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Aug 31, 2024

Enerpac Q4 2024 Earnings Report

Enerpac Tool Group reported results for the fourth quarter of fiscal year 2024.

Key Takeaways

Enerpac Tool Group's Q4 2024 saw a slight decline in consolidated net sales by 1.2%, while organic sales grew by 0.9%. Operating profit decreased by 7%, and adjusted operating profit fell by 3%. Net earnings and diluted earnings per share increased slightly compared to the previous year.

Consolidated net sales decreased by 1.2% to $158.7 million.

Organic sales grew by 0.9% year-over-year.

Operating profit declined by 7% to $30.0 million.

Net earnings increased to $23.4 million, with diluted EPS of $0.43.

Total Revenue
$159M
Previous year: $161M
-1.2%
EPS
$0.5
Previous year: $0.42
+19.0%
Gross Profit
$77.4M
Previous year: $78.9M
-1.9%
Cash and Equivalents
$167M
Previous year: $154M
+8.2%
Free Cash Flow
$39.3M
Total Assets
$777M
Previous year: $763M
+1.9%

Enerpac

Enerpac

Forward Guidance

Enerpac Tool Group anticipates continued growth in fiscal year 2025, despite expectations of a decline in the general industrial market. The company set its full-year fiscal 2025 net sales guidance range at $610 million to $625 million, which includes organic growth of 0% to 2% and total net sales growth, inclusive of DTA, of 3% to 6%. Forecasted adjusted EBITDA is $150 million to $160 million, with anticipated free cash flow of $89 million to $99 million.

Positive Outlook

  • Company expects to outperform the industry and gain share.
  • Targeted growth strategy will drive growth.
  • Net sales growth of 3% to 6% including DTA acquisition.
  • Organic growth of 0% to 2%.
  • Forecasted adjusted EBITDA is $150 million to $160 million.

Challenges Ahead

  • Expectation of a continued decline in the general industrial market.
  • Guidance is based on key foreign exchange rate assumptions.
  • Guidance assumes that there is no broad-based global recession.
  • General economic uncertainty.
  • Market conditions in the industrial, oil & gas, energy, power generation, infrastructure, commercial construction, truck and automotive industries.