Core Insights - Enerpac Tool Group Corp. reported record revenue for fiscal 2025, achieving net sales of $616.9 million, a 4.6% increase from the previous year, driven by growth in the Industrial Tools & Services segment and Cortland Biomedical [6][12][20] - The company maintained strong cash flow, generating $111.3 million from operating activities, and returned $71 million to investors through share repurchases and dividends while preserving a robust balance sheet [4][10][12] - The integration of the acquired DTA business is progressing well, with a strong sales funnel for cross-selling opportunities [4] Financial Performance - For the fourth quarter of fiscal 2025, net sales were $167.5 million, a 5.5% increase year-over-year, although organic sales decreased by 1.8% [11][12] - Net earnings for fiscal 2025 were $92.7 million, with diluted EPS of $1.70, reflecting a 13% increase compared to the previous year [9][12] - Adjusted EBITDA for fiscal 2025 was $153.6 million, up 4% from $147.5 million in fiscal 2024, with an adjusted EBITDA margin of 24.9% [9][12] Segment Performance - The Industrial Tools & Services segment saw a 4.3% increase in net sales, supported by the DTA acquisition, while organic growth was modest at 0.5% [7][12] - Cortland Biomedical experienced significant growth of 14.8%, contributing positively to overall sales [6][12] - Gross profit margin for the company declined slightly to 50.5%, impacted by service margins and the inclusion of DTA, but was partially offset by stronger margins in Heavy Lifting Technology and Cortland Biomedical [7][9] Cost Management - Selling, general and administrative expenses (SG&A) decreased by $3.2 million year-over-year to $172.8 million, primarily due to the absence of ASCEND-related charges [8][12] - Adjusted SG&A expenses increased slightly to $165.5 million but declined as a percentage of revenues, indicating improved efficiency [8][12] Shareholder Returns - The company returned $69 million to shareholders through share repurchases in the fourth quarter, with a new $200 million share repurchase program authorized on October 10, 2025 [12][18] - Cumulative share repurchases since March 2022 have totaled approximately $240 million [17][18] Outlook - For fiscal 2026, the company projects net sales between $635 million and $655 million, with adjusted EBITDA expected to range from $158 million to $168 million [20] - The guidance reflects anticipated organic growth of 1% to 4% and assumes stable foreign exchange rates and regulatory conditions [20]

Core Insights - Enerpac Tool Group Corp. reported a total revenue growth of 6% and organic revenue growth of 2% for the third quarter of fiscal 2025, outperforming the soft industrial sector [3][5] - The company is maintaining its full-year guidance, expecting net sales between $610 million and $625 million, reflecting growth of 3% to 6% [12] Financial Performance - Consolidated net sales for the third quarter of fiscal 2025 were $158.7 million, up from $150.4 million in the prior-year period, marking a 5.5% increase [5][10] - Net earnings for the third quarter were $22.0 million, with diluted EPS remaining stable at $0.41 compared to the previous year [8][10] - Adjusted EBITDA for the third quarter was $41.0 million, an increase from $39.7 million year-over-year, with an adjusted EBITDA margin of 25.9% [8][10] Segment Performance - The Industrial Tools & Services (IT&S) segment saw a 5.1% increase in net sales, driven by organic growth and the acquisition of DTA [6] - Organic growth in IT&S product revenue was 1.0%, while service revenue increased by 3.4% [6] Cost Management - Selling, general and administrative expenses (SG&A) rose to $47.0 million, primarily due to restructuring charges of $5.9 million [7] - Adjusted SG&A expenses, excluding restructuring and M&A charges, decreased slightly to $40.4 million from $40.6 million in the prior year [7] Cash Flow and Capital Expenditures - The company generated $56.0 million in cash from operating activities in the first nine months of fiscal 2025, compared to $37.0 million in the same period last year [9] - Capital expenditures for the first nine months were $16.4 million, significantly higher than $5.0 million in the prior year [9] Balance Sheet and Shareholder Returns - As of May 31, 2025, the company had a cash balance of $140.5 million and a debt balance of $190.9 million, resulting in a net debt to adjusted EBITDA ratio of 0.4x [11] - Approximately $14 million was returned to shareholders through share repurchases during the third quarter [10] Strategic Initiatives - The company completed its relocation to a new headquarters in downtown Milwaukee, enhancing its collaborative environment and R&D capabilities [13]