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Sep 28, 2024

Kadant Q3 2024 Earnings Report

Kadant reported a solid third quarter in 2024, marked by strong operational execution and record adjusted EPS.

Key Takeaways

Kadant Inc. reported an 11% increase in revenue to $272 million for Q3 2024. The company achieved a gross margin of 44.7%, and record adjusted EBITDA of $63 million. Net income increased by 2% to $32 million, with GAAP EPS rising by 2% to $2.68 and adjusted EPS increasing by 6% to a record $2.84.

Revenue increased 11% to $272 million.

Adjusted EBITDA was a record $63 million, representing 23.3% of revenue.

GAAP EPS increased 2% to $2.68, while adjusted EPS increased 6% to a record $2.84.

Bookings increased 15% to $240 million.

Total Revenue
$272M
Previous year: $244M
+11.2%
EPS
$2.84
Previous year: $2.69
+5.6%
Adjusted EBITDA
$63.3M
Bookings
$240M
Gross Margin
44.7%
Gross Profit
$121M
Previous year: $106M
+14.9%
Cash and Equivalents
$89.7M
Previous year: $79.1M
+13.5%
Free Cash Flow
$48.3M
Previous year: $38.1M
+26.7%
Total Assets
$1.49B
Previous year: $1.15B
+29.0%

Kadant

Kadant

Forward Guidance

Kadant expects revenue of $252 to $260 million, GAAP EPS of $1.81 to $2.01 and adjusted EPS of $1.90 to $2.10 for the fourth quarter of 2024.

Positive Outlook

  • Demand for capital equipment is expected to gain momentum as customers prepare for 2025 projects.

Challenges Ahead

  • Industrial manufacturing sectors in Europe and Asia continue to face significant headwinds.