Enerpac Tool(EPAC) Prnewswire·2024-11-21 13:16Company Overview - Enerpac Tool Group Corp (EPAC) is a premier industrial tools, services, technology, and solutions company with a diversified global business, serving industries such as refinery/petrochemical, industrial MRO, infrastructure, power generation, and mining [3][4] - The company operates in over 100 countries and is a global leader in high-pressure hydraulic tools, controlled force products, and service solutions [4] Market Opportunity - Enerpac targets infrastructure, rail, wind, and industrial MRO as core markets, with a geographic focus on the Asia Pacific region [3] - The company estimates a serviceable market opportunity of 3 billion for its target verticals, which currently represent a modest portion of its 75 million invested and annual operating profit improvement exceeding 60 million by fiscal 2023, a year ahead of plan [3] - The program has improved gross margins by 180 basis points to 51.1% in fiscal 2024, with adjusted SG&A expenses improving by 50 basis points and adjusted EBITDA margin reaching 25.0%, up 1100 basis points since fiscal 2021 [3] Financial Performance - For fiscal 2025, Enerpac forecasts organic revenue growth of 0% to 2%, with net sales (including DTA acquisition) projected at 625 million, representing 5% growth at the midpoint [3] - Adjusted EBITDA for fiscal 2025 is forecasted at 160 million, with a margin of 25.1% at the midpoint, including a 50 basis point improvement in the base business [3] Balance Sheet and Cash Flow - As of August 31, 2024, Enerpac had 27 million, with a leverage rate of 0.2 times net debt to trailing adjusted EBITDA, well below its target range of 1.5-2.5 times [3] - The company expects robust free cash flow of 95 million for fiscal 2025, enabling continued capital investment, strategic M&A, and shareholder returns [3]