Enpro Reports Third Quarter 2025 Results
Third Quarter 2025 Highlights
(All results reflect comparisons to prior-year period, unless otherwise noted)
(*Non-GAAP measure. See the attached schedules for adjustments and reconciliations of historical measures to GAAP measures)
-
Sales of
$286.6 million 9.9% -
AST sales up
17.3% ; Sealing Technologies sales up5.7% -
Net income of
$21.6 million $19.8 million -
Adjusted EBITDA* of
$69.3 million $64.1 million -
GAAP diluted earnings per share of
$1.01 $0.94 -
Adjusted diluted earnings per share* of
$1.99 $1.74 - Strategic acquisitions announced in October advance the Enpro 3.0 strategy and expand critical capabilities in key growth areas within the Sealing Technologies segment
-
Updates full-year 2025 guidance, including to reflect the contribution of recently announced acquisitions: Revenue growth of
7% -8% , adjusted EBITDA* in the range of$275 million $280 million $7.75 $8.05
“Enpro delivered another strong quarter with sales growth of almost
Vaillancourt continued, "We welcomed Overlook Industries to the Enpro family on October 8th, and we look forward to completing the acquisition of AlpHa Measurement Solution during the fourth quarter. These two additions to the Enpro portfolio will extend our critical capabilities in biopharmaceutical manufacturing technologies and compositional analysis markets, two areas where we see opportunities to accelerate profitable growth. Overall, we are delighted with how the organization is executing on the Enpro 3.0 strategy in its first year and confident in our ability to build on this momentum in coming periods."
Financial Highlights (Dollars in millions except per share data) |
||||||||
|
||||||||
|
Quarters Ended September 30, |
|||||||
|
|
2025 |
|
|
2024 |
|
Change |
|
Net sales |
$ |
286.6 |
|
$ |
260.9 |
|
9.9 |
% |
Net income |
$ |
21.6 |
|
$ |
19.8 |
|
9.1 |
% |
Diluted earnings per share |
$ |
1.01 |
|
$ |
0.94 |
|
7.4 |
% |
Adjusted net income* |
$ |
42.4 |
|
$ |
36.7 |
|
15.5 |
% |
Adjusted diluted earnings per share* |
$ |
1.99 |
|
$ |
1.74 |
|
14.4 |
% |
Adjusted EBITDA* |
$ |
69.3 |
|
$ |
64.1 |
|
8.1 |
% |
Adjusted EBITDA margin* |
|
24.2 |
% |
|
24.6 |
% |
|
|
*Non-GAAP measure. See the attached tables for adjustments and reconciliations of historical non-GAAP measures to comparable GAAP measures. Because of the forward-looking nature of non-GAAP guidance measures, reconciliations of such measures are not presented. Such non-GAAP guidance measures are calculated in a manner consistent with the historical presentation of these measures in the attached tables. |
||||||||
Third Quarter 2025 Consolidated Results
Sales of
Corporate expense of
Net income was
Adjusted net income* of
Adjusted EBITDA* of
Third Quarter 2025 Segment Highlights
(All results reflect comparisons to prior-year period unless otherwise noted)
Sealing Technologies - Safeguarding environments with critical applications in diverse end markets —
Garlock, STEMCO, and Technetics Group
|
Quarters Ended September 30, |
||
(Dollars in millions) |
2025 |
2024 |
Change |
Sales |
|
|
|
Adjusted segment EBITDA |
|
|
|
Adjusted segment EBITDA margin |
|
|
|
-
Sales increased
5.7% over last year. Excluding foreign exchange translation, sales increased4.4% . Strength in aerospace and food and pharma demand, firm aftermarket performance in general industrial and commercial vehicle markets, and strategic pricing more than offset continued softness in the commercial vehicle OEM market. Timing of nuclear deliveries also impacted the year-over-year comparison. -
Adjusted segment EBITDA of
$57.4 million 4.2% year-over-year, with adjusted segment EBITDA margin remaining strong at32.2% . Excluding foreign exchange translation, adjusted segment EBITDA increased3.1% , driven by sales growth, offset in part by growth investments.
Advanced Surface Technologies - Leading edge precision manufacturing, coatings, cleaning and refurbishment solutions and innovative optical coatings and filter products — NxEdge, Technetics Semi, LeanTeq, and Alluxa
|
Quarters Ended September 30, |
||
(Dollars in millions) |
2025 |
2024 |
Change |
Sales |
|
|
|
Adjusted segment EBITDA |
|
|
|
Adjusted segment EBITDA margin |
|
|
|
-
Sales increased
17.3% . Growth in leading-edge precision cleaning solutions and improved demand for certain semiconductor tools and assemblies were the primary growth drivers. -
Adjusted segment EBITDA increased
13.5% . Operating leverage on sales growth was offset primarily by increased operating expenses supporting growth initiatives and the mix impact of increased sales for certain semiconductor tools and assemblies.
Strategic Acquisitions
On October 13, 2025, Enpro announced the agreements to acquire two strategic assets in key growth areas, AlpHa Measurement Solutions (“AlpHa”) and Overlook Industries (“Overlook”), for an aggregate of approximately
AlpHa is a
Overlook, headquartered in
The Overlook acquisition closed on October 8, 2025 and the AlpHa acquisition is expected to close during the fourth quarter, subject to customary closing conditions, including regulatory approvals.
Balance Sheet, Cash Flow and Capital Allocation
During the nine months ended September 30, 2025, the company generated
During the third quarter, the company paid a regular quarterly dividend of
Enpro ended the third quarter with total debt of
Quarterly Dividend
Enpro declared a regular quarterly dividend of
Updated 2025 Guidance
Enpro is updating guidance for full-year 2025, including to reflect the anticipated partial-quarter contributions from the acquisitions of AlpHa and Overlook, with revenue growth of
Previously, Enpro expected revenue growth of
Conference Call, Webcast Information, and Presentations
Enpro will hold a conference call today, November 4, at 8:30 a.m. Eastern Time to discuss third quarter 2025 financial results. Investors who wish to participate in the call should dial 1-877-407-0832 approximately 10 minutes before the call begins and provide conference access code 13740584. A live audio webcast of the call and accompanying slide presentation will be accessible from the company’s website, https://www.enpro.com. To access the earnings presentation, log on to the webcast by clicking the link on the company’s home page.
Segment Operating Performance Measure
The segment profitability metric used by management to allocate resources and assess segment performance is adjusted segment EBITDA, which is segment revenue reduced by operating expenses and other costs identifiable with the segment, excluding acquisition expenses, restructuring costs, amortization of the fair value adjustment to acquisition date inventory, and depreciation and amortization. Segment non-operating expenses and income, corporate expenses, net interest expense, and income taxes are not included in the computation of adjusted segment EBITDA. Under
Non-GAAP Financial Information
This press release contains financial measures that have not been prepared in conformity with GAAP. They include adjusted net income, adjusted diluted earnings per share, adjusted EBITDA, adjusted EBITDA margin, total adjusted segment EBITDA and free cash flow. Tables showing the reconciliation of these historical non-GAAP financial measures to the comparable GAAP measures are attached to the release. Adjusted EBITDA and adjusted diluted earnings per share anticipated for full-year 2025 are calculated in a manner consistent with the historical presentation of these measures in the attached tables. Because of the forward-looking nature of these estimates, it is impractical to present quantitative reconciliations of such measures to comparable GAAP measures, and accordingly no such GAAP measures are being presented.
Management believes these non-GAAP metrics are commonly used financial measures for investors to evaluate the company’s operating performance and, when read in conjunction with the company’s consolidated financial statements, present a useful tool to evaluate the company’s ongoing operations and performance from period to period. In addition, these are some of the factors the company uses in internal evaluations of the overall performance of its businesses. Management acknowledges that there are many items that impact a company’s reported results and the adjustments reflected in these non-GAAP measures are not intended to present all items that may have impacted these results. In addition, these non-GAAP measures are not necessarily comparable to similarly titled measures used by other companies.
Forward-Looking Statements and Guidance
Statements in this press release that express a belief, expectation, or intention, including the 2025 guidance and other statements that are not historical fact, are forward-looking statements under the Private Securities Litigation Reform Act of 1995. They involve a number of risks and uncertainties that may cause actual events and results to differ materially from such forward-looking statements. These risks and uncertainties include, but are not limited to: economic conditions in the markets served by the company’s businesses and the businesses of its customers, some of which are cyclical and experience periodic downturns and may be affected by the imposition or threat of imposition of tariffs; the impact of geopolitical activity on those markets, including instabilities associated with the armed conflicts in
In addition, statements with respect to the anticipated contributions of Overlook and AlpHa and the completion of the acquisition of AlpHa are subject to risks and uncertainties that include, but are not limited to: the ultimate outcome, benefits and synergies of acquisitions of Overlook and AlpHa and future financial performance, including revenues, cash flows, operating expenses and profitability, involve risks and uncertainties, and are subject to change based on various important factors, including the timing of and any potential delay in consummating the proposed acquisition of AlpHa, the risk that the conditions to closing of the acquisition of AlpHa (including the necessary regulatory approvals) may not be satisfied in the anticipated timeframe or at all and that such transaction may not close; the risk that regulatory approvals required for the acquisition of AlpHa is obtained subject to conditions that are not anticipated; the occurrence of any event, change or other circumstances that could give rise to the termination of the agreement with respect to the acquisition of AlpHa; the possibility of unexpected costs, liabilities or delays in connection with the acquisition of AlpHa; risks that the acquisitions disrupt current plans and operations of Enpro; the risk that the disruption from the transactions may make it more difficult to maintain business and operational relationships, including retaining and hiring key personnel and maintaining relationships with Overlook’s and AlpHa’s respective, vendors and others with whom they do business; risks and uncertainties with respect to Enpro’s ability to recognize the anticipated benefits of each transaction; the outcome of any legal proceedings that may arise with respect to the transactions; and the impact of changes in relevant national and regional economies. Enpro does not undertake to update any forward-looking statements made in this press release to reflect any change in management's expectations or any change in the assumptions or circumstances on which such statements are based.
Full-year guidance is subject to the risks and uncertainties discussed above, includes the anticipated partial-quarter contributions from the acquisitions of Overlook and AlpHa (which is expected to close in the fourth quarter of 2025), and specifically excludes changes in the number of shares outstanding, impacts from other future acquisitions, dispositions and related transaction costs, restructuring costs and the impact of changes in foreign exchange rates, in each case subsequent to September 30, 2025, and any incremental impact on demands and costs arising from tariffs announced, or trade tensions arising, subsequent to November 3, 2025.
About Enpro Inc.
Enpro is a leading industrial technology company focused on critical applications across many end-markets, including semiconductor, industrial process, commercial vehicle, sustainable power generation, aerospace, food and pharma, photonics, and life sciences. Headquartered in
APPENDICES
Consolidated Financial Information and Reconciliations
Enpro Inc. |
|||||||||||||
Consolidated Statements of Operations (Unaudited) |
|||||||||||||
For the Quarters and Nine Months Ended September 30, 2025 and 2024 |
|||||||||||||
(In Millions, Except Per Share Data) |
|||||||||||||
|
Quarters Ended |
|
Nine Months Ended |
||||||||||
|
September 30, |
September 30, |
|
September 30, |
September 30, |
||||||||
|
|
2025 |
|
|
2024 |
|
|
|
2025 |
|
|
2024 |
|
Net sales |
$ |
286.6 |
|
$ |
260.9 |
|
|
$ |
847.9 |
|
$ |
790.3 |
|
Cost of sales |
|
166.4 |
|
|
150.6 |
|
|
|
484.7 |
|
|
454.8 |
|
Gross profit |
|
120.2 |
|
|
110.3 |
|
|
|
363.2 |
|
|
335.5 |
|
Operating expenses: |
|
|
|
|
|
||||||||
Selling, general and administrative |
|
78.9 |
|
|
71.7 |
|
|
|
233.8 |
|
|
219.4 |
|
Other |
|
0.4 |
|
|
4.5 |
|
|
|
1.0 |
|
|
6.0 |
|
Total operating expenses |
|
79.3 |
|
|
76.2 |
|
|
|
234.8 |
|
|
225.4 |
|
Operating income |
|
40.9 |
|
|
34.1 |
|
|
|
128.4 |
|
|
110.1 |
|
Interest expense |
|
(6.9 |
) |
|
(10.4 |
) |
|
|
(25.1 |
) |
|
(31.4 |
) |
Interest income |
|
0.5 |
|
|
1.4 |
|
|
|
3.2 |
|
|
4.7 |
|
Other expense |
|
(2.4 |
) |
|
(1.1 |
) |
|
|
(6.6 |
) |
|
(8.7 |
) |
Income before income taxes |
|
32.1 |
|
|
24.0 |
|
|
|
99.9 |
|
|
74.7 |
|
Income tax expense |
|
(10.5 |
) |
|
(4.2 |
) |
|
|
(27.4 |
) |
|
(15.7 |
) |
Net income |
$ |
21.6 |
|
$ |
19.8 |
|
|
$ |
72.5 |
|
$ |
59.0 |
|
Basic earnings per share |
$ |
1.03 |
|
$ |
0.94 |
|
|
$ |
3.45 |
|
$ |
2.82 |
|
Average common shares outstanding |
|
21.1 |
|
|
21.0 |
|
|
|
21.0 |
|
|
21.0 |
|
Diluted earnings per share |
$ |
1.01 |
|
$ |
0.94 |
|
|
$ |
3.41 |
|
$ |
2.80 |
|
Average common shares outstanding |
|
21.3 |
|
|
21.1 |
|
|
|
21.2 |
|
|
21.1 |
|
Enpro Inc. |
||||||
Consolidated Statements of Cash Flows (Unaudited) |
||||||
For the Nine Months Ended September 30, 2025 and 2024 |
||||||
(In Millions) |
||||||
|
|
2025 |
|
|
2024 |
|
Operating activities |
|
|
||||
Net income |
$ |
72.5 |
|
$ |
59.0 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
||||
Depreciation |
|
18.2 |
|
|
17.8 |
|
Amortization |
|
57.4 |
|
|
57.2 |
|
Promissory note reserve |
|
— |
|
|
4.5 |
|
Deferred income taxes |
|
(1.7 |
) |
|
(1.8 |
) |
Stock-based compensation |
|
10.5 |
|
|
9.8 |
|
Other non-cash adjustments |
|
7.1 |
|
|
8.0 |
|
Change in assets and liabilities, net of effects of acquisition: |
|
|
||||
Accounts receivable, net |
|
(19.7 |
) |
|
(14.8 |
) |
Inventories |
|
0.6 |
|
|
4.5 |
|
Accounts payable |
|
(2.8 |
) |
|
(8.4 |
) |
Other current assets and liabilities |
|
(8.0 |
) |
|
(25.8 |
) |
Other non-current assets and liabilities |
|
4.4 |
|
|
(6.5 |
) |
Net cash provided by operating activities |
|
138.5 |
|
|
103.5 |
|
Investing activities |
|
|
||||
Purchases of property, plant and equipment |
|
(29.8 |
) |
|
(18.8 |
) |
Payments for capitalized internal-use software |
|
(3.8 |
) |
|
(1.9 |
) |
Acquisition, net of cash acquired |
|
— |
|
|
(209.4 |
) |
Other |
|
0.9 |
|
|
0.6 |
|
Net cash used in investing activities |
|
(32.7 |
) |
|
(229.5 |
) |
Financing activities |
|
|
||||
Proceeds from debt |
|
680.0 |
|
|
52.5 |
|
Repayments of debt |
|
(871.6 |
) |
|
(58.6 |
) |
Purchase of non-controlling interest |
|
— |
|
|
(18.3 |
) |
Debt issuance costs |
|
(8.0 |
) |
|
— |
|
Dividends paid |
|
(19.7 |
) |
|
(19.0 |
) |
Other |
|
(1.6 |
) |
|
(0.6 |
) |
Net cash used in financing activities |
|
(220.9 |
) |
|
(44.0 |
) |
Effect of exchange rate changes on cash and cash equivalents |
|
11.7 |
|
|
7.1 |
|
Net decrease in cash and cash equivalents |
|
(103.4 |
) |
|
(162.9 |
) |
Cash and cash equivalents at beginning of period |
|
236.3 |
|
|
369.8 |
|
Cash and cash equivalents at end of period |
$ |
132.9 |
|
$ |
206.9 |
|
Supplemental disclosures of cash flow information: |
|
|
||||
Cash paid during the period for: |
|
|
||||
Interest |
$ |
19.1 |
|
$ |
25.3 |
|
Income taxes, net of refunds |
$ |
33.6 |
|
$ |
30.0 |
|
Enpro Inc. |
||||||
Consolidated Balance Sheets (Unaudited) |
||||||
As of September 30, 2025 and December 31, 2024 |
||||||
(In Millions) |
||||||
|
September 30, |
December 31, |
||||
|
|
2025 |
|
|
2024 |
|
Current assets |
|
|
||||
Cash and cash equivalents |
$ |
132.9 |
|
$ |
236.3 |
|
Accounts receivable, net |
|
139.5 |
|
|
115.9 |
|
Inventories |
|
141.6 |
|
|
138.8 |
|
Prepaid expenses and other current assets |
|
43.0 |
|
|
21.3 |
|
Total current assets |
|
457.0 |
|
|
512.3 |
|
Property, plant and equipment, net |
|
205.4 |
|
|
193.2 |
|
Goodwill |
|
906.3 |
|
|
896.2 |
|
Other intangible assets |
|
736.0 |
|
|
790.3 |
|
Other assets |
|
94.1 |
|
|
99.5 |
|
Total assets |
$ |
2,398.8 |
|
$ |
2,491.5 |
|
|
|
|
||||
Current liabilities |
|
|
||||
Current maturities of long-term debt |
$ |
0.2 |
|
$ |
16.0 |
|
Accounts payable |
|
64.1 |
|
|
66.0 |
|
Accrued expenses |
|
122.8 |
|
|
116.0 |
|
Total current liabilities |
|
187.1 |
|
|
198.0 |
|
Long-term debt |
|
445.0 |
|
|
624.1 |
|
Deferred taxes |
|
126.9 |
|
|
126.9 |
|
Other liabilities |
|
118.7 |
|
|
113.9 |
|
Total liabilities |
|
877.7 |
|
|
1,062.9 |
|
|
|
|
||||
Shareholders’ equity |
|
|
||||
Common stock |
|
0.2 |
|
|
0.2 |
|
Additional paid-in capital |
|
330.5 |
|
|
319.4 |
|
Retained earnings |
|
1,228.4 |
|
|
1,175.6 |
|
Accumulated other comprehensive loss |
|
(36.8 |
) |
|
(65.4 |
) |
Common stock held in treasury, at cost |
|
(1.2 |
) |
|
(1.2 |
) |
Total shareholders’ equity |
|
1,521.1 |
|
|
1,428.6 |
|
Total liabilities and equity |
$ |
2,398.8 |
|
$ |
2,491.5 |
|
Enpro Inc. |
|||||||||||||
Segment Information (Unaudited) |
|||||||||||||
For the Quarters and Nine Months Ended September 30, 2025 and 2024 |
|||||||||||||
(Dollars In Millions) |
|||||||||||||
|
|
|
|
|
|
||||||||
Sales |
|
|
|
|
|
||||||||
|
Quarters Ended |
|
Nine Months Ended |
||||||||||
|
September 30, |
|
September 30, |
||||||||||
|
|
2025 |
|
|
2024 |
|
|
|
2025 |
|
|
2024 |
|
Sealing Technologies |
$ |
178.2 |
|
$ |
168.6 |
|
|
$ |
545.3 |
|
$ |
524.2 |
|
Advanced Surface Technologies |
|
108.5 |
|
|
92.5 |
|
|
|
303.2 |
|
|
266.6 |
|
|
|
286.7 |
|
|
261.1 |
|
|
|
848.5 |
|
|
790.8 |
|
Less: intersegment sales |
|
(0.1 |
) |
|
(0.2 |
) |
|
|
(0.6 |
) |
|
(0.5 |
) |
|
$ |
286.6 |
|
$ |
260.9 |
|
|
$ |
847.9 |
|
$ |
790.3 |
|
|
|
|
|
|
|
||||||||
Net income |
$ |
21.6 |
|
$ |
19.8 |
|
|
$ |
72.5 |
|
$ |
59.0 |
|
|
|
|
|
|
|
||||||||
Earnings before interest, income taxes, depreciation, |
|
|
|
|
|
||||||||
amortization and other selected items (Adjusted Segment EBITDA) |
|||||||||||||
|
Quarters Ended |
|
Nine Months Ended |
||||||||||
|
September 30, |
|
September 30, |
||||||||||
|
|
2025 |
|
|
2024 |
|
|
|
2025 |
|
|
2024 |
|
Sealing Technologies |
$ |
57.4 |
|
$ |
55.1 |
|
|
$ |
179.4 |
|
$ |
173.5 |
|
Advanced Surface Technologies |
|
21.8 |
|
|
19.2 |
|
|
|
62.1 |
|
|
55.6 |
|
|
$ |
79.2 |
|
$ |
74.3 |
|
|
$ |
241.5 |
|
$ |
229.1 |
|
|
|
|
|
|
|
||||||||
Adjusted Segment EBITDA Margin |
|
|
|
|
|
||||||||
|
Quarters Ended |
|
Nine Months Ended |
||||||||||
|
September 30, |
|
September 30, |
||||||||||
|
|
2025 |
|
|
2024 |
|
|
|
2025 |
|
|
2024 |
|
Sealing Technologies |
|
32.2 |
% |
|
32.7 |
% |
|
|
32.9 |
% |
|
33.1 |
% |
Advanced Surface Technologies |
|
20.1 |
% |
|
20.8 |
% |
|
|
20.5 |
% |
|
20.9 |
% |
|
|
27.6 |
% |
|
28.5 |
% |
|
|
28.5 |
% |
|
29.0 |
% |
|
|
|
|
|
|
||||||||
Reconciliation of Income, Net of Tax to Adjusted Segment EBITDA |
|||||||||||||
|
Quarters Ended |
|
Nine Months Ended |
||||||||||
|
September 30, |
|
September 30, |
||||||||||
|
|
2025 |
|
|
2024 |
|
|
|
2025 |
|
|
2024 |
|
Net income |
$ |
21.6 |
|
$ |
19.8 |
|
|
$ |
72.5 |
|
$ |
59.0 |
|
Income tax expense |
|
(10.5 |
) |
|
(4.2 |
) |
|
|
(27.4 |
) |
|
(15.7 |
) |
Income before income taxes |
|
32.1 |
|
|
24.0 |
|
|
|
99.9 |
|
|
74.7 |
|
Acquisition expenses |
|
2.7 |
|
|
0.3 |
|
|
|
3.2 |
|
|
3.8 |
|
Amortization of the fair value adjustment to acquisition date inventory |
|
— |
|
|
— |
|
|
|
— |
|
|
1.7 |
|
Restructuring and impairment expense, net |
|
0.2 |
|
|
4.4 |
|
|
|
0.7 |
|
|
5.5 |
|
Depreciation and amortization expense |
|
25.2 |
|
|
25.2 |
|
|
|
75.6 |
|
|
75.0 |
|
Corporate expenses |
|
10.2 |
|
|
10.3 |
|
|
|
33.6 |
|
|
33.0 |
|
Interest expense, net |
|
6.4 |
|
|
9.0 |
|
|
|
21.9 |
|
|
26.7 |
|
Other expense, net |
|
2.4 |
|
|
1.1 |
|
|
|
6.6 |
|
|
8.7 |
|
Adjusted segment EBITDA |
$ |
79.2 |
|
$ |
74.3 |
|
|
$ |
241.5 |
|
$ |
229.1 |
|
|
|||||||||||||
Adjusted segment EBITDA is total segment revenue reduced by operating expenses and other costs identifiable with the segment, excluding acquisition expenses, restructuring expense, net, amortization of the fair value adjustment to acquisition date inventory, and depreciation and amortization. Restructuring expense, net in the table above for the quarter and nine months ended September 30, 2025 includes income related to gains on the sale of fixed assets as a result of restructuring actions. |
|||||||||||||
|
|||||||||||||
Corporate expenses include general corporate administrative costs. Non-operating expenses not directly attributable to the segments, corporate expenses, net interest expense, and income taxes are not included in the computation of adjusted segment EBITDA. The accounting policies of the reportable segments are the same as those for the Company. |
|||||||||||||
Enpro Inc. |
||||||
Adjusted Segment EBITDA Reconciling Items by Segment (Unaudited) |
||||||
For the Quarters and Nine Months Ended September 30, 2025 and 2024 |
||||||
(In Millions) |
||||||
|
|
|
|
|||
|
Quarter Ended September 30, 2025 |
|||||
|
Sealing
|
Advanced
|
Total
|
|||
Acquisition expense |
$ |
2.7 |
$ |
— |
$ |
2.7 |
Restructuring expense |
$ |
0.2 |
$ |
— |
$ |
0.2 |
Depreciation and amortization expense |
$ |
8.5 |
$ |
16.7 |
$ |
25.2 |
|
Quarter Ended September 30, 2024 |
|||||
|
Sealing
|
Advanced
|
Total
|
|||
Acquisition and divestiture expenses |
$ |
0.3 |
$ |
— |
$ |
0.3 |
Restructuring and impairment expense |
$ |
0.9 |
$ |
3.5 |
$ |
4.4 |
Depreciation and amortization expense |
$ |
8.3 |
$ |
16.9 |
$ |
25.2 |
|
Nine Months Ended September 30, 2025 |
||||||
|
Sealing
|
Advanced
|
Total
|
||||
Acquisition expenses |
$ |
3.2 |
|
$ |
— |
$ |
3.2 |
Restructuring expense, net |
$ |
(0.2 |
) |
$ |
0.9 |
$ |
0.7 |
Depreciation and amortization expense |
$ |
25.0 |
|
$ |
50.6 |
$ |
75.6 |
|
Nine Months Ended September 30, 2024 |
|||||
|
Sealing
|
Advanced
|
Total
|
|||
Acquisition expenses |
$ |
3.8 |
$ |
— |
$ |
3.8 |
Amortization of the fair value adjustment to acquisition date inventory |
$ |
1.7 |
$ |
— |
$ |
1.7 |
Restructuring and impairment expense |
$ |
2.0 |
$ |
3.5 |
$ |
5.5 |
Depreciation and amortization expense |
$ |
24.5 |
$ |
50.5 |
$ |
75.0 |
Enpro Inc. |
|
|||||||||||||
Reconciliation of Net Income to Adjusted Net Income and Adjusted Diluted Earnings Per Share (Unaudited) |
|
|||||||||||||
For the Quarters and Nine Months Ended September 30, 2025 and 2024 |
|
|||||||||||||
(In Millions, Except Per Share Data) |
|
|||||||||||||
|
Quarters Ended September 30, |
|
||||||||||||
|
2025 |
|
2024 |
|
||||||||||
|
$ |
Average common shares outstanding, diluted |
Per
|
|
$ |
Average common shares outstanding, diluted |
Per
|
|
||||||
Net income |
$ |
21.6 |
|
21.3 |
$ |
1.01 |
|
$ |
19.8 |
|
21.1 |
$ |
0.94 |
|
Income tax expense |
|
10.5 |
|
|
|
|
|
4.2 |
|
|
|
|
||
Income before income taxes |
|
32.1 |
|
|
|
|
|
24.0 |
|
|
|
|
||
|
|
|
|
|
|
|
|
|
||||||
Adjustments from selling, general, and administrative: |
|
|
|
|
|
|
|
|
||||||
Acquisition expenses |
|
2.7 |
|
|
|
|
|
0.3 |
|
|
|
|
||
Amortization of acquisition-related intangible assets |
|
18.8 |
|
|
|
|
|
19.1 |
|
|
|
|
||
Adjustments from other operating expense and cost of sales: |
|
|
|
|
|
|
|
|
||||||
Restructuring and impairment expense |
|
0.4 |
|
|
|
|
|
4.5 |
|
|
|
|
||
Adjustments from other non-operating expense: |
|
|
|
|
|
|
|
|
||||||
Costs associated with previously disposed businesses |
|
1.6 |
|
|
|
|
|
0.4 |
|
|
|
|
||
Pension expense - non-service cost |
|
0.8 |
|
|
|
|
|
— |
|
|
|
|
||
Foreign exchange losses related to the divestiture of a discontinued operation1 |
|
— |
|
|
|
|
|
0.7 |
|
|
|
|
||
Other adjustments: |
|
|
|
|
|
|
|
|
||||||
Other |
|
0.1 |
|
|
|
|
|
— |
|
|
|
|
||
Adjusted income before income taxes |
|
56.5 |
|
|
|
|
|
49.0 |
|
|
|
|
||
Adjusted income tax expense |
|
(14.1 |
) |
|
|
|
|
(12.3 |
) |
|
|
|
||
Adjusted net income |
$ |
42.4 |
|
21.3 |
$ |
1.99 |
2 |
$ |
36.7 |
|
21.1 |
$ |
1.74 |
2 |
|
Nine Months Ended September 30, |
|
||||||||||||
|
2025 |
|
2024 |
|
||||||||||
|
$ |
Average common shares outstanding, diluted |
Per
|
|
$ |
Average common shares outstanding, diluted |
Per
|
|
||||||
Net income |
$ |
72.5 |
|
21.2 |
$ |
3.41 |
|
$ |
59.0 |
|
21.1 |
$ |
2.80 |
|
Income tax expense |
|
27.4 |
|
|
|
|
|
15.7 |
|
|
|
|
||
Income before income taxes |
|
99.9 |
|
|
|
|
|
74.7 |
|
|
|
|
||
|
|
|
|
|
|
|
|
|
||||||
Adjustments from selling, general, and administrative: |
|
|
|
|
|
|
|
|
||||||
Acquisition expenses |
|
3.2 |
|
|
|
|
|
3.8 |
|
|
|
|
||
Amortization of acquisition-related intangible assets |
|
56.9 |
|
|
|
|
|
56.7 |
|
|
|
|
||
Adjustments from other operating expense and cost of sales: |
|
|
|
|
|
|
|
|
||||||
Restructuring and impairment expense, net |
|
1.0 |
|
|
|
|
|
6.0 |
|
|
|
|
||
Amortization of the fair value adjustment to acquisition date inventory |
|
— |
|
|
|
|
|
1.7 |
|
|
|
|
||
Adjustments from other non-operating expense: |
|
|
|
|
|
|
|
|
||||||
Asbestos receivable adjustment |
|
— |
|
|
|
|
|
(0.6 |
) |
|
|
|
||
Environmental reserve adjustments |
|
(0.7 |
) |
|
|
|
|
2.3 |
|
|
|
|
||
Costs associated with previously disposed businesses |
|
2.3 |
|
|
|
|
|
0.8 |
|
|
|
|
||
Pension expense - non-service cost |
|
2.4 |
|
|
|
|
|
0.1 |
|
|
|
|
||
Loss on extinguishment of debt |
|
1.7 |
|
|
|
|
|
— |
|
|
|
|
||
Foreign exchange losses related to the divestiture of a discontinued operation |
|
0.4 |
|
|
|
|
|
1.6 |
|
|
|
|
||
Long-term promissory note reserve1 |
|
— |
|
|
|
|
|
4.5 |
|
|
|
|
||
Other adjustments: |
|
|
|
|
|
|
|
|
||||||
Other |
|
0.6 |
|
|
|
|
|
— |
|
|
|
|
||
Adjusted income before income taxes |
|
167.7 |
|
|
|
|
|
151.6 |
|
|
|
|
||
Adjusted income tax expense |
|
(41.9 |
) |
|
|
|
|
(37.9 |
) |
|
|
|
||
Adjusted net income |
$ |
125.8 |
|
21.2 |
$ |
5.92 |
2 |
$ |
113.7 |
|
21.1 |
$ |
5.39 |
2 |
|
||||||||||||||
Management of the Company believes that it would be helpful to the readers of the financial statements to understand the impact of certain selected items on the Company's reported income and diluted earnings per share, including items that may recur from time to time. The items adjusted for in this schedule are those that are excluded by management in budgeting or projecting for performance in future periods, as they typically relate to events specific to the period in which they occur. This presentation enables readers to better compare Enpro Inc. to other diversified industrial technology companies that do not incur the sporadic impact of restructuring activities, costs associated with previously disposed of businesses, acquisitions, or other selected items. Restructuring expense, net in the table above for the quarter and nine months ended September 30, 2025 includes income related to gains on the sale of fixed assets as a result of restructuring actions. |
||||||||||||||
|
||||||||||||||
Management acknowledges that there are many items that impact a company's reported results and this list is not intended to present all items that may have impacted these results. |
||||||||||||||
|
||||||||||||||
The adjusted income tax expense presented above is calculated using a normalized company-wide effective tax rate excluding discrete items of |
||||||||||||||
|
||||||||||||||
1We received a long-term promissory note in connection to the sale of a divested business. As part of our regular review of the note, in the first quarter of 2024 we concluded a reserve was needed for expected future credit losses. We monitor the note quarterly and make adjustments as needed. |
||||||||||||||
|
||||||||||||||
2Adjusted diluted earnings per share, which amounts were calculated by dividing by the weighted-average shares of diluted common stock outstanding during the periods. |
||||||||||||||
Enpro Inc. |
|||||||||||
Reconciliation of Net Income to Adjusted EBITDA (Unaudited) |
|||||||||||
For the Quarters and Nine Months Ended September 30, 2025 and 2024 |
|||||||||||
(In Millions) |
|||||||||||
|
Quarters Ended |
|
Nine Months Ended |
||||||||
|
September 30, |
|
September 30, |
||||||||
|
|
2025 |
|
2024 |
|
|
2025 |
|
|
2024 |
|
Net income |
$ |
21.6 |
$ |
19.8 |
|
$ |
72.5 |
|
$ |
59.0 |
|
|
|
|
|
|
|
||||||
Adjustments to arrive at earnings before interest, income taxes, depreciation, amortization, and other selected items (Adjusted EBITDA): |
|
|
|
|
|
||||||
Interest expense, net |
|
6.4 |
|
9.0 |
|
|
21.9 |
|
|
26.7 |
|
Income tax expense |
|
10.5 |
|
4.2 |
|
|
27.4 |
|
|
15.7 |
|
Depreciation and amortization expense |
|
25.2 |
|
25.2 |
|
|
75.6 |
|
|
75.0 |
|
Restructuring and impairment expense, net |
|
0.4 |
|
4.5 |
|
|
1.0 |
|
|
6.0 |
|
Environmental reserve adjustments |
|
— |
|
— |
|
|
(0.7 |
) |
|
2.3 |
|
Costs associated with previously disposed businesses |
|
1.6 |
|
0.4 |
|
|
2.3 |
|
|
0.8 |
|
Acquisition expenses |
|
2.7 |
|
0.3 |
|
|
3.2 |
|
|
3.8 |
|
Pension expense - non-service cost |
|
0.8 |
|
— |
|
|
2.4 |
|
|
0.1 |
|
Asbestos receivable adjustment |
|
— |
|
— |
|
|
— |
|
|
(0.6 |
) |
Amortization of the fair value adjustment to acquisition date inventory |
|
— |
|
— |
|
|
— |
|
|
1.7 |
|
Loss on extinguishment of debt |
|
— |
|
— |
|
|
1.7 |
|
|
— |
|
Foreign exchange losses related to the divestiture of a discontinued operation |
|
— |
|
0.7 |
|
|
0.4 |
|
|
1.6 |
|
Long-term promissory note reserve1 |
|
— |
|
— |
|
|
— |
|
|
4.5 |
|
Other |
|
0.1 |
|
— |
|
|
0.6 |
|
|
— |
|
Adjusted EBITDA |
$ |
69.3 |
$ |
64.1 |
|
$ |
208.3 |
|
$ |
196.6 |
|
|
|||||||||||
1We received a long-term promissory note in connection to the sale of a divested business. As part of our regular review of the note, in the first quarter of 2024 we concluded a reserve was needed for expected credit losses. We monitor the note quarterly and make adjustments as needed. |
|||||||||||
Enpro Inc. |
|||
Reconciliation of Free Cash Flow (Unaudited) |
|||
(In Millions) |
|||
|
|
||
Free Cash Flow - Nine Months Ended September 30, 2025 |
|||
Net cash provided by operating activities |
$ |
138.5 |
|
Purchases of property, plant, and equipment |
|
(29.8 |
) |
Payments for capitalized internal-use software |
|
(3.8 |
) |
Free cash flow |
$ |
104.9 |
|
|
|
||
Free Cash Flow - Nine Months Ended September 30, 2024 |
|||
Net cash provided by operating activities |
$ |
103.5 |
|
Purchases of property, plant, and equipment |
|
(18.8 |
) |
Payments for capitalized internal-use software |
|
(1.9 |
) |
Free cash flow |
$ |
82.8 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20251104914012/en/
Investor Contacts:
Joseph F. Bruderek
Executive Vice President and
Chief Financial Officer
James M. Gentile
Vice President, Investor Relations
Phone: 704-731-1527
Email: investor.relations@enpro.com
Enpro Inc.
5605 Carnegie Boulevard
www.enpro.com
Source: Enpro Inc.
