Kewaunee Scientific (KEQU) Q1 2027 earnings summary

Executive summary

• First quarter FY2027 sales were $66.3M, down 6.7% year-over-year; net earnings fell to $1.7M from $3.1M.

• Backlog increased to $169.0M from $165.9M sequentially but remains below $205.0M a year ago.

• Cost management and operating efficiencies helped offset lower manufacturing volumes.

• Additional compensation expense from cash settlement of long-term incentives impacted corporate results; this is a non-recurring item.

Financial highlights

• EBITDA for the quarter was $4.5M, down from $6.3M year-over-year.

• Diluted EPS was $0.58, compared to $1.04 in the prior year quarter.

• Gross profit was $19.6M, down from $20.9M year-over-year.

• Working capital at quarter-end was $56.7M, down from $66.7M a year ago.

• Cash on hand was $10.3M, down from $11.6M at the prior quarter-end.

Outlook and guidance

• Management remains confident in long-term growth, citing strong quoting activity and a healthy pipeline despite extended project timelines.

• Continued investment in business capabilities and strategy execution is expected.