Net sales were $144 million, a 1% decrease compared to the prior year.
Operating margin and adjusted operating margin was 19.8%.
Net earnings were $19.1 million, or $0.36 per diluted share.
Adjusted EBITDA was $32.4 million and adjusted EBITDA margin was 22.4%.
Operating cash flow was $16 million, up from $9 million in the prior year.
Returned approximately $15 million to shareholders through share repurchases.
*This press release contains financial measures in accordance with U.S. Generally Accepted Accounting Principles ("GAAP") in addition to non-GAAP financial measures. Reconciliations of the non-GAAP financial measures to the comparable GAAP measures are presented in the tables accompanying this release.
MILWAUKEE, Dec. 17, 2025 (GLOBE NEWSWIRE) -- Enerpac Tool Group Corp. (NYSE:EPAC) (the "Company" or "Enerpac") today announced results for its fiscal first quarter ended November 30, 2025.
"Our first quarter results were essentially as expected," said Paul Sternlieb, Enerpac Tool Group's President & CEO. "We were encouraged by some favorable developments and trends in the quarter for our products, including solid sales growth, particularly in the Americas, and even stronger order growth, reinforcing our cautiously optimistic posture entering 2026."
Consolidated Results
(US$ in millions, except per share)
Three Months Ended
November 30, 2025
November 30, 2024
Net Sales
$144.2
$145.2
Net Earnings
$19.1
$21.7
Diluted EPS
$0.36
$0.40
Adjusted Diluted EPS
$0.36
$0.40
Adjusted EBITDA
$32.4
$34.3
First Quarter Fiscal 2026 Consolidated Results Comparisons
Consolidated net sales for the first quarter of fiscal 2026 were $144.2 million compared to $145.2 million in the prior-year period, a decrease of 1%. On an organic basis, sales declined 2% year-over-year. IT&S sales declined 3% on an organic basis, which was partially offset by 27% growth at Cortland Biomedical.
Within IT&S, product sales increased 4% organically while service revenue declined 26% year-over-year, primarily due to softness in the UK market.
First quarter fiscal 2026 net earnings and diluted EPS were $19.1 million and $0.36 respectively, compared to $21.7 million and $0.40, respectively, in the year-ago period.
First quarter adjusted EBITDA was $32.4 million compared to $34.3 million in the year-ago period. Adjusted EBITDA margin declined 120 basis points year-over-year to 22.4% as a result of a lower gross margin and slight deleveraging of operating expenses on lower sales.
Net cash provided by operating activities was $16.0 million for the first quarter of fiscal 2026 as compared to $8.6 million in the prior-year period.
Balance Sheet and Leverage
(US$ in millions)
November 30, 2025
August 31, 2025
November 30, 2024
Cash Balance
$139.0
$151.6
$130.7
Debt Balance
$188.5
$189.7
$193.3
Net Debt to Adjusted EBITDA1
0.3x
0.3x
0.5x
Net debt on November 30, 2025, was $49.4 million, resulting in a net debt to adjusted EBITDA ratio of 0.3x. The Company repurchased approximately 377,000 shares of its common stock in the first quarter of fiscal 2026 for a total of $14.9 million under its share repurchase program announced in October 2025.
Outlook
The Company is maintaining its fiscal 2026 outlook, projecting a net sales range of $635 million to $655 million and organic sales growth of 1% to 4%. The Company also forecasts adjusted EBITDA of $158 million to $168 million, adjusted EPS of $1.85 to $2.00, and free cash flow of $100 million to $110 million. This guidance is based on the Company's key foreign exchange rate assumptions and assumes no substantial change to the current tariff or regulatory environment.
Conference Call Information
An investor conference call is scheduled for 7:30 am CT on December 18, 2025. Webcast information and conference call materials, including an earnings presentation, are available on the Enerpac Tool Group website (www.enerpactoolgroup.com).
1Calculated in accordance with the terms of the Company's September 2022 Senior Credit Facility.
Safe Harbor Statement
Certain of the above comments represent forward-looking statements made pursuant to the provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. In addition to statements with respect to guidance, the terms "outlook," "may," "should," "could," "anticipate," "believe," "estimate," "expect," "objective," "plan," "project" and similar expressions are intended to identify forward-looking statements. Such forward-looking statements are subject to inherent risks and uncertainties that may cause actual results or events to differ materially from those contemplated by such forward-looking statements. In addition to the assumptions and other factors referred to specifically in connection with such statements, risks and uncertainties that may cause actual results or events to differ materially from those contemplated by such forward-looking statements include, without limitation, general economic uncertainty, the impact of geopolitical activity, including the armed conflicts in the Middle East, including the impact on shipping in the area and the invasion of Ukraine by Russia and international sanctions imposed in response thereto, market conditions in the industrial, oil & gas, energy, power generation, infrastructure, commercial construction, truck and automotive industries, supply chain risks, including disruptions in deliveries from suppliers due to political tensions and armed conflicts; impacts from the imposition, or threat of imposition, of tariffs and other trade restrictions, the ability of the Company to achieve its plans or objectives related to its growth strategy, market acceptance of existing and new products, market acceptance of price increases, successful integration of acquisitions, the impact of dispositions and restructurings, the ability of the Company to continue to achieve or maintain operational improvements related to the ASCEND program and other restructuring actions, operating margin risk due to competitive pricing and operating efficiencies, risks related to reliance on independent agents and distributors for the distribution and service of products, material, labor, or overhead cost increases, tax law changes, foreign currency risk, interest rate risk, commodity risk, tariffs, litigation matters, cybersecurity risk, impairment of goodwill or other intangible assets, the Company's ability to access capital markets and other risks and uncertainties that may be referred to or noted in the Company's reports filed with the Securities and Exchange Commission from time to time, including those described in the Company's Form 10-K for the fiscal year ended August 31, 2025. Enerpac Tool Group disclaims any obligation to publicly update or revise any forward-looking statements as a result of new information, future events or any other reason, except to the extent required by law.
Non-GAAP Financial Information
This press release contains financial measures that are not measures presented in conformity with GAAP. These non-GAAP measures include organic sales, EBITDA, adjusted EBITDA, adjusted, adjusted diluted earnings per share, adjusted operating profit, segment adjusted operating profit and adjusted EBITDA, adjusted corporate expense, adjusted SG&A expense, free cash flow and net debt. This press release includes reconciliations of non-GAAP measures to the most comparable GAAP measure, included in the tables attached to this press release or in footnotes to the tables included in this press release. Management believes the non-GAAP measures presented in this press release are commonly used financial measures for investors to evaluate Enerpac Tool Group's operating performance and financial position with respect to the periods presented and, when read in conjunction with the condensed consolidated financial statements, present a useful tool to evaluate ongoing operations and provide investors with metrics they can use to evaluate aspects of the Company's performance from period to period. In addition, these are some of the financial metrics management uses in internal evaluations of the overall performance of the Company's business. Management acknowledges that there are many items that impact a company's reported results and the adjustments reflected in these non-GAAP measures are not intended to present all items that may have impacted these results. In addition, these non-GAAP measures are not necessarily comparable to similarly titled measures used by other companies. Adjusted diluted earnings per share anticipated for fiscal year 2026 is calculated in a manner consistent with the historical presentation of that measure in the accompanying tables. Because of the forward-looking nature of this estimate, it is impractical to present a quantitative reconciliation of this non-GAAP measure to the comparable GAAP measure, and accordingly no such GAAP measure for that period is being presented.
About Enerpac Tool Group
Enerpac Tool Group Corp. is a premier industrial tools, services, technology, and solutions provider serving a broad and diverse set of customers and end markets for mission-critical applications in more than 100 countries. The Company makes complex, often hazardous jobs possible safely and efficiently. Enerpac Tool Group's businesses are global leaders in high pressure hydraulic tools, controlled force products, and solutions for precise positioning of heavy loads that help customers safely and reliably tackle some of the most challenging jobs around the world. The Company was founded in 1910 and is headquartered in Milwaukee, Wisconsin. Enerpac Tool Group common stock trades on the NYSE under the symbol EPAC. For further information on Enerpac Tool Group and its businesses, visit the Company's website at www.enerpactoolgroup.com.
(tables follow)
Enerpac Tool Group Corp.
Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)
November 30,
August 31,
2025
2025
Assets
Current assets
Cash and cash equivalents
$
139,047
$
151,558
Accounts receivable, net
98,067
106,085
Inventories, net
90,307
78,774
Other current assets
45,054
39,701
Total current assets
372,475
376,118
Property, plant and equipment, net
52,739
53,275
Goodwill
287,988
289,787
Other intangible assets, net
44,954
46,942
Other long-term assets
59,905
61,745
Total assets
$
818,061
$
827,867
Liabilities and Shareholders' Equity
Current liabilities
Current maturities of long-term debt
$
8,750
$
7,500
Trade accounts payable
41,698
42,944
Accrued compensation and benefits
21,746
28,108
Income taxes payable
9,841
5,425
Other current liabilities
49,743
53,125
Total current liabilities
131,778
137,102
Long-term debt, net
179,710
182,168
Deferred income taxes
7,337
6,192
Pension and postretirement benefit liabilities
6,744
7,147
Other long-term liabilities
61,438
61,564
Total liabilities
387,007
394,173
Shareholders' equity
Capital stock
10,555
10,589
Additional paid-in capital
240,842
243,137
Retained earnings
288,408
284,102
Accumulated other comprehensive loss
(108,751
)
(104,134
)
Stock held in trust
(3,542
)
(3,542
)
Deferred compensation liability
3,542
3,542
Total shareholders' equity
431,054
433,694
Total liabilities and shareholders' equity
$
818,061
$
827,867
Enerpac Tool Group Corp.
Condensed Consolidated Statements of Earnings
(In thousands)
(Unaudited)
Three Months Ended
November 30,
November 30,
2025
2024
Net sales
$
144,208
$
145,196
Cost of products sold
71,026
70,544
Gross profit
73,182
74,652
Selling, general and administrative expenses
43,095
42,318
Amortization of intangible assets
1,597
1,202
Operating profit
28,490
31,132
Financing costs, net
2,265
2,770
Other expense, net
668
487
Earnings before income tax expense
25,557
27,875
Income tax expense
6,426
6,152
Net earnings
$
19,131
$
21,723
Earnings per share
Basic
$
0.36
$
0.40
Diluted
0.36
0.40
Weighted average common shares outstanding
Basic
52,980
54,242
Diluted
53,348
54,812
Enerpac Tool Group Corp.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
November 30,
November 30,
2025
2024
Operating Activities
Cash provided by operating activities
$
15,976
$
8,649
Investing Activities
Capital expenditures
(2,677
)
(5,857
)
Deferred acquisition payment
(949
)
–
Cash paid for business acquisitions, net of cash acquired
–
(27,196
)
Financing Activities
Principal repayments on term loan
(1,250
)
(1,250
)
Borrowings on revolving credit facility
–
14,421
Principal repayments on revolving credit facility
–
(14,421
)
Purchase of treasury shares
(14,899
)
(4,379
)
Stock options, taxes paid related to the net share settlement of equity awards & other
(5,229
)
(4,987
)
Payment of cash dividend
(2,119
)
(2,167
)
Cash used in financing activities
$
(23,497
)
$
(12,783
)
Effect of exchange rate changes on cash
(1,364
)
826
Net decrease from cash and cash equivalents
$
(12,511
)
$
(36,361
)
Cash and cash equivalents, beginning of period
151,558
167,094
Cash and cash equivalents, end of period
$
139,047
$
130,733
Supplemental Unaudited Data
Reconciliation of GAAP Measures to Non-GAAP Measures
(In thousands)
Fiscal 2025
Fiscal 2026
Q1
Q2
Q3
Q4
TOTAL
Q1
Q2
Q3
Q4
TOTAL
Net Sales
Industrial Tools & Services Segment
$
140,134
$
140,716
$
153,374
$
161,602
$
595,825
$
137,762
$
–
$
–
$
–
$
137,762
Other
5,062
4,812
5,287
5,913
21,074
6,446
–
–
–
6,446
Enerpac Tool Group
$
145,196
$
145,528
$
158,661
$
167,515
$
616,899
$
144,208
$
–
$
–
$
–
$
144,208
% Net Sales Growth (Decline) Year over Year
Industrial Tools & Services Segment
2.3
%
4.4
%
5.1
%
5.4
%
4.3
%
(1.7
%)
–
–
–
(1.7
%)
Other
2.6
%
33.1
%
18.7
%
10.4
%
14.8
%
27.3
%
–
–
–
27.3
%
Enerpac Tool Group
