Enerpac Tool(US:EPAC)2025-12-17 21:34Financial Performance - Consolidated net sales for Q1 fiscal 2026 were $144.2 million, a decrease of 1% compared to $145.2 million in the prior year[4] - Net earnings for Q1 fiscal 2026 were $19.1 million, resulting in diluted EPS of $0.36, down from $21.7 million and $0.40 in the same period last year[5] - Adjusted EBITDA for Q1 fiscal 2026 was $32.4 million, with an adjusted EBITDA margin of 22.4%, a decline of 120 basis points year-over-year[6] - Operating cash flow increased to $16.0 million in Q1 fiscal 2026, compared to $8.6 million in the prior-year period[6] - Total net sales for Fiscal 2025 reached $595,825,000, with Q4 sales at $161,602,000[24] - Adjusted operating profit for Fiscal 2025 was $133,471,000, with Q4 adjusted operating profit at $39,837,000[25] - EBITDA for Fiscal 2025 was $146,314,000, with Q4 EBITDA at $44,158,000[25] - The company reported net earnings of $92,749,000 for Fiscal 2025, with Q4 net earnings at $28,080,000[25] - Adjusted net earnings for Fiscal 2025 were $98,624 million, with Q4 at $27,880 million[30] Sales and Growth - The company is maintaining its fiscal 2026 outlook, projecting net sales between $635 million and $655 million, with organic sales growth of 1% to 4%[10] - IT&S sales declined 3% on an organic basis, partially offset by 27% growth at Cortland Biomedical[4] - Year-over-year net sales growth for the Industrial Tools & Services segment was 4.3% for Fiscal 2025, while the Other segment saw a growth of 14.8%[24] - Organic sales growth for the Enerpac Tool Group declined by 2.4% year-over-year[28] - The Industrial Tools & Services segment reported an organic sales decline of 3.4%[28] Earnings and Expenses - Adjusted EPS guidance for fiscal 2026 is set between $1.85 and $2.00[10] - Adjusted selling, general, and administrative expenses for Fiscal 2025 totaled $165,505,000, with Q4 expenses at $43,004,000[25] - Financing costs for Fiscal 2025 amounted to $9,911,000, with Q4 financing costs at $2,376,000[25] - Income tax expense for Fiscal 2025 was $27,980,000, with Q4 income tax expense at $8,734,000[25] - Depreciation and amortization for Fiscal 2025 totaled $15,674,000, with Q4 depreciation and amortization at $4,968,000[25] Future Projections - GAAP operating profit for Fiscal 2026 is projected between $141 million and $153 million[32] - Adjusted EBITDA for Fiscal 2026 is expected to range from $158 million to $168 million[32] - Cash provided by operating activities for Fiscal 2026 is estimated between $115 million and $120 million[32] - Free cash flow for Fiscal 2026 is projected to be between $100 million and $110 million[33] Corporate Actions - The company repurchased approximately 377,000 shares for a total of $14.9 million in Q1 fiscal 2026[9] - Restructuring charges for Fiscal 2025 amounted to $5,862 million, while M&A charges totaled $1,419 million[30] - Corporate/General adjusted EBITDA was reported at $(7,855), reflecting ongoing restructuring efforts[26] - The company plans to focus on market expansion and new product development in the upcoming fiscal year[29] Adjusted Metrics - The adjusted EBITDA percentage for the overall company was 24.9% in the latest reporting period[26] - Adjusted diluted earnings per share for Fiscal 2025 reached $1.70, with Q4 at $0.52[30] - The adjusted earnings and adjusted diluted earnings per share are not calculated based on GAAP and are important for understanding operating results[31] - The company does not provide guidance on certain GAAP financial measures due to uncertainties[34]