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 (Exact name of registrant as specified in its charter) | Ohio | 34-0676895 | | --- | --- | | (State or Other Jurisdiction of Incorporation or Organization) | (I.R.S. Employer Identification No.) | | 660 Beta Drive | | | Mayfield Village, Ohio | 44143 | | (Address of Principal Executive Office) | (Zip Code) | | (440) 461‑5200 | | | ...

Financial Performance - Q4 2025 net sales were $173.1 million, a 4% increase from Q4 2024's $167.1 million[2] - Full year 2025 net sales grew 13% to $669.3 million compared to $593.7 million in 2024[4] - Q4 2025 net income was $8.4 million, or $1.72 per diluted share, down from $10.5 million, or $2.13 per diluted share in Q4 2024[3] - Full year 2025 net income was $35.3 million, or $7.14 per diluted share, compared to $37.1 million, or $7.50 per diluted share in 2024[5] - Adjusted net income for 2025, excluding pension termination impact, was $43.0 million, or $8.70 per diluted share, a 16% increase[5] - Net income attributable to PLPC shareholders was $35,283,000[17] - Net income per share attributable to PLPC shareholders was $7.14[17] Shareholder Returns - Quarterly dividend increased by 5% to $0.21 per share[7] - Adjusted earnings per diluted share of common stock attributable to PLPC shareholders was $8.70[17] - Basic adjusted earnings per share of common stock attributable to PLPC shareholders was $8.74[17] Market Demand and Backlog - Backlog increased 22% to $232.8 million, indicating strong demand in core markets[7] - Foreign currency translation contributed an increase of $4.4 million to Q4 2025 net sales[2] Cost and Investment Challenges - The company faced cost increases due to tariffs on key commodities, impacting net income despite higher sales and price increases[6] - The company plans to invest in new product development and facility modernization, including a new facility in Poland expected to come online in 2026[8] Adjusted Financial Metrics - Adjusted net income attributable to PLPC shareholders for the year ended December 31, 2025, was $43,004,000[17] - Per share impact of pension termination expense, after tax, was $1.56[17] - Average number of shares of common stock outstanding was 4,942 (diluted)[17]

Financial Performance - Preformed Line Products Company reported a fourth quarter net sales of $173.1 million, a 4% increase from $167.1 million in Q4 2024 [1] - Full year net sales reached $669.3 million, reflecting a 13% growth from $593.7 million in 2024 [1] - The company achieved a diluted EPS of $7.14 for the full year 2025, compared to $7.50 in 2024, while adjusted diluted EPS increased by 16% to $8.70 [1][2] Dividend and Backlog - The quarterly dividend was increased by 5% to $0.21 per share, demonstrating the company's commitment to shareholder value [1] - The backlog increased by 22% to $232.8 million, indicating robust demand in core markets [1] Cost and Income Analysis - Net income for Q4 2025 was $8.4 million, down from $10.5 million in Q4 2024, impacted by tariffs and inventory valuation costs [1] - For the full year, net income was $35.3 million, a decrease from $37.1 million in 2024, but adjusted net income rose to $43.0 million after accounting for pension termination expenses [1][2] Market and Operational Insights - The company experienced strong performance in both energy and communications end-markets, with international segments benefiting from sales increases in Asia-Pacific [1] - The impact of tariffs on commodity inputs was noted, particularly due to Section 232 steel and aluminum tariffs, affecting production costs [1] Future Outlook - The company anticipates continued strong cash generation to support investments in new product development and facility modernization [1] - A new state-of-the-art facility in Poland is expected to come online later in 2026, contributing to future growth [1]

PLP Fourth Quarter & Full Year 2025 Earnings Presentation March 4, 2026 FORWARD LOOKING STATEMENTS AND NON-GAAP MEASURES Cautionary Note Regarding Forward-Looking Statements This presentation contains forward-looking statements regarding Preformed Line Products Company's (the "Company", "we" "us" or "our") and our management's beliefs and expectations. Any forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. As a general matter, ...

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Core Viewpoint - Preformed Line Products Company (PLPC) demonstrated strong revenue growth in Q3 2025, driven by its core energy and communications markets, despite facing one-time pension charges and tariff-related cost pressures [1] Group 1: Revenue Growth - PLPC achieved net sales of $178.1 million in Q3 2025, marking a 21% year-over-year increase, with growth across all geographic segments and product markets [2] - For the first nine months of 2025, net sales rose 16% to $496.2 million, primarily due to increased volumes in energy and communications products [2] - The PLP-USA segment benefited from strong domestic demand, while international operations contributed additional revenue from higher energy sales and the acquisition of JAP Telecom in Brazil, which added $2.3 million in revenues [3] Group 2: Profitability and Earnings - PLPC's operating income improved year-over-year, increasing to $13.1 million in Q3 2025 from $10.4 million in the same quarter a year earlier, reflecting higher sales volumes and operating leverage [4] - Adjusted diluted EPS for Q3 2025 increased 36% year-over-year to $2.09, excluding the pension termination charge, indicating strong underlying earnings power [5] Group 3: Financial Position - As of September 30, 2025, PLPC maintained a conservative financial profile with $72.9 million in cash and equivalents and generated $51.5 million in operating cash flow for the first nine months of 2025 [6] - The company reported a low bank debt-to-equity ratio of 8.3%, and management's disciplined capital allocation allowed for a reduction in credit facility capacity to $60 million while maintaining liquidity for capital expenditures, acquisitions, and dividends [7] Group 4: Challenges and Risks - PLPC faces margin pressure from tariffs on steel and aluminum, with tariff-related costs totaling $3.8 million in Q3 2025 and $6.2 million for the first nine months of 2025, impacting gross margins despite higher sales volumes [8] - A non-cash pre-tax pension termination charge of $11.7 million in Q3 2025 significantly impacted reported earnings, reducing GAAP diluted EPS to 53 cents from $1.54 in the prior-year period [10] - The company is in an elevated capital expenditure cycle for new manufacturing facilities, which increases near-term cash outflows and execution risks [11] Group 5: Conclusion - PLPC remains fundamentally sound with strong revenue growth, improving adjusted profitability, and a solid balance sheet, but faces near-term challenges from tariff pressures, earnings volatility, and elevated capital spending [12] - Despite potential near-term volatility, the company's underlying momentum and financial flexibility support its long-term investment appeal, particularly in energy and communications infrastructure [13]

Core Viewpoint - Small-cap stocks, defined as those with market capitalizations between $300 million and $2 billion, are considered higher-risk but can offer significant growth potential, as evidenced by historical examples like Nvidia [1][2][3]. Company Overview - Preformed Line Products (PLPC) is identified as a promising small-cap stock with potential for long-term growth, currently valued at approximately $1.05 billion [4][14]. - The company specializes in designing and manufacturing products for energy, communications, and broadband networks, operating globally with a presence in 20 countries [9]. Financial Performance - In Q3, PLPC reported a revenue increase of 21% year-over-year, reaching $178.1 million, driven by strong performance in both energy and communications sectors [15]. - The net income for Q3, adjusted for one-time items, was $10.3 million, or $2.09 per share, reflecting a 36% year-over-year increase, indicating an expanding profit margin [16]. - Cash generated from operations was $18.9 million, up 102% year-over-year, with free cash flow at $8.5 million, supporting ongoing investments in a new facility in Poland [17]. Growth Drivers - The company is expected to benefit from AI-driven electric grid upgrades and global expansion, as the demand for energy infrastructure grows [8][10]. - The recent acquisition of JAP Telecom enhances PLPC's ability to serve telecommunications needs in South America, contributing to its growth strategy [16]. Insider Ownership - Significant insider ownership, with the Ruhlman family holding between 31% to 48% of shares, aligns the interests of management with those of shareholders [12][11]. Dividend and Tariff Management - PLPC offers a modest dividend yield of approximately 0.39%, which can enhance long-term returns when reinvested [19]. - The company has implemented price increases to mitigate the impact of tariffs, with expectations for full mitigation over time [19].

Group 1 - Riverwater Partners' Small Cap Strategy reported solid results for Q3 2025 but lagged behind the benchmark due to the market's preference for lower-quality companies [1] - The strategy focuses on higher-quality companies with enduring fundamentals, consistent revenue, and a transparent path to profitability [1] - The fund's top 5 holdings can be reviewed to identify its best picks for 2025 [1] Group 2 - Preformed Line Products Company (NASDAQ:PLPC) is highlighted as a key stock, with a one-month return of 19.00% and a 52-week gain of 75.19% [2] - As of December 15, 2025, PLPC's stock closed at $228.48 per share, with a market capitalization of $1.125 billion [2] - PLPC supplies crucial components to the utility, industrial, and communication sectors and was founded in 1947 [3] Group 3 - Preformed Line Products Company (NASDAQ:PLPC) is not among the 30 Most Popular Stocks Among Hedge Funds, with 10 hedge fund portfolios holding the stock at the end of Q3, unchanged from the previous quarter [4] - While PLPC is recognized for its investment potential, certain AI stocks are considered to offer greater upside potential and less downside risk [4]

Core Points - Preformed Line Products has announced a 5% increase in its quarterly cash dividend, raising it from $0.20 to $0.21 per share, payable on January 20, 2026 [1][2] - This marks the first dividend increase since the company went public on NASDAQ in 2001, reflecting strong liquidity and a commitment to returning capital to shareholders [2][3] - The management emphasizes confidence in the company's ability to generate consistent cash flows while balancing reinvestment and shareholder returns [3] Financial Performance - The increase in the dividend highlights the strength of the company's balance sheet and resilience of its business model [3] - The company has a long-standing history of returning capital to shareholders through dividends and share repurchases [3] Strategic Outlook - Management will evaluate further dividend increases based on operating results and business outlook, indicating a disciplined approach to capital allocation [3] - The company operates in 20 countries, providing precision-engineered solutions for energy and communications providers, which underscores its global presence and commitment to quality [5]

Core Viewpoint - Preformed Line Products has announced a 5% increase in its quarterly cash dividend, marking the first increase since its NASDAQ listing in 2001, reflecting strong liquidity and commitment to shareholder returns [1][2]. Group 1: Dividend Increase - The quarterly dividend will rise from $0.20 to $0.21 per share, payable on January 20, 2026, to shareholders of record as of January 5, 2026 [1]. - This increase demonstrates the company's strong liquidity position and management's confidence in generating consistent cash flows while investing in growth initiatives [2][3]. Group 2: Management Commentary - The Executive Chairman emphasized that the ability to increase the dividend highlights the strength of the company's balance sheet and future growth outlook [3]. - The company is focused on disciplined capital allocation, balancing reinvestment in operations with returns to shareholders, and will consider further dividend increases based on operating results [3]. Group 3: Company Overview - Preformed Line Products provides precision-engineered solutions for energy and communications providers globally, ensuring stronger and more reliable networks [5]. - The company operates in 20 countries, delivering high-quality products and exceptional service to customers worldwide [5].