Core Viewpoint - Hillenbrand, Inc. reported a significant decline in net revenue for the fiscal third quarter of 2025, primarily due to the divestiture of the MIME business and lower capital equipment volume, while achieving improvements in net income and adjusted EPS compared to the previous year [1][4][5]. Financial Performance - Net revenue for the third quarter was $598.9 million, a decrease of 24% from $786.6 million in the prior year, mainly due to the MIME divestiture and lower capital equipment volume [4][6]. - GAAP net income attributable to Hillenbrand was $1.9 million, or $0.03 per share, compared to a loss of $(248.9) million, or $(3.53) per share, in the prior year, reflecting a significant recovery [5][6]. - Adjusted EBITDA was $84.3 million, down 36% from $131.0 million year-over-year, primarily due to lower volume and unfavorable product mix [4][6]. - Adjusted diluted EPS decreased by 40% to $0.51 from $0.85 in the previous year [4][6]. Strategic Initiatives - The company focused on refining its portfolio and reducing debt, successfully using proceeds from the MIME divestiture to pay down over $300 million in debt during the fiscal year [2][3]. - Hillenbrand achieved $30 million in run-rate cost synergies from recent acquisitions, indicating progress in integrating its Food, Health, and Nutrition (FHN) business [2][8]. Market Conditions - The company faced challenges as customers continued to delay purchasing decisions due to a dynamic tariff landscape, impacting revenue generation [3][8]. - Despite these challenges, Hillenbrand remains confident in its durable business segments and differentiated technologies to deliver solutions globally [3][8]. Outlook - Hillenbrand updated its fiscal 2025 outlook, maintaining the midpoint of its full-year adjusted EPS range based on year-to-date performance and expectations for the fourth quarter [18][20]. - The company anticipates total net revenue for fiscal 2025 to be between $2.595 billion and $2.630 billion, reflecting a year-over-year decline of 18% to 17% [20][21].

Group 1 - Hillenbrand, Inc. has completed the divestiture of its minority stake in TerraSource Holdings to Astec Industries for approximately $245 million [1] - Hillenbrand received about $115 million from the transaction, which will be used to pay down debt [1] Group 2 - Hillenbrand is a global industrial company providing highly-engineered processing equipment and solutions [2] - The company's portfolio includes leading industrial brands serving markets such as durable plastics, food, and recycling [2] - Hillenbrand is guided by its purpose to shape solutions that serve its people, customers, and communities [2]

Core Points - Hillenbrand, Inc. announced the departure of CFO Robert "Bob" VanHimbergen, effective June 27, 2025, to pursue another position outside the company [1][2] - Megan Walke, currently Vice President and Corporate Controller, will serve as Interim CFO following VanHimbergen's departure [2] - The company has engaged an executive search firm to find a permanent CFO [2] - CEO Kim Ryan acknowledged VanHimbergen's contributions in transforming Hillenbrand into a pure-play industrial company and emphasized the company's strong positioning for future strategies [3] Company Overview - Hillenbrand is a global industrial company that provides highly-engineered, mission-critical processing equipment and solutions [8] - The company's portfolio includes leading industrial brands serving large markets such as durable plastics, food, and recycling [8] - Hillenbrand is guided by its purpose to shape solutions that best serve its people, customers, and communities [8]

Group 1 - Hillenbrand, Inc. has declared a regular quarterly cash dividend of $0.225 per share on its common stock [1] - The dividend is scheduled to be payable on June 30, 2025, to shareholders of record as of June 16, 2025 [1] Group 2 - Hillenbrand is a global industrial company providing highly-engineered, mission-critical processing equipment and solutions [2] - The company serves customers in over 100 countries and has a portfolio of leading industrial brands [2] - Key end markets include durable plastics, food, and recycling [2] - The company's purpose is to shape solutions that best serve its associates, customers, communities, and stakeholders [2]

Core Viewpoint - Hillenbrand, Inc. reported a decline in financial performance for the fiscal second quarter of 2025, primarily due to lower capital equipment volume and increased macroeconomic uncertainty, leading to an adjusted outlook for the remainder of the fiscal year [2][3][7]. Financial Performance Summary - Net revenue for the second quarter was $715.9 million, a decrease of 9% from $785.3 million in the prior year, mainly due to lower capital equipment volume [3][7]. - GAAP net loss attributable to Hillenbrand was $40.9 million, or $(0.58) per share, compared to a profit of $6.1 million, or $0.09 per share, in the prior year [4][7]. - Adjusted EBITDA was $98.8 million, down 19% from $122.6 million year-over-year, primarily due to lower volume and cost inflation [5][7]. - Adjusted diluted EPS was $0.60, a decrease of 21% compared to $0.76 in the prior year [5][7]. Segment Performance - Advanced Process Solutions (APS) segment net revenue was $494 million, down 12% from $559.2 million, primarily due to lower capital equipment volume [6][8]. - Molding Technology Solutions (MTS) segment net revenue was $221.9 million, a decrease of 2% from $226.1 million, driven by unfavorable foreign currency exchange rates [10][11]. Backlog and Future Outlook - Total backlog decreased by 15% year-over-year to $1.59 billion, primarily due to lower order intake, although it increased by 1% sequentially [9][12]. - The company updated its fiscal 2025 guidance, expecting total revenue between $2.555 billion and $2.620 billion, reflecting a year-over-year decline of 20% to 18% [17][18]. Cash Flow and Capital Allocation - Cash flow from operating activities was $1.3 million, a decrease of 59% from $3.2 million in the prior year [3][13]. - As of March 31, 2025, net debt was $1.46 billion, with a net debt to pro forma adjusted EBITDA ratio of 3.4x [14][38]. Recent Transactions - The company completed the sale of a majority stake in the Milacron injection molding and extrusion business on March 31, 2025, generating net proceeds of approximately $265 million, which were used for debt reduction [7][16]. - Hillenbrand entered into an agreement to sell the TerraSource business to Astec Industries for $245 million, expected to close in late fiscal third quarter or early fiscal fourth quarter 2025 [15].

Company Overview - Hillenbrand, Inc. (NYSE: HI) is a global industrial company providing highly-engineered, mission-critical processing equipment and solutions to customers in over 100 countries [4] - The company's portfolio includes leading industrial brands serving large end markets such as durable plastics, food, and recycling [4] - Hillenbrand is guided by its purpose to "Shape What Matters For Tomorrow," focusing on excellence, collaboration, and innovation [4] Upcoming Events - Hillenbrand will hold a conference call and webcast on April 30, 2025, at 8:00 a.m. ET to discuss the results for the second quarter of fiscal year 2025, which ended on March 31, 2025 [1] - A press release reporting the financial results will be issued after the market closes on April 29, 2025 [3] - The live webcast will be available on the company's investor relations website and archived until May 30, 2025 [1]