Enerpac Tool Group revenue grows 5% in second fiscal quarter
Enerpac Tool Group Corp. announced second fiscal quarter net sales of $146 million, a 5.1% increase compared to the prior year, with a 5.0% increase in organic sales.
“We were pleased with Enerpac’s solid performance in the second quarter – highlighted by strong organic revenue growth of 5% – which continued to outperform the soft industrial sector,” said President and CEO Paul Sternlieb.
Executive Vice President and CFO Darren Kozik said, “Profitability remained at high levels in the second quarter of fiscal 2025, although gross margins were impacted by a mix shift. “At the same time, our top-line growth reflected Enerpac’s strong brand and ability to execute in a challenging environment.”
Consolidated net sales for the second quarter of fiscal 2025 were $145.5 million compared to $138.4 million in the prior-year period, an increase of 5.1%. On an organic basis, sales increased 5.0% year-over-year, driven by IT&S organic growth of 4.2% and 33.1% growth at Cortland Biomedical. The strengthening of the U.S. dollar negatively impacted sales by $2.9 million in the period.
Net sales for the Industrial Tools & Services segment (IT&S) increased 4.4%, driven by organic growth and the acquisition of DTA, partially offset by the negative impact of foreign exchange rates. IT&S Product sales increased 4.4% on an organic basis and Service revenue increased 3.4% year-over-year.
Gross profit margin declined 110 basis points year-over-year to 50.5% as a result of a shift in product sales towards Heavy Lifting Technologies (HLT) as well as the mix of service projects in the quarter. Selling, general and administrative expenses (SG&A) of $41.4 million increased 0.7% year-over-year, or 4.6% on an adjusted basis.
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