Core Insights - Hawkins, Inc. reported strong growth across all three segments for the second consecutive quarter, with Water Treatment leading the way with over 21% revenue growth [3][7] - The company achieved record second quarter revenue of $280 million and adjusted EBITDA of $50.4 million, driven by a strategy focused on high-margin businesses [3][7] - Net income for the second quarter was $22.6 million, or $1.08 per diluted share, a decrease from $24.1 million, or $1.16 per diluted share, in the same period last year [5][7] Financial Performance - Revenue increased by 14% year-over-year, with sales reaching $280.4 million compared to $247.0 million in the prior year [8][7] - Gross profit rose by 12% to $67.6 million, maintaining a gross margin of 24% [12][7] - Adjusted EBITDA increased by 9% to $50.4 million, with trailing 12-month adjusted EBITDA exceeding $178 million [17][7] Segment Performance - Water Treatment segment sales grew by 21% to $150.9 million, attributed to $23 million from acquired businesses and increased organic sales [9][7] - Food & Health Sciences segment sales increased by 2% to $72.9 million, driven by higher sales volumes in agricultural and health products [10][7] - Industrial Solutions segment sales rose by 11% to $56.6 million, primarily due to increased sales volumes of manufactured products [11][7] Expenses and Income - Selling, general and administrative expenses increased by 27% to $33.7 million, largely due to costs associated with the WaterSurplus acquisition [16][7] - The effective income tax rate remained stable at 27% for the current quarter [18][7] - The company reduced its debt by $20 million during the quarter, with total debt outstanding at $279 million [20][7] Strategic Outlook - The company anticipates continued growth in Water Treatment and Industrial Solutions, while Food and Health Sciences may face flat to declining performance due to competitive pressures [3][7] - Hawkins, Inc. is focused on integrating the WaterSurplus acquisition, which is expected to be accretive in fiscal 2027 [3][7] - The company plans to maintain its strategy of investing in high-margin businesses and pursuing accretive acquisitions [3][7]

Company Overview - Hawkins, Inc. is a leading water treatment and specialty ingredients company founded in 1938, headquartered in Roseville, Minnesota [2] - The company operates 64 facilities across 28 states and employs approximately 1,100 people [2] - In fiscal 2025, Hawkins, Inc. generated $974 million in revenue [2] Dividend Declaration - The Board of Directors declared a quarterly cash dividend of $0.19 per share, payable on November 28, 2025 [1] - Shareholders of record will be those on the books at the close of business on November 14, 2025 [1] - Hawkins, Inc. has consistently paid dividends since 1985, indicating a stable financial history [1]

Core Viewpoint - The article compares Element Solutions (ESI) and Hawkins (HWKN) to determine which stock is more attractive to value investors [1] Valuation Metrics - ESI has a forward P/E ratio of 17.56, while HWKN has a forward P/E of 38.08 [5] - ESI's PEG ratio is 1.68, indicating a more favorable expected earnings growth rate compared to HWKN's PEG ratio of 2.38 [5] - ESI's P/B ratio is 2.32, significantly lower than HWKN's P/B of 7.24, suggesting ESI is more undervalued [6] Analyst Outlook - ESI currently holds a Zacks Rank of 2 (Buy), indicating an improving earnings estimate revision activity, while HWKN has a Zacks Rank of 3 (Hold) [3][7] - Based on the valuation metrics and analyst outlook, ESI is considered the superior value option at this time [7]

Core Insights - Hawkins, Inc. is set to release its financial results for the fiscal 2026 second quarter on October 29, 2025, after market close [1] - The company generated $974 million in revenue for fiscal 2025 and employs approximately 1,100 people [2] Company Overview - Hawkins, Inc. was founded in 1938 and specializes in water treatment and specialty ingredients [2] - The company operates 64 facilities across 28 states, focusing on customer service, quality products, and personalized applications [2]

Core Viewpoint - Hawkins (HWKN) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive shift in earnings estimates which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are closely correlated with stock price movements, particularly due to institutional investors adjusting their valuations based on these estimates [3][5]. - An increase in earnings estimates typically leads to higher fair value for a stock, prompting institutional investors to buy or sell, thus affecting stock prices [3]. Business Outlook for Hawkins - The upgrade reflects an improvement in Hawkins' underlying business, suggesting that investors may respond positively by driving the stock price higher [4]. - Hawkins is projected to earn $4.41 per share for the fiscal year ending March 2026, with no year-over-year change, but the Zacks Consensus Estimate has increased by 1% over the past three months [7]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks which have averaged a +25% annual return since 1988 [6]. - The system maintains a balanced distribution of ratings, ensuring that only the top 20% of stocks receive a "Strong Buy" or "Buy" rating, indicating superior earnings estimate revisions [8][9].

Core Viewpoint - Quaker Chemical (KWR) and Hawkins (HWKN) are both stocks in the Chemical - Specialty sector that are currently rated as a Zacks Rank of 2 (Buy), indicating positive earnings outlooks for both companies [3]. Valuation Metrics - KWR has a forward P/E ratio of 18.18, while HWKN has a significantly higher forward P/E of 41.40 [5]. - The PEG ratio for KWR is 1.46, suggesting a more favorable valuation relative to its expected EPS growth, compared to HWKN's PEG ratio of 2.59 [5]. - KWR's P/B ratio stands at 1.7, indicating a lower market value relative to its book value, whereas HWKN has a P/B ratio of 7.87 [6]. Value Grades - Based on various valuation metrics, KWR holds a Value grade of B, while HWKN has a Value grade of D, suggesting that KWR is currently the superior value option [6].

Core Insights - Marriott International has signed agreements to convert five properties to its new Series by Marriott™ brand in major U.S. markets, marking the brand's official debut in the country [1][2][4] - The Series by Marriott™ brand aims to provide a personalized experience that reflects the unique character of each destination, catering to the growing demand for upscale collection brands [3][4] - The collaboration with Hawkins Way Capital allows for the preservation of the FOUND Hotels brand identity while leveraging Marriott's global reach and loyalty system [4][5] Company Developments - The five properties transitioning to the Series by Marriott™ brand are located in Miami, Santa Monica, San Francisco, Chicago, and San Diego, and are currently operating under the FOUND Hotels brand [1][2][7] - The Series by Marriott™ brand was announced in May 2025 and is designed to offer reliable accommodations with essential amenities for travelers [3][4] - The independent FOUND Hotels brand aligns with the spirit of Series by Marriott™, focusing on design-led, select service hotels in prime locations [4][5] Market Strategy - The launch of Series by Marriott™ is seen as a strategic move to meet the evolving interests of owners, franchisees, and guests, providing a conversion opportunity for regional owners [4] - The brand aims to foster a model for approachable, local lifestyle hotels that cater to modern travelers in sought-after areas [4][5] - Marriott's expansion strategy includes a recent founding deal with Concept Hospitality Private Limited in India, which will affiliate The Ferns Brands with Series by Marriott™, adding to its global portfolio [5]

Core Insights - Hawkins, Inc. has been recognized as one of America's Greatest Companies 2025 by Newsweek, highlighting its commitment to excellence, innovation, and service [1] - The company has received multiple awards this year, reflecting its strong culture and dedication to its employees and communities [1][2] Company Overview - Hawkins, Inc. was founded in 1938 and specializes in water treatment and specialty ingredients, serving customers in Water Treatment, Food & Health Sciences, and Industrial Solutions [3] - The company is headquartered in Roseville, Minnesota, operates 64 facilities across 28 states, and generated $974 million in revenue for fiscal 2025 with approximately 1,100 employees [3] Awards and Recognition - The company is Great Place to Work® Certified, indicating its commitment to an inclusive and rewarding workplace [4] - It has been recognized as one of Newsweek® America's Most Responsible Companies, showcasing its leadership in sustainability and ethical business practices [4] - Hawkins was listed among the Minneapolis/St.Paul Business Journal® Fastest Growing Public Companies in Minnesota, reflecting strong year-over-year growth [4] - The company also made it to Fortune's Top Workplaces in Manufacturing and Production 2025, emphasizing its positive work environment [4]

Company Overview - Hawkins, Inc. is a leading water treatment and specialty ingredients company founded in 1938, headquartered in Roseville, Minnesota, with 64 facilities across 28 states [3] - The company generated $974 million in revenue for fiscal 2025 and employs approximately 1,100 people [3] Acquisition Details - Hawkins, Inc. has completed the acquisition of StillWaters Technology, Inc., which distributes water treatment chemicals and equipment in Alabama [1] - This acquisition is part of Hawkins' strategy to expand its customer base in the southern U.S. and enhance its water treatment business [2] Strategic Intent - The CEO of Hawkins, Patrick H. Hawkins, emphasized that the acquisition will help build a larger customer base in Alabama and demonstrates the company's ability to execute its growth strategy [2] - Hawkins intends to maintain the strong community connections established by StillWaters, indicating a focus on local engagement and integration [3]

Company Overview - Hawkins, Inc. is a leading water treatment and specialty ingredients company founded in 1938, headquartered in Roseville, Minnesota [4] - The company formulates, manufactures, distributes, and blends products for Water Treatment, Food & Health Sciences, and Industrial Solutions customers [4] - Hawkins, Inc. generated $974 million in revenue for fiscal 2025 and employs approximately 1,100 people [4] Upcoming Conference Participation - Patrick Hawkins, CEO, and Jeff Oldenkamp, CFO, will participate in Sidoti & Company's small cap virtual investor conference on September 17, 2025 [1] - The conference is attended by nearly 500 North American institutional investment firms interested in small-cap companies [2] - Hawkins management will be available for individual one-on-one virtual meetings during the conference [2]