Cadre (US:CDRE)2025-11-05 15:00Financial Performance - Net sales for Q3 2025 reached $155.9 million, a significant increase compared to $109.4 million in Q3 2024[34] - Adjusted EBITDA for Q3 2025 was $29.8 million, up from $13.5 million in Q3 2024[34] - Gross margin improved to 42.7% in Q3 2025, a 610 bps increase year-over-year from 36.6% in Q3 2024[34] - Adjusted EBITDA margin improved to 19.1% in Q3 2025, a 670 bps increase year-over-year from 12.4% in Q3 2024[34] - The company reaffirms its FY 2025 guidance with net sales projected between $624 million and $630 million and adjusted EBITDA between $112 million and $116 million[41] Strategic Initiatives and M&A - Cadre announced an agreement to acquire TYR Tactical for a total consideration of $175 million, including $150 million in cash and $25 million in CDRE stock[12, 27] - TYR Tactical generated $93 million in revenue in FY2024 and is expected to be immediately accretive to earnings and adjusted EBITDA margins[27] - Med-Eng was awarded a $50 million IDIQ (Indefinite Delivery Indefinite Quantity) contract with the Department of Defense for the Blast Exposure Monitoring System (BEMO)[13, 15] Market Trends and Growth Drivers - The company is capitalizing on strong macro tailwinds driving demand for mission-critical products[45] - Organic backlog increased by $20 million from Q2 to Q3[12] - International revenue accounts for 7% of Cadre's revenue and 75% of TYR's revenue[29]