Core Insights - Kewaunee Scientific Corporation reported a strong financial performance for the first quarter of fiscal year 2026, with significant increases in sales, earnings, and EBITDA compared to the prior year [2][9]. Financial Performance - Sales for the first quarter were $71,104,000, a 46.9% increase from $48,393,000 in the same quarter last year [2]. - Pre-tax earnings rose to $3,920,000, up 61.3% from $2,430,000 in the prior year [2]. - Net earnings increased to $3,093,000 compared to $2,193,000 in the previous year [2]. - EBITDA for the quarter was $6,320,000, compared to $3,325,000 in the prior year [2]. Segment Performance - Domestic sales reached $54,352,000, a 53.0% increase from $35,523,000 in the prior year [4]. - International sales were $16,752,000, reflecting a 30.2% increase from $12,870,000 in the previous year [5]. - The domestic segment's net earnings were $4,722,000, up from $2,871,000 in the prior year [4]. - The international segment's net earnings increased to $643,000 from $463,000 in the previous year [5]. Order Backlog - The company's order backlog was $205.0 million as of July 31, 2025, compared to $159.4 million on July 31, 2024, and $214.6 million on April 30, 2025 [3]. Corporate Segment - The corporate segment reported a pre-tax net loss of $3,058,000, compared to a loss of $1,992,000 in the prior year [6]. - Corporate segment EBITDA was ($2,311,000), slightly worse than ($2,109,000) in the previous year [6]. Cash and Debt Position - Total cash on hand was $20,441,000, up from $17,164,000 on April 30, 2025 [7]. - Short-term debt decreased to $4,294,000 from $4,773,000 on April 30, 2025 [8]. - Long-term debt was $60,269,000, down from $60,730,000 on April 30, 2025 [8]. Management Commentary - The CEO noted solid performance despite challenging market conditions and indicated expectations of volatility in project delivery timelines for the remainder of fiscal year 2026 [9]. - The company is focused on both organic and inorganic growth, with strategic investments in people, processes, and technology to support future growth [9].

Company Overview - Kewaunee Scientific Corporation, founded in 1906, is a global leader in the design, manufacture, and installation of laboratory, healthcare, and technical furniture products [2] - The company's product offerings include steel and wood casework, fume hoods, adaptable modular systems, moveable workstations, stand-alone benches, biological safety cabinets, and epoxy resin work surfaces and sinks [2] - Kewaunee's corporate headquarters is located in Statesville, North Carolina, with sales offices in the United States, India, Saudi Arabia, and Singapore [2] - The company operates three manufacturing facilities in Statesville and one in Bangalore, India, serving both domestic and international markets [2] Recent Developments - Kewaunee Scientific announced plans to release its first quarter fiscal year 2026 financial results on September 10, 2025, after the close of trading [1] - The newly acquired subsidiary, Nu Aire, specializes in manufacturing biological safety cabinets, CO2 incubators, ultralow freezers, and other essential laboratory products [3] - Nu Aire, founded in 1971, has its headquarters and manufacturing facilities in Plymouth, Minnesota, with additional capabilities in Long Lake, Minnesota, and a warehouse partnership in the Netherlands [3] Future Outlook - The company is focused on realizing the benefits of the Nu Aire acquisition, which is expected to enhance its product portfolio and market reach [5]

Core Viewpoint - Kewaunee Scientific Corporation has demonstrated significant growth in both revenue and earnings for the fourth quarter and fiscal year 2025, outperforming the S&P 500 index during the same period [1][2][3]. Revenue & Earnings Performance - Fiscal fourth-quarter net sales increased by 36.1% to $77.1 million from $56.7 million year-over-year [2]. - Adjusted diluted earnings per share (EPS) rose by 25.8% to $1.95 from $1.55 [2]. - For fiscal 2025, net sales totaled $240.5 million, an 18% increase from $203.8 million in the previous year [3]. - Adjusted diluted EPS for the year rose by 28.2% to $5.37 from $4.19 [3]. Segment Highlights - Domestic operations saw a 54.7% increase in fiscal fourth-quarter sales to $55.5 million from $35.9 million [4]. - International sales grew by 3.9% year-over-year in the fiscal fourth quarter to $21.7 million [5]. - The corporate segment reported an adjusted EBITDA loss of $1.4 million, widening from a loss of $956,000 the previous year [6]. Management Commentary - The CEO attributed the strong performance to effective strategy execution and heightened customer demand [7]. - The company acknowledged macroeconomic challenges but highlighted its adaptable culture and partnerships as strengths [8]. Drivers Behind the Results - The acquisition of Nu Aire significantly contributed to revenue and earnings growth, with adjusted operating profit reaching $9.8 million from $5.6 million in the prior year [9]. - The fiscal fourth-quarter adjusted gross profit surged by 69% to $24.7 million from $14.6 million [10]. Guidance - Management expressed optimism for continued growth through organic initiatives and potential future acquisitions [12]. Other Developments - Kewaunee completed the acquisition of Nu Aire on November 1, 2024, which is expected to generate long-term synergies despite short-term costs [13]. - The acquisition led to an increase in long-term debt and a rise in the debt-to-equity ratio to 0.99-to-1 from 0.70-to-1 the previous year [14].