Hamilton Beach Brands cuts 2026 revenue outlook to flat
The 2026 outlook now calls for flat revenue and a high-teens percentage decline in operating profit, while cash-flow guidance rises to $40 million to $50 million.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Form Type
8-K
Rhea-AI Filing Summary
Hamilton Beach Brands Holding Company reported third-quarter 2026 revenue of $140.3 million, up 5.6% from $132.8 million a year earlier. Gross margin rose to 27.5% from 21.1%, while operating profit increased 52.6% to $4.4 million. Net income was $3.5 million, or $0.26 per diluted share, versus $1.7 million, or $0.12. Growth came from U.S. Consumer recovery and double-digit Health revenue growth; improved gross margin reflected sales of inventory no longer subject to IEEPA tariffs.
Operating cash flow for the nine months ended September 30, 2026, was $80.5 million, versus $14.6 million used in 2025, mainly due to IEEPA refunds and lower working capital. In the third quarter, the company paid down $25 million of debt and repurchased 24,908 shares for $0.6 million. Management expects lower fourth-quarter sales than previously anticipated amid softer consumer sentiment and cautious retailer inventory commitments. It now expects flat 2026 revenue, versus prior guidance of growth approaching the mid-single-digit range, and a high-teens percentage decline in operating profit, versus a prior high-single-digit decline. Cash flow from operating activities less cash used for investing activities is projected at $40 million to $50 million, versus $35 million to $45 million previously.
3 points · 0 major1 major · 2 points
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Moderate pointThird-quarter revenue increased 5.6% to $140.3 million.
- Moderate pointOperating profit increased 52.6% to $4.4 million.
- Moderate pointGross margin rose 640 basis points to 27.5%.
Negative
- Major point. Forward-looking: it has not happened yet and may not happen.2026 revenue outlook is flat year over year.
- Minor point. Forward-looking: it has not happened yet and may not happen.Operating profit is expected to decline high teens on a percentage basis.
Filing Explained
At
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
Key Figures
Revenue: $140.3 million
Gross margin: 27.5%
Operating profit: $4.4 million
+4 more
7 metrics
Revenue
$140.3 million
Third quarter 2026; up 5.6% from $132.8 million in third quarter 2025
Gross margin
27.5%
Third quarter 2026; up 640 basis points from 21.1% in third quarter 2025
Operating profit
$4.4 million
Third quarter 2026; up 52.6% from $2.9 million in third quarter 2025
Net income
$3.5 million
Third quarter 2026; compared with $1.7 million in third quarter 2025
Diluted earnings per share
$0.26
Third quarter 2026; compared with $0.12 in third quarter 2025
Operating cash flow
$80.5 million
Nine months ended September 30, 2026; $14.6 million used in the same period of 2025
Cash flow from operating activities less cash used for investing activities
$40 million to $50 million
2026 outlook; prior guidance was $35 million to $45 million
Key Terms
IEEPA tariffs, working capital, Net (cash) debt, accelerated depreciation
4 terms
IEEPA tariffs regulatory
"inventory no longer subject to IEEPA tariffs"
Measures labeled as IEEPA tariffs are trade restrictions or charges imposed under the U.S. International Emergency Economic Powers Act, a law that lets the government respond to national emergencies with economic tools. For investors, these actions are like suddenly adding a toll to certain imports, exports or transactions: they can raise costs, disrupt supply chains, limit market access, and change a company’s revenue or risk profile overnight.
working capital financial
"lower working capital"
Working capital is the money a business has available to cover its daily expenses, like paying bills and buying supplies. It’s like the cash in your wallet that helps you handle everyday costs; having enough ensures the business can operate smoothly without running into money shortages.
Net (cash) debt financial
"Net (cash) debt is a non-GAAP financial measure"
accelerated depreciation financial
"approximately $5 million in non-recurring accelerated depreciation"
A method that lets a business record larger portions of an asset’s cost as expenses in the early years of its life rather than spreading them evenly over time. Like taking bigger slices of a cake up front, it reduces reported profit initially but often lowers taxes and boosts near-term cash flow, which can change investors’ views of profitability, valuation and the timing of returns on capital.
Earnings Snapshot
Revenue: $140.3 million · Guidance included
Third quarter ended September 30, 2026
Revenue
$140.3 million
Up 5.6% from $132.8 million
Gross margin
27.5%
Up 640 basis points from 21.1%
Operating profit
$4.4 million
Up 52.6% from $2.9 million
Net income
$3.5 million
Compared with $1.7 million
Diluted earnings per share
$0.26
Compared with $0.12
Guidance
For 2026, revenue is expected to be flat year over year, versus prior guidance of growth approaching the mid-single-digit range; operating profit is expected to decline high teens on a percentage basis, versus a prior estimate of high single digits. Cash flow from operating activities less cash used for investing activities is expected to be $40 million to $50 million, up from $35 million to $45 million.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
How did HBB perform in the third quarter of 2026?
HBB reported revenue of $140.3 million, up 5.6% from $132.8 million, and diluted earnings per share of $0.26 versus $0.12. Operating profit was $4.4 million, compared with $2.9 million a year earlier.
What is HBB's 2026 revenue and operating profit outlook?
Management now expects 2026 revenue to be flat year over year, compared with prior guidance of growth approaching the mid-single-digit range. Operating profit is expected to decline high teens on a percentage basis, versus the prior estimate of high single digits.
Why did HBB's gross margin improve in the third quarter of 2026?
Gross margin increased to 27.5% from 21.1%. The company attributed the improvement to continued sell-through of inventory no longer subject to IEEPA tariffs, compared with the year-earlier period when inventory was subject to a temporary spike in tariff rates on imports from China to 125%.
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
_______________________________________________________________________________________________________________________________________________________________________________________________________
FORM 8-K
| CURRENT REPORT | ||
| Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934 | ||
| Date of Report (Date of earliest event reported): | |||||||||||
| (Exact name of registrant as specified in its charter) | |||||||||||
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | |||||||||
| (Address of principal executive offices) | (Zip code) | ||||||||||
| (Registrant’s telephone number, including area code) | |||||||||||
| N/A | |||||||||||
| (Former name or former address, if changed since last report) | |||||||||||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter):
Emerging growth company | ||||||||||||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. | ||||||||||||||
☐ | ||||||||||||||
Item 2.02 Results of Operations and Financial Condition.
On November 4, 2026, Hamilton Beach Brands Holding Company (the “Company”) issued a press release announcing its unaudited financial results for the third quarter ended September 30, 2026. A copy of the Company’s press release is attached hereto as Exhibit 99 and is incorporated herein by reference.
The information set forth in Item 2.02 of this Current Report on Form 8-K, including Exhibit 99, are being furnished by the Company pursuant to Item 2.02 of Form 8-K, insofar as they disclose historical information regarding the Company’s results of operations.
The information in Item 2.02 of this Current Report on Form 8-K, including Exhibit 99, shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
Item 9.01 Financial Statements and Exhibits.
As described in Item 2.02 of this Current Report on Form 8-K, the following Exhibit is furnished as part of this Current Report on Form 8-K.
(d) Exhibits | ||||||||
| 99 | Hamilton Beach Brands Holding Company third quarter ended September 30, 2026 earnings release, dated November 4, 2026 | |||||||
| 104 | Cover Page Interactive Data File (formatted as Inline XBRL) | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: | November 4, 2026 | HAMILTON BEACH BRANDS HOLDING COMPANY | |||||||||
By: | /s/ Sally M. Cunningham | ||||||||||
Name: | Sally M. Cunningham | ||||||||||
Title: | Senior Vice President, Chief Financial Officer and Treasurer (Principal Financial Officer)/(Principal Accounting Officer) | ||||||||||
 |  | ||||||||||||||||
CONTACT:
Brendon Frey
Brendon.frey@icrinc.com
HAMILTON BEACH BRANDS HOLDING COMPANY ANNOUNCES THIRD QUARTER RESULTS
Third Quarter Revenue Increased 5.6% to $140.3 Million
Glen Allen, Virginia - Hamilton Beach Brands Holding Company (NYSE: HBB) (The Company) today announced results for the third quarter of 2026.
Third Quarter 2026 Overview
•Revenue increased 5.6% to $140.3 million compared to $132.8 million
•Gross margin increased 640 bps to 27.5% compared to 21.1%
•Operating profit increased 52.6% to $4.4 million compared to $2.9 million
•Diluted earnings per share was $0.26 compared to $0.12
"Our third quarter results were in line with our expectations and reflect the recovery of our U.S. consumer business following last year’s tariff related headwinds, coupled with the margin benefits from our ongoing tariff mitigation actions,” said R. Scott Tidey, President and Chief Executive Officer. “We are encouraged with the underlying health of our business and continued solid sell-through of our brands and products. Unfortunately, with consumer sentiment declining over the past couple of months, several of our retail partners have become more cautious with their inventory commitments for the upcoming holiday season. As a result, we now expect fourth-quarter sales to be lower than previously anticipated and have revised our full-year outlook accordingly. We believe the progress we’ve made executing our strategic initiatives including increasing the penetration of our higher margin lines of business, positions us well to navigate the near-term and capitalize on our market opportunities when the economic backdrop improves.”
Results of the Third Quarter 2026 Compared to the Third Quarter 2025
Total revenue increased $7.5 million, or 5.6%, to $140.3 million. The revenue increase was primarily driven by growth in the Company’s U.S. Consumer business reflecting recovery from the third quarter of 2025 when one large retailer delayed orders as they assessed inventory and pricing in response to the tariffs implemented by the U.S. in April 2025. This growth was further supported by strong double-digit revenue growth in the Health business.
Gross profit was $38.5 million, or 27.5% of total revenue, compared to $28.0 million or 21.1% of total revenue. The significant improvement in gross margin year-over-year was driven by the continued sell-through of inventory no longer subject to IEEPA tariffs compared with the year ago period when inventory was subject to the temporary spike in tariff rates on imports from China to 125%.
Selling, general and administrative expenses (SG&A) increased to $34.2 million compared to $25.2 million. The increase was driven by $4.0 million in higher incentive related personnel costs primarily due to the appreciation in share price. The current period also includes increased advertising of $1.6 million and $1.3 million in accelerated depreciation of the Company's legacy enterprise resource planning (ERP) system.
Operating profit was $4.4 million compared to $2.9 million.
Income tax expense was $1.6 million compared to $0.4 million in the prior year period.
Net income was $3.5 million, or $0.26 per diluted share, compared to $1.7 million, or $0.12 per diluted share.
Cash Flow and Debt
For the nine months ended September 30, 2026, net cash provided by operating activities was $80.5 million, compared to $14.6 million used in operating activities for the same period in 2025. The increase was primarily driven by IEEPA refunds received in the second quarter and lower working capital, mainly due to reduced inventory levels as 2025 included accelerated purchases ahead of tariff uncertainty.
For the three months ended September 30, 2026, the Company paid down $25 million of debt, repurchased 24,908 shares of its Class A common stock at prevailing market prices for an aggregate purchase amount of $0.6 million and paid $1.7 million in dividends.
On September 30, 2026, net cash was $67.5 million compared to net debt of $32.8 million on September 30, 2025. Net (cash) debt is defined as total debt minus cash and cash equivalents and highly liquid short-term investments.
Outlook
Based on more cautious retailer inventory commitments amid a softer consumer outlook, the Company now expects fourth-quarter sales to be lower than previously anticipated. As a result, the Company now expects 2026 revenue to be flat year over year compared to prior guidance of growth approaching mid-single digit range. The full-year revenue forecast continues to reflect the expiration of the Company's Bartesian licensing agreement at the end of 2025. Excluding the benefit from IEEPA tariff refunds, gross margin is still expected to be modestly better than 2025. Based on the lower revenue projection, and higher incentive compensation expense related to the appreciation in the Company’s share price, operating profit is now expected to decline high teens on a percentage basis compared to the previous estimate of high single digits. The forecasted operating profit continues to reflect an incremental $6 million in planned advertising spend in 2026 to support the Company's strategic growth initiatives and approximately $5 million in non-recurring accelerated depreciation associated with the Company's legacy ERP system. The Company now expects 2026 cash flow from operating activities less cash used for investing activities for 2026 to be in the range of $40 million to $50 million, up from previous guidance of $35 million to $45 million, primarily due to the normalization of working capital following tariff-related disruption in the prior year.
Conference Call
The Company will conduct an earnings conference call and webcast on Wednesday, November 4, 2026, at 4:30 p.m. Eastern time. The call may be accessed by dialing 833-461-5787 (toll free), International 585-542-9983. Conference ID: 329823526. The conference call will also be webcast live on the Company’s Investor Relations website at www.hamiltonbeachbrands.com. An archive of the webcast will be available on the website.
About Hamilton Beach Brands Holding Company
Hamilton Beach Brands Holding Company is a leading designer, marketer, and distributor of a wide range of brand name small electric household and specialty housewares appliances, and commercial products for restaurants, fast food chains, bars, and hotels, and is a provider of connected devices and software for healthcare management. The Company’s owned consumer brands include Hamilton Beach®, Proctor Silex® and Weston®, as well as premium brands Hamilton Beach Professional® and Lotus®. The Company’s owned commercial brands include Hamilton Beach Commercial® and Proctor Silex Commercial®. The Company licenses the brands for CHI® premium garment care products and CloroxTM home appliances. The Company has multiyear agreements to design, sell, market, and distribute Numilk® plant-based milk makers and Sunkist® commercial juicers and sectionizers. Hamilton Beach Health, which owns HealthBeacon, is expanding the Company's presence in the home health and medical markets through connected medical devices. For more information about Hamilton Beach Brands Holding Company, visit www.hamiltonbeachbrands.com.
Forward-Looking Statements
The statements contained in this news release that are not historical facts are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Exchange Act. These forward-looking statements are made subject to certain risks and uncertainties, which could cause actual results to differ materially from those presented. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof. Such risks and uncertainties include, without limitation: (1) uncertain or unfavorable global economic conditions and impacts from tariffs, inflation, rising interest rates, recessions or economic slowdowns; (2) changes in costs, including transportation costs and tariffs, of sourced products; (3) the Company’s ability to source and ship products to meet anticipated demand; (4) changes in or unavailability of quality or cost effective suppliers; (5) the Company’s ability to successfully manage constraints throughout the global transportation supply chain; (6) delays in delivery of sourced products; (7) changes in the sales prices, product mix or levels of consumer purchases of small electric household and specialty housewares appliances; (8) changes in consumer retail and credit markets, including the increasing volume of transactions made through third-party internet sellers; (9) bankruptcy of or loss of major retail customers or suppliers; (10) exchange rate fluctuations, changes in the import tariffs and monetary policies and other changes in the regulatory climate in the countries in which the Company operates or buys and/or sells products; (11) the impact of tariffs on customer purchasing patterns; (12) customer acceptance of price increases or delays in the development of new products; (13) product liability, regulatory actions or other litigation, warranty claims or returns of products; (14) increased competition, including consolidation within the industry; (15) changes in customers’ inventory management strategies; (16) shifts in consumer shopping patterns, gasoline prices, weather conditions, the level of consumer confidence and disposable income as a result of economic conditions, unemployment rates or other events or conditions that may adversely affect the level of customer purchases of the Company’s products; (17) changes mandated by federal, state and other regulation, including tax, health, safety or environmental legislation; (18) the Company’s ability to identify, acquire or develop, and successfully integrate, new businesses or new product lines; and (19) other risk factors, including those described in the Company’s filings with the Securities and Exchange Commission, including, but not limited to, the Annual Report on Form 10-K for the year ended December 31, 2025. Furthermore, the future impact of unfavorable economic conditions, including inflation, changing interest rates, availability of capital markets and consumer spending rates remains uncertain. In uncertain economic environments, we cannot predict whether or when such circumstances may improve or worsen, or what impact, if any, such circumstances could have on our business, results of operations, cash flows and financial position.
****
HAMILTON BEACH BRANDS HOLDING COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
| THREE MONTHS ENDED SEPTEMBER 30 | NINE MONTHS ENDED SEPTEMBER 30 | ||||||||||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||
| (In thousands, except per share data) | (In thousands, except per share data) | ||||||||||||||||||||||
| Revenue | $ | 140,262 | $ | 132,779 | $ | 404,857 | $ | 393,921 | |||||||||||||||
| Cost of sales | 101,717 | 104,753 | 252,624 | 297,993 | |||||||||||||||||||
| Gross profit | 38,545 | 28,026 | 152,233 | 95,928 | |||||||||||||||||||
| Selling, general and administrative expenses | 34,159 | 25,152 | 99,673 | 84,793 | |||||||||||||||||||
| Operating profit (loss) | 4,386 | 2,874 | 52,560 | 11,135 | |||||||||||||||||||
| Interest (income) expense, net | (555) | 224 | (1,897) | 273 | |||||||||||||||||||
| Other (income) expense, net | (238) | 625 | (304) | 294 | |||||||||||||||||||
| Income (loss) before income taxes | 5,179 | 2,025 | 54,761 | 10,568 | |||||||||||||||||||
| Income tax expense (benefit) | 1,637 | 372 | 13,972 | 2,657 | |||||||||||||||||||
| Net income (loss) | $ | 3,542 | $ | 1,653 | $ | 40,789 | $ | 7,911 | |||||||||||||||
| Basic and diluted earnings (loss) per share | $ | 0.26 | $ | 0.12 | $ | 3.02 | $ | 0.58 | |||||||||||||||
| Basic weighted average shares outstanding | 13,444 | 13,488 | 13,504 | 13,591 | |||||||||||||||||||
| Diluted weighted average shares outstanding | 13,456 | 13,508 | 13,519 | 13,610 | |||||||||||||||||||
HAMILTON BEACH BRANDS HOLDING COMPANY
CONSOLIDATED BALANCE SHEETS
(Unaudited)
| SEPTEMBER 30 2026 | DECEMBER 31 2025 | SEPTEMBER 30 2025 | |||||||||||||||
| (In thousands) | |||||||||||||||||
| Assets | |||||||||||||||||
| Current assets | |||||||||||||||||
| Cash and cash equivalents | $ | 92,539 | $ | 47,313 | $ | 17,175 | |||||||||||
| Trade receivables, net | 102,794 | 110,535 | 83,805 | ||||||||||||||
| Inventory | 138,715 | 133,833 | 174,801 | ||||||||||||||
| Prepaid expenses and other current assets | 13,938 | 13,052 | 15,466 | ||||||||||||||
| Total current assets | 347,986 | 304,733 | 291,247 | ||||||||||||||
| Property, plant and equipment, net | 22,795 | 30,253 | 33,172 | ||||||||||||||
| Right-of-use lease assets | 33,196 | 34,614 | 35,693 | ||||||||||||||
| Goodwill | 7,099 | 7,099 | 7,099 | ||||||||||||||
| Deferred income taxes | 3,568 | 3,607 | 7,556 | ||||||||||||||
| Other non-current assets | 13,699 | 17,318 | 17,615 | ||||||||||||||
| Total assets | $ | 428,343 | $ | 397,624 | $ | 392,382 | |||||||||||
| Liabilities and stockholders’ equity | |||||||||||||||||
| Current liabilities | |||||||||||||||||
| Accounts payable | $ | 109,774 | $ | 86,376 | $ | 106,458 | |||||||||||
| Accrued compensation | 12,366 | 13,956 | 8,800 | ||||||||||||||
| Accrued product returns | 7,151 | 7,875 | 6,452 | ||||||||||||||
| Lease liabilities | 5,921 | 5,497 | 5,497 | ||||||||||||||
| Other current liabilities | 7,949 | 9,529 | 8,409 | ||||||||||||||
| Total current liabilities | 143,161 | 123,233 | 135,616 | ||||||||||||||
| Revolving credit agreements | 25,000 | 50,000 | 50,000 | ||||||||||||||
| Lease liabilities, non-current | 34,148 | 36,416 | 37,628 | ||||||||||||||
| Other long-term liabilities | 5,270 | 5,130 | 5,090 | ||||||||||||||
| Total liabilities | 207,579 | 214,779 | 228,334 | ||||||||||||||
| Stockholders’ equity | |||||||||||||||||
Preferred stock, par value $0.01 per share | — | — | — | ||||||||||||||
| Class A Common stock | 121 | 119 | 118 | ||||||||||||||
| Class B Common stock | 36 | 36 | 36 | ||||||||||||||
| Capital in excess of par value | 87,098 | 80,795 | 79,242 | ||||||||||||||
| Treasury stock | (38,938) | (35,213) | (34,124) | ||||||||||||||
| Retained earnings | 179,683 | 143,888 | 126,953 | ||||||||||||||
| Accumulated other comprehensive loss | (7,236) | (6,780) | (8,177) | ||||||||||||||
| Total stockholders’ equity | 220,764 | 182,845 | 164,048 | ||||||||||||||
| Total liabilities and stockholders’ equity | $ | 428,343 | $ | 397,624 | $ | 392,382 | |||||||||||
HAMILTON BEACH BRANDS HOLDING COMPANY
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
| NINE MONTHS ENDED SEPTEMBER 30 | |||||||||||
| 2026 | 2025 | ||||||||||
| (In thousands) | |||||||||||
| Operating activities | |||||||||||
| Net income (loss) | $ | 40,789 | $ | 7,911 | |||||||
| Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities: | |||||||||||
| Depreciation and amortization | 8,078 | 3,772 | |||||||||
| Stock compensation expense | 6,305 | 2,577 | |||||||||
| Other | 1,370 | (1,570) | |||||||||
| Net changes in operating assets and liabilities: | |||||||||||
| Trade receivables | 7,819 | 35,351 | |||||||||
| Inventory | (6,498) | (47,634) | |||||||||
| Other assets | 6,879 | 10,856 | |||||||||
| Accounts payable | 23,306 | 1,882 | |||||||||
| Other liabilities | (7,577) | (27,786) | |||||||||
| Net cash provided by (used for) operating activities | 80,471 | (14,641) | |||||||||
| Investing activities | |||||||||||
| Expenditures for property, plant and equipment | (1,175) | (2,228) | |||||||||
| Other | (306) | (278) | |||||||||
| Net cash provided by (used for) investing activities | (1,481) | (2,506) | |||||||||
| Financing activities | |||||||||||
| Net additions (reductions) to revolving credit agreements | (25,000) | — | |||||||||
| Cash dividends paid | (4,994) | (4,821) | |||||||||
| Purchase of treasury stock | (3,725) | (7,922) | |||||||||
| Net cash provided by (used for) financing activities | (33,719) | (12,743) | |||||||||
| Effect of exchange rate changes on cash and cash equivalents | (45) | 541 | |||||||||
| Cash and cash equivalents | |||||||||||
| Increase (decrease) for the period | 45,226 | (29,349) | |||||||||
| Balance at the beginning of the period | 47,313 | 46,524 | |||||||||
| Balance at the end of the period | $ | 92,539 | $ | 17,175 | |||||||
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures: Net (Cash) Debt
Net (cash) debt is a non-GAAP financial measure that management uses in evaluating financial position. Net (cash) debt is defined as total debt less cash and cash equivalents and highly liquid short-term investments. Management believes net (cash) debt is an important measure of the Company’s financial position due to the amount of cash and cash equivalents on hand. The presentation of this measure is not intended to be considered in isolation from, as a substitute for, or as superior to, the financial information prepared and presented in accordance with U.S. GAAP. The presentation of this measure may be different from non-GAAP financial measures used by other companies. A reconciliation of this measure to its most directly comparable GAAP measure is provided in the table below:
| SEPTEMBER 30 2026 | DECEMBER 31 2025 | SEPTEMBER 30 2025 | |||||||||||||||
| (In millions) | |||||||||||||||||
| Total debt | $ | 25.0 | $ | 50.0 | $ | 50.0 | |||||||||||
| Less: cash and cash equivalents | $ | (92.5) | $ | (47.3) | $ | (17.2) | |||||||||||
| Net (cash) debt | $ | (67.5) | $ | 2.7 | $ | 32.8 | |||||||||||