Overview

* Kadant ( KAI ) Q3 revenue stable at $272 mln, beating analyst expectations, per LSEG data

* Adjusted EPS for Q3 beats consensus as per LSEG data

* Adjusted EBITDA for Q3 also beats estimates

Outlook

* Kadant ( KAI ) revises full-year 2025 revenue guidance to $1.036-$1.046 bln from $1.020-$1.040 bln

* Company maintains 2025 adjusted EPS guidance of $9.05-$9.25

* Kadant ( KAI ) lowers 2025 GAAP EPS guidance to $8.52-$8.72 from $8.89-$9.09

* Company expects Q4 2025 revenue of $270-$280 mln

* Kadant sees Q4 2025 GAAP EPS of $1.91-$2.11

* Company anticipates Q4 2025 adjusted EPS of $2.05-$2.25

Result Drivers

* AFTERMARKET PARTS - Record revenue performance in aftermarket parts business contributed positively to results

* DEMAND SOFTNESS - Persistent softness in demand for capital equipment affected results, per CEO Jeffrey L. Powell

* GLOBAL TRADE UNCERTAINTIES - Global trade uncertainties impacted business environment, according to CEO Jeffrey L. Powell

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Beat $272 mln $260.69

Revenue mln (4

Analysts

)

Q3 Beat $2.59 $2.18 (4

Adjusted Analysts

EPS )

Q3 EPS $2.35

Q3 Net $28 mln

Income

Q3 Beat $58 mln $51.16

Adjusted mln (4

EBITDA Analysts

)

Q3 Gross 45.20%

Margin

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

* Wall Street's median 12-month price target for Kadant Inc ( KAI ) is $340.00, about 12.2% above its October 28 closing price of $298.55

* The stock recently traded at 30 times the next 12-month earnings vs. a P/E of 32 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)