Kadant Q4 2024 Earnings Report

Key Takeaways

Kadant reported strong Q4 revenue growth driven by acquisitions, but organic revenue declined. Net income and EPS decreased due to higher costs and acquisition-related expenses.

Total Revenue

$258M

Previous year: $239M

+8.1%

EPS

$2.25

Previous year: $2.41

-6.6%

Gross Margin

43.4%

Previous year: 42.7%

+1.6%

Operating Margin

14.3%

Previous year: 15.8%

-9.5%

Adjusted EBITDA

$52.4M

Previous year: $48.5M

+8.1%

Cash and Equivalents

$95.9M

Previous year: $106M

-9.9%

Free Cash Flow

$46.3M

Previous year: $49.5M

-6.4%

Kadant Revenue

Kadant EPS

Kadant Revenue by Segment

Forward Guidance

Kadant expects stable demand for aftermarket parts and increased capital equipment sales in the second half of 2025, despite macroeconomic uncertainty.

Positive Outlook

Expected increase in capital equipment demand in H2 2025
Stable demand for aftermarket parts
Commitment to maximizing shareholder value
Acceleration of internal initiatives
Continued benefit from recent acquisitions

Challenges Ahead

Macroeconomic uncertainty remains a challenge
Foreign currency translation expected to negatively impact revenue by $23M
Adjusted EPS to be impacted by FX by $0.32
First quarter revenue guidance lower than Q4 2024
No estimates included for potential new tariffs