Novanta (US:NOVT)2025-11-03 22:00Financial Performance - Third Quarter 2025 GAAP revenue increased by 1.4% to $247.8 million compared to $244.4 million in the same quarter of 2024[3] - GAAP net income for the third quarter of 2025 was $10.7 million, down from $19.2 million in the third quarter of 2024[5] - Adjusted diluted EPS for the third quarter of 2025 was $0.87, compared to $0.85 in the same quarter of 2024[7] - Revenue for the three months ended September 26, 2025, was $247.836 million, a 1.0% increase from $244.405 million in the same period of 2024[25] - Operating income decreased to $21.848 million, down 32.9% from $32.555 million year-over-year[25] - Net income for the quarter was $10.653 million, a decline of 44.8% compared to $19.192 million in the previous year[25] - Basic and diluted earnings per share were both $0.30, down from $0.53 in the same quarter of 2024[25] Revenue Growth - The company achieved a book-to-bill ratio of 1.03x and reported a 17% year-over-year growth in bookings[4] - Organic revenue growth for the third quarter of 2025 was (3.8)%, excluding the impact of acquisitions and foreign currency exchange rates[4] - The company expects mid-single digit organic revenue growth for the full year 2026, driven by new product launches and market momentum[9] - Revenue from the Medical Solutions segment increased to $122.520 million, up 5.7% from $115.701 million in the same quarter of 2024[31] - Organic Revenue Growth for the three months ended September 26, 2025, showed a decline of 3.8% compared to the previous period[40] Cash Flow and Assets - Operating cash flow for the third quarter of 2025 decreased to $8.5 million from $23.0 million in the third quarter of 2024[8] - Cash flows from operating activities were $8.495 million, significantly lower than $23.026 million in the prior year[29] - Total assets increased to $1.506 billion, up from $1.389 billion at the end of 2024[27] - The company reported a cash and cash equivalents balance of $89.221 million, down from $113.989 million at the end of 2024[27] Debt and Liabilities - Total liabilities rose to $704.335 million, compared to $642.813 million at the end of 2024[27] - Total Debt (GAAP) as of September 26, 2025, was $451,343 million, resulting in a Net Debt of $367,783 million[41] - The company reported a significant increase in cash and cash equivalents, with a decrease in Net Debt from $305,170 million in December 2024 to $367,783 million in September 2025[41] Adjusted Metrics - Adjusted EBITDA for the third quarter of 2025 was $58.1 million, compared to $57.0 million in the same quarter of 2024[7] - Adjusted Operating Income for the three months ended September 27, 2024, was $38,634 million, with an Adjusted Operating Margin of 19.1%[37] - Adjusted Diluted EPS for the same period was $0.85, reflecting a significant increase compared to the previous year's $0.53[37] - Adjusted EBITDA for the three months ended September 27, 2024, was $56,976 million, with an Adjusted EBITDA Margin of 23.3%[39] Other Financial Information - The company incurred $6,156 million in restructuring, acquisition, and related costs during the reporting period[39] - The effective tax rate for the period was 20.8%, with a tax provision of $5,033 million[37] - For the fourth quarter of 2025, the company expects GAAP revenue to be approximately $253 million to $257 million[9] - The company anticipates full year 2025 GAAP revenue of approximately $975 million to $979 million[10]