NN(NNBR) - 2025 Q4 - Annual Results

Financial Performance - Q4 2025 net sales were $104.7 million, a decrease of 1.7% compared to Q4 2024 net sales of $106.5 million[7] - Full-year 2025 net sales were $422.2 million, a decrease of $42.1 million or 9.1% compared to $464.3 million in 2024[10] - Q4 2025 adjusted EBITDA was $12.9 million, or 12.3% of net sales, compared to $12.1 million, or 11.3% of net sales, for Q4 2024[14] - Full-year 2025 adjusted EBITDA was $49.0 million, or 11.6% of net sales, reflecting a significant improvement[4] - The net loss for the year ended December 31, 2025, was $34,004, compared to a net loss of $38,273 in 2024, showing an improvement of 7.9%[37] - The company reported a loss from operations of $18,915 for the year ended December 31, 2025, an improvement from a loss of $27,548 in 2024[37] - GAAP net sales for Q4 2025 were $104,715, a decrease of 1.5% from $106,513 in Q4 2024[42] - GAAP loss from operations for Q4 2025 was $10,414, an improvement from a loss of $16,868 in Q4 2024[43] - GAAP net loss for Q4 2025 was $12,538, reduced from a loss of $20,976 in Q4 2024[49] - For the year ended December 31, 2025, GAAP net sales were $422,207, down from $464,290 in 2024[46] - Non-GAAP adjusted EBITDA for the year ended December 31, 2025, was $49,017, compared to $48,338 in 2024, with a non-GAAP adjusted EBITDA margin of 11.6% versus 10.4% in 2024[52] - GAAP loss from operations for the year ended December 31, 2025, was $18,915, an improvement from a loss of $27,548 in 2024[46] - Non-GAAP adjusted income from operations for the year ended December 31, 2025, was $14,247, significantly higher than $5,086 in 2024, leading to a non-GAAP adjusted operating margin of 3.4% compared to 1.1% in 2024[46] Future Guidance - For fiscal 2026, the company is guiding net sales in the range of $445 million to $465 million, indicating a return to year-over-year growth[27] - Adjusted EBITDA for 2026 is expected to range between $50 million and $60 million, reflecting improved operating performance[28] - The company plans to launch approximately 100 new programs in 2026, which are expected to carry accretive margins[6] - The sales pipeline exceeds $800 million across more than 800 programs, concentrated in targeted areas[11] Strategic Initiatives - The company formed a Strategic Committee to evaluate alternatives to enhance shareholder value[11] - The company plans to continue focusing on strategic reviews and corporate strategies to navigate economic uncertainties and improve financial performance[34] Asset and Liability Management - Total current assets decreased to $164,007 as of December 31, 2025, down from $167,562 in 2024, a decline of 2.3%[39] - Total liabilities increased to $294,377 as of December 31, 2025, compared to $288,874 in 2024, an increase of 1.7%[39] - Cash and cash equivalents at the end of the year were $11,377, down from $18,128 at the end of 2024, a decrease of 37.4%[41] - The company’s total stockholders' equity decreased to $33,998 as of December 31, 2025, from $74,522 in 2024, a decline of 54.4%[39] Cost Management - Pre-tax personnel costs increased to $8,738,000 in 2025 from $3,437,000 in 2024, reflecting a 154% rise[54] - Pre-tax facility costs for 2025 were $9,825,000, up from $8,280,000 in 2024, marking a 18.7% increase[54] - The company incurred pre-tax professional fees of $977,000 in 2025, up from $648,000 in 2024, indicating a 50.9% increase[54] Shareholder Metrics - Non-GAAP adjusted net income per diluted common share for 2025 was $(0.03), an improvement from $(0.17) in 2024[54] - Weighted average common shares outstanding increased to 49,437,000 in 2025 from 48,653,000 in 2024[54] - GAAP net loss per diluted common share for 2025 was $(1.07), slightly better than $(1.11) in 2024[54]