2026-03-25 21:17:47
Enerpac Tool Group Reports 6% Increase in Q2 Fiscal 2026 Sales and Adjusted EPS of $0.39
Expected Stock impact: Slightly Positive
Enerpac Tool Group Corp. (NYSE: EPAC) announced its financial results for the second fiscal quarter ended February 28, 2026, revealing net sales of $155 million, a 6% increase compared to the prior year. The company reported a 2% increase in organic sales, with the Industrial Tools & Services (IT&S) segment achieving a 6% organic growth, marking the highest growth in ten quarters. Operating profit margin stood at 16.2%, while adjusted operating profit margin was reported at 19.0%. Net earnings reached $16.3 million, translating to $0.31 per diluted share, with adjusted net earnings at $20.3 million or $0.39 per diluted share. Adjusted EBITDA was $33.0 million, with an adjusted EBITDA margin of 21.3%. Year-to-date operating cash flow improved to $29 million, up from $16 million in the previous year. The company returned approximately $51 million to shareholders through share repurchases and secured a five-year service contract with a major UK oil and gas customer. Despite the positive performance, the company acknowledged market pressures in the EMEA region and adjusted its full-year guidance, projecting net sales between $635 million and $650 million, with organic sales growth of 1% to 3%. The outlook reflects a cautious approach due to potential geopolitical impacts on the service business. An investor conference call is scheduled for March 26, 2026, to discuss these results further.
