Enpro (NPO) Q4 2025 earnings summary

Executive summary

• Achieved 9% sales growth to $1.14 billion in 2025, with 7.6% organic growth, driven by strength in aerospace, food, biopharma, and improving semiconductor markets, and supported by recent acquisitions.

• Adjusted diluted EPS rose 13.6% to $7.91, and adjusted EBITDA margin held steady at 24.3% despite increased growth investments.

• Free cash flow increased 18% to $153.1M, supporting reinvestment in organic growth and strategic M&A.

• Delivered total shareholder returns above premium peers and maintained premium valuation, supported by strategic capital deployment and operational excellence.

• Advanced Enpro 3.0 strategy targets mid- to high single-digit organic growth and strong profitability through 2030.

Financial highlights

• Fourth quarter sales rose 14.3% to $295.4M, with organic sales up 9.9%.

• Adjusted EBITDA for Q4 increased 19.2% to $69.4M, with margin up 100 bps to 23.5%.

• Adjusted diluted EPS for Q4 was $1.99, up 26.8% year-over-year.

• Full-year adjusted EBITDA grew 8.9% to $277.6M.

• Ended 2025 with $114.7M in cash and $580M available under a $800M credit facility.

Outlook and guidance

• 2026 revenue growth projected at 8–12%, with $60M from recent acquisitions.

• 2026 Adjusted EBITDA guidance: $305–$320M; Adjusted diluted EPS: $8.50–$9.20.

• Capital expenditures for 2026 projected at $50M, focused on growth investments.

• Focus on organic growth and strategic acquisitions, leveraging strong cash flow and balance sheet.

• Sealing Technologies revenue expected to approach 15% growth in 2026, with mid-single-digit organic growth.