Escalade(US:ESCA)2026-02-27 11:01Financial Performance - Net sales for Q4 2025 decreased by 2.2% to $62.6 million compared to Q4 2024, while full year 2025 net sales decreased by 4.5% to $240.2 million[4] - Net income for Q4 2025 was $3.7 million, or $0.27 per diluted share, compared to $2.7 million, or $0.19 per diluted share in Q4 2024; full year net income was $13.7 million, or $0.99 per diluted share[4] - EBITDA for Q4 2025 increased by 9.3% to $6.5 million, while full year EBITDA decreased by 8.4% to $23.9 million[4] - Net income increased from $12,986,000 in 2024 to $13,701,000 in 2025, representing a growth of about 5.5%[24] - EBITDA (Non-GAAP) for the four quarters ended December 31, 2025, was $23,921,000, down from $26,119,000 in 2024, a decrease of about 8.4%[26] Cash Flow and Operations - Cash provided by operations in Q4 2025 was $14.9 million, up from $12.3 million in Q4 2024; full year cash provided by operations was $31.0 million, down from $36.0 million in 2024[4] - Net cash provided by operating activities was $31,014,000 in 2025, compared to $36,049,000 in 2024, a decline of approximately 13.9%[24] Debt and Liabilities - Total debt decreased by 27.9% to $18.5 million at the end of Q4 2025, with net leverage at 0.3x trailing twelve-month EBITDA, down from 0.8x in Q4 2024[4] - Long-term debt decreased from $18,452,000 in 2024 to $11,309,000 in 2025, a decline of approximately 38.7%[22] - Total current liabilities decreased from $34,495,000 in 2024 to $30,483,000 in 2025, a reduction of about 11.7%[22] Assets and Inventories - Total assets decreased from $226,330,000 in 2024 to $222,109,000 in 2025, a decline of approximately 1.0%[22] - Cash and cash equivalents rose significantly from $4,194,000 in 2024 to $11,878,000 in 2025, an increase of approximately 183.5%[24] - The company reported an increase in inventories from $76,025,000 in 2024 to $68,474,000 in 2025, a decrease of approximately 9.9%[22] Dividends and Shareholder Returns - The company announced an increase in the quarterly dividend to $0.1525 per share, payable on April 13, 2026[10] - The company paid dividends totaling $8,277,000 in 2025, slightly down from $8,306,000 in 2024[24] Acquisitions and Strategic Focus - The acquisition of AllCornhole was completed in Q4 2025, expanding the company's presence in a premium, fast-growing category[11] - The integration of the Gold Tip Archery acquisition was completed, contributing positively to Q4 results[11] - The company plans to focus on organic growth investments, strategic M&A, continued debt reduction, and disciplined capital return to shareholders[11] Stock Issuance - The company issued common stock for service amounting to $242,000 in 2025, with no such issuance in 2024[24]