Core Insights - Aerospace and defense manufacturers are facing challenges such as uneven program funding, high input and labor costs, and pressure from OEMs for improved execution and reliability [1] - CPI Aerostructures, Inc. (CVU) focuses on complex structural assemblies and serves as both a supplier and prime contractor, while SIFCO Industries, Inc. (SIF) specializes in forgings and machined components with a vertically integrated manufacturing approach [1][2] Company Performance - Over the past three months, SIF has underperformed with a decline of 22.9%, while CVU has seen an increase of 52.8%. However, in the past year, SIF has rallied 52.3% compared to CVU's loss of 5% [3] - SIF is currently trading at a trailing 12-month EV/S ratio of 0.37X, above its five-year median of 0.26X, while CVU's forward sales multiple is at 0.89X, above its last five-year median of 0.64X [4] Factors Driving SIFCO's Stock - SIFCO's stock is benefiting from stronger demand in aerospace and defense markets, with solid year-over-year sales growth in military and commercial aircraft programs [5] - The company is implementing a margin-improvement strategy focused on cost reduction and selective price increases, leading to improved profitability [6] - SIFCO has streamlined its operations to focus on its core aerospace forging business, enhancing alignment with long-term growth goals [7] Factors Driving CPI Aerostructures' Stock - CPI Aerostructures is gaining from its exposure to long-duration defense and electronic warfare programs, securing production work on established military platforms [8] - The company's dual role as a Tier 1 supplier and prime contractor allows it to engage across multiple layers of the aerospace supply chain, expanding its opportunities [9] - Recent operational improvements have stabilized investor sentiment, with enhanced execution and cost management supporting profitability [10] Investment Outlook - Current analysis suggests that SIFCO Industries presents a more attractive risk-reward profile compared to CPI Aerostructures, despite CVU's recent strong performance [11][13] - SIFCO's stock, while having rallied, has pulled back recently, trading at a low sales multiple relative to CVU and the broader aerospace sector, indicating potential for greater upside [14]

Core Viewpoint - SIFCO Industries, Inc. has experienced a decline in stock price following its earnings report, with a notable loss of 8.2% compared to the S&P 500's gain of 1.4% during the same period [1] Financial Performance - For Q4 fiscal 2025, SIFCO's net sales increased by 5.3% year-over-year to $22.8 million, while the loss from continuing operations narrowed to $0.5 million, or $(0.08) per diluted share, compared to a loss of $1.4 million, or $(0.24) per diluted share, in the previous year [2] - The total net loss for the quarter was $429,000, slightly improved from $443,000 a year ago, with EBITDA at $1.1 million, down 15.7% from $1.3 million [2] - For the full fiscal year, net sales rose by 6.5% to $84.8 million, and the loss from continuing operations improved significantly to $0.9 million, or $(0.15) per diluted share, from a loss of $8.6 million, or $(1.44) per diluted share, in fiscal 2024 [3] Profitability Metrics - Gross profit for Q4 declined by 5.6% to $2.2 million despite higher sales, indicating margin pressure [4] - For fiscal 2025, gross profit increased by 76.9% to $10.6 million, raising gross margin to 12.5% from 7.5% due to higher volumes and improved pricing [5] - Selling, general and administrative (SG&A) expenses decreased by 6.6% to $10.4 million, contributing to an operating income of $0.2 million compared to an operating loss of $5.2 million a year earlier [5] Revenue Mix and Market Performance - Fixed-wing aircraft revenue increased by $9.6 million to $51.4 million, while Rotorcraft sales remained flat at $17.1 million [6] - Commercial space revenue declined sharply by $8.2 million to $5 million, attributed to reduced procurement activity [6] - Military net sales accounted for 56.5% of total net sales in fiscal 2025, up from 47.6% in fiscal 2024, while commercial net sales represented 43.5% [7] Management Insights - Management highlighted progress in margin improvement and strong demand in military and commercial aerospace markets, with a backlog of $119.2 million at the end of fiscal 2025 [8] - The company emphasized a focus on cost reduction, selective price increases, and scaling production to meet customer needs [8] Factors Influencing Financial Results - The year-over-year improvement was supported by higher sales volumes, improved gross margins, and a net Employee Retention Credit (ERC) benefit totaling $3.3 million [10][11] - Interest expense declined by 45.3% due to reduced average debt balances, contributing to the improved loss from continuing operations [11] Future Outlook - SIFCO did not provide formal quantitative guidance for fiscal 2026 but expressed confidence in demand trends and plans for capital expenditures between $1 million and $2 million to enhance production capabilities [12] Structural Changes - The sale of SIFCO's European operations, specifically the Italian forging and manufacturing business, has been presented as discontinued operations, affecting comparability [13]

Shares of Sifco Industries Inc. (SIF) are gaining on Monday, after announcing a narrower net loss for the fourth quarter, on reduced loss from continuing operations and improved sales, compared to the prior year.The quarterly loss narrowed to $429K or $0.08 per share, from loss of $443K or $0.24 per share in the prior year. Loss from continuing operations were $491K, while it was loss of $1.407 million a year ago. Net sales for the fourth quarter increased 5 percent to $22.81 million from $21.67 million a ...

Core Insights - SIFCO Industries, Inc. reported financial results for the fourth quarter and fiscal year 2025, showing improvements in sales and reductions in net losses compared to the previous year [1][4][7]. Fourth Quarter Highlights - Net sales for the fourth quarter of fiscal 2025 increased by 5% to $22.8 million, up from $21.7 million in the same period of fiscal 2024 [7]. - The net loss from continuing operations for the fourth quarter was $0.5 million, or $(0.08) per diluted share, an improvement from a net loss of $1.4 million, or $(0.24) per diluted share, in the fourth quarter of fiscal 2024 [7]. - EBITDA for the fourth quarter was $1.1 million, compared to $0.8 million in the fourth quarter of fiscal 2024 [7]. - Adjusted EBITDA for the fourth quarter was $1.8 million, up from $0.8 million in the same quarter of fiscal 2024 [7]. Fiscal Year 2025 Highlights - Net sales for fiscal 2025 increased by 6% to $84.8 million, compared to $79.6 million in fiscal 2024 [7]. - The net loss from continuing operations for fiscal 2025 was $0.9 million, or $(0.15) per diluted share, significantly improved from a net loss of $8.6 million, or $(1.44) per diluted share, in fiscal 2024 [7]. - EBITDA for fiscal 2025 was $6.0 million, compared to $(0.7) million in fiscal 2024 [7]. - Adjusted EBITDA for fiscal 2025 was $5.7 million, up from $0.8 million in fiscal 2024 [7]. Other Highlights - The company has focused on capitalizing on market opportunities while improving margins through cost reductions and selective price increases [4]. - Strong demand in military and commercial aerospace markets contributed to financial improvements [4]. - The customer backlog stood at $119.2 million at the end of fiscal year 2025, indicating positive future demand for forging solutions [4].

Financial Performance - Net sales in Q4 2025 increased by 5% to $22.8 million, compared to $21.7 million in Q4 2024[8] - Net loss from continuing operations in Q4 2025 was $0.5 million, or $(0.08) per diluted share, an improvement from a net loss of $1.4 million, or $(0.24) per diluted share, in Q4 2024[8] - EBITDA for Q4 2025 was $1.1 million, up from $0.8 million in Q4 2024[8] - Net sales for fiscal 2025 increased by 6% to $84.8 million, compared to $79.6 million in fiscal 2024[8] - Net loss from continuing operations for fiscal 2025 was $0.9 million, or $(0.15) per diluted share, significantly improved from a net loss of $8.6 million, or $(1.44) per diluted share, in fiscal 2024[8] - EBITDA for fiscal 2025 was $6.0 million, compared to $(0.7) million in fiscal 2024[8] - Adjusted EBITDA in Q4 2025 was $1.8 million, compared to $0.8 million in Q4 2024[8] Customer Demand - Customer backlog stood at $119.2 million at the end of fiscal 2025, indicating strong demand for forging solutions[5] Strategic Focus - The company focused on cost reduction and selective price increases to improve margins[5] - The company plans to increase production to meet customer needs for the upcoming year and beyond[5]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended September 30, 2025 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________________ to _____________________ Commission file number 1-5978 SIFCO Industries, Inc. (Exact name of registrant as specified in its charter) | Ohio | 34-0553950 | ...

SIFCO Industries, Inc.’s (SIF) investors have been experiencing some short-term gains from the stock of late. Shares of the Cleveland, OH-based manufacturer of forgings, sub-assemblies and machined components (primarily serving the aerospace and energy or A&E markets) have surged 77% in the past six months compared with the industry’s 5% rise. The stock also outperformed the sector and the S&P 500’s 4.9% and 18.4% gains, respectively, in the same time frame.A major development of SIF in recent months includ ...

Core Insights - SIFCO Industries, Inc. has experienced significant short-term stock gains, with a 69.3% increase over the past three months, outperforming the industry and major indices [1][7] - The company reported strong third-quarter fiscal 2025 results, showcasing a notable upswing in revenue and earnings, driven by operational efficiencies and disciplined cost management [2][12] Company Performance - Demand for SIFCO's forged and machined components remained resilient, particularly as aerospace and energy sector customers increased production [3][10] - Despite slight sales growth, the company achieved a turnaround in profitability, indicating effective operational strategies [2][12] - SIFCO's stock performance has outpaced peers like Optex Systems Holdings, Inc. and Park Aerospace Corp., which saw gains of 5.1% and 30.3%, respectively, in the same period [7] Operational Efficiency - The company has made substantial progress in driving operational efficiency through tighter cost control and improved product mix, resulting in stronger margins despite limited top-line growth [12] - Initiatives such as the sale of non-core European operations and consolidation of production activities have streamlined operations and reduced fixed costs [12] Market Dynamics - Improved raw material availability has eased production bottlenecks, while constructive pricing discussions with customers support a stable revenue outlook [13] - The aerospace industry faces challenges, including supply chain weaknesses and the complexities of digitalization, yet SIFCO's favorable share price movement suggests potential for maintaining market momentum [8] Valuation and Investment Outlook - SIFCO's trailing 12-month EV/Sales ratio of 0.5X is significantly lower than the industry's average of 11.5X, indicating potential for growth if it aligns more closely with market performance [15][19] - The company's strong core business strength and earnings potential present a compelling case for both existing and new investors to consider holding or adding to their positions [17][19]

Core Insights - SIFCO Industries, Inc. has seen a significant stock price increase of 101.1% over the past three months, outperforming the industry and major indices [1][7] - The company reported strong third-quarter fiscal 2025 results, with notable improvements in profitability despite only a slight increase in sales, indicating effective cost control measures [2][12] - Demand for SIFCO's products remains robust, particularly in the aerospace and energy markets, although supply chain constraints still pose challenges [3][10] Financial Performance - SIFCO's operational initiatives have led to a structural turnaround, enhancing profitability through cost reductions and efficient production, resulting in improved cash generation [12] - The company has strengthened its financial position by reducing debt and improving liquidity, allowing for greater flexibility in operations and potential growth initiatives [13] - SIFCO's trailing 12-month EV/Sales ratio is 0.5X, significantly lower than the industry average of 11.3X, indicating potential for growth if it aligns more closely with market performance [15][18] Market Position - The aerospace sector's momentum is benefiting SIFCO, as demand from aircraft and defense customers continues to rise, supporting revenue growth and margin stability [10][11] - Despite challenges in the aerospace industry, including supply chain weaknesses and digitalization complexities, SIFCO's favorable share price movement suggests it may maintain positive market momentum [8] - Compared to peers like Optex Systems Holdings, Inc. and Park Aerospace Corp., SIFCO has outperformed in stock price appreciation, indicating strong market positioning [7][17]

Core Insights - SIFCO Industries, Inc. has seen a significant stock price increase of 21.5% since its earnings report for the year ended June 30, 2025, outperforming the S&P 500 Index, which experienced a 1.1% loss during the same period [1] - The company reported a notable turnaround in profitability, moving from a net loss of $0.9 million in the prior year to a net income of $3.3 million in the third quarter of fiscal 2025 [2][3] Financial Performance - In the third quarter of fiscal 2025, SIFCO's net sales increased by 0.5% to $22.1 million compared to $21.9 million a year ago [2] - For the first nine months of fiscal 2025, net sales rose by 6.9% year over year to $62 million from $57.9 million [3] - EBITDA surged to $5.3 million from $1.2 million a year earlier, while adjusted EBITDA increased to $4.4 million from $1.8 million [2] Profitability Metrics - Gross profit for the fiscal third quarter reached $5.9 million, a 117.4% increase from $2.7 million in the prior-year quarter, driven by a 15.9% reduction in the cost of goods sold [4] - Operating profit improved significantly to $3.3 million from $147,000 in the prior-year quarter [4] - The gross margin increased to 26.7% from 12.3% year over year, indicating enhanced production efficiency [7] Balance Sheet Overview - As of June 30, 2025, total assets were reported at $77.3 million, down from $104.6 million at the end of fiscal 2024, primarily due to discontinued operations and reduced receivables [5] - Shareholders' equity strengthened to $35.8 million from $30.4 million, supported by the current year's profitability [5] Management Insights - Management highlighted strong demand for SIFCO's forgings and machined components, particularly from aerospace and energy sectors, despite some ongoing supply chain constraints [6] - Favorable pricing discussions with customers are expected to continue into the fiscal fourth quarter, contributing to a positive outlook [8] Operational Factors - The improvement in profitability was achieved with only a marginal rise in sales, reflecting effective cost control measures [7] - Interest expenses decreased by 56.8% to $0.4 million from $0.9 million a year earlier, contributing to the overall financial improvement [7] Strategic Developments - No acquisitions, divestitures, or major restructuring actions were reported during the quarter, with minimal activity from discontinued operations in the current fiscal year [9]