EnerSys Reports Fourth Quarter Fiscal Year 2025 Results
Delivers Q4'25 Net Sales Up
Fourth Quarter Fiscal 2025 Highlights
(All comparisons against the fourth quarter of fiscal 2024 unless otherwise noted)
-
Delivered second highest quarterly net sales of
$975M 7% , and +4% organic -
Energy Systems net sales +
8% with operating margins of6.8% and adjusted operating margins of8.7% , +400bps -
Achieved GM of
31.2% , +320 bps, and GM ex 45X of26.6% , +270 bps -
Realized diluted EPS of
$2.41 63% , and adjusted diluted EPS(1) of$2.97 43% , a record$1.86 -
Net leverage ratio(a) 1.3 X EBITDA on operating cash flow of
$135M
Full Year Fiscal 2025 Highlights
(All comparisons against fiscal 2024 unless otherwise noted)
-
Delivered net sales of
$3.6B 1% -
Achieved GM of
30.2% +280 bps, and GM ex 45X of25.1% , +150 bps -
Realized record diluted EPS of
$8.99 38% and record adjusted diluted EPS of$10.15 22% , a record$5.58 + , +$0.53 11% -
Returned
$192M
"EnerSys ended Fiscal Year 2025 with a strong fourth quarter, demonstrating the earnings power of our balanced business," said David M. Shaffer, EnerSys Chief Executive Officer. "We delivered
"Throughout Fiscal Year 2025, we executed our strategy even in a challenging environment. We expanded our share in the attractive and growing defense market; grew our higher margin maintenance-free offerings; reduced costs; optimized our manufacturing footprint; invested in high-speed, flexible domestic production capacity; and developed new product offerings; strengthening our foundation for future growth. As Shawn takes on the CEO role, I am confident that he will lead the company to continued success," concluded Shaffer.
As previously announced, David Shaffer is retiring as Chief Executive Officer of EnerSys effective May 22, 2025 after 22 years of dedicated service. As part of a planned succession, the Board has named Shawn O’Connell, President and Chief Operating Officer, as successor. Mr. O’Connell will assume the role of President and Chief Executive Officer and will join EnerSys’ Board of Directors on May 23, 2025.
"Our fourth quarter performance reflects solid operational execution across the business," commented Shawn O’Connell, EnerSys President and Chief Operating Officer and incoming Chief Executive Officer. "Energy Systems saw growth in Data Center and continued signs of recovery in
"As we manage tariff impacts, we are applying our proven and refined playbook—one that has successfully guided us through multiple economic cycles—and we are well-positioned to respond swiftly. We are proactively adjusting pricing, costs, working capital, supply chain and manufacturing to protect both volumes and profitability. Our confidence in the critical role our solutions play in the global market is unshaken by the short-term implications as we adjust our business to this new landscape."
"Our products and services remain essential to the industries that drive the global economy—from resilient grids and communications networks to secure data centers and national security. Our long-term outlook remains positive. I want to thank Dave for his leadership and for positioning EnerSys for future success. I am confident in the strength of our business, the relevance of our solutions, and our ability to continue delivering value for our customers, communities, and shareholders," concluded O’Connell.
Key Financial Results and Metrics |
Fourth quarter ended |
|
Twelve months ended |
||||||||||||||||
In millions, except per share amounts |
March 31, 2025 |
|
March 31, 2024 |
|
Change |
|
March 31, 2025 |
|
March 31, 2024 |
|
Change |
||||||||
Net Sales |
$ |
974.8 |
|
$ |
910.7 |
|
|
7.0 |
% |
|
$ |
3,617.6 |
|
$ |
3,581.8 |
|
|
1.0 |
% |
Diluted EPS (GAAP) |
$ |
2.41 |
|
$ |
1.48 |
|
$ |
0.93 |
|
|
$ |
8.99 |
|
$ |
6.50 |
|
$ |
2.49 |
|
Adjusted Diluted EPS (Non-GAAP)(1) |
$ |
2.97 |
|
$ |
2.08 |
|
$ |
0.89 |
|
|
$ |
10.15 |
|
$ |
8.35 |
|
$ |
1.80 |
|
Gross Profit (GAAP) |
$ |
303.7 |
|
$ |
254.3 |
|
$ |
49.4 |
|
|
$ |
1,092.4 |
|
$ |
982.8 |
|
$ |
109.6 |
|
Operating Earnings (GAAP) |
$ |
131.3 |
|
$ |
80.9 |
|
$ |
50.4 |
|
|
$ |
464.7 |
|
$ |
351.5 |
|
$ |
113.2 |
|
Adjusted Operating Earnings (Non-GAAP)(2) |
$ |
152.5 |
|
$ |
109.2 |
|
$ |
43.3 |
|
|
$ |
528.1 |
|
$ |
450.2 |
|
$ |
77.9 |
|
Net Earnings (GAAP) |
$ |
96.5 |
|
$ |
60.9 |
|
$ |
35.6 |
|
|
$ |
363.7 |
|
$ |
269.1 |
|
$ |
94.6 |
|
EBITDA (Non-GAAP)(3) |
$ |
155.6 |
|
$ |
101.1 |
|
$ |
54.5 |
|
|
$ |
558.6 |
|
$ |
434.1 |
|
$ |
124.5 |
|
Adjusted EBITDA (Non-GAAP)(3) |
$ |
166.9 |
|
$ |
124.5 |
|
$ |
42.4 |
|
|
$ |
588.6 |
|
$ |
506.8 |
|
$ |
81.8 |
|
Share Repurchases |
$ |
40.0 |
|
$ |
13.4 |
|
$ |
26.6 |
|
|
$ |
154.0 |
|
$ |
95.7 |
|
$ |
58.3 |
|
Dividend per share |
$ |
0.24 |
|
$ |
0.225 |
|
$ |
0.02 |
|
|
$ |
0.945 |
|
$ |
0.85 |
|
$ |
0.10 |
|
Total Capital Returned to Stockholders |
$ |
49.5 |
|
$ |
22.5 |
|
$ |
27 |
|
|
$ |
192.4 |
|
$ |
130.3 |
|
$ |
62.1 |
|
(a) Net leverage ratio is a non-GAAP financial measure as defined pursuant to our credit agreement and discussed under Reconciliations of GAAP to Non-GAAP Financial Measures.
(1) Adjusted Diluted EPS is a non-GAAP financial measure and discussed under Reconciliations of GAAP to Non-GAAP Financial Measures.
(2) Operating Earnings are adjusted for charges that the Company incurs as a result of restructuring and exit activities, impairment of goodwill and indefinite-lived intangibles and other assets, acquisition activities and those charges and credits that are not directly related to operating unit performance. A reconciliation of operating earnings to Non-GAAP Adjusted Earnings are provided in tables under the section titled Business Segment Operating Results.
(3) Non-GAAP EBITDA is calculated as net earnings adjusted for depreciation, amortization, interest and income taxes. Non-GAAP Adjusted EBITDA is further adjusted for certain charges such as restructuring and exit activities, impairment of goodwill and indefinite-lived intangibles and other assets, acquisition activities and other charges and credits as discussed under Reconciliations of GAAP to Non-GAAP Financial Measures.
Summary of Results
Fourth Quarter Fiscal 2025
Net sales for the fourth quarter of fiscal 2025 were
Net earnings attributable to EnerSys stockholders (“Net earnings”) for the fourth quarter of fiscal 2025 was
Net earnings for the fourth quarter of fiscal 2024 were
Excluding these highlighted items, adjusted Net earnings per diluted share for the fourth quarter of fiscal 2025, on a non-GAAP basis, were
Fiscal Year 2025
Net sales for the twelve months of fiscal 2025 were
Net earnings for the twelve months of fiscal 2025 was
Net earnings for the twelve months of fiscal 2024 was
Adjusted Net earnings per diluted share for the twelve months of fiscal 2025, on a non-GAAP basis, were
Quarterly Dividend
The company announced today that its Board of Directors has declared a quarterly cash dividend of
Balance Sheet and Cash Flow
As of March 31, 2025, cash and cash equivalents were
The Company also returned approximately
First Quarter 2026 Outlook
In the first quarter of fiscal 2026, EnerSys expects:
-
Net sales in the range of
$830M $870M -
IRC 45X benefits to gross profit of
$35M $40M -
Adjusted diluted earnings per share in the range of
$2.03 $2.13
"We remain confident in our ability to effectively manage our business in the evolving macro environment and deliver strong earnings performance," said Andrea Funk, EnerSys Chief Financial Officer. "Our fiscal first quarter 2026 guidance reflects typical seasonal volume softness in Motive Power and Transportation exacerbated by short-term macro dynamics. We also expect to absorb some short-term headwinds from stranded tariffs in the quarter."
"Given the evolving policy environment and pacing of demand normalization, we are pausing full year quantitative guidance. That said, we believe Q1 will mark the low point of our fiscal year. We anticipate full-year adjusted operating earnings growth—excluding 45X benefits—to outpace revenue growth. We expect revenue will be bolstered by our customers’ enthusiasm for our maintenance-free offerings, robust Aerospace and Defense and Data Center markets, and ongoing improvements in our Communications and Transportation businesses. In aggregate, we are on track towards fiscal year 2027 earnings targets outlined at our 2023 Investor Day with strong performance on adjusted operating margin, EBITDA and EPS and future upside potential from the reinvestment of our excess cash flow."
"Despite near-term challenges, the market need for intelligent, resilient power solutions continues to grow. EnerSys is well-positioned for long-term success as we help our customers address critical energy management and workforce challenges. Coming off a record shattering Q4, we are confident in the earnings power of our business and are optimistic about our ability to continue to expand margins, grow revenue, and create long-term value for our shareholders," concluded Funk.
*Inclusive of IRC 45X Advanced Manufacturing Production Credits.
Please refer to the section included herein under the heading “Reconciliations of GAAP to Non-GAAP Financial Measures” for a discussion of the Company’s use of non-GAAP adjusted financial information.
Conference Call and Webcast Details
The Company will host a conference call to discuss its fourth quarter results at 9:00 AM (ET) Thursday, May 22, 2025. A live broadcast as well as a replay of the call can be accessed via https://edge.media-server.com/mmc/p/mo4nniia/ or the Investor Relations section of the company’s website at https://investor.enersys.com.
To join the live call, please register at https://register-conf.media-server.com/register/BI0f3e7b329468490a8fb5682e24b23576. A dial-in and unique PIN will be provided upon registration.
About EnerSys
EnerSys is a global leader in stored energy solutions for industrial applications and designs, manufactures and distributes energy systems solutions and motive power batteries, specialty batteries, battery chargers, power equipment, battery accessories and outdoor equipment enclosure solutions to customers worldwide. The company goes to market through four lines of business: Energy Systems, Motive Power, Specialty and New Ventures. Energy Systems, which combine power conversion, power distribution, energy storage, and enclosures, are used in the telecommunication, broadband, and utility industries, uninterruptible power supplies, and numerous applications requiring stored energy solutions. Motive power batteries and chargers are utilized in electric forklift trucks and other industrial electric powered vehicles. Specialty batteries are used in aerospace and defense applications, portable power solutions for soldiers in the field, large over-the-road trucks, premium automotive, medical and security systems applications. New Ventures provides energy storage and management systems for various applications including demand charge reduction, utility back-up power, and dynamic fast charging for electric vehicles. EnerSys also provides aftermarket and customer support services to its customers in over 100 countries through its sales and manufacturing locations around the world. To learn more about EnerSys please visit https://www.enersys.com/en/.
Caution Concerning Forward-Looking Statements
This press release, and oral statements made regarding the subjects of this release, contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, or the Reform Act, which may include, but are not limited to, statements regarding EnerSys’ earnings estimates, intention to pay quarterly cash dividends, return capital to stockholders, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts, including statements identified by words such as “believe,” “plan,” “seek,” “expect,” “intend,” “estimate,” “anticipate,” “will,” and similar expressions. All statements addressing operating performance, events, or developments that EnerSys expects or anticipates will occur in the future, including statements relating to sales growth, earnings or earnings per share growth, order intake, backlog, payment of future cash dividends, commodity prices, execution of its stock buyback program, judicial or regulatory proceedings, ability to identify and realize benefits in connection with acquisition and disposition opportunities, and market share, as well as statements expressing optimism or pessimism about future operating results or benefits from its cash dividend, its stock buyback programs, application of Section 45X of the Internal Revenue Code, funding, development and construction of the Company's gigafactory in
Although EnerSys does not make forward-looking statements unless it believes it has a reasonable basis for doing so, EnerSys cannot guarantee their accuracy. The foregoing factors, among others, could cause actual results to differ materially from those described in these forward-looking statements. For a list of other factors which could affect EnerSys’ results, including earnings estimates, see EnerSys’ filings with the Securities and Exchange Commission, including “Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations,” and “Forward-Looking Statements,” set forth in EnerSys’ Annual Report on Form 10-K for the fiscal year ended March 31, 2025. No undue reliance should be placed on any forward-looking statements.
EnerSys Consolidated Condensed Statements of Income (Unaudited) (In millions, except share and per share data) |
|||||||||||
|
Quarter ended |
|
Twelve months ended |
||||||||
|
March 31, 2025 |
|
March 31, 2024 |
|
March 31, 2025 |
|
March 31, 2024 |
||||
Net sales |
$ |
974.8 |
|
$ |
910.7 |
|
$ |
3,617.6 |
|
$ |
3,581.8 |
Gross profit |
|
303.7 |
|
$ |
254.3 |
|
$ |
1,092.4 |
|
$ |
982.8 |
Operating expenses |
|
162.7 |
|
$ |
157.3 |
|
$ |
608.7 |
|
$ |
589.6 |
Restructuring and other exit charges |
|
5.1 |
|
$ |
8.5 |
|
$ |
14.4 |
|
$ |
28.1 |
Impairment of indefinite-lived intangibles |
|
0.0 |
|
$ |
7.6 |
|
$ |
0.0 |
|
$ |
13.6 |
Loss on assets held for sale |
|
4.6 |
|
$ |
0.0 |
|
$ |
4.6 |
|
$ |
0.0 |
Operating earnings |
|
131.3 |
|
$ |
80.9 |
|
$ |
464.7 |
|
$ |
351.5 |
Earnings before income taxes |
|
116.3 |
|
$ |
66.6 |
|
$ |
406.5 |
|
$ |
292.2 |
Income tax expense |
|
19.8 |
|
$ |
5.7 |
|
$ |
42.8 |
|
$ |
23.1 |
Net earnings attributable to EnerSys stockholders |
$ |
96.5 |
|
$ |
60.9 |
|
$ |
363.7 |
|
$ |
269.1 |
|
|
|
|
|
|
|
|
||||
Net reported earnings per common share attributable to EnerSys stockholders: |
|
|
|
|
|
|
|
||||
Basic |
$ |
2.45 |
|
$ |
1.51 |
|
$ |
9.15 |
|
$ |
6.62 |
Diluted |
$ |
2.41 |
|
$ |
1.48 |
|
$ |
8.99 |
|
$ |
6.50 |
Dividends per common share |
$ |
0.24 |
|
$ |
0.225 |
|
$ |
0.945 |
|
$ |
0.850 |
Weighted-average number of common shares used in reported earnings per share calculations: |
|
|
|
|
|
|
|
||||
Basic |
|
39,369,190 |
|
|
40,365,995 |
|
|
39,760,829 |
|
|
40,669,392 |
Diluted |
|
39,982,082 |
|
|
41,054,904 |
|
|
40,438,579 |
|
|
41,371,439 |
EnerSys Consolidated Condensed Balance Sheets (Unaudited) (In Thousands, Except Share and Per Share Data) |
||||||||
|
|
March 31, 2025 |
|
March 31, 2024 |
||||
Assets |
|
|
|
|
||||
Current assets: |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
343,131 |
|
|
$ |
333,324 |
|
Accounts receivable, net of allowance for doubtful accounts
(2025– |
|
|
597,942 |
|
|
|
524,725 |
|
Inventories, net |
|
|
739,994 |
|
|
|
697,698 |
|
Prepaid and other current assets |
|
|
408,747 |
|
|
|
226,949 |
|
Total current assets |
|
|
2,089,814 |
|
|
|
1,782,696 |
|
Property, plant, and equipment, net |
|
|
592,433 |
|
|
|
532,450 |
|
Goodwill |
|
|
721,073 |
|
|
|
682,934 |
|
Other intangible assets, net |
|
|
375,430 |
|
|
|
319,407 |
|
Deferred taxes |
|
|
74,793 |
|
|
|
49,798 |
|
Other assets |
|
|
117,705 |
|
|
|
98,721 |
|
Total assets |
|
$ |
3,971,248 |
|
|
$ |
3,466,006 |
|
Liabilities and Equity |
|
|
|
|
||||
Current liabilities: |
|
|
|
|
||||
Short-term debt |
|
$ |
28,502 |
|
|
$ |
30,444 |
|
Current portion of finance leases |
|
|
265 |
|
|
|
237 |
|
Accounts payable |
|
|
405,694 |
|
|
|
369,456 |
|
Accrued expenses |
|
|
340,607 |
|
|
|
323,720 |
|
Total current liabilities |
|
|
775,068 |
|
|
|
723,857 |
|
Long-term debt, net of unamortized debt issuance costs |
|
|
1,083,541 |
|
|
|
801,965 |
|
Finance leases |
|
|
592 |
|
|
|
647 |
|
Deferred taxes |
|
|
17,641 |
|
|
|
30,583 |
|
Other liabilities |
|
|
174,918 |
|
|
|
151,882 |
|
Total liabilities |
|
|
2,051,760 |
|
|
|
1,708,934 |
|
Preferred Stock, |
|
|
— |
|
|
|
— |
|
Common Stock, |
|
|
568 |
|
|
|
564 |
|
Additional paid-in capital |
|
|
662,725 |
|
|
|
629,879 |
|
Treasury stock at cost, 17,647,529 shares held as of March 31, 2025 and 16,091,988 shares held as of March 31, 2024 |
|
|
(988,936 |
) |
|
|
(835,827 |
) |
Retained earnings |
|
|
2,489,200 |
|
|
|
2,163,880 |
|
Contra equity - indemnification receivable |
|
|
— |
|
|
|
— |
|
Accumulated other comprehensive loss |
|
|
(247,479 |
) |
|
|
(204,851 |
) |
Total EnerSys stockholders’ equity |
|
|
1,916,078 |
|
|
|
1,753,645 |
|
Nonredeemable noncontrolling interests |
|
|
3,410 |
|
|
|
3,427 |
|
Total equity |
|
|
1,919,488 |
|
|
|
1,757,072 |
|
Total liabilities and equity |
|
$ |
3,971,248 |
|
|
$ |
3,466,006 |
|
EnerSys Consolidated Condensed Statements of Cash Flows (Unaudited) (In Thousands) |
||||||||||||
|
|
Fiscal year ended March 31, |
||||||||||
|
|
|
2025 |
|
|
|
2024 |
|
|
|
2023 |
|
Cash flows from operating activities |
|
|
|
|
|
|
||||||
Net earnings |
|
$ |
363,735 |
|
|
$ |
269,096 |
|
|
$ |
175,810 |
|
Adjustments to reconcile net earnings to net cash provided by operating activities: |
|
|
|
|
|
|
||||||
Depreciation and amortization |
|
|
100,876 |
|
|
|
92,021 |
|
|
|
91,153 |
|
Write-off of assets relating to restructuring and other exit charges |
|
|
1,973 |
|
|
|
24,229 |
|
|
|
8,920 |
|
Disposal of intangible asset |
|
|
880 |
|
|
|
— |
|
|
|
— |
|
Loss on assets held for sale |
|
|
4,634 |
|
|
|
13,619 |
|
|
|
480 |
|
Derivatives not designated in hedging relationships: |
|
|
|
|
|
|
||||||
Net losses (gains) |
|
|
(3,136 |
) |
|
|
846 |
|
|
|
(1,182 |
) |
Cash proceeds (settlements) |
|
|
826 |
|
|
|
(255 |
) |
|
|
470 |
|
Provision for doubtful accounts |
|
|
3,239 |
|
|
|
1,873 |
|
|
|
(431 |
) |
Deferred income taxes |
|
|
(31,925 |
) |
|
|
(29,344 |
) |
|
|
(15,236 |
) |
Non-cash interest expense |
|
|
1,927 |
|
|
|
2,450 |
|
|
|
1,964 |
|
Stock-based compensation |
|
|
27,825 |
|
|
|
30,607 |
|
|
|
26,371 |
|
Gain on disposal of property, plant, and equipment |
|
|
791 |
|
|
|
908 |
|
|
|
(113 |
) |
Gain on pension settlement |
|
|
(1,548 |
) |
|
|
— |
|
|
|
— |
|
Changes in assets and liabilities, net of effects of acquisitions: |
|
|
|
|
|
|
||||||
Accounts receivable |
|
|
(81,795 |
) |
|
|
108,631 |
|
|
|
67,553 |
|
Inventories |
|
|
1,343 |
|
|
|
75,633 |
|
|
|
(96,413 |
) |
Prepaid and other current assets |
|
|
(220,003 |
) |
|
|
(112,701 |
) |
|
|
23,689 |
|
Other assets |
|
|
(334 |
) |
|
|
6,027 |
|
|
|
(6,298 |
) |
Accounts payable |
|
|
36,569 |
|
|
|
(15,131 |
) |
|
|
(4,236 |
) |
Accrued expenses |
|
|
54,388 |
|
|
|
(8,254 |
) |
|
|
5,747 |
|
Other liabilities |
|
|
32 |
|
|
|
(3,226 |
) |
|
|
1,690 |
|
Net cash provided by (used in) operating activities |
|
|
260,298 |
|
|
|
457,029 |
|
|
|
279,938 |
|
|
|
|
|
|
|
|
||||||
Cash flows from investing activities |
|
|
|
|
|
|
||||||
Capital expenditures |
|
|
(121,038 |
) |
|
|
(86,437 |
) |
|
|
(88,772 |
) |
Purchase of businesses |
|
|
(206,374 |
) |
|
|
(8,270 |
) |
|
|
— |
|
Proceeds from disposal of property, plant, and equipment and intangible asset |
|
|
1,870 |
|
|
|
2,228 |
|
|
|
586 |
|
Investment in Equity Securities |
|
|
(10,852 |
) |
|
|
— |
|
|
|
— |
|
Proceeds from termination of net investment hedges |
|
|
— |
|
|
|
— |
|
|
|
43,384 |
|
Net cash used in investing activities |
|
|
(336,394 |
) |
|
|
(92,479 |
) |
|
|
(44,802 |
) |
|
|
|
|
|
|
|
||||||
Cash flows from financing activities |
|
|
|
|
|
|
||||||
Net borrowings (repayments) on short-term debt |
|
|
(259 |
) |
|
|
(231 |
) |
|
|
(21,719 |
) |
Proceeds from Second Amended Revolver borrowings |
|
|
650,000 |
|
|
|
182,500 |
|
|
|
310,500 |
|
Repayments of Second Amended Revolver borrowings |
|
|
(370,000 |
) |
|
|
(427,500 |
) |
|
|
(500,500 |
) |
Proceeds from Amended 2017 Term Loan |
|
|
— |
|
|
|
— |
|
|
|
300,000 |
|
Proceeds from 2032 Bonds |
|
|
— |
|
|
|
300,000 |
|
|
|
— |
|
Repayments of 2023 Senior Notes |
|
|
— |
|
|
|
— |
|
|
|
(300,000 |
) |
Repayments of Second and Third Amended Term Loan |
|
|
— |
|
|
|
(293,889 |
) |
|
|
(5,215 |
) |
Debt issuance costs |
|
|
— |
|
|
|
(4,061 |
) |
|
|
(1,121 |
) |
Finance lease obligations and other |
|
|
483 |
|
|
|
1,169 |
|
|
|
1,110 |
|
Option proceeds, net |
|
|
9,458 |
|
|
|
10,786 |
|
|
|
4,392 |
|
Payment of taxes related to net share settlement of equity awards |
|
|
(7,985 |
) |
|
|
(9,166 |
) |
|
|
(6,453 |
) |
Purchase of treasury stock |
|
|
(153,961 |
) |
|
|
(95,688 |
) |
|
|
(22,907 |
) |
Dividends paid to stockholders |
|
|
(37,466 |
) |
|
|
(34,480 |
) |
|
|
(28,537 |
) |
Net cash (used in) provided by financing activities |
|
|
90,270 |
|
|
|
(370,560 |
) |
|
|
(270,450 |
) |
Effect of exchange rate changes on cash and cash equivalents |
|
|
(4,367 |
) |
|
|
(7,331 |
) |
|
|
(20,509 |
) |
Net (decrease) increase in cash and cash equivalents |
|
|
9,807 |
|
|
|
(13,341 |
) |
|
|
(55,823 |
) |
Cash and cash equivalents at beginning of year |
|
|
333,324 |
|
|
|
346,665 |
|
|
|
402,488 |
|
Cash and cash equivalents at end of year |
|
$ |
343,131 |
|
|
$ |
333,324 |
|
|
$ |
346,665 |
|
Reconciliations of GAAP to Non-GAAP Financial Measures
This press release contains financial information determined by methods other than in accordance with
Income tax effects of non-GAAP adjustments are calculated using the applicable statutory tax rate for the jurisdictions in which the charges (benefits) are incurred, while taking into consideration any valuation allowances. For those items which are non-taxable, the tax expense (benefit) is calculated at
EnerSys does not provide a quantitative reconciliation of the Company’s projected range for adjusted diluted earnings per share for the first quarter and full year of fiscal 2026 to diluted earnings per share, which is the most directly comparable GAAP measure, in reliance on the unreasonable efforts exception provided under Item 10(e)(1)(i)(B) of Regulation S-K. EnerSys' adjusted diluted earnings per share guidance for the first quarter and full year of fiscal 2026 excludes certain items, including but not limited to certain non-cash, large and/or unpredictable charges and benefits, charges from restructuring and exit activities, impairment of goodwill and indefinite-lived intangibles, acquisition and disposition activities, legal judgments, settlements, or other matters, and tax positions, that are inherently uncertain and difficult to predict, can be dependent on future events that are less capable of being controlled or reliably predicted by management and are not part of the Company's routine operating activities can be dependent on future events that are less capable of being controlled or reliably predicted by management and are not part of the Company's routine operating activities. Due to the uncertainty of the occurrence or timing of these future excluded items, management cannot accurately forecast many of these items for internal use and therefore cannot create a quantitative adjusted diluted earnings per share for the first quarter and full year of fiscal 2026 to diluted earnings per share reconciliation without unreasonable efforts.
These non-GAAP disclosures have limitations as an analytical tool, should not be viewed as a substitute for operating earnings, Net earnings or net income determined in accordance with GAAP, and should not be considered in isolation or as a substitute for analysis of the Company's results as reported under GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Management believes that this non-GAAP supplemental information will be helpful in understanding the Company's ongoing operating results. This supplemental presentation should not be construed as an inference that the Company's future results will be unaffected by similar adjustments to Net earnings determined in accordance with GAAP.
A reconciliation of non-GAAP adjusted operating earnings is set forth in the table below, providing a reconciliation of non-GAAP adjusted operating earnings to the Company’s reported operating results for its business segments. Corporate and other includes amounts managed on a company-wide basis and not directly allocated to any reportable segments, primarily relating to IRA production tax credits. Also, included are start up costs for exploration of a new lithium plant as well as start-up operating expenses from the New Ventures operating segment.
Business Segment Operating Results |
||||||||||||||||||
|
Quarter ended |
|||||||||||||||||
|
($ millions) |
|||||||||||||||||
|
March 31, 2025 |
|||||||||||||||||
|
Energy Systems |
|
Motive Power |
|
Specialty |
|
Corporate and other |
|
Total |
|||||||||
Net Sales |
$ |
398.8 |
|
|
$ |
392.3 |
|
|
$ |
177.8 |
|
|
$ |
5.9 |
|
$ |
974.8 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating Earnings |
$ |
27.0 |
|
|
$ |
57.9 |
|
|
$ |
10.2 |
|
|
$ |
36.2 |
|
$ |
131.3 |
|
Inventory adjustment relating to exit activities |
$ |
0.3 |
|
|
$ |
— |
|
|
$ |
0.3 |
|
|
$ |
— |
|
$ |
0.6 |
|
Restructuring and other exit charges |
$ |
1.4 |
|
|
$ |
2.2 |
|
|
$ |
1.5 |
|
|
$ |
— |
|
|
5.1 |
|
Loss on assets held for sale |
$ |
— |
|
|
$ |
4.6 |
|
|
$ |
— |
|
|
$ |
— |
|
|
4.6 |
|
Amortization of intangible assets |
$ |
5.8 |
|
|
$ |
0.1 |
|
|
$ |
2.4 |
|
|
$ |
— |
|
|
8.3 |
|
Integration costs |
$ |
(0.3 |
) |
|
$ |
— |
|
|
$ |
0.7 |
|
|
$ |
— |
|
|
0.4 |
|
Other |
$ |
0.5 |
|
|
$ |
1.7 |
|
|
$ |
— |
|
|
$ |
— |
|
|
2.2 |
|
Adjusted Operating Earnings |
$ |
34.7 |
|
|
$ |
66.5 |
|
|
$ |
15.1 |
|
|
$ |
36.2 |
|
$ |
152.5 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating Margin |
|
6.8 |
% |
|
|
14.8 |
% |
|
|
5.7 |
% |
|
|
NM |
|
|
13.5 |
% |
Adjusted Operating Margin |
|
8.7 |
% |
|
|
17.0 |
% |
|
|
8.5 |
% |
|
|
NM |
|
|
15.6 |
% |
|
Quarter ended |
|||||||||||||||||
|
($ millions) |
|||||||||||||||||
|
March 31, 2024 |
|||||||||||||||||
|
Energy Systems |
|
Motive Power |
|
Specialty |
|
Corporate and other |
|
Total |
|||||||||
Net Sales |
$ |
369.4 |
|
|
$ |
394.8 |
|
|
$ |
146.5 |
|
|
$ |
— |
|
$ |
910.7 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating Earnings |
$ |
(4.9 |
) |
|
$ |
53.9 |
|
|
$ |
6.7 |
|
|
$ |
25.2 |
|
$ |
80.9 |
|
Inventory adjustment relating to exit activities |
|
1.0 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
1.0 |
|
Restructuring and other exit charges |
|
3.8 |
|
|
|
3.7 |
|
|
|
1.0 |
|
|
|
— |
|
|
8.5 |
|
Impairment of indefinite-lived intangibles |
|
7.6 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
7.6 |
|
Amortization of intangible assets |
|
6.0 |
|
|
|
0.2 |
|
|
|
0.7 |
|
|
|
— |
|
|
6.9 |
|
Legal proceeding charge, net |
|
3.7 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
3.7 |
|
Other |
|
0.2 |
|
|
|
0.3 |
|
|
|
0.1 |
|
|
|
— |
|
|
0.6 |
|
Adjusted Operating Earnings |
$ |
17.4 |
|
|
$ |
58.1 |
|
|
$ |
8.5 |
|
|
$ |
25.2 |
|
$ |
109.2 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating Margin |
|
(1.3 |
)% |
|
|
13.7 |
% |
|
|
4.6 |
% |
|
|
NM |
|
|
8.9 |
% |
Adjusted Operating Margin |
|
4.7 |
% |
|
|
14.7 |
% |
|
|
5.8 |
% |
|
|
NM |
|
|
12.0 |
% |
Increase (Decrease) as a % from prior year quarter |
Energy Systems |
|
Motive Power |
|
Specialty |
|
Corporate and other |
|
Total |
|||||
Net Sales |
8.0 |
% |
|
(0.6 |
)% |
|
21.4 |
% |
|
— |
% |
|
7.0 |
% |
Operating Earnings |
NM |
|
|
7.6 |
|
|
51.7 |
|
|
43.5 |
|
|
62.3 |
|
Adjusted Operating Earnings |
98.4 |
|
|
14.5 |
|
|
79.1 |
|
|
43.5 |
|
|
39.6 |
|
NM = Not Meaningful |
||||||||||||||
|
Twelve months ended |
|||||||||||||||||
|
($ millions) |
|||||||||||||||||
|
March 31, 2025 |
|||||||||||||||||
|
Energy Systems |
|
Motive Power |
|
Specialty |
|
Corporate and other |
|
Total |
|||||||||
Net Sales |
$ |
1,531.1 |
|
|
$ |
1,484.1 |
|
|
$ |
593.6 |
|
|
$ |
8.8 |
|
$ |
3,617.6 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating Earnings |
$ |
72.7 |
|
|
$ |
220.1 |
|
|
$ |
16.8 |
|
|
$ |
155.1 |
|
$ |
464.7 |
|
Inventory adjustment relating to exit activities and step up to fair value relating to recent acquisitions |
|
0.3 |
|
|
|
— |
|
|
|
3.3 |
|
|
|
— |
|
|
3.6 |
|
Restructuring and other exit charges |
|
6.0 |
|
|
|
5.7 |
|
|
|
2.7 |
|
|
|
— |
|
|
14.4 |
|
Loss on assets held for sale |
|
— |
|
|
|
4.6 |
|
|
|
— |
|
|
|
— |
|
|
4.6 |
|
Amortization of intangible assets |
|
23.6 |
|
|
|
0.7 |
|
|
|
7.5 |
|
|
|
— |
|
|
31.8 |
|
Integration costs |
|
(0.1 |
) |
|
|
— |
|
|
|
4.1 |
|
|
|
— |
|
|
4.0 |
|
Acquisition activity expense |
|
— |
|
|
|
— |
|
|
|
2.5 |
|
|
|
— |
|
|
2.5 |
|
Other |
|
0.7 |
|
|
|
1.7 |
|
|
|
0.1 |
|
|
|
— |
|
|
2.5 |
|
Adjusted Operating Earnings |
$ |
103.2 |
|
|
$ |
232.8 |
|
|
$ |
37.0 |
|
|
$ |
155.1 |
|
$ |
528.1 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating Margin |
|
4.7 |
% |
|
|
14.8 |
% |
|
|
2.8 |
% |
|
|
NM |
|
|
12.8 |
% |
Adjusted Operating Margin |
|
6.7 |
% |
|
|
15.7 |
% |
|
|
6.2 |
% |
|
|
NM |
|
|
14.6 |
% |
|
Twelve months ended |
|||||||||||||||||
|
($ millions) |
|||||||||||||||||
|
March 31, 2024 |
|||||||||||||||||
|
Energy Systems |
|
Motive Power |
|
Specialty |
|
Corporate and other |
|
Total |
|||||||||
Net Sales |
$ |
1,590.0 |
|
|
$ |
1,456.2 |
|
|
$ |
535.6 |
|
|
$ |
— |
|
$ |
3,581.8 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating Earnings |
$ |
15.5 |
|
|
$ |
201.2 |
|
|
$ |
17.6 |
|
|
$ |
117.2 |
|
$ |
351.5 |
|
Inventory adjustment relating to exit activities |
|
17.1 |
|
|
|
— |
|
|
|
3.1 |
|
|
|
— |
|
|
20.2 |
|
Restructuring and other exit charges |
|
8.9 |
|
|
|
11.6 |
|
|
|
7.6 |
|
|
|
— |
|
|
28.1 |
|
Impairment of indefinite-lived intangibles |
|
13.6 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
13.6 |
|
Amortization of intangible assets |
|
24.5 |
|
|
|
0.7 |
|
|
|
2.8 |
|
|
|
— |
|
|
28.0 |
|
Legal proceeding charge, net |
|
3.7 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
3.7 |
|
Other |
|
3.7 |
|
|
|
1.1 |
|
|
|
0.3 |
|
|
|
— |
|
|
5.1 |
|
Adjusted Operating Earnings |
$ |
87.0 |
|
|
$ |
214.6 |
|
|
$ |
31.4 |
|
|
$ |
117.2 |
|
$ |
450.2 |
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Operating Margin |
|
1.0 |
% |
|
|
13.8 |
% |
|
|
3.3 |
% |
|
|
NM |
|
|
9.8 |
% |
Adjusted Operating Margin |
|
5.5 |
% |
|
|
14.7 |
% |
|
|
5.9 |
% |
|
|
NM |
|
|
12.6 |
% |
Increase (Decrease) as a % from prior year |
Energy Systems |
|
Motive Power |
|
Specialty |
|
Corporate and other |
|
Total |
|||||
Net Sales |
(3.7 |
)% |
|
1.9 |
% |
|
10.8 |
% |
|
— |
% |
|
1.0 |
% |
Operating Earnings |
NM |
|
|
9.4 |
|
|
(4.9 |
) |
|
32.3 |
|
|
32.2 |
|
Adjusted Operating Earnings |
18.7 |
|
|
8.4 |
|
|
17.8 |
|
|
32.3 |
|
|
17.3 |
|
Reconciliations of GAAP to Non-GAAP Financial Measures (Unaudited) |
|||||||||||
The table below presents a reconciliation of Net Earnings to EBITDA and Adjusted EBITDA: |
|||||||||||
|
Quarter ended |
|
Twelve months ended |
||||||||
|
($ millions) |
|
($ millions) |
||||||||
|
March 31, 2025 |
|
March 31, 2024 |
|
March 31, 2025 |
|
March 31, 2024 |
||||
Net Earnings |
|
96.5 |
|
$ |
60.9 |
|
$ |
363.7 |
|
$ |
269.1 |
Depreciation |
|
18.2 |
|
|
16.8 |
|
|
69.1 |
|
|
64.0 |
Amortization |
|
8.3 |
|
|
6.9 |
|
|
31.8 |
|
|
28.0 |
Interest |
|
12.8 |
|
|
10.8 |
|
|
51.2 |
|
|
49.9 |
Income Taxes |
|
19.8 |
|
|
5.7 |
|
|
42.8 |
|
|
23.1 |
EBITDA |
|
155.6 |
|
|
101.1 |
|
|
558.6 |
|
|
434.1 |
Non-GAAP adjustments |
|
11.3 |
|
|
23.4 |
|
|
30.0 |
|
|
72.7 |
Adjusted EBITDA |
$ |
166.9 |
|
$ |
124.5 |
|
$ |
588.6 |
|
$ |
506.8 |
The following table provides the non-GAAP adjustments shown in the reconciliation above: |
|||||||||||||
|
Quarter ended |
|
Twelve months ended |
||||||||||
|
($ millions) |
|
($ millions) |
||||||||||
|
March 31, 2025 |
|
March 31, 2024 |
|
March 31, 2025 |
|
March 31, 2024 |
||||||
Inventory adjustment relating to exit activities |
$ |
0.6 |
|
|
$ |
1.0 |
|
$ |
0.6 |
|
|
$ |
20.2 |
Inventory step up to fair value relating to recent acquisitions |
|
— |
|
|
|
— |
|
|
3.0 |
|
|
|
— |
Restructuring and other exit charges |
|
5.1 |
|
|
|
8.5 |
|
|
14.4 |
|
|
|
28.1 |
Impairment of indefinite-lived intangibles |
|
— |
|
|
|
7.6 |
|
|
— |
|
|
|
13.6 |
Loss on assets held for sale |
|
4.6 |
|
|
|
— |
|
|
4.6 |
|
|
|
— |
Legal proceedings charge, net |
|
— |
|
|
|
3.7 |
|
|
— |
|
|
|
3.7 |
Integration Costs |
|
0.4 |
|
|
|
— |
|
|
4.0 |
|
|
|
— |
Gain on Pension Settlement |
|
(1.6 |
) |
|
|
— |
|
|
(1.6 |
) |
|
|
— |
Acquisition expense |
|
— |
|
|
|
— |
|
$ |
2.5 |
|
|
|
— |
Other |
|
2.2 |
|
|
|
2.6 |
|
$ |
2.5 |
|
|
|
7.1 |
Non-GAAP adjustments |
$ |
11.3 |
|
|
$ |
23.4 |
|
$ |
30.0 |
|
|
$ |
72.7 |
The table below presents a reconciliation of Gross Profit and Gross Margin to Adjusted Gross Profit and Adjusted Gross Margin: |
|||||||||||||||
|
Quarter ended |
|
Twelve months ended |
||||||||||||
|
($ millions) |
|
($ millions) |
||||||||||||
|
March 31, 2025 |
|
March 31, 2024 |
|
March 31, 2025 |
|
March 31, 2024 |
||||||||
Gross Profit as reported |
$ |
303.7 |
|
|
$ |
254.3 |
|
|
$ |
1,092.4 |
|
|
$ |
982.8 |
|
Inventory adjustment relating to exit activities |
|
— |
|
|
|
1.0 |
|
|
|
— |
|
|
|
20.2 |
|
Inventory step up to fair value relating to recent acquisitions |
|
0.7 |
|
|
|
— |
|
|
|
3.7 |
|
|
|
— |
|
Adjusted Gross Profit |
|
304.4 |
|
|
|
255.3 |
|
|
|
1,096.1 |
|
|
|
1,003.0 |
|
|
|
|
|
|
|
|
|
||||||||
Gross Margin |
|
31.2 |
% |
|
|
27.9 |
% |
|
|
30.2 |
% |
|
|
27.4 |
% |
Adjusted Gross Margin |
|
31.2 |
% |
|
|
28.0 |
% |
|
|
30.3 |
% |
|
|
28.0 |
% |
The table below presents a reconciliation of Operating Cash Flow to Free Cash Flow and Adjusted Free Cash Flow Conversion percentages: |
|||||||||||||||
|
Quarter ended |
|
Twelve months ended |
||||||||||||
|
($ millions) |
|
($ millions) |
||||||||||||
|
March 31, 2025 |
|
March 31, 2024 |
|
March 31, 2025 |
|
March 31, 2024 |
||||||||
Net cash provided by (used in) operating activities |
$ |
135.2 |
|
|
$ |
136.8 |
|
|
$ |
260.3 |
|
|
$ |
457.0 |
|
Less Capital Expenditures |
|
(30.2 |
) |
|
|
(27.4 |
) |
|
|
(121.0 |
) |
|
|
(86.4 |
) |
Free Cash Flow |
|
105.0 |
|
|
|
109.4 |
|
|
|
139.3 |
|
|
|
370.6 |
|
|
Quarter ended |
|
Twelve months ended |
||||||||||||
|
($ millions) |
|
($ millions) |
||||||||||||
|
March 31, 2025 |
|
March 31, 2024 |
|
March 31, 2025 |
|
March 31, 2024 |
||||||||
Net cash provided by (used in) operating activities |
$ |
135.2 |
|
|
$ |
136.8 |
|
|
$ |
260.3 |
|
|
$ |
457.0 |
|
Net earnings |
|
96.5 |
|
|
|
60.9 |
|
|
|
363.7 |
|
|
|
269.1 |
|
Operating cash flow conversion % |
|
140.1 |
% |
|
|
224.6 |
% |
|
|
71.6 |
% |
|
|
169.8 |
% |
|
|
|
|
|
|
|
|
||||||||
Free cash flow |
|
105.0 |
|
|
|
109.4 |
|
|
|
139.3 |
|
|
|
370.6 |
|
Adjusted net earnings |
|
118.6 |
|
|
|
85.2 |
|
|
|
410.4 |
|
|
|
345.3 |
|
Adjusted free cash flow conversion % |
|
88.5 |
% |
|
|
128.4 |
% |
|
|
33.9 |
% |
|
|
107.3 |
% |
The following table provides a reconciliation of Net earnings to EBITDA (non-GAAP) and adjusted EBITDA (non-GAAP) per credit agreement for March 31, 2025 and March 31, 2024 to calculate our net leverage ratio, in connection with the Fourth Amended Credit Facility: |
||||||
|
|
Last twelve months |
||||
|
|
March 31, 2025 |
|
March 31, 2024 |
||
|
|
(in millions, except ratios) |
||||
Net earnings as reported |
|
$ |
363.7 |
|
$ |
269.1 |
Add back: |
|
|
|
|
||
Depreciation and amortization |
|
|
100.9 |
|
$ |
92.0 |
Interest expense |
|
|
51.1 |
|
$ |
49.9 |
Income tax expense |
|
|
42.8 |
|
|
23.1 |
EBITDA (non-GAAP) |
|
$ |
558.5 |
|
$ |
434.1 |
Adjustments per credit agreement definitions(1) |
|
|
56.2 |
|
|
85.8 |
Adjusted EBITDA (non-GAAP) per credit agreement(1) |
|
$ |
614.7 |
|
|
519.9 |
Total net debt(2) |
|
$ |
781.1 |
|
|
511.1 |
Leverage ratios: |
|
|
|
|
||
Total net debt/credit adjusted EBITDA ratio |
|
1.3 X |
|
1.0 X |
||
(1) |
The |
(2) |
Debt includes finance lease obligations and letters of credit and is net of all |
Included below is a reconciliation of historical non-GAAP adjusted Net earnings to reported amounts. Non-GAAP adjusted operating earnings and historical Net earnings are calculated excluding restructuring and other highlighted charges and credits. The following tables provide additional information regarding certain non-GAAP measures: |
||||||||
|
Quarter ended |
|
||||||
|
(in millions, except share and per share amounts) |
|
||||||
|
March 31, 2025 |
|
March 31, 2024 |
|
||||
Net earnings reconciliation |
|
|
|
|
||||
As reported Net Earnings |
$ |
96.5 |
|
|
$ |
60.9 |
|
|
Non-GAAP adjustments: |
|
|
|
|
||||
Inventory adjustment relating to exit activities |
|
0.6 |
|
(1) |
|
1.0 |
|
(1) |
Restructuring and other exit charges |
|
5.1 |
|
(2) |
|
8.5 |
|
(2) |
Impairment of indefinite-lived intangibles |
|
— |
|
|
|
7.6 |
|
(3) |
Loss on assets held for sale |
|
4.6 |
|
(4) |
|
— |
|
|
Amortization of identified intangible assets |
|
8.3 |
|
(5) |
|
6.9 |
|
(5) |
Legal proceedings charge, net |
|
— |
|
|
|
3.7 |
|
(6) |
Integration costs |
|
0.4 |
|
(7) |
|
— |
|
|
Other |
|
2.2 |
|
(8) |
|
3.3 |
|
(8) |
Gain on pension settlement |
|
(1.6 |
) |
|
|
— |
|
|
Income tax adjustment of benefit from tax law changes and litigation |
|
2.2 |
|
|
|
— |
|
|
Swiss income tax goodwill expiration |
|
2.2 |
|
|
|
— |
|
|
Income tax expense on intercompany sale of IP |
|
2.5 |
|
|
|
— |
|
|
Income tax effect of above non-GAAP adjustments |
|
(4.4 |
) |
|
|
(6.7 |
) |
|
Non-GAAP adjusted Net earnings |
$ |
118.6 |
|
|
$ |
85.2 |
|
|
|
|
|
|
|
||||
Net Earnings without IRC 45X |
|
|
|
|
||||
As Reported Net Earnings |
$ |
96.5 |
|
|
$ |
60.9 |
|
|
IRC 45X Benefit |
|
44.1 |
|
|
|
36.0 |
|
|
Reported Net Earnings without IRC 45X Benefit |
$ |
52.4 |
|
|
$ |
24.9 |
|
|
|
|
|
|
|
||||
Non-GAAP adjusted Net Earnings without IRC 45X |
|
|
|
|
||||
Non-GAAP Adjusted Net Earnings |
$ |
118.6 |
|
|
$ |
85.2 |
|
|
IRC 45X Benefit |
|
44.1 |
|
|
|
36.0 |
|
|
Non-GAAP adjusted Net Earnings without IRC 45X Benefit |
$ |
74.5 |
|
|
$ |
49.2 |
|
|
|
|
|
|
|
||||
Outstanding shares used in per share calculations |
|
|
|
|
||||
Basic |
|
39,369,190 |
|
|
|
40,365,995 |
|
|
Diluted |
|
39,982,082 |
|
|
|
41,054,904 |
|
|
|
|
|
|
|
||||
Reported Net earnings (Loss) per share: |
|
|
|
|
||||
Basic |
$ |
2.45 |
|
|
$ |
1.51 |
|
|
Diluted |
$ |
2.41 |
|
|
$ |
1.48 |
|
|
Dividends per common share |
$ |
0.24 |
|
|
$ |
0.225 |
|
|
|
|
|
|
|
||||
Non-GAAP adjusted Net earnings per share: |
|
|
|
|
||||
Basic |
$ |
3.01 |
|
|
$ |
2.11 |
|
|
Diluted |
$ |
2.97 |
|
|
$ |
2.08 |
|
|
|
|
|
|
|
||||
Reported Net Earnings (Loss) per share without IRC 45X benefit |
|
|
|
|
||||
Basic |
$ |
1.33 |
|
|
$ |
0.62 |
|
|
Diluted |
$ |
1.31 |
|
|
$ |
0.61 |
|
|
|
|
|
|
|
||||
Non-GAAP adjusted Net Earnings (Loss) per share without IRC 45X benefit |
|
|
|
|
||||
Basic |
$ |
1.89 |
|
|
$ |
1.22 |
|
|
Diluted |
$ |
1.86 |
|
|
$ |
1.20 |
|
|
The following table provides the line of business allocation of the non-GAAP adjustments of items relating operating earnings (that are allocated to lines of business) shown in the reconciliation above: |
|||||||
|
|
Quarter ended |
|||||
|
|
($ millions) |
|||||
|
|
March 31, 2025 |
|
March 31, 2024 |
|||
|
|
Pre-tax |
|
Pre-tax |
|||
(1) Inventory adjustment relating to exit activities - Energy Systems |
|
$ |
0.3 |
|
|
$ |
1.0 |
(1) Inventory adjustment relating to exit activities - Motive Power |
|
$ |
— |
|
|
|
— |
(1) Inventory adjustment relating to exit activities - Specialty |
|
|
0.3 |
|
|
|
— |
(2) Restructuring and other exit charges - Energy Systems |
|
|
1.4 |
|
|
|
3.8 |
(2) Restructuring and other exit charges - Motive Power |
|
|
2.2 |
|
|
|
3.7 |
(2) Restructuring and other exit charges - Specialty |
|
|
1.5 |
|
|
|
1.0 |
(3) Impairment of indefinite-lived intangibles - Energy Systems |
|
|
— |
|
|
|
7.6 |
(4) Loss on assets held for sale - Motive |
|
|
4.6 |
|
|
|
— |
(5) Amortization of identified intangible assets - Energy Systems |
|
|
5.8 |
|
|
|
6.0 |
(5) Amortization of identified intangible assets - Motive Power |
|
|
0.1 |
|
|
|
0.2 |
(5) Amortization of identified intangible assets - Specialty |
|
|
2.4 |
|
|
|
0.7 |
(6) Legal proceedings charge, net - Energy Systems |
|
|
— |
|
|
|
3.7 |
(7) Integration costs - Energy Systems |
|
|
(0.3 |
) |
|
|
— |
(7) Integration costs - Specialty |
|
|
0.7 |
|
|
|
— |
(8) Other - Energy Systems |
|
|
0.5 |
|
|
|
0.2 |
(8) Other - Motive Power |
|
|
1.7 |
|
|
|
0.3 |
(8) Other - Specialty |
|
|
— |
|
|
|
0.1 |
Total Non-GAAP adjustments |
|
$ |
21.2 |
|
|
$ |
28.3 |
|
Twelve months ended |
|
||||||
|
(in millions, except share and per share amounts) |
|
||||||
|
March 31, 2025 |
|
March 31, 2024 |
|
||||
Net Earnings reconciliation |
|
|
|
|
||||
As reported Net Earnings |
$ |
363.7 |
|
|
$ |
269.1 |
|
|
Non-GAAP adjustments: |
|
|
|
|
||||
Inventory adjustment relating to exit activities and step up to fair value relating to recent acquisitions |
|
3.6 |
|
(1) |
|
20.2 |
|
(1) |
Restructuring and other exit charges |
|
14.4 |
|
(2) |
|
28.1 |
|
(2) |
Impairment of indefinite-lived intangibles |
|
— |
|
|
|
13.6 |
|
(3) |
Loss on assets held for sale |
|
4.6 |
|
(4) |
|
— |
|
|
Amortization of identified intangible assets |
|
31.8 |
|
(5) |
|
28.0 |
|
(2) |
Acquisition activity expense |
|
2.5 |
|
(6) |
|
— |
|
|
Legal proceedings charge, net |
|
— |
|
|
|
3.7 |
|
(7) |
Integration costs |
|
4.0 |
|
(8) |
|
— |
|
|
Other |
|
2.5 |
|
(9) |
|
7.8 |
|
(9) |
Gain on pension settlement |
|
(1.6 |
) |
|
|
— |
|
|
Income tax benefit from tax law changes and litigation |
|
(4.6 |
) |
|
|
— |
|
|
Swiss income tax goodwill expiration |
|
2.2 |
|
|
|
— |
|
|
Income tax expense on intercompany sale of IP |
|
2.5 |
|
|
|
— |
|
|
Income tax effect of above non-GAAP adjustments |
|
(15.2 |
) |
|
|
(25.2 |
) |
|
Non-GAAP adjusted Net Earnings |
$ |
410.4 |
|
|
$ |
345.3 |
|
|
|
|
|
|
|
||||
Net Earnings without IRC 45X |
|
|
|
|
||||
As Reported Net Earnings |
$ |
363.7 |
|
|
$ |
269.1 |
|
|
IRC 45X Benefit |
|
184.6 |
|
|
|
136.4 |
|
|
Reported Net Earnings without IRC 45X Benefit |
$ |
179.1 |
|
|
$ |
132.7 |
|
|
|
|
|
|
|
||||
Non-GAAP adjusted Net Earnings without IRC 45X |
|
|
|
|
||||
Non-GAAP Adjusted Net Earnings |
$ |
410.4 |
|
|
$ |
345.3 |
|
|
IRC 45X Benefit |
|
184.6 |
|
|
|
136.4 |
|
|
Non-GAAP adjusted Net Earnings without IRC 45X Benefit |
$ |
225.8 |
|
|
$ |
208.9 |
|
|
|
|
|
|
|
||||
Outstanding shares used in per share calculations |
|
|
|
|
||||
Basic |
|
39,760,829 |
|
|
|
40,669,392 |
|
|
Diluted |
|
40,438,579 |
|
|
|
41,371,439 |
|
|
|
|
|
|
|
||||
Reported Net Earnings (Loss) per share: |
|
|
|
|
||||
Basic |
$ |
9.15 |
|
|
$ |
6.62 |
|
|
Diluted |
$ |
8.99 |
|
|
$ |
6.50 |
|
|
Dividends per common share |
$ |
0.945 |
|
|
$ |
0.850 |
|
|
|
|
|
|
|
||||
Non-GAAP adjusted Net Earnings per share: |
|
|
|
|
||||
Basic |
$ |
10.32 |
|
|
$ |
8.49 |
|
|
Diluted |
$ |
10.15 |
|
|
$ |
8.35 |
|
|
|
|
|
|
|
||||
Reported Net Earnings (Loss) per share without IRC 45X benefit |
|
|
|
|
||||
Basic |
$ |
4.50 |
|
|
$ |
3.26 |
|
|
Diluted |
$ |
4.43 |
|
|
$ |
3.21 |
|
|
|
|
|
|
|
||||
Non-GAAP adjusted Net Earnings (Loss) per share without IRC 45X benefit |
|
|
|
|
||||
Basic |
$ |
5.68 |
|
|
$ |
5.14 |
|
|
Diluted |
$ |
5.58 |
|
|
$ |
5.05 |
|
|
The following table provides the line of business allocation of the non-GAAP adjustments of items relating operating earnings (that are allocated to lines of business) shown in the reconciliation above: |
|||||||
|
|
Twelve months ended |
|||||
|
|
($ millions) |
|||||
|
|
March 31, 2025 |
|
March 31, 2024 |
|||
|
|
Pre-tax |
|
Pre-tax |
|||
(1) Inventory adjustment relating to exit activities - Energy Systems |
|
|
0.3 |
|
|
|
17.1 |
(1) Inventory adjustment relating to exit activities - Motive Power |
|
|
— |
|
|
|
— |
(1) Inventory adjustment relating to exit activities step up to fair value relating to recent acquisitions - Specialty |
|
|
3.3 |
|
|
|
3.1 |
(2) Restructuring and other exit charges - Energy Systems |
|
|
6.0 |
|
|
|
8.9 |
(2) Restructuring and other exit charges - Motive Power |
|
|
5.7 |
|
|
|
11.6 |
(2) Restructuring and other exit charges - Specialty |
|
|
2.7 |
|
|
|
7.6 |
(3) Impairment of indefinite-lived intangibles - Energy Systems |
|
|
— |
|
|
|
13.6 |
(4) Loss on assets held for sale - Motive |
|
|
4.6 |
|
|
|
— |
(5) Amortization of identified intangible assets - Energy Systems |
|
|
23.6 |
|
|
|
24.5 |
(5) Amortization of identified intangible assets - Motive Power |
|
|
0.7 |
|
|
|
0.7 |
(5) Amortization of identified intangible assets - Specialty |
|
|
7.5 |
|
|
|
2.8 |
(6) Acquisition expense - Specialty |
|
|
2.5 |
|
|
|
— |
(7) Legal proceedings charge, net - Energy Systems |
|
|
— |
|
|
|
3.7 |
(8) Integration costs - Energy Systems |
|
|
(0.1 |
) |
|
|
— |
(8) Integration costs - Specialty |
|
|
4.1 |
|
|
|
— |
(9) Other - Energy Systems |
|
|
0.7 |
|
|
|
3.7 |
(9) Other - Motive Power |
|
|
1.7 |
|
|
|
1.1 |
(9) Other - Specialty |
|
|
0.1 |
|
|
|
0.3 |
Total Non-GAAP adjustments |
|
$ |
63.4 |
|
|
$ |
98.7 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20250521936595/en/
Lisa Hartman
Vice President, Investor Relations and Corporate Communications
EnerSys
610-236-4040
E-mail: investorrelations@enersys.com
Source: EnerSys
