Kewaunee Scientific (KEQU) Q2 2026 earnings summary

Executive summary

• Sales for the quarter ended October 31, 2025, rose 46.8% year-over-year to $70.1 million, driven by the Nu Aire acquisition and strong domestic and international growth.

• Net earnings for the quarter were $2.45 million ($0.82 per diluted share), down from $3.0 million ($1.01 per diluted share) in the prior year, reflecting higher operating and integration costs.

• EBITDA increased to $5.79 million from $4.88 million year-over-year.

• The order backlog remained robust at $192.9 million, up from $184.4 million a year ago, supporting future revenue visibility.

Financial highlights

• Gross profit for the quarter was $19.7 million, with a margin of 28.1%, down from 29.2% year-over-year.

• Operating expenses increased to $15.6 million (22.3% of sales) due to the Nu Aire acquisition and higher compensation costs.

• Operating profit was $4.1 million, compared to $4.4 million in the prior year quarter.

• Adjusted net earnings for the quarter were $2.71 million, with adjusted diluted EPS of $0.91.

• Cash on hand was $13.7 million at quarter-end, down from $17.2 million at the start of the fiscal year.

Outlook and guidance

• Quoting and booking activity remains strong, with backlog supporting future growth despite volatility in project delivery timelines.

• Management expects continued volatility in project delivery timelines for the remainder of FY2026.

• The company is focused on both organic and inorganic growth, with strategic investments in people, processes, and technology.