Preformed Line Products (NASDAQ: PLPC) posts 13% 2025 sales growth and higher backlog
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Preformed Line Products reported solid growth for 2025, with net sales rising 13% to $669.3 million, driven by higher energy and communications demand across all segments. Fourth-quarter sales grew 4% to $173.1 million, supported by strength in PLP-USA, Asia-Pacific, and the JAP Telecom acquisition.
Full-year net income was $35.3 million, or $7.14 diluted EPS, slightly below 2024 due mainly to a pension termination charge, tariffs, and related LIFO inventory costs. On an adjusted basis, diluted EPS increased 16% to $8.70, reflecting better margins, selling price increases, higher net interest income, and a lower tax rate.
Backlog increased 22% to $232.8 million, signaling strong demand in core markets. The company also raised its quarterly dividend 5% to $0.21 per share and ended 2025 with total assets of $653.6 million and PLPC shareholders’ equity of $475.5 million, indicating a stronger balance sheet.
Positive
- Strong top-line growth: 2025 net sales increased 13% to $669.3 million, with all segments contributing through higher energy and communications volumes and incremental sales from the JAP Telecom acquisition.
- Improving earnings quality: Adjusted diluted EPS rose 16% to $8.70, as higher sales, pricing actions, and a lower effective tax rate more than offset tariff and LIFO-related cost pressures.
- Robust demand signal: Backlog grew 22% to $232.8 million, indicating solid underlying demand in core markets and supporting management’s plans for continued investment and expansion.
- Capital returns and balance sheet strength: The quarterly dividend was raised 5% to $0.21 per share, while PLPC shareholders’ equity increased to $475.5 million, reflecting a stronger financial position.
Negative
- None.
Insights
Double‑digit 2025 growth with stronger backlog, but GAAP earnings hit by one‑time and tariff-related costs.
Preformed Line Products delivered 2025 net sales of $669.3 million, up 13%, with all segments benefiting from higher energy and communications volumes. Backlog rose 22% to $232.8 million, suggesting revenue visibility into future periods, while foreign currency modestly helped full-year sales.
GAAP net income dipped to $35.3 million from $37.1 million, primarily due to an $11.7 million pension termination expense and ongoing Section 232 tariff and LIFO cost impacts. Adjusted net income increased to $43.0 million, with adjusted diluted EPS at $8.70, a 16% gain.
Management highlighted strong cash generation and a 5% dividend increase to $0.21 per share, alongside investments in new facilities in Poland and Spain. Future disclosures on tariff impacts, pricing actions, and ramp-up of these facilities will help clarify the sustainability of margin and earnings trends.
8-K Event Classification
3 items: 2.02, 7.01, 9.01
3 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
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): March 4, 2026
_________________________________________________________
(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: 440 461-5200
(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:
| 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 March 4, 2026, Preformed Line Products Company issued a press release announcing earnings for the quarter and year ended December 31, 2025. A copy of the press release is attached hereto as Exhibit 99.1. This information shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except, as shall be expressly set forth by specific reference in such a filing.
Item 7.01 Regulation FD Disclosure
On March 4, 2026, the Company posted an investor presentation to its website at plp.com/investor-relations.
This information shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, 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.
(d)Exhibits
| Exhibit No. | Description | |||||||
| 99.1 | Press release dated March 4, 2026, announcing earnings for the fourth quarter and full year 2025 financial results | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
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.
| PREFORMED LINE PRODUCTS COMPANY | |||||||||||
| Date: | March 4, 2026 | By: | /s/ Andrew S. Klaus | ||||||||
| Andrew S. Klaus, CFO | |||||||||||
 | Exhibit 99.1  | ||||
PREFORMED LINE PRODUCTS ANNOUNCES FOURTH QUARTER AND FULL YEAR 2025 FINANCIAL RESULTS
CLEVELAND, OHIO – March 4, 2026 - Preformed Line Products Company (NASDAQ: PLPC) today reported financial results for its fourth quarter of 2025 and full year ended December 31, 2025.
Q4/Full Year 2025 highlights:
•Quarterly net sales of $173.1 million, an increase of 4% from Q4 2024
•Annual net sales growth of 13% from 2024, totaling $669.3 million
•Full year diluted EPS of $7.14; adjusted full year diluted EPS of $8.70, a 16% increase from 2024
•Backlog increased 22% to $232.8 million, reflecting robust demand in core markets
•Quarterly dividend increased 5% to $0.21 per share
Net sales in the fourth quarter of 2025 were $173.1 million compared to $167.1 million in the fourth quarter of 2024, a 4% increase. PLP-USA continued its strong 2025 performance with both energy and communications end-market sales contributing to the increase. The international segments were bolstered by sales increases in Asia-Pacific as well as incremental communications market sales from the recently acquired JAP Telecom. Foreign currency translation increased fourth quarter 2025 net sales by $4.4 million.
Net income for the quarter ended December 31, 2025, was $8.4 million, or $1.72 per diluted share, compared to $10.5 million, or $2.13 per diluted share, for the comparable period in 2024. The fourth quarter of 2025 net income was impacted by the continuing tariffs affecting goods sourced internationally by PLP-USA and the tariff-related acceleration of Last-In-First-Out ("LIFO") inventory valuation costs. These costs were partially offset by margin contribution from higher sales levels and selling price increases, higher net interest income and a lower effective tax rate.
Net sales increased 13% to $669.3 million for the full year 2025 compared to $593.7 million in 2024. All segments realized a year-over-year increase in net sales due to higher volumes of energy and communications end-market sales. Foreign currency translation rates increased net sales by $1.4 million for the year ended December 31, 2025.
Net income for the year ended December 31, 2025, was $35.3 million, or $7.14 per diluted share, compared to $37.1 million, or $7.50 per diluted share, for the comparable period in 2024. Excluding the impact from the pension termination completed in the third quarter of 2025, adjusted net income for the twelve-month period ending December 31, 2025 was $43.0 million, or $8.70 per diluted share, a 16% increase. In addition to the pension termination charge, net income for the twelve-month period ending December 31, 2025 was impacted by the continuing tariffs and the tariff-related acceleration of LIFO inventory valuation costs, offset by margin contribution from higher sales, selling price increases, higher net interest income and a lower effective tax rate.
"Our 2025 results reflect the strength of our core energy and communications markets and the resilience of our global operations," said Rob Ruhlman, Executive Chairman. "The significant increase in backlog and sales demonstrates robust demand. We have incurred cost increases on key commodity inputs necessary for our USA production process, primarily due to Section 232 steel and aluminum tariffs. Given the significance of these tariff headwinds on our business, I am pleased with our execution and fourth quarter results. While we have benefited from selling price increases enacted earlier this year, we continue to monitor whether further price adjustments are necessary. The increase in our quarterly dividend underscores our commitment to
delivering value to shareholders. We expect that our strong cash generation will continue to allow us to invest in new product development, facility modernization, and strategic acquisitions to support long-term growth. I look forward to our new state-of-the-art Poland facility coming online later in 2026 and the contributions from our new facility in Spain. Our focus is unchanged: provide our customers with the high-quality products and superior customer service they have come to expect from PLP.”
A presentation on fourth quarter results will also be available on PLP’s website at www.plp.com/investor-relations.
FORWARD-LOOKING STATEMENTS
This news release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 regarding the Company, including those statements regarding the Company’s and management’s beliefs and expectations concerning the Company’s future performance or anticipated financial results, among others. Except for historical information, the matters discussed in this release are forward-looking statements that involve risks and uncertainties which may cause results to differ materially from those set forth in those statements. Among other things, factors that could cause actual results to differ materially from those expressed in such forward-looking statements include the uncertainty in global business conditions and the economy due to factors such as inflation, rising interest rates, tariffs, labor disruptions, military conflict, international hostilities, political instability, exchange rates, natural disasters and health epidemics, the strength of demand and availability of funding for the Company’s products (including in light of price increases) and the mix of products sold, the relative degree of competitive and customer price pressure on the Company’s products, the cost, availability and quality of raw materials required for the manufacture of products, opportunities for business growth through acquisitions and the ability to successfully integrate any acquired businesses, changes in regulations and tax rates, security breaches, litigation and claims and the Company’s ability to continue to develop proprietary technology and maintain high-quality products and customer service to meet or exceed new industry performance standards and individual customer expectations, and other factors described under the headings “Forward-Looking Statements” and “Risk Factors” in the Company’s 2024 Annual Report on Form 10-K filed with the SEC on March 13, 2025 and subsequent filings with the SEC. The Annual Report on Form 10-K and the Company’s other filings with the SEC can be found on the SEC’s website at http://www.sec.gov. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
ABOUT PLP
PLP protects the world’s most critical connections by creating stronger and more reliable networks. The company’s precision-engineered solutions are trusted by energy and communications providers worldwide to perform better and last longer. With locations in 20 countries, PLP works as a united global corporation, delivering high-quality products and unparalleled service to customers around the world.
MEDIA RELATIONS | INVESTOR RELATIONS | |||||||
| JOSH NELSON | ANDREW S. KLAUS | |||||||
MANAGER, MARKETING COMMUNICATIONS | CHIEF FINANCIAL OFFICER | |||||||
+1 440 473 9120 | +1 440 473 9246 | |||||||
JOSH.NELSON@PLP.COM | ANDY.KLAUS@PLP.COM | |||||||
PREFORMED LINE PRODUCTS COMPANY (PLPC)
CONSOLIDATED BALANCE SHEET
| December 31, 2025 | December 31, 2024 | ||||||||||
| (Thousands of dollars, except share and per share data) | (Unaudited) | ||||||||||
| ASSETS | |||||||||||
| Cash, cash equivalents and restricted cash | $ | 83,389 | $ | 57,244 | |||||||
| Accounts receivable, net | 113,175 | 111,402 | |||||||||
| Inventories, net | 148,730 | 129,913 | |||||||||
| Prepaid expenses | 12,961 | 11,720 | |||||||||
| Other current assets | 5,206 | 5,514 | |||||||||
| TOTAL CURRENT ASSETS | 363,461 | 315,793 | |||||||||
| Property, plant and equipment, net | 222,781 | 195,086 | |||||||||
| Goodwill | 30,684 | 26,685 | |||||||||
| Other intangible assets, net | 10,140 | 9,656 | |||||||||
| Deferred income taxes | 7,481 | 6,546 | |||||||||
| Other assets | 19,074 | 20,111 | |||||||||
| TOTAL ASSETS | $ | 653,621 | $ | 573,877 | |||||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||
| Trade accounts payable | $ | 49,520 | $ | 41,951 | |||||||
| Notes payable to banks | 1,213 | 7,782 | |||||||||
| Current portion of long-term debt | 5,392 | 2,430 | |||||||||
| Accrued compensation and other benefits | 29,207 | 25,904 | |||||||||
| Accrued expenses and other liabilities | 29,378 | 30,346 | |||||||||
| TOTAL CURRENT LIABILITIES | 114,710 | 108,413 | |||||||||
| Long-term debt, less current portion | 32,860 | 18,357 | |||||||||
| Other noncurrent liabilities and deferred income taxes | 30,500 | 24,783 | |||||||||
| SHAREHOLDERS' EQUITY | |||||||||||
Common shares $2 par value per share, 15,000,000 shares authorized, 4,907,787 and 4,913,621 issued and outstanding, at December 31, 2025 and December 31, 2024 | 13,860 | 13,752 | |||||||||
Common shares issued to rabbi trust, 222,506 and 222,887 shares at December 31, 2025 and December 31, 2024, respectively | (9,586) | (9,575) | |||||||||
| Deferred compensation liability | 9,586 | 9,575 | |||||||||
| Paid-in capital | 67,217 | 65,093 | |||||||||
| Retained earnings | 584,360 | 553,179 | |||||||||
Treasury shares, at cost, 2,021,940 and 1,961,772 shares at December 31, 2025 and December 31, 2024, respectively | (136,554) | (126,800) | |||||||||
| Accumulated other comprehensive loss | (53,365) | (82,909) | |||||||||
| TOTAL PLPC SHAREHOLDERS' EQUITY | 475,518 | 422,315 | |||||||||
| Noncontrolling interest | 33 | 9 | |||||||||
| TOTAL SHAREHOLDERS' EQUITY | 475,551 | 422,324 | |||||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 653,621 | $ | 573,877 | |||||||
PREFORMED LINE PRODUCTS COMPANY
STATEMENTS OF CONSOLIDATED INCOME
| Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||||||||||||||
| 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||
| (Thousands, except per share data) | (Unaudited) | (Unaudited) | |||||||||||||||||||||
| Net sales | $ | 173,109 | $ | 167,117 | $ | 669,338 | $ | 593,714 | |||||||||||||||
| Cost of products sold | 121,489 | 111,488 | 460,799 | 403,903 | |||||||||||||||||||
| GROSS PROFIT | 51,620 | 55,629 | 208,539 | 189,811 | |||||||||||||||||||
| Costs and expenses | |||||||||||||||||||||||
| Selling | 13,486 | 12,576 | 52,011 | 48,722 | |||||||||||||||||||
| General and administrative | 19,736 | 19,205 | 75,176 | 67,477 | |||||||||||||||||||
| Research and engineering | 6,331 | 5,589 | 23,687 | 21,923 | |||||||||||||||||||
| Other operating expense, net | 318 | 746 | 2,530 | 932 | |||||||||||||||||||
| 39,871 | 38,116 | 153,404 | 139,054 | ||||||||||||||||||||
| OPERATING INCOME | 11,749 | 17,513 | 55,135 | 50,757 | |||||||||||||||||||
| Other income (expense) | |||||||||||||||||||||||
| Interest income | 740 | 717 | 2,317 | 2,573 | |||||||||||||||||||
| Interest expense | (297) | (381) | (1,303) | (2,221) | |||||||||||||||||||
| Pension termination expense | — | — | (11,657) | — | |||||||||||||||||||
| Other income (expense), net | 95 | (528) | 1,128 | (339) | |||||||||||||||||||
| 538 | (192) | (9,515) | 13 | ||||||||||||||||||||
| INCOME BEFORE INCOME TAXES | 12,287 | 17,321 | 45,620 | 50,770 | |||||||||||||||||||
| Income tax expense | 3,852 | 6,876 | 10,313 | 13,659 | |||||||||||||||||||
| NET INCOME | $ | 8,435 | $ | 10,445 | $ | 35,307 | $ | 37,111 | |||||||||||||||
Net loss (income) attributable to noncontrolling interests | — | 7 | (24) | (17) | |||||||||||||||||||
| NET INCOME ATTRIBUTABLE TO PLPC SHAREHOLDERS | $ | 8,435 | $ | 10,452 | $ | 35,283 | $ | 37,094 | |||||||||||||||
| AVERAGE NUMBER OF SHARES OF COMMON STOCK OUTSTANDING: | |||||||||||||||||||||||
| Basic | 4,899 | 4,897 | 4,918 | 4,908 | |||||||||||||||||||
| Diluted | 4,913 | 4,917 | 4,942 | 4,947 | |||||||||||||||||||
| EARNINGS PER SHARE OF COMMON STOCK ATTRIBUTABLE TO PLPC SHAREHOLDERS: | |||||||||||||||||||||||
| Basic | $ | 1.72 | $ | 2.14 | $ | 7.17 | $ | 7.56 | |||||||||||||||
| Diluted | $ | 1.72 | $ | 2.13 | $ | 7.14 | $ | 7.50 | |||||||||||||||
| Cash dividends declared per share | $ | 0.21 | $ | 0.20 | $ | 0.81 | $ | 0.80 | |||||||||||||||
NON-GAAP FINANCIAL INFORMATION
This earnings release includes certain non-GAAP financial measures. These financial measures include adjusted earnings and adjusted earnings per basic and diluted share, each of which differs from the most directly comparable measure calculated in accordance with generally accepted accounting principles (GAAP). A reconciliation of each of these financial measures to the most directly comparable GAAP measure is included in this earnings release. Management believes that these financial measures are useful to investors because they provide additional meaningful financial information that should be considered when assessing our business performance and trends, and they allow investors to more easily compare the Company's financial performance period to period.
The Company's adjusted net income and adjusted earnings per diluted share for the year ended December 31, 2025, was calculated as follows:
| Year Ended December 31, 2025 | ||||||||
| (Thousands, except per share data) | (Unaudited) | |||||||
| NET INCOME ATTRIBUTABLE TO PLPC SHAREHOLDERS | $ | 35,283 | ||||||
| Add back: | ||||||||
| Pension termination expense, after tax | 7,721 | |||||||
ADJUSTED NET INCOME ATTRIBUTABLE TO PLPC SHAREHOLDERS | $ | 43,004 | ||||||
| AVERAGE NUMBER OF SHARES OF COMMON STOCK OUTSTANDING: | ||||||||
| Basic | 4,918 | |||||||
| Diluted | 4,942 | |||||||
ADJUSTED EARNINGS PER SHARE OF COMMON STOCK ATTRIBUTABLE TO PLPC SHAREHOLDERS: | ||||||||
| Basic | $ | 8.74 | ||||||
| Diluted | $ | 8.70 | ||||||
| Year Ended December 31, 2025 | ||||||||
| (Unaudited) | ||||||||
| ADJUSTED DILUTED EARNINGS PER SHARE OF COMMON STOCK ATTRIBUTABLE TO PLPC SHAREHOLDERS: | ||||||||
| NET INCOME PER SHARE ATTRIBUTABLE TO PLPC SHAREHOLDERS | $ | 7.14 | ||||||
| Add back: | ||||||||
| Per share impact of pension termination expense, after tax | 1.56 | |||||||
| ADJUSTED DILUTED EARNINGS PER SHARE OF COMMON STOCK ATTRIBUTABLE TO PLPC SHAREHOLDERS | $ | 8.70 | ||||||
FAQ
How did Preformed Line Products (PLPC) perform financially in 2025?
Preformed Line Products posted 2025 net sales of $669.3 million, up 13% from 2024. Net income attributable to shareholders was $35.3 million, or $7.14 diluted EPS, slightly below 2024 due mainly to pension termination and tariff-related cost impacts.
What were Preformed Line Products’ Q4 2025 results?
In Q4 2025, PLPC generated net sales of $173.1 million, a 4% increase from Q4 2024. Net income attributable to shareholders was $8.4 million, or $1.72 diluted EPS, reflecting tariff and LIFO cost pressures despite higher sales and pricing benefits.
How did adjusted earnings for PLPC in 2025 compare to GAAP results?
For 2025, PLPC’s adjusted net income was $43.0 million, versus GAAP net income of $35.3 million. Adjusted diluted EPS reached $8.70, 16% higher than 2024, primarily excluding the after‑tax pension termination expense of $7.7 million.
What trends did Preformed Line Products report in backlog and demand?
PLPC reported its backlog increased 22% to $232.8 million in 2025, highlighting strong demand in its core energy and communications markets. Management emphasized robust order activity, aided by growth in PLP-USA, Asia-Pacific, and contributions from the JAP Telecom acquisition.
Did Preformed Line Products change its dividend in 2025?
Yes. Preformed Line Products increased its quarterly dividend by 5% to $0.21 per share. Total cash dividends declared for 2025 were $0.81 per share, slightly above $0.80 in 2024, reflecting confidence in cash generation and long-term shareholder returns.
How did tariffs and LIFO costs affect PLPC’s 2025 results?
Management noted that Section 232 steel and aluminum tariffs and related LIFO inventory valuation costs weighed on 2025 earnings. These headwinds reduced GAAP net income, though they were partially offset by higher sales, selling price increases, improved net interest income, and a lower effective tax rate.
What balance sheet changes did Preformed Line Products report at year-end 2025?
At December 31, 2025, PLPC reported total assets of $653.6 million and PLPC shareholders’ equity of $475.5 million, both higher than 2024. Cash, cash equivalents and restricted cash rose to $83.4 million, while long-term debt increased to $32.9 million.