Financial Performance - First quarter sales increased by 9.7% year-over-year to $80.0 million[8] - Organic sales increased by 1.1% year-over-year[8] - EBITDA increased by 172.3% year-over-year to $4.7 million, including currency translation loss and stock-based compensation[8] - Earnings per share (EPS) improved from a loss of $0.20 to a loss of $0.04 year-over-year[35] - Gross margin increased by 220 basis points year-over-year, from 26.5% to 28.7%[50] Backlog and Defense Market - The company has a robust six-month backlog of $163.3 million, higher sequentially[8] - Defense sector experienced a 45% year-over-year increase[11] - Defense accounts for approximately 15% of the total backlog[11] - The company is well-positioned to capture robust defense market demand, supported by increased US and NATO defense spending[9] Sales by Product Group - Marine & Propulsion Systems sales increased by 14.6% year-over-year[16] - Land-Based Transmissions sales increased by 1.6% year-over-year[20] - Industrial sales increased by 13.2% year-over-year[23]

Financial Performance - Full year sales increased by 15.5% year-over-year to $340.7 million[8] - Organic sales increased by 1.0% year-over-year[8] - EBITDA was $19.0 million, including currency translation loss, stock-based compensation, and other items[8] - Operating Cash Flow reached $24.0 million[8] - Free cash flow amounted to $8.8 million[8] - The company's six-month backlog was $150.5 million, showing sequential growth[8] - Net debt to EBITDA leverage ratio increased from 0.2x in FY24 to 0.8x in FY25, primarily due to the acquisition of Kobelt[45, 46] Market and Strategic Highlights - Defense backlog increased by 45% year-over-year as a percentage of total major geographies backlog[11] - Defense accounts for approximately 15% of the total backlog[11] - Industrial sales increased by 82.0% year-over-year[23] - Industrial sales excluding Katsa and Kobelt increased 13.1% year-over-year[23]