Core Insights - Standex International (SXI) reported quarterly earnings of $1.99 per share, exceeding the Zacks Consensus Estimate of $1.94 per share, and up from $1.71 per share a year ago, representing an earnings surprise of +2.58% [1] - The company posted revenues of $217.43 million for the quarter ended September 2025, slightly missing the Zacks Consensus Estimate by 0.06%, but up from $170.46 million year-over-year [2] - Standex shares have increased approximately 30.7% year-to-date, outperforming the S&P 500's gain of 17.2% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.94 on revenues of $215.65 million, and for the current fiscal year, it is $8.83 on revenues of $902.35 million [7] - The estimate revisions trend for Standex was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Manufacturing - General Industrial industry, to which Standex belongs, is currently ranked in the bottom 37% of over 250 Zacks industries, suggesting potential challenges ahead [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact investor sentiment [5]

Core Insights - Standex International Corporation reported strong financial results for the first quarter of fiscal year 2026, with net sales increasing by 27.6% year-on-year to $217.4 million, driven by new product launches and growth in fast-growing markets [2][3][4] - The company achieved record quarterly order intake of $226 million, indicating robust demand across its segments [3][4] - Adjusted operating income rose by 43.3% year-on-year, reflecting effective pricing strategies and productivity improvements [2][4] Financial Performance - Net Sales: $217.4 million in Q1 FY26, up from $170.5 million in Q1 FY25, representing a 27.6% increase [2] - Operating Income (GAAP): $29.6 million, a 23.0% increase from $24.1 million in the previous year [2] - Adjusted Operating Income: $41.6 million, up 43.3% from $29.0 million in Q1 FY25 [2] - Net Income from Continuing Operations (GAAP): $15.8 million, down 13.0% from $18.2 million in Q1 FY25 [2] - EBITDA: $39.7 million, a 27.3% increase year-on-year [2] Segment Performance - Electronics: Revenue increased by 42.2% year-on-year to $110.6 million, with adjusted operating income rising by 73.0% [8][10] - Engineering Technologies: Revenue grew by 45.6% to $29.9 million, driven by strong demand in space, defense, and aviation markets [10][11] - Scientific: Revenue increased by 9.9% to $19.5 million, despite a decline in organic demand due to NIH funding cuts [12] - Engraving: Revenue rose by 7.4% to $35.8 million, supported by improved demand in Europe [14] Outlook - The company raised its fiscal year 2026 sales outlook, now expecting revenue growth of over $110 million, primarily driven by organic growth and new product launches [7][5] - Fast growth market sales are projected to exceed $270 million, with an expected growth rate of over 45% year-on-year [7][4] - The company anticipates continued adjusted operating margin expansion in fiscal year 2026 [7] Capital Allocation and Cash Flow - Capital expenditures for Q1 FY26 were $6.4 million, with expectations for total capital expenditures between $33 million and $38 million for the fiscal year [21] - Free cash flow after capital expenditures was $10.4 million, slightly down from $10.8 million in the prior year [21] - The company paid down approximately $8 million of debt, reducing its net debt to EBITDA ratio to 2.4x [4][21]

Core Viewpoint - Standex International Corporation will announce its first quarter fiscal 2026 financial results on October 30, 2025, and will hold a conference call on October 31, 2025, to discuss these results and the company's outlook [1][2]. Financial Results Announcement - The financial results will be released after the market closes on October 30, 2025 [1]. - A live conference call will take place at 8:30 a.m. ET on October 31, 2025, featuring David Dunbar, President & CEO, and Ademir Sarcevic, CFO & Treasurer [2]. Webcast Information - Investors can access the webcast and slide presentation through the "Investors" section of Standex's website [3]. - A replay of the webcast will be available shortly after the presentation concludes [3]. Company Overview - Standex International Corporation operates in five business segments: Electronics, Engineering Technologies, Scientific, Engraving, and Specialty Solutions [4]. - The company has a global presence with operations in the United States, Europe, Canada, Japan, Singapore, Mexico, Turkey, India, and China [4].

Accessibility StatementSkip Navigation Also from this source STANDEX ELECTRONICS UNVEILS NEW BRAND IDENTITY TO POWER THE NEXT ERA OF ENGINEERING INNOVATION Standex Electronics, a business segment of Standex International Corporation(NYSE:SXI) and a global leader in precision-engineered electronic... STANDEX TO PARTICIPATE IN D.A. DAVIDSON INDUSTRIALS & SERVICES CONFERENCE SALEM, N.H., Oct. 23, 2025 /PRNewswire/ -- Standex International Corporation(NYSE: SXI)Â today announced that its Board of Directors has ...

Core Insights - Standex Electronics has launched a refreshed brand identity that signifies its evolution in engineering excellence and collaborative innovation [2][4][5] - The rebranding aligns with Standex International Corporation's broader brand refresh, emphasizing agile development and lean principles to enhance time-to-market while ensuring precision and quality [3][4] - The new brand architecture introduces three aligned divisions under Standex Electronics, simplifying customer access to expertise and resources [5][6] Company Overview - Standex Electronics is headquartered in Fairfield, Ohio, operating eighteen manufacturing facilities across seven countries, employing approximately 1,500 people, and generating annual sales of USD 400 million [7] - The company positions itself as a trusted partner for high-quality, custom-engineered solutions, focusing on electrification and digitalization [4][6] - Standex International Corporation operates in five business segments: Electronics, Engineering Technologies, Scientific, Engraving, and Specialty Solutions, with a global presence [8]

Core Insights - The article compares Luxfer (LXFR) and Standex International (SXI) to determine which stock is a better undervalued investment option for investors interested in Manufacturing - General Industrial stocks [1] Valuation Metrics - Luxfer has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision trend compared to Standex International, which has a Zacks Rank of 3 (Hold) [3] - Luxfer's forward P/E ratio is 13.71, significantly lower than Standex International's forward P/E of 23.49, suggesting that Luxfer may be undervalued [5] - The PEG ratio for Luxfer is 1.71, while Standex International's PEG ratio is 2.61, indicating that Luxfer's expected earnings growth is more favorable relative to its valuation [5] - Luxfer's P/B ratio is 1.59, compared to Standex International's P/B of 3.47, further supporting the notion that Luxfer is undervalued [6] - These metrics contribute to Luxfer's Value grade of A and Standex International's Value grade of D, reinforcing the conclusion that Luxfer is the better investment option for value investors [6]

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[Fiscal Fourth Quarter and Fiscal Year 2025 Financial Results Overview](index=1&type=section&id=Fiscal%20Fourth%20Quarter%20and%20Fiscal%20Year%202025%20Financial%20Results%20Overview) Standex International Corporation reported strong Q4 FY25 results with significant growth in sales, adjusted operating income, and EPS, achieving record adjusted operating margin and substantial debt reduction [Summary Financial Results](index=1&type=section&id=Summary%20Financial%20Results%20-%20Total) Standex International Corporation reported strong financial results for Q4 FY25, with significant year-over-year growth in net sales, adjusted operating income, and adjusted EPS, achieving record adjusted operating margin and making substantial debt payments Summary Financial Results | ($M except EPS and Dividends) | 4Q25 | 4Q24 | Y/Y | Q/Q | | :---------------------------- | :--- | :--- | :--- | :--- | | Net Sales | $222.0 | $180.2 | 23.2% | 6.9% | | Operating Income – GAAP | $34.7 | $27.1 | 27.9% | 32.3% | | Operating Income – Adjusted | $45.8 | $30.8 | 48.7% | 13.4% | | Operating Margin % - GAAP | 15.6% | 15.1% | + 50 bps | + 300 bps | | Operating Margin % - Adjusted | 20.6% | 17.1% | + 350 bps | + 120 bps | | Net Income from Continuing Ops – GAAP | $15.5 | $19.7 | -21.4% | -32.1% | | Net Income from Continuing Ops – Adjusted | $27.5 | $22.4 | 22.8% | 17.1% | | Diluted EPS – GAAP | $1.23 | $1.66 | -25.9% | -32.0% | | Diluted EPS – Adjusted | $2.28 | $1.89 | 20.6% | 16.9% | | Dividends per Share | $0.32 | $0.30 | 6.7% | 0.0% | | Free Cash Flow | $24.9 | $22.2 | 11.9% | 614.2% | | Net Debt to EBITDA | 2.6x | 0.0x | NM | -13.3% | [Key Performance Highlights](index=1&type=section&id=Key%20Performance%20Highlights) The company achieved significant sales growth in Q4 FY25, driven by new products and fast-growth markets, alongside record adjusted operating margins, and reduced its net debt, with FY25 also seeing record operating performance across several adjusted metrics - Q4 FY25 Sales Increased **23.2% YOY to $222.0 Million**, driven by new products and fast growth markets[4](index=4&type=chunk) - Record Adjusted Operating Margin of **20.6% in Q4 FY25**, up **350 bps YOY**[4](index=4&type=chunk) - Paid Down **$27 Million of Debt** in Q4 FY25, lowering Net Debt to EBITDA Ratio to **2.6x**[4](index=4&type=chunk) - Record Operating Performance in FY25: Adjusted Gross Margin of **41.7%** (up **230 bps YOY**), Adjusted EBIT Margin of **19.1%** (up **210 bps YOY**), and Record Adjusted EPS of **$7.98** (up **5.8% YOY**)[4](index=4&type=chunk) [CEO Commentary and Strategic Highlights](index=2&type=section&id=CEO%20Commentary%20and%20Strategic%20Highlights) CEO David Dunbar highlighted a strong Q4 FY25 performance with record adjusted operating margin and EPS, attributing success to portfolio evolution, the Amran/Narayan Group acquisition, and operational efficiency, while maintaining confidence in secular growth trends and strategic investments - Adjusted operating margin expanded **350 basis points** year-on-year to a record **20.6%**, and adjusted earnings per share grew more than **20%** to a record **$2.28** in Q4 FY25[5](index=5&type=chunk) - Fast growth market sales totaled **$61 million** (approximately **28% of total sales**) in FY25, exceeding expectations, with a long-term target of **$340 million plus by FY28**[5](index=5&type=chunk) - Launched three additional new products in Q4 FY25, totaling **16 in FY25**, contributing **2.5% of incremental sales**[5](index=5&type=chunk) - Expanded capacity in Houston and India for Amran/Narayan Group and began commissioning a greenfield site in Croatia[5](index=5&type=chunk) [Outlook](index=2&type=section&id=Outlook) Standex provides a positive outlook for Q1 and full fiscal year 2026, projecting significant revenue growth, continued margin expansion, and strategic investments in new products and acquisitions [Fiscal First Quarter 2026 Outlook](index=2&type=section&id=Fiscal%20First%20Quarter%202026%20Outlook) For Q1 FY26, Standex anticipates significantly higher year-over-year revenue driven by recent acquisitions and low-single-digit organic growth, along with significant adjusted operating margin expansion, though sequentially revenue is expected to be slightly lower due to project timing and seasonality - Expects significantly higher revenue year-on-year in Q1 FY26, driven by acquisitions and low-single-digit organic growth[6](index=6&type=chunk) - Anticipates significant adjusted operating margin expansion year-on-year in Q1 FY26[6](index=6&type=chunk) - Expects slightly lower revenue and adjusted operating margin sequentially in Q1 FY26 due to project timing in Engineering Technologies and seasonality in Europe[6](index=6&type=chunk) [Fiscal Year 2026 Outlook](index=2&type=section&id=Fiscal%20Year%202026%20Outlook) Standex projects revenue growth of over $100 million for fiscal year 2026, with continued adjusted operating margin expansion, fueled by organic growth in Electronics and Engineering Technologies, contributions from recent acquisitions, and plans for new product launches and further debt reduction - Expects revenue to grow by over **$100 million** in FY26[7](index=7&type=chunk) - Anticipates continued adjusted operating margin expansion in FY26[7](index=7&type=chunk) - Plans to release over **fifteen new products** in FY26, contributing approximately **300 bps of incremental growth**[7](index=7&type=chunk) - Sales from fast growth markets are expected to grow approximately **45% year-on-year** and exceed **$265 million** in FY26[7](index=7&type=chunk) - On track to further reduce its net debt to EBITDA ratio in FY26[7](index=7&type=chunk) [Fourth Quarter Segment Operating Performance](index=2&type=section&id=Fourth%20Quarter%20Segment%20Operating%20Performance) This section details the Q4 FY25 operating performance across Standex's five segments, highlighting revenue and income changes, and key drivers such as acquisitions, organic growth, and market conditions [Electronics](index=2&type=section&id=Electronics) The Electronics segment demonstrated strong performance in Q4 FY25, with revenue increasing 43.2% year-on-year, primarily driven by acquisitions and modest organic growth, while adjusted operating income surged 84.7% due to the Amran/Narayan Group acquisition, pricing, and product mix, maintaining a healthy book-to-bill ratio Electronics Segment Performance | Electronics ($M) | 4Q25 | 4Q24 | % Change | | :----------------- | :--- | :--- | :------- | | Revenue | 115.2 | 80.4 | 43.2% | | GAAP Operating Income | 28.0 | 16.1 | 73.5% | | GAAP Operating Margin % | 24.3 | 20.1 | | | Adjusted Operating Income* | 32.9 | 17.8 | 84.7% | | Adjusted Operating Margin %* | 28.5 | 22.1 | | - Revenue increase of **43.2% year-on-year**, reflecting a **41.0% benefit from acquisitions**, **0.3% organic growth**, and **1.9% from foreign currency**[9](index=9&type=chunk) - Adjusted operating income increased **84.7% year-on-year** due to the Amran/Narayan Group acquisition, pricing, and product mix[9](index=9&type=chunk) - Book-to-bill ratio of approximately **1.03** in Q4 FY25, with orders of approximately **$118 million**[10](index=10&type=chunk) [Engineering Technologies](index=3&type=section&id=Engineering%20Technologies) The Engineering Technologies segment saw a 26.8% year-on-year revenue increase in Q4 FY25, largely due to the McStarlite acquisition and new product sales, with adjusted operating income also growing by 11.8%, though slightly lower sequential revenue and adjusted operating margin are anticipated in Q1 FY26 due to project timing Engineering Technologies Segment Performance | Engineering Technologies ($M) | 4Q25 | 4Q24 | % Change | | :---------------------------- | :--- | :--- | :------- | | Revenue | 32.0 | 25.3 | 26.8% | | GAAP Operating Income | 4.3 | 5.3 | -18.3% | | GAAP Operating Margin % | 13.5 | 20.9 | | | Adjusted Operating Income* | 5.9 | 5.3 | 11.8% | | Adjusted Operating Margin %* | 18.4 | 20.9 | | - Revenue increased **26.8% year-on-year**, reflecting a **25.0% benefit from the McStarlite acquisition** and **0.9% organic growth**, primarily from new products[12](index=12&type=chunk) - Adjusted operating income increased **11.8% year-on-year** due to the recent acquisition and higher volume[12](index=12&type=chunk) - Expects slightly lower revenue and adjusted operating margin sequentially in Q1 FY26 due to project timing[13](index=13&type=chunk) [Scientific](index=3&type=section&id=Scientific) The Scientific segment experienced a modest 2.3% year-on-year revenue increase in Q4 FY25, primarily from the Custom Biogenic Systems acquisition, which largely offset an organic decline due to NIH funding cuts, leading to a 16.1% decrease in adjusted operating income, with Q1 FY26 forecasting slightly higher revenue and similar adjusted operating margins Scientific Segment Performance | Scientific ($M) | 4Q25 | 4Q24 | % Change | | :---------------- | :--- | :--- | :------- | | Revenue | 17.9 | 17.5 | 2.3% | | GAAP Operating Income | 4.1 | 4.9 | -16.6% | | GAAP Operating Margin % | 22.9 | 28.1 | | | Adjusted Operating Income* | 4.3 | 5.2 | -16.1% | | Adjusted Operating Margin %* | 24.3 | 29.6 | | - Revenue increased **2.3% year-on-year**, reflecting a **16.1% benefit from the Custom Biogenic Systems acquisition**, mostly offset by a **13.9% organic decline** from lower demand at academic and research institutions due to NIH funding cuts[16](index=16&type=chunk) - Adjusted operating income decreased **16.1% year-on-year** due to organic decline partially offset by acquisition contribution[16](index=16&type=chunk) - Expects slightly higher revenue and similar adjusted operating margin sequentially in Q1 FY26[17](index=17&type=chunk) [Engraving](index=4&type=section&id=Engraving) The Engraving segment reported a slight 0.6% year-on-year revenue increase in Q4 FY25, benefiting from foreign currency but partially offset by organic decline due to softness in North America, while adjusted operating income grew 14.9% due to productivity initiatives and restructuring actions, with Q1 FY26 anticipating similar revenue and slightly higher adjusted operating margin Engraving Segment Performance | Engraving ($M) | 4Q25 | 4Q24 | % Change | | :--------------- | :--- | :--- | :------- | | Revenue | 33.0 | 32.7 | 0.6% | | GAAP Operating Income | 4.6 | 3.9 | 17.8% | | GAAP Operating Margin % | 14.1 | 12.0 | | | Adjusted Operating Income* | 5.0 | 4.4 | 14.9% | | Adjusted Operating Margin %* | 15.2 | 13.3 | | - Revenue increased **0.6% year-on-year**, reflecting a **1.2% foreign currency benefit**, partially offset by a **0.6% organic decline** due to continued softness in North America[18](index=18&type=chunk) - Adjusted operating income increased **14.9% year-on-year** due to the realization of productivity initiatives and restructuring actions[18](index=18&type=chunk) - Secured a source award from a major OEM in North America to supply soft trim parts for a calendar year 2026 program[19](index=19&type=chunk) [Specialty Solutions](index=4&type=section&id=Specialty%20Solutions) The Specialty Solutions segment experienced a 1.2% year-on-year revenue decrease in Q4 FY25, attributed to general market softness in the Display Merchandising and Hydraulics businesses, with operating income declining by 17.2% due to lower volume, and Q1 FY26 expecting similar revenue and slightly higher operating margins Specialty Solutions Segment Performance | Specialty Solutions ($M) | 4Q25 | 4Q24 | % Change | | :----------------------- | :--- | :--- | :------- | | Revenue | 23.9 | 24.2 | -1.2% | | Operating Income | 4.5 | 5.4 | -17.2% | | Operating Margin % | 18.6 | 22.2 | | - Revenue decreased **1.2% year-on-year**, reflecting general market softness in the Display Merchandising and Hydraulics businesses[20](index=20&type=chunk) - Operating income decreased **17.2% year-on-year** due to lower volume[20](index=20&type=chunk) - Expects similar revenue and slightly higher operating margin sequentially in Q1 FY26[21](index=21&type=chunk) [Capital Allocation and Financial Position](index=5&type=section&id=Capital%20Allocation%20and%20Financial%20Position) This section outlines Standex's balance sheet and cash flow, detailing net debt, dividend payments, capital expenditures, and share repurchase authorization [Balance Sheet and Cash Flow Highlights](index=5&type=section&id=Balance%20Sheet%20and%20Cash%20Flow%20Highlights) Standex reported a net debt of $448.0 million as of June 30, 2025, a significant increase from the prior year, primarily due to long-term debt, while declaring a quarterly cash dividend of $0.32 per share, and outlining capital expenditures for FY25 and FY26, with net cash provided by operating activities and free cash flow both increasing in Q4 FY25 - Net debt was **$448.0 million** on June 30, 2025, compared to **($5.3) million** at the end of Q4 FY24, consisting primarily of **$552.5 million long-term debt** and **$104.5 million cash and equivalents**[27](index=27&type=chunk) - Declared a quarterly cash dividend of **$0.32 per share**, an approximately **6.7% year-on-year increase**[27](index=27&type=chunk) Capital Expenditures | Metric | FY25 ($M) | FY24 ($M) | FY26 Outlook ($M) | | :-------------------- | :-------- | :-------- | :---------------- | | Capital Expenditures | 28.3 | 20.298 | 33 - 38 | Cash Flow Metrics | Cash Flow Metric (3 months ended June 30) | 2025 ($M) | 2024 ($M) | | :---------------------------------------- | :-------- | :-------- | | Net cash provided by continuing operating activities | 33.4 | 28.7 | | Free cash flow after capital expenditures | 24.9 | 22.2 | - Approximately **$28 million** remained on the Company's current share repurchase authorization at the end of Q4 FY25[27](index=27&type=chunk) [Additional Information](index=5&type=section&id=Additional%20Information) This section provides details on the upcoming conference call, the company's use of non-GAAP financial measures, an overview of Standex International Corporation, forward-looking statement disclaimers, and investor contact information [Conference Call Details](index=5&type=section&id=Conference%20Call%20Details) Standex will host a conference call on August 1, 2025, at 8:30 a.m. ET to discuss financial results and business highlights, with investors able to access the webcast and slide presentation via the company's website, and replays available online and via teleconference - Conference call for investors scheduled for **August 1, 2025, at 8:30 a.m. ET**[24](index=24&type=chunk) - Webcast and slide presentation available on Standex's website under 'Investors' section[24](index=24&type=chunk) - Replay of webcast available online through **August 1, 2026**, and audio playback via phone through **August 8, 2025**[25](index=25&type=chunk) [Use of Non-GAAP Financial Measures](index=5&type=section&id=Use%20of%20Non-GAAP%20Financial%20Measures) Standex utilizes various non-GAAP financial measures, such as adjusted operating income, adjusted net income, free operating cash flow, EBITDA, and adjusted EPS, to provide investors with a clearer understanding of its core operating results and performance trends, with these measures excluding specific items and reconciled to comparable GAAP measures - Company uses non-GAAP measures including adjusted income from operations, adjusted net income from continuing operations, free operating cash flow, EBITDA, adjusted EBITDA, and adjusted EPS[26](index=26&type=chunk) - Non-GAAP measures exclude impacts of restructuring charges, purchase accounting, amortization from acquired intangible assets, acquisition costs, and other specific gains/losses[26](index=26&type=chunk) - These measures are believed to help investors understand operating results and prospects, consistent with management's performance assessment, especially when comparing to previous periods[26](index=26&type=chunk) [About Standex](index=6&type=section&id=About%20Standex) Standex International Corporation is a diversified multi-industry manufacturer operating across five key business segments: Electronics, Engineering Technologies, Scientific, Engraving, and Specialty Solutions, maintaining a global presence with operations spanning multiple countries - Standex International Corporation is a multi-industry manufacturer[28](index=28&type=chunk) - Operates in five business segments: Electronics, Engineering Technologies, Scientific, Engraving, and Specialty Solutions[28](index=28&type=chunk) - Has operations in the United States, Europe, Canada, Japan, Singapore, Mexico, Turkey, India, and China[28](index=28&type=chunk) [Forward-Looking Statements](index=6&type=section&id=Forward-Looking%20Statements) This press release contains forward-looking statements subject to various risks and uncertainties that could cause actual results to differ materially from expectations, including global crises, economic conditions, competition, raw material costs, inflation, integration of acquisitions, and cybersecurity risks, with the company disclaiming any obligation to update these statements - Statements not based on historical facts are 'forward-looking statements' under the Private Securities Litigation Reform Act of 1995[29](index=29&type=chunk) - Many factors can affect the Company's business and results, causing actual outcomes to differ materially from expectations[29](index=29&type=chunk) - Risk factors include global crises, economic conditions, lower-cost competition, higher raw material and logistics costs, inflation, inability to realize cost savings, acquisition integration challenges, and cybersecurity attacks[29](index=29&type=chunk) [Contact Information](index=6&type=section&id=Contact%20Information) For investor inquiries, Christopher Howe, Director of Investor Relations, can be reached at (773) 754-5394 or InvestorRelations@Standex.com - Contact: Christopher Howe, Director of Investor Relations[30](index=30&type=chunk) - Phone: **(773) 754-5394**[30](index=30&type=chunk) - Email: InvestorRelations@Standex.com[30](index=30&type=chunk) [Financial Statements](index=7&type=section&id=Financial%20Statements) This section presents Standex's condensed consolidated balance sheets, statements of operations, cash flows, selected segment data, and reconciliation of GAAP to non-GAAP financial measures for fiscal years 2024 and 2025 [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The condensed consolidated balance sheets show a significant increase in total assets and liabilities from June 30, 2024, to June 30, 2025, primarily driven by substantial increases in goodwill, intangible assets, and long-term debt, reflecting recent acquisition activities, with stockholders' equity also increasing Condensed Consolidated Balance Sheets | (In thousands) | June 30, 2025 | June 30, 2024 | | :------------------------------------ | :------------ | :------------ | | Total assets | $1,566,880 | $1,005,057 | | Total current assets | 480,879 | 430,095 | | Goodwill | 610,338 | 281,283 | | Intangible assets, net | 225,757 | 78,673 | | Total liabilities | 827,290 | 383,554 | | Long-term debt | 552,515 | 148,876 | | Total stockholders' equity | 711,677 | 621,503 | [Consolidated Statement of Operations](index=8&type=section&id=Consolidated%20Statement%20of%20Operations) The consolidated statement of operations for Q4 FY25 shows a 23.2% year-over-year increase in net sales, reaching $222.0 million, while gross profit and income from operations increased, net income from continuing operations and diluted EPS (GAAP) decreased due to higher interest expense, provision for income taxes, and acquisition-related costs, with full fiscal year 2025 net sales growing by 9.6% but GAAP net income and EPS declining Consolidated Statement of Operations | (In thousands, except per share data) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Year Ended June 30, 2025 | Year Ended June 30, 2024 | | :------------------------------------ | :------------------------------- | :------------------------------- | :----------------------- | :----------------------- | | Net sales | $222,049 | $180,194 | $790,107 | $720,635 | | Gross profit | 91,298 | 69,413 | 315,248 | 282,001 | | Income from operations | 34,734 | 27,147 | 93,549 | 101,738 | | Interest expense | 9,016 | 1,300 | 23,931 | 4,544 | | Net income from continuing operations | 15,473 | 19,688 | 57,726 | 73,591 | | Net income attributable to Standex International | 14,826 | 19,591 | 55,760 | 73,074 | | Diluted earnings per share | $1.23 | $1.65 | $4.64 | $6.14 | [Statements of Consolidated Cash Flows](index=9&type=section&id=Statements%20of%20Consolidated%20Cash%20Flows) For fiscal year 2025, net cash provided by operating activities decreased to $69.6 million from $92.7 million in FY24, with investing activities resulting in a significant net cash outflow of $503.4 million primarily due to expenditures for acquisitions, and financing activities generating a substantial net cash inflow of $380.5 million driven by proceeds from borrowings Statements of Consolidated Cash Flows | (In thousands) | Year Ended June 30, 2025 | Year Ended June 30, 2024 | | :---------------------------------------- | :----------------------- | :----------------------- | | Net cash provided by operating activities | $69,596 | $92,656 | | Net cash provided by (used in) investing activities | (503,433) | (61,629) | | Net cash (used in) financing activities | 380,490 | (69,201) | | Net change in cash and cash equivalents | (49,661) | (41,503) | | Cash and cash equivalents at end of period | $104,542 | $154,203 | - Expenditures for acquisitions, net of cash acquired, totaled **$478.9 million** in FY25[37](index=37&type=chunk) - Proceeds from borrowings were **$792.3 million** in FY25, while payments of debt were **$389.1 million**[37](index=37&type=chunk) [Selected Segment Data](index=10&type=section&id=Selected%20Segment%20Data) The selected segment data for Q4 FY25 shows Electronics as the largest segment by net sales and income from operations, with significant year-over-year growth, and Engineering Technologies also reporting strong sales growth, while for the full fiscal year 2025, Electronics and Engineering Technologies demonstrated sales growth, but Engraving and Specialty Solutions experienced declines Net Sales by Segment | Net Sales (In thousands) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Year Ended June 30, 2025 | Year Ended June 30, 2024 | | :----------------------- | :------------------------------- | :------------------------------- | :----------------------- | :----------------------- | | Electronics | $115,192 | $80,417 | $400,130 | $321,956 | | Engineering Technologies | 32,040 | 25,271 | 102,595 | 83,476 | | Scientific | 17,918 | 17,521 | 72,380 | 68,931 | | Engraving | 32,958 | 32,749 | 128,360 | 150,685 | | Specialty Solutions | 23,941 | 24,236 | 86,642 | 95,587 | | Total | $222,049 | $180,194 | $790,107 | $720,635 | Income from Operations by Segment | Income from operations (In thousands) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Year Ended June 30, 2025 | Year Ended June 30, 2024 | | :------------------------------------ | :------------------------------- | :------------------------------- | :----------------------- | :----------------------- | | Electronics | $28,009 | $16,146 | $87,927 | $64,030 | | Engineering Technologies | 4,308 | 5,270 | 15,428 | 15,216 | | Scientific | 4,108 | 4,926 | 17,470 | 19,000 | | Engraving | 4,643 | 3,943 | 17,647 | 26,708 | | Specialty Solutions | 4,453 | 5,381 | 14,841 | 19,631 | | Total | $34,734 | $27,147 | $93,549 | $101,738 | [Reconciliation of GAAP to Non-GAAP Financial Measures](index=11&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Financial%20Measures) The reconciliation tables provide a detailed breakdown of adjustments made to GAAP figures to arrive at non-GAAP measures such as adjusted income from operations, adjusted net income from continuing operations, EBITDA, adjusted EBITDA, free operating cash flow, and adjusted EPS, with these adjustments primarily including restructuring charges, acquisition-related costs, amortization of acquired intangible assets, and purchase accounting expenses, which significantly impact the reported profitability and cash flow metrics Reconciliation of GAAP to Non-GAAP Financial Measures | (In thousands, except percentages) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Year Ended June 30, 2025 | Year Ended June 30, 2024 | | :--------------------------------- | :------------------------------- | :------------------------------- | :----------------------- | :----------------------- | | Income from operations, as reported | $34,734 | $27,147 | $93,549 | $101,738 | | Adjusted income from operations | $45,751 | $30,769 | $150,581 | $122,354 | | Net income from continuing operations, as reported | $15,473 | $19,688 | $57,726 | $73,591 | | Net income attributable to Standex International, as adjusted | $27,523 | $22,441 | $95,831 | $89,799 | | EBITDA | $45,226 | $33,875 | $128,179 | $127,807 | | Adjusted EBITDA | $51,596 | $35,472 | $170,599 | $140,548 | | Free cash flow from continuing operations | $24,855 | $22,204 | $41,306 | $73,048 | Adjusted Earnings Per Share from Continuing Operations | Adjusted earnings per share from continuing operations | June 30, 2025 | June 30, 2024 | % Change (Q4) | June 30, 2025 | June 30, 2024 | % Change (FY) | | :----------------------------------------------------- | :------------ | :------------ | :------------ | :------------ | :------------ | :------------ | | Diluted earnings per share from net income attributable to Standex, as reported | $1.23 | $1.66 | -25.9% | $4.64 | $6.18 | -24.9% | | Diluted earnings per share from net income attributable to Standex, as adjusted | $2.28 | $1.89 | 20.7% | $7.98 | $7.54 | 5.8% | - Key adjustments include restructuring charges, acquisition-related costs, amortization of acquired intangible assets, and purchase accounting expenses[41](index=41&type=chunk)[44](index=44&type=chunk)

Financial Performance - Net sales for fiscal year 2025 increased by $69.5 million, or 9.6%, to $790.1 million, with acquisitions contributing $123.6 million, or 17.2%[128]. - Gross profit for fiscal year 2025 rose to $315.2 million, reflecting a gross margin of 39.9%, compared to $282.0 million and 39.1% in the prior year[131]. - Income from operations for fiscal year 2025 was $93.5 million, a decrease of $8.2 million, or 8.0%, primarily due to increased acquisition costs and administrative expenses[139]. - Net sales for the year ended June 30, 2025, increased to $790,107,000, a rise of 9.6% compared to $720,635,000 in 2024[224]. - Total comprehensive income for 2025 was $74,696,000, compared to $48,595,000 in 2024, indicating a significant increase[225]. - Net income for the year ended June 30, 2025, was $57,684,000, a decrease of 21% compared to $73,074,000 in 2024[228]. Expenses and Costs - Selling, general, and administrative expenses for fiscal year 2025 were $193.4 million, or 24.5% of sales, compared to $169.9 million, or 23.5% of sales in the prior year[133]. - Interest expense for fiscal year 2025 was $23.9 million, an increase of $19.3 million due to higher debt levels for acquisitions[142]. - The company incurred restructuring expenses of $6.9 million in fiscal year 2025, mainly related to facility rationalization and global headcount reductions[135]. - Acquisition-related expenses totaled $21.4 million in fiscal year 2025, significantly higher than $2.6 million in the previous year[137]. - Cash flow from continuing operating activities for the year ended June 30, 2025, was $69.6 million, down from $93.3 million in the prior year[177]. Assets and Liabilities - Total assets increased to $1,566,880 thousand in 2025 from $1,005,057 thousand in 2024, representing a growth of approximately 56%[223]. - Long-term debt surged to $552,515 thousand in 2025, compared to $148,876 thousand in 2024, marking an increase of approximately 271%[223]. - The company reported a total current liabilities of $166,975 thousand in 2025, up from $127,565 thousand in 2024, which is an increase of about 31%[223]. - The allowance for credit losses at the end of 2025 was $3,985,000, an increase of 111.7% from $1,882,000 in 2024[236]. Market and Economic Conditions - The company experienced adverse effects on revenues and cash flow due to the COVID-19 pandemic, impacting global economic activity[69]. - Inflationary pressures have increased costs of materials, labor, and transportation, potentially affecting profit margins if price increases cannot be sustained[70]. - Economic recession could lead to reduced demand for products, order cancellations, and increased price competition, adversely impacting sales and profitability[72]. - Tariffs on components from China may lower net sales and profits, impacting the value of investments in Chinese operations[81]. - Natural disasters and geopolitical events, such as the war in Ukraine, could disrupt operations and adversely affect financial results[91][92]. Strategic Initiatives - New product development is critical for future growth, and difficulties in this area could impair competitive position and sales[77]. - The company intends to pursue acquisitions for growth, but challenges in identifying or completing these could limit future expansion[82]. - The Company plans to release over fifteen new products projected to contribute approximately 300 basis points of incremental growth in fiscal year 2026[152]. - The company plans to continue investing in key strategic growth priorities while managing costs and seeking alternate sources of supply to mitigate tariff impacts[194]. Competition and Risks - The company is subject to significant competition, and failure to effectively respond could lead to declines in net sales and profitability[76]. - The company faces risks from potential loss of key personnel, which could hinder business strategy execution and growth[93]. - Compliance with environmental regulations may incur significant costs, impacting profitability[86]. - The company has retained responsibility for known and unknown contingent liabilities related to divested businesses, which could adversely affect financial results[94]. Cybersecurity - The company has established a multilayered approach to cybersecurity risk management, including annual risk assessments and continuous monitoring[103]. - The company has a governance structure for cybersecurity oversight involving the board of directors and senior management, with quarterly updates provided[107]. - The company has engaged third parties for cybersecurity assessments and monitoring, including penetration testing and vulnerability assessments[104]. - The company has a required cybersecurity training program for all new employees and ongoing training for those with IT access, aimed at fostering a culture of cybersecurity awareness[109]. Shareholder Returns - The company has a stock buyback program authorized for up to $200 million, with 2,032 shares repurchased at an average price of $159 per share during the quarter ended June 30, 2025[115]. - The company declared dividends of $1.10 per share in 2023 and $0.94 per share in 2025, reflecting a focus on shareholder returns[226].

Financial Data and Key Metrics Changes - In the fourth quarter, total revenue increased approximately 23.2% year on year to $222 million, reflecting a 23.4% benefit from recent acquisitions and a 1.2% benefit from foreign currency, partially offset by an organic revenue decline of 1.4% [18] - Adjusted operating margin increased 350 basis points year on year to a record 20.6% [18] - Adjusted earnings per share increased 20.6% year on year to a record $2.28 [19] - Net cash provided by operating activities was $33.4 million compared to $28.7 million a year ago [19] - Free cash flow for the fourth quarter was $24.9 million compared to $22.2 million a year ago [19] Business Line Data and Key Metrics Changes - **Electronics Segment**: Revenue increased 43.2% year on year to $115.2 million, driven by a 41% benefit from acquisitions and organic growth of 0.3% [19] - **Engineering Technologies Segment**: Revenue increased 26.8% to $32 million, driven by a 25% benefit from the recent NexStarlight acquisition and organic growth of 0.9% [22] - **Scientific Segment**: Revenue increased 2.3% to $17.9 million, due to a 16.1% benefit from recent acquisition, partially offset by an organic decline of 13.9% [23] - **Engraving Segment**: Revenue increased 0.6% to $33 million, driven by a 1.2% benefit from foreign currency, partially offset by an organic decline of 0.6% [24] - **Specialty Solutions Segment**: Revenue decreased 1.2% year on year to $23.9 million, primarily due to general market softness [24] Market Data and Key Metrics Changes - Sales into fast growth markets were approximately $184 million, exceeding the fiscal year expectation of $170 million, driven by growth in data center demand and grid modernization [29] - In fiscal year 2026, sales into fast growth markets are expected to grow approximately 45% year on year and exceed $265 million [29] Company Strategy and Development Direction - The company is focusing on four sources of growth: new product sales, presence in fast growth markets, support for recent acquisitions, and winning new awards through commercial excellence [11][17] - The company plans to launch more than 15 new products in fiscal year 2026, which are expected to contribute over 300 basis points of incremental sales growth [10][29] - The company aims to achieve fiscal year 2028 targets of sales greater than $1.15 billion and adjusted operating margin greater than 23% [30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving over $100 million in incremental sales for fiscal year 2026, driven by acquisitions, new products, and fast growth markets [9][29] - The company remains well-positioned in a fluid economic environment due to strong customer relationships and disciplined pricing strategies [30] - Management noted that the company has successfully navigated challenges in the past and is prepared for future uncertainties [76] Other Important Information - The company declared its 244th consecutive cash dividend of 32¢ per share, representing a 6.7% increase year on year [26] - The company paid down approximately $27 million in debt during the fiscal fourth quarter [26] Q&A Session Summary Question: Can you provide insights on the $100 million revenue increase in fiscal year 2026? - Management indicated that the full year impact of acquisitions could bring over $60 million, with new products contributing around $20 million, and fast growth markets adding approximately $38 million, suggesting potential upside to the $100 million estimate [35][37] Question: How is the EV business performing amid market challenges? - Management noted that while EV sales dipped slightly in 2025, they anticipate growth in 2026 due to new model introductions and a shift towards electric vehicles [38][39] Question: What is the expected ramp-up for the new facility in Croatia? - Management expects to ship single-digit millions in fiscal year 2026, with potential growth to over $30 million in three years as customer commitments are fulfilled [42][43] Question: What is the outlook for the electronics segment's demand? - Management reported a 16% year-on-year increase in orders, primarily driven by OEMs, indicating a sustainable demand trend [51][54] Question: How are scientific segment margins expected to perform? - Management expects scientific margins to hold steady due to pricing and productivity actions, despite the lower margin from recent acquisitions [102] Question: What is the company's approach to managing working capital and cash flow? - Management is focused on improving collections and working capital efficiency, aiming to reduce days sales outstanding (DSO) back to the low 60s [106]