Earnings Releases·Nov 3, 2026, 4:44 PM ET

Kadant Inc. — Third Quarter 2026 Earnings Summary

Revenue rose 15% year-over-year to a record $313.2 million, driven by 11% acquisition contribution and 4% organic growth, while net income and adjusted EPS increased 27% and 21% respectively to $35.1 million and $3.64.
Full-year 2026 guidance was raised across all metrics, with revenue guidance increased to $1.195–$1.210 billion and adjusted EPS guidance lifted to $12.58–$12.73, supported by record Q3 bookings of $291.1 million (+22%).
Gross margin contracted 50 basis points to 44.7% due to segment mix and pricing pressures, with the Material Handling unit declining 4.1% organically, though Flow Control and Industrial Processing segments posted revenue growth.
Management expects a strong finish to 2026 citing stable aftermarket demand, though large capital order timing remains subject to economic and geopolitical uncertainty.
Balance sheet liquidity improved with cash balances rising to $138.6 million, while debt obligations increased to $453.1 million and goodwill grew to $658.1 million following acquisitions.