Twin Disc Announces Full Year and Fourth Quarter Results

Core Insights - Twin Disc, Inc. reported strong financial performance for the fourth quarter and full fiscal year 2025, with significant sales growth driven by demand in Marine and Propulsion Systems [4][6][8]. Fiscal Full Year 2025 Highlights - Total sales for fiscal year 2025 increased by 15.5% year-over-year to $340.7 million, with notable growth in Marine and Propulsion Systems [6][9]. - The company experienced a net loss of $1.9 million for the fiscal year, a significant decline from a net income of $10.99 million in the previous year [12][24]. - EBITDA for the fiscal year decreased by 28.3% to $19.0 million, primarily due to increased currency translation losses and higher operating expenses [12][25]. Fiscal Fourth Quarter 2025 Highlights - Sales for the fourth quarter increased by 14.5% year-over-year to $96.7 million, with strong performance in Marine and Propulsion Systems [6][9]. - Net income for the fourth quarter was $1.4 million, down from $7.4 million in the same quarter of the previous year [12][24]. - Gross profit for the fourth quarter rose by 19.7% to $30.0 million, with a gross margin improvement to 31.0% [10][12]. Sales by Product Group - Marine and Propulsion Systems sales increased by 12.2% to $53.0 million in Q4 FY25 [7]. - Industrial segment sales surged by 82.0% to $13.1 million in Q4 FY25, reflecting a strong recovery [7]. - For the full year, Marine and Propulsion Systems sales grew by 17.1% to $201.1 million [9]. Operational Insights - The company maintained a healthy backlog of $150.5 million at the end of Q4, supported by strong ongoing order activity [14]. - Marketing, engineering, and administrative expenses increased by 20.9% in Q4, driven by acquisitions and inflationary wage impacts [11]. - The company is focused on driving growth and maintaining disciplined operations as it enters the new fiscal year [5]. Geographical Sales Distribution - Twin Disc experienced double-digit sales growth in the European and Asia-Pacific regions during fiscal year 2025 [9]. - The sales distribution shifted, with a greater proportion coming from Europe and a lower proportion from the Asia-Pacific region [9].