Escalade Reports First Quarter 2026 Results

Escalade (NASDAQ: ESCA) reported Q1 2026 results: net sales $55.8M (+0.6% YoY), gross margin 30.7% (+408 bps), operating income $5.8M (+59.8%), net income $4.4M (diluted EPS $0.32).

Rhea-AI Summary

Escalade (NASDAQ: ESCA) reported Q1 2026 results: net sales $55.8M (+0.6% YoY), gross margin 30.7% (+408 bps), operating income $5.8M (+59.8%), net income $4.4M (diluted EPS $0.32). EBITDA was $7.1M (+44.1%) and operating cash flow was $6.1M. Total debt fell to $16.7M, cash was $13.1M, and net debt was 0.1x trailing EBITDA. A quarterly dividend of $0.1525 per share was declared.

Positive

• Gross margin expanded by 408 bps to 30.7%
• EBITDA increased 44.1% to $7.1M
• Operating cash flow improved to $6.1M, up $2.4M year-over-year
• Total debt reduced to $16.7M from $23.8M a year earlier
• Declared quarterly dividend of $0.1525 per share

Negative

• Total net sales rose just 0.6% year-over-year to $55.8M
• Sales declined in the outdoor and indoor game categories
• Management flagged inflationary pressures and higher input costs that may weigh on demand

Argus Apr 30 session

+6.61% close to close Open Argus

Details

News Market Reaction – ESCA

On Apr 30, the day this news came out, ESCA closed 6.61% above the previous close.

Data tracked by StockTitan Argus for the Apr 30 session.

Market Context

On Apr 30, the day this news came out, the stock closed 6.6% above the previous close. A strong posi...

Analysis

On Apr 30, the day this news came out, the stock closed 6.6% above the previous close. A strong positive reaction aligns with the report’s margin expansion and earnings growth, including gross margin of 30.7% and EBITDA of $7.1M. Historically, ESCA’s earnings moves averaged about -2%, so a large upside move would have stood out versus prior caution. Low net debt of 0.1x trailing EBITDA and reduced total debt to $16.7M could have reinforced confidence, while investors would still need to monitor modest top-line growth and discretionary demand risk.

Key Figures

Net sales: $55.8M Gross margin: 30.7% Operating income: $5.8M +5 more

Net sales

$55.8M

Q1 2026, up 0.6% vs Q1 2025

Gross margin

30.7%

Q1 2026, +408 bps vs prior-year period

Operating income

$5.8M

Q1 2026, up 59.8% vs Q1 2025

Net income

$4.4M

Q1 2026 vs $2.6M in Q1 2025

Diluted EPS

$0.32

Q1 2026, up from $0.19 (67.2% increase)

EBITDA

$7.1M

Q1 2026, up 44.1% vs prior-year period

Cash from operations

$6.1M

Q1 2026 vs $3.8M in Q1 2025

Total debt

$16.7M

End Q1 2026 vs $23.8M in Q1 2025 and $18.5M at 2025 year-end

Previous Earnings Reports

5 past events · Latest: Feb 27

Same Type 5 events

1. Feb 27

   Q4/FY 2025 earnings

   24h Move

   -3.5%

   Gross margin gains, debt reduction, higher dividend, but shares fell post-report.

2. Oct 30

   Q3 2025 earnings

   24h Move

   +0.1%

   Stronger margins, solid EBITDA, lower debt and dividend declaration.

3. Aug 01

   Q2 2025 earnings

   24h Move

   -4.2%

   Double-digit sales decline and lower earnings despite modest margin improvement.

4. May 05

   Q1 2025 earnings

   24h Move

   -3.1%

   Improved profitability and cash flow despite slightly lower sales and debt cuts.

5. Feb 26

   Q4/FY 2024 earnings

   24h Move

   +0.6%

   Margin expansion, strong cash generation, debt reduction and new buyback plan.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

ebitda, basis points, diluted earnings per share, senior secured revolving credit facility, +3 more

7 terms

ebitda financial

"Earnings before interest, taxes, depreciation, and amortization ("EBITDA") increased $2.2 million..."

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

View in glossary

basis points financial

"Gross margin improved 408 basis points, to 30.7%..."

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

diluted earnings per share financial

"...or $0.32 earnings per diluted earnings per share, compared to $2.6 million..."

Diluted earnings per share is a measure of a company's profit allocated to each share of stock, taking into account all possible shares that could be created through stock options, convertible bonds, or other securities. It shows the lowest possible earnings per share if all these potential shares were issued, helping investors understand the worst-case scenario for their ownership. This figure matters because it provides a more conservative view of a company's profitability per share.

senior secured revolving credit facility financial

"availability on the senior secured revolving credit facility maturing in 2027 was $57.9 million."

A senior secured revolving credit facility is a multi‑use bank lending line that a company can draw, repay and redraw as needed, backed by specific assets and ranked first in repayment order if the company defaults. Think of it like a collateralized credit card that gives flexible short‑term cash while lenders hold priority to recover their money; investors watch it because it affects a company’s liquidity, borrowing cost, and who gets paid first in financial distress.

non-gaap financial measure financial

"this release contains the non-GAAP financial measure known as "EBITDA.""

A non-GAAP financial measure is a way companies present their financial results that excludes certain expenses or income to show how they believe their core business is performing. It matters because it can give a clearer picture of how the company is really doing, but it can also be used to make results look better than they actually are.

u.s. generally accepted accounting principles ("gaap") financial

"In addition to disclosing financial statements in accordance with U.S. generally accepted accounting principles ("GAAP")..."

A set of standardized rules and guidelines U.S. companies use to prepare their financial statements so numbers are reported consistently and transparently. Think of it as a common recipe book for financial reporting: it helps investors compare companies, spot risks or growth, and trust that key items like revenue, expenses and assets are measured the same way across firms and over time.

restricted stock units financial

"shares received in lieu of cash incentive bonuses and from vesting of Restricted Stock Units under the company’s 2017 Incentive Plan."

Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

EVANSVILLE, Ind., April 30, 2026 /PRNewswire/ -- Escalade, Inc. (NASDAQ: ESCA, or the "Company"), a leading manufacturer and distributor of sporting goods and indoor/outdoor recreational equipment, today announced results for the first quarter 2026.

FIRST QUARTER 2026 HIGHLIGHTS
(As compared to the first quarter 2025)

• Net sales increased 0.6% to $55.8 million
• Gross margin improved 408 basis points, to 30.7%
• Operating income increased 59.8% to $5.8 million
• Net income of $4.4 million, or $0.32 earnings per diluted share, compared to $2.6 million, or $0.19 earnings per diluted share, an increase in earnings per diluted share of 67.2%
• EBITDA totaled $7.1 million, an increase of 44.1%
• Cash provided by operations of $6.1 million vs $3.8 million in 2025

For the three months ended March 31, 2026, Escalade posted net sales of $55.8 million, net income of $4.4 million and diluted earnings per share of $0.32.

Total net sales increased 0.6% on a year-over-year basis in the first quarter, primarily due to increases in our archery categories resulting from the recent Gold Tip acquisition. Net sales also benefitted from increased demand in the billiards and safety categories. These increases were partially offset by a decline in sales in the outdoor and indoor game categories.

Escalade reported first quarter gross margin of 30.7%, an increase of 408 basis points versus the prior-year period, primarily driven by lower fixed costs and favorable sales mix.

Net income for the first quarter of 2026 was $4.4 million, or $0.32 diluted earnings per share, compared to net income of $2.6 million, or $0.19 diluted earnings per share, for the same quarter in 2025.

Earnings before interest, taxes, depreciation, and amortization ("EBITDA") increased $2.2 million to $7.1 million in the first quarter of 2026, versus $4.9 million in the prior-year period.

During the first quarter of 2026, the Company generated $6.1 million in cash flow from operations, an increase of $2.4 million relative to the first quarter of last year. The improvement in cash flow from operations was primarily attributable to an increase in profitability and a reduction in cash flow used for working capital purposes.

Total debt at the end of the quarter was $16.7 million, down from $23.8 million at the end of the first quarter last year, and $18.5 million at the end of 2025.

Total cash and equivalents as of March 31, 2026 was $13.1 million, while availability on the senior secured revolving credit facility maturing in 2027 was $57.9 million. At the end of the first quarter 2026, net debt (total debt less cash) was 0.1x trailing twelve-month EBITDA.

Escalade announced a quarterly dividend of $0.1525 per share to be paid to all shareholders of record on July 6, 2026 and payable on July 13, 2026.

MANAGEMENT COMMENTARY

"We delivered a strong improvement in profitability in the first quarter, including more than 400 basis points of gross margin expansion and a 44% increase in EBITDA compared with the prior-year period," said Patrick J. Griffin, President and Chief Executive Officer of Escalade. "These results reflect our continued focus on operational excellence, the accretive contribution from the Gold Tip archery acquisition, and a favorable sales mix."

"Against a challenging macroeconomic backdrop, we remain focused on driving continued gains in profitability and operating cash flow," Griffin continued. "Our performance underscores the benefits of our improved operating model driven by cost-control and efficiency initiatives, as well as our efforts to strengthen the portfolio through both organic investment and strategic acquisitions."

"As we look to the balance of the year, inflationary pressures, including elevated energy costs, will likely weigh on consumer spending," Griffin added. "At the same time, many of our products offer consumers affordable, at-home alternatives to higher-cost forms of recreation and entertainment, such as travel. If the current macroeconomic and geopolitical conditions persist, then this will likely drive input costs higher while softening consumer demand for discretionary goods. However, despite these challenging conditions, we believe our operational improvements will enable us to deliver gross margins above prior year."

"Our balance sheet remains strong, providing ample financial flexibility to pursue additional accretive acquisitions, and we continue to develop our pipeline of opportunities," Griffin concluded. "Our disciplined approach to capital allocation is centered on generating attractive returns and remains fundamental to our strategy for delivering long-term shareholder value."

CONFERENCE CALL

A conference call will be held Thursday, April 30, 2026, at 11:00 a.m. ET to review the Company's financial results, discuss recent events and conduct a question-and-answer session.

A webcast of the conference call and accompanying presentation materials will be available in the Investor Relations section of Escalade's website at www.escaladeinc.com.  To listen to a live broadcast, go to the site at least 15 minutes prior to the scheduled start time in order to register, download, and install any necessary audio software.

To participate in the live teleconference:
Domestic Live:                     1-833-890-3250
International Live:                1-412-206-6441

To listen to a replay of the teleconference, which subsequently will be available through May 14, 2026:

Domestic Replay:                 1-844-512-2921
International Replay:            1-412-317-6671
Conference ID:                     10208339

USE OF NON-GAAP FINANCIAL MEASURES

In addition to disclosing financial statements in accordance with U.S. generally accepted accounting principles ("GAAP"), this release contains the non-GAAP financial measure known as "EBITDA." A reconciliation of this non-GAAP financial measure is contained at the end of this press release. EBITDA is a non-GAAP financial measure that Escalade uses to facilitate comparisons of operating performance across periods. Escalade believes the disclosure of EBITDA provides useful information to investors regarding its financial condition and results of operations. Non-GAAP measures should be viewed as a supplement to and not a substitute for the Company's U.S. GAAP measures of performance and the financial results calculated in accordance with U.S. GAAP and reconciliations from these results should be carefully evaluated. Non-GAAP measures have limitations as an analytical tool and should not be considered in isolation or in lieu of an analysis of the Company's results as reported under U.S. GAAP and should be evaluated only on a supplementary basis.

ABOUT ESCALADE

Founded in 1922, and headquartered in Evansville, Indiana, Escalade designs, manufactures, and sells sporting goods, safety, fitness, and indoor/outdoor recreation equipment. Our mission is to connect family and friends, create lasting memories, and play life to the fullest. Leaders in our respective categories, Escalade's distinct and acclaimed brands include Goalrilla™ in-ground basketball hoops; STIGA® tennis tables and accessories; Bear® Archery and archery equipment; Brunswick Billiards® tables and accessories; Accudart® darting; ONIX® pickleball; Lifeline® fitness products; and RAVE Sports® water recreation products. Escalade's products are available online and through leading retailers nationwide. For more information about Escalade's diverse and prominent brand portfolio, history, financials, and governance, please visit www.escaladeinc.com.

INVESTOR RELATIONS CONTACT

Wesley Smith
Vice President, Financial Reporting & Investor Relations
812-467-1334

FORWARD-LOOKING STATEMENTS 

This report contains statements that we believe are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and Rule 3b-6 promulgated thereunder. All statements, other than statements of historical fact, are forward-looking statements. These statements relate to our financial condition, results of operations, plans, objectives, future performance, capital actions or business. They usually can be identified by the use of forward-looking language such as "will likely result," "may," "are expected to," "is anticipated," "potential," "estimate," "forecast," "projected," "intends to," or may include other similar words or phrases such as "believes," "plans," "trend," "objective," "continue," "remain," or similar expressions, or future or conditional verbs such as "will," "would," "should," "could," "might," "can," or similar verbs. You should not place undue reliance on these statements, as they are subject to risks and uncertainties. These risks include, but are not limited to: Escalade's ability to achieve its business objectives; Escalade's plans and expectations surrounding the transition to its new Chief Executive Officer and all potential related effects and consequences; Escalade's ability to successfully implement actions to lessen the potential impacts of tariffs, a potential trade war with China and other trade restrictions applicable to our products and raw materials, including impacts on the costs of producing our goods, importing products and materials into our markets for sale, and on the pricing of our products; our international operations, including any related to political uncertainty and geopolitical tensions; Escalade's ability to successfully achieve the anticipated results of strategic transactions, including the integration of the operations of acquired assets and businesses and of divestitures or discontinuances of certain operations, assets, brands, and products; the continuation and development of key customer, supplier, licensing and other business relationships; Escalade's ability to protect its intellectual property; Escalade's ability to develop and implement our own direct to consumer e-commerce distribution channel; the impact of competitive products and pricing; product demand and market acceptance; new product development; Escalade's ability to successfully negotiate the shifting retail environment and changes in consumer buying habits; the financial health of our customers; disruptions or delays in our business operations, including without limitation disruptions or delays in our supply chain, arising from political unrest, war, terrorist attacks, labor strikes, natural disasters, public health crises such as the coronavirus pandemic, and other events and circumstances beyond our control; the evaluation and implementation of remediation efforts designed and implemented to enhance the Company's control environment; the potential identification of one or more additional material weaknesses in the Company's internal control of which the Company is not currently aware or that have not yet been detected; Escalade's ability to control costs, including managing inventory levels; general economic conditions, including inflationary pressures; fluctuation in operating results; changes in foreign currency exchange rates; changes in the securities markets; continued listing of the Company's common stock on the NASDAQ Global Market; the Company's inclusion or exclusion from certain market indices; Escalade's ability to obtain financing, to maintain compliance with the terms of such financing and to manage debt levels; the availability, integration and effective operation of information systems and other technology, and the potential interruption of such systems or technology; the potential impact of actual or perceived defects in, or safety of, our products, including any impact of product recalls or legal or regulatory claims, proceedings or investigations involving our products; risks related to data security of privacy breaches; the potential impact of regulatory claims, proceedings or investigations involving our products; Escalade's use of estimates in its financial reporting as well as in its forward looking statements; and other risks detailed from time to time in Escalade's filings with the Securities and Exchange Commission. Escalade's future financial performance could differ materially from the expectations of management contained herein. Escalade undertakes no obligation to release revisions to these forward-looking statements after the date of this report.

Escalade, Incorporated and Subsidiaries Consolidated Statements of Operations (Unaudited)
						Three Months Ended
All Amounts in Thousands Except Per Share Data						March 31, 2026		March 31, 2025
Net sales						$55,785		$55,479
Costs and Expenses
Cost of products sold						38,636		40,689
Selling, administrative and general expenses						10,733		10,571
Amortization						581		567
Operating Income						5,835		3,652
Other Income (Expense)
Interest expense						(188)		(244)
Interest income						74		--
Other income						13		31
Income Before Income Taxes						5,734		3,439
Provision for Income Taxes						1,353		820
Net Income						$4,381		$2,619
Earnings Per Share Data:
Basic earnings per share						$0.32		$0.19
Diluted earnings per share						$0.32		$0.19
Dividends declared						$  0.15		$  0.15

 

Consolidated Balance Sheets (Unaudited)
All Amounts in Thousands Except Share Information	March 31, 2026	December 31, 2025	March 31, 2025
	(Unaudited)	(Audited)	(Unaudited)
ASSETS
Current Assets:
Cash and cash equivalents	$13,051	$11,878	$ 2,214
Receivables, less allowance of $1,261; $1,226; and $617; respectively	46,658	46,315	48,905
Inventories	73,587	68,474	77,001
Prepaid expenses	3,124	3,351	2,988
Prepaid income tax	--	557	--
TOTAL CURRENT ASSETS	136,420	130,575	131,108
Property, plant and equipment, net	22,538	22,355	22,090
Operating lease right-of-use assets	1,378	1,276	1,071
Intangible assets, net	24,864	25,445	25,270
Goodwill	42,326	42,326	42,326
Other assets	24	132	209
TOTAL ASSETS	$227,550	$222,109	$222,074
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Current portion of long-term debt	$16,667	$ 7,143	$ 7,143
Trade accounts payable	15,829	9,150	14,304
Accrued liabilities	10,708	13,680	10,148
Income tax payable	803	--	335
Current operating lease liabilities	617	510	426
TOTAL CURRENT LIABILITIES	44,624	30,483	32,356
Other Liabilities:
Long‑term debt	--	11,309	16,667
Deferred income tax liability	6,303	6,303	3,302
Operating lease liabilities	787	798	687
Other liabilities	--	--	297
TOTAL LIABILITIES	51,714	48,893	53,309
Stockholders' Equity:
Preferred stock:
Authorized 1,000,000 shares; no par value, none issued	--	--	--
Common stock:
Authorized 30,000,000 shares; no par value, issued and outstanding – 13,761,878; 13,696,311; and 13,756,393; shares respectively	3,306	3,013	3,428
Retained earnings	172,530	170,203	165,337
TOTAL STOCKHOLDERS' EQUITY	175,836	173,216	168,765
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$227,550	$222,109	$222,074

 

Consolidated Statements of Cash Flows (Unaudited)
	Three Months Ended
All Amounts in Thousands	March 31, 2026		March 31, 2025
Operating Activities:
Net income	$4,381		$2,619
Depreciation and amortization	1,247		1,239
Allowance for credit losses	120		162
Stock-based compensation	412		467
Loss on disposal of assets	--		3
Common stock issued in lieu of bonus to officers	162		124
Changes in assets and liabilities	(180)		(823)
Net cash provided by operating activities	6,142		3,791
Investing Activities:
Purchase of property and equipment	(848)		(543)
Net cash used in investing activities	(848)		(543)
Financing Activities:
Proceeds from issuance of long-term debt	568		4,806
Payments on long-term debt	(2,354)		(6,592)
Cash dividends paid	(2,054)		(2,061)
Purchase of stock	(281)		(1,381)
Net used in financing activities	(4,121)		(5,228)
Net increase (decrease) in cash and cash equivalents	1,173		(1,980)
Cash and cash equivalents, beginning of period	11,878		4,194
Cash and cash equivalents, end of period	$13,051		$2,214
Supplemental Cash Flows Information
Interest paid	$162		$217
Income taxes (refunded) paid, net	($7)		$20

 

Reconciliation of GAAP Net Income to Non-GAAP EBITDA (Unaudited)
	Three Months Ended
All Amounts in Thousands	March 31, 2026		March 31, 2025
Net Income (GAAP)	$4,381		$2,619
Interest expense	188		244
Interest income	(74)		--
Income tax expense	1,353		820
Depreciation and amortization	1,247		1,239
EBITDA (Non-GAAP)	$7,095		$4,922

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/escalade-reports-first-quarter-2026-results-302757839.html

SOURCE Escalade, Incorporated

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Escalade (ESCA) Q1 2026 sales and EPS results?

Escalade reported Q1 2026 net sales of $55.8M and diluted EPS of $0.32. According to the company, net income was $4.4M, reflecting contribution from the Gold Tip acquisition and mix improvements.

How did Escalade (ESCA) profitability change in Q1 2026?

Profitability improved with gross margin at 30.7% and EBITDA of $7.1M. According to the company, margin expansion was driven by lower fixed costs and a favorable sales mix.

What is Escalade's (ESCA) cash, debt, and liquidity position as of March 31, 2026?

As of March 31, 2026, Escalade had $13.1M cash and $16.7M total debt, with $57.9M available on its revolver. According to the company, net debt was about 0.1x trailing twelve-month EBITDA.

Did Escalade (ESCA) return capital to shareholders in Q1 2026?

Yes. Escalade declared a quarterly dividend of $0.1525 per share, payable July 13, 2026 to shareholders of record July 6, 2026. According to the company, this reflects its disciplined capital-allocation approach.

What drove Escalade's (ESCA) revenue changes in Q1 2026?

Net sales rose 0.6% YoY, aided by archery gains from the Gold Tip acquisition and strength in billiards and safety. According to the company, declines occurred in outdoor and indoor game categories.