeks of Q2, with no signs of a recession in the business [20][47] - The company expects to see continued easing of supply chain challenges and commodity price increases, but some headwinds may persist into 2023 [41][42] Other Important Information - The company reduced the number of legal entities, simplifying the business and reducing associated costs [15] - Pricing actions contributed approximately $8 million to the top line in Q1, offsetting the impact of inflation [34][43] - The company's leverage ratio is 0.7 times, well below the target range of 1.5 to 2.5 times [44] Q&A Session Summary - No specific Q&A session details were provided in the document [50]

ENERPAC. @ 1 Fiscal 2023 First Quarter Earnings D e c e m b e r 2 1 , 2 0 2 2 Forward-Looking Statements/Non-GAAP Measures Statements made in this presentation that are not historical are forward-looking statements made pursuant to the provisions of the Private Securities Litigation Reform Act of 1995. The terms "may," "should, ""could," "anticipate," "believe," "estimate," "expect," "objective," "plan," "project" and similar expressions are intended to identify forward-looking statements. Such forward-look ...

Forward-Looking Statements and Cautionary Factors [Forward-Looking Statements and Cautionary Factors](index=2&type=section&id=Forward-Looking%20Statements%20and%20Cautionary%20Factors) This section outlines potential risks and uncertainties that could cause actual results to differ materially from forward-looking statements, including supply chain issues, geopolitical instability, inflation, interest rate hikes, and the ability to execute on the ASCEND transformation program - The company identifies several significant risk factors that could impact future performance, including[6](index=6&type=chunk)[7](index=7&type=chunk) - **Supply Chain & Logistics:** Shortages of components, increased costs, and freight capacity challenges could delay order fulfillment[6](index=6&type=chunk) - **Economic & Geopolitical Risks:** Deterioration in the domestic or international economy, geopolitical activity (including the invasion of Ukraine), global tariffs, and a potential global recession are noted as significant risks[6](index=6&type=chunk)[7](index=7&type=chunk) - **Strategic Execution:** The ability to successfully execute on restructuring actions and the ASCEND transformation program to achieve anticipated profit improvements is a key uncertainty[6](index=6&type=chunk) - **Financial Risks:** The impact of rapidly rising interest rates and the ability to comply with debt covenants are highlighted as financial risks[7](index=7&type=chunk) Part I—Financial Information [Item 1—Condensed Consolidated Financial Statements (Unaudited)](index=4&type=section&id=Item%201%E2%80%94Condensed%20Consolidated%20Financial%20Statements%20%28Unaudited%29) This section presents the unaudited condensed consolidated financial statements for the three months ended November 30, 2022, including statements of earnings, comprehensive income, balance sheets, and cash flows, with detailed notes on accounting policies [Financial Statements](index=4&type=section&id=Financial%20Statements) For the three months ended November 30, 2022, the company reported net sales of $139.4 million, a 6.5% increase year-over-year, with net earnings from continuing operations more than doubling to $6.4 million and diluted EPS of $0.11, alongside improved operating cash flow Condensed Consolidated Statements of Earnings (Unaudited, in thousands) | Metric | Three Months Ended Nov 30, 2022 | Three Months Ended Nov 30, 2021 | | :--- | :--- | :--- | | **Net Sales** | **$139,382** | **$130,903** | | Gross Profit | $67,906 | $59,626 | | Operating Profit | $12,309 | $6,407 | | **Net Earnings from Continuing Operations** | **$6,409** | **$3,185** | | Net Earnings | $7,453 | $2,788 | | **Diluted EPS from Continuing Operations** | **$0.11** | **$0.05** | Condensed Consolidated Balance Sheets (Unaudited, in thousands) | Metric | November 30, 2022 | August 31, 2022 | | :--- | :--- | :--- | | Cash and cash equivalents | $129,243 | $120,699 | | Total current assets | $352,673 | $342,380 | | **Total Assets** | **$774,401** | **$757,312** | | Total current liabilities | $154,146 | $153,188 | | Long-term debt, net | $200,359 | $200,000 | | **Total Liabilities** | **$440,078** | **$438,701** | | **Total Shareholders' Equity** | **$334,323** | **$318,611** | Condensed Consolidated Statements of Cash Flows (Unaudited, in thousands) | Metric | Three Months Ended Nov 30, 2022 | Three Months Ended Nov 30, 2021 | | :--- | :--- | :--- | | **Cash provided by (used in) operating activities** | **$17,533** | **($4,726)** | | Cash used in investing activities | ($2,535) | ($3,160) | | Cash used in financing activities | ($5,688) | ($3,717) | | **Net increase (decrease) in cash** | **$8,544** | **($13,819)** | [Notes to Financial Statements](index=8&type=section&id=Notes%20to%20Financial%20Statements) The notes detail accounting policies, the ASCEND transformation program aiming for $40-$50 million in annual operating profit, and a new $600 million senior credit facility, with the IT&S segment showing increased sales - The company has one reportable segment, the Industrial Tools & Services Segment (IT&S), and an Other operating segment[25](index=25&type=chunk) - The ASCEND transformation program was launched in March 2022 with the goal of delivering an incremental **$40 to $50 million** of annual operating profit once fully implemented by the end of fiscal 2024. The company anticipates investing approximately **$60 to $65 million** over the life of the program[35](index=35&type=chunk) - On September 9, 2022, the company refinanced its debt with a new **$600 million** senior credit facility, comprising a **$400 million** revolving line of credit and a **$200 million** term loan, maturing in September 2027[46](index=46&type=chunk) Segment Net Sales (in thousands) | Segment | Three Months Ended Nov 30, 2022 | Three Months Ended Nov 30, 2021 | | :--- | :--- | :--- | | **IT&S Segment** | **$127,297** | **$121,431** | | Other Segment | $12,085 | $9,472 | | **Total** | **$139,382** | **$130,903** | Segment Operating Profit (in thousands) | Segment | Three Months Ended Nov 30, 2022 | Three Months Ended Nov 30, 2021 | | :--- | :--- | :--- | | **IT&S Segment** | **$26,640** | **$18,092** | | Other Segment | $1,424 | ($1,238) | | General Corporate | ($15,755) | ($10,447) | | **Total** | **$12,309** | **$6,407** | [Item 2—Management's Discussion and Analysis of Financial Condition and Results of Operations](index=19&type=section&id=Item%202%E2%80%94Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the financial results for the first quarter of fiscal 2023, highlighting a 6% increase in consolidated net sales to $139 million, a significant rise in operating profit to $12 million, improved cash flow from operations, and a refinanced senior credit facility Consolidated Results of Operations (in millions) | Metric | Q1 FY2023 | Q1 FY2022 | | :--- | :--- | :--- | | **Net Sales** | **$139** | **$131** | | Gross Profit | $68 | $60 | | Operating Profit | $12 | $6 | | Net Earnings from Continuing Operations | $6 | $3 | | Diluted EPS from Continuing Operations | $0.11 | $0.05 | - Consolidated net sales increased by **6%** year-over-year. Core Sales, which exclude a **6%** unfavorable impact from foreign currency, increased by **13%**. This growth was driven by pricing actions and volume increases[71](index=71&type=chunk) - Operating profit increased by **$6 million** compared to the prior year. This was achieved despite a **$4 million** increase in SG&A, which included **$9 million** in charges for the ASCEND transformation program, offset by lower restructuring and leadership transition costs[74](index=74&type=chunk) - The IT&S segment's net sales grew by **5%** to **$127 million**, with core sales up **11%**. The segment's operating profit margin improved to **20.9%** from **14.9%** in the prior-year quarter, as pricing actions and sales mix offset supply chain cost increases[75](index=75&type=chunk) - Net cash provided by operating activities was **$18 million**, a **$23 million** improvement from the prior year, primarily due to higher earnings and stronger accounts receivable collections[81](index=81&type=chunk) [Item 3—Quantitative and Qualitative Disclosures about Market Risk](index=23&type=section&id=Item%203%E2%80%94Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company faces market risks from interest rate changes, foreign currency fluctuations, and commodity costs, with primary exposure to variable rate debt and global operations in Australia, the Netherlands, and the UK, alongside material price volatility - **Interest Rate Risk:** A **10%** increase in the average cost of variable rate debt would have increased financing costs by **$0.2 million** for the quarter[88](index=88&type=chunk) - **Foreign Currency Risk:** A hypothetical **10%** decrease in all foreign exchange rates against the U.S. dollar would have lowered quarterly sales by **$6 million** and operating profit by less than **$0.1 million**. The same change would result in a **$35 million** reduction to equity[88](index=88&type=chunk) - **Commodity Cost Risk:** The company sources materials like steel and plastic resin, which are subject to price fluctuations. It strives to pass these cost increases on to customers to protect profit margins[88](index=88&type=chunk) [Item 4—Controls and Procedures](index=24&type=section&id=Item%204%E2%80%94Controls%20and%20Procedures) Senior management concluded that the company's disclosure controls and procedures were effective as of November 30, 2022, with no material changes in internal control over financial reporting during the quarter - Management concluded that the company's disclosure controls and procedures were effective as of the end of the period covered by the report[91](index=91&type=chunk) - There were no changes in internal control over financial reporting during the quarter ended November 30, 2022, that have materially affected, or are reasonably likely to materially affect, internal controls[92](index=92&type=chunk) Part II—Other Information [Item 2—Unregistered Sales of Equity Securities and Use of Proceeds](index=25&type=section&id=Item%202%E2%80%94Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the company's share repurchase program, authorized in March 2022 for up to 10,000,000 shares, with no repurchases made during the three months ended November 30, 2022 - In March 2022, the Board approved a new share repurchase program authorizing the repurchase of **10,000,000** shares of common stock[94](index=94&type=chunk) - The company did not repurchase any shares in the three months ended November 30, 2022[94](index=94&type=chunk) - As of November 30, 2022, the maximum number of shares that may still be purchased under the program is **6,240,265**[94](index=94&type=chunk) [Item 6—Exhibits](index=25&type=section&id=Item%206%E2%80%94Exhibits) This section lists the exhibits filed with the Form 10-Q, including the Credit Agreement, CEO and CFO certifications, and financial data in Inline XBRL format - Key exhibits filed include[95](index=95&type=chunk) - Exhibit 10.1: Credit Agreement dated September 9, 2022[95](index=95&type=chunk) - Exhibits 31.1, 31.2, 32.1, 32.2: Certifications of the CEO and CFO[95](index=95&type=chunk) - Exhibit 101: Financial statements formatted in Inline XBRL[95](index=95&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended August 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition period from to to Commission File No. 1-11288 ENERPAC TOOL GROUP CORP. (Exact name of Registrant as specified in its charter) Wisconsin 39-0168610 (State or other jurisdiction o ...

Enerpac Tool Group Corp. (NYSE:EPAC) Q4 2022 Earnings Conference Call September 29, 2022 11:00 AM ET Company Participants Bobbi Belstner - Senior Director, IR and Strategy Paul Sternlieb - President and CEO Anthony Colucci - EVP and CFO Conference Call Participants Jeff Hammond - KeyBank Capital Markets Operator Ladies and gentlemen, thank you for standing by. Welcome to the Enerpac Tool Group's Fourth Quarter Earnings Conference Call. During the presentation all participants will be in a listen-only mode. ...

ENERPAC. @ 1 Fiscal 2022 Fourth Quarter Earnings S e p t e m b e r 2 9 , 2 0 2 2 Forward-Looking Statements Statements in this presentation that are not historical are considered "forward-looking statements" and are subject to change based on various factors and uncertainties that may cause actual results to differ significantly from expectations. Those factors are contained in Enerpac Tool Group's Securities and Exchange Commission filings. All estimates of future performance are as of September 28, 2022. ...

| --- | --- | |-------|-------| | | | | | | | | | Forward-Looking Statements Statements in this presentation that are not historical are considered "forward-looking statements" and are subject to change based on various factors and uncertainties that may cause actual results to differ significantly from expectations. Those factors are contained in Enerpac Tool Group's Securities and Exchange Commission filings. All estimates of future performance are as of June 28, 2022. Enerpac Tool Group's inclusion of th ...