Broadwind Announces Third Quarter 2025 Results

CICERO, Ill., Nov. 13, 2025 (GLOBE NEWSWIRE) -- Broadwind (Nasdaq: BWEN, or the “Company”), a diversified precision manufacturer of specialized components and solutions serving global markets, today announced results for the third quarter 2025. THIRD QUARTER 2025 RESULTS(As compared to the third quarter 2024) Total revenue of $44.2 million, +25% y/yGAAP net income of $7.5 million, or $0.32 per diluted shareNon-GAAP Adjusted EBITDA of $2.4 million, excluding the $8.2 million gain on the sale of industrial fabrication operations on September 8, 2025Total orders of $43.6 million, +90% y/yRaising full-year 2025 revenue guidance MANAGEMENT COMMENTARY “This year, our team continued to transform Broadwind into a leading precision manufacturing partner of choice to global OEMs,” stated Eric Blashford, President and CEO of Broadwind. “Recent actions to consolidate manufacturing capacity, reduce fixed overhead, and enhance balance sheet optionality have created a strong foundation for profitable growth. Looking ahead, we intend to pursue a returns-driven capital allocation strategy, one that prioritizes investments in new product innovation, strategic acquisitions, and opportunistic share repurchases under our recently announced buyback authorization.” “Our third quarter performance was driven by strong demand across our power generation and renewables markets,” continued Blashford. “Total third quarter orders increased by nearly 90% year-over-year, supported by broad-based growth across each of our reporting segments. Importantly, orders from power generation customers, which now represent nearly 20% of total revenue, increased more than 140% versus the year-ago period, driven by the recent strong demand for our natural gas turbine product offerings.” “In early September, we completed the sale of our industrial fabrication operations in Wisconsin, resulting in a gain of $8.2 million,” continued Blashford. “By consolidating operations into our Abilene, TX facility, we expect to enhance asset utilization and position Broadwind to capitalize on opportunities within higher value, growing end markets where our technical expertise and 100% domestic manufacturing footprint are in high demand.” “Early into the fourth quarter, we announced that Broadwind had received $11 million in new tower orders from a leading global wind turbine manufacturer,” noted Blashford. “This order, which is the largest we’ve received since the first quarter 2023, will be fulfilled at our Abilene facility, with the entirety of the order being completed in the first quarter 2026.” “Including the cash proceeds from the recent sale of our industrial fabrications operations, Broadwind has $26.8 million of cash and available liquidity to fund our next phase of growth,” stated Blashford. “We ended the third quarter with net leverage below 1.0x, which remains well within our targeted range of less than 2.0x, providing us with the balance sheet flexibility required to accelerate our growth strategy.” “Today, we are raising our revenue guidance for the full-year 2025,” concluded Blashford. “Our strategic focus continues to shift toward the broader opportunities within the power generation and infrastructure markets, which we believe offer a compelling, multi-year runway for growth and value creation. We intend to provide additional commentary around this strategy on our fourth quarter conference call in early 2026.” CONSOLIDATED THIRD QUARTER 2025 FINANCIAL RESULTS On September 8, 2025, Broadwind Heavy Fabrications, Inc., a wholly-owned subsidiary of Broadwind, completed the closing of the previously announced sale of certain assets to Wisconsin Heavy Fabrication, LLC, a wholly-owned subsidiary of IES Holdings, Inc. The assets sold in the transaction consisted of specified contracts, equipment, machinery and other personal property, and permits used in the Company’s production facility located in Manitowoc, Wisconsin. Broadwind reported net income of $7.5 million, or $0.32 per diluted share in the third quarter 2025, compared to net income of $0.1 million, or $0.00 per diluted share, in the third quarter 2024. The Company reported adjusted EBITDA, a non-GAAP measure, of $2.4 million in the third quarter, which excludes a $8.2 million gain on sale of the industrial fabrication operations, compared to $3.4 million in the prior year period. For a reconciliation of GAAP to non-GAAP metrics, please see the appendix of this release. Revenue increased 25% on a year-over-year basis in the third quarter due to a combination of increased sales within the heavy fabrications and industrial solutions segments, partially offset by lower sales in the gearing segment. Heavy fabrications revenue increased 43% compared to the prior year period due to increased demand for wind tower sections and repowering adapters, partially offset by lower activity from industrial fabrications. Industrial solutions revenue grew 37% year-over-year, due primarily to strong demand for natural gas turbine content. While in the gearing segment, revenue declined year-over-year due to lower customer demand from industrial, mining, and energy markets, partially offset by increased sales in the power generation and steel verticals. Total orders increased 90% in the third quarter, when compared to the prior year period, benefiting from broad-based demand across most end markets. At the end of the third quarter, Broadwind had total cash on hand and availability under its credit facility of $26.8 million. The Company’s ratio of net debt to trailing twelve month Adjusted EBITDA was 0.8x at the end of the third quarter 2025. SEGMENT RESULTS Heavy Fabrications Segment Broadwind provides large, complex and precision fabrications, and proprietary industrial processing equipment, to customers in a broad range of industrial markets. Key products include wind towers and compressed natural gas pressure reducing systems. Heavy fabrications segment sales increased by 43% to $29.4 million in the third quarter 2025, as compared to the prior year period, driven by an increase in wind content, partially offset by lower pressure reducing system (PRS) sales. The segment reported operating income of $10.3 million in the third quarter, as compared to operating income of $2.2 million in the prior year period. Segment non-GAAP adjusted EBITDA was $3.0 million in the third quarter, compared to $3.4 million in the prior-year period. Current period non-GAAP adjusted EBITDA excludes the $8.2 million gain on sale of the Manitowoc industrial fabrication operations. Gearing SegmentBroadwind provides custom gearboxes, loose gearing, precision machined components and heat treat services to a broad set of customers in diverse markets, including oil & gas production, surface and underground mining, wind energy, steel, material handling and other infrastructure markets. Gearing segment sales declined by 23% to $7.1 million in the third quarter 2025, as compared to the prior year period, primarily driven by lower demand from industrial, mining, and energy customers, partially offset by increased demand from power generation and steel customers. The segment reported an operating loss of ($0.6) million in the third quarter, compared to an operating loss of ($0.1) million in the prior year period. Segment non-GAAP adjusted EBITDA was $0.1 million in the third quarter, as compared to $0.6 million in the prior-year period. Industrial Solutions Segment Broadwind provides supply chain solutions, light fabrication, inventory management, kitting and assembly services, primarily serving the combined cycle natural gas turbine market as well as other clean technology markets. Industrial Solutions segment sales increased by 37% to $7.9 million in the third quarter 2025, as compared to the prior year period, primarily driven by increased sales of natural gas turbine content. The segment reported operating income of $0.4 million in the third quarter compared to operating income of $0.5 million in the prior year period. Segment non-GAAP adjusted EBITDA was $0.6 million in the third quarter, in line with the prior year period. FINANCIAL GUIDANCE Today, Broadwind provided updated financial guidance for the full year 2025. The following financial guidance reflects the Company’s current expectations and beliefs. All guidance is current as of the time provided and is subject to change. The Company’s full year 2025 financial guidance excludes the $8.2 million gain associated with the sale of its Manitowoc industrial fabrication operations. Full Year 2025 $ in MillionsPrior Guidance New Guidance LowHigh LowHigh Total Revenue $145$155 $155$160 Adjusted EBITDA $9$10 $9$10 THIRD QUARTER 2025 RESULTS CONFERENCE CALL Broadwind will host a conference call today, November 13, 2025, at 11:00 a.m. ET to review the Company’s financial results, discuss recent events and conduct a question-and-answer session. A webcast of the conference call and accompanying presentation materials will be available in the Investor Relations section of the Company’s corporate website at https://investors.bwen.com/investors. To listen to a live broadcast, go to the site at least 15 minutes prior to the scheduled start time in order to register, download, and install any necessary audio software. To participate in the live teleconference: Live Teleconference:877-407-9716 To listen to a replay of the teleconference, which will be available through Thursday, November 20, 2025: Teleconference Replay:844-512-2921Conference ID:13756444 ABOUT BROADWIND Broadwind (Nasdaq: BWEN) is a precision manufacturer of structures, equipment and components for clean tech and other specialized applications. With facilities throughout the U.S., our talented team is committed to helping customers maximize performance of their investments—quicker, easier and smarter. Find out more at www.bwen.com NON-GAAP FINANCIAL MEASURES The Company provides non-GAAP adjusted EBITDA (earnings before interest, income taxes, depreciation, amortization, share-based compensation and other stock payments, restructuring costs, impairment charges, proxy contest-related expenses, other non-cash gains and losses, and the gain from the sale of the Manitowoc industrial fabrication operations) as supplemental information regarding the Company’s business performance. The Company’s management uses this supplemental information when it internally evaluates its performance, reviews financial trends and makes operating and strategic decisions. The Company believes that this non-GAAP financial measure is useful to investors because it provides investors with a better understanding of the Company’s past financial performance and future results, which allows investors to evaluate the Company’s performance using the same methodology and information as used by the Company’s management. The Company's definition of adjusted EBITDA may be different from similar non-GAAP financial measures used by other companies and/or analysts. FORWARD-LOOKING STATEMENTS This release contains “forward-looking statements”—that is, statements related to future, not past, events—as defined in Section 21E of the Securities Exchange Act of 1934, as amended, (the “Exchange Act”), that reflect our current expectations regarding our future growth, results of operations, financial condition, cash flows, performance, business prospects and opportunities, as well as assumptions made by, and information currently available to, our management. We have tried to identify forward-looking statements by using words such as “anticipate,” “believe,” “expect,” “intend,” “will,” “should,” “may,” “plan” and similar expressions, but these words are not the exclusive means of identifying forward-looking statements. Forward-looking statements include any statement that does not directly relate to a current or historical fact. Our forward-looking statements may include or relate to our beliefs, expectations, plans and/or assumptions with respect to the following: (i) our expectations and beliefs with respect to our financial guidance as set forth in the Company’s press releases from time to time; (ii) the impact of global health concerns on the economies and financial markets and the demand for our products; (iii) state, local and federal regulatory frameworks affecting the industries in which we compete, including the wind energy industry, and the related phase out, extension, continuation or renewal of federal tax incentives and grants, including the advanced manufacturing tax credits and state renewable portfolio standards as well as new or continuing tariffs on steel or other products imported into the United States; (iv) our customer relationships and our substantial dependency on a few significant customers and our efforts to diversify our customer base and sector focus and leverage relationships across business units; (v) our ability to operate our business efficiently, comply with our debt obligations, manage capital expenditures and costs effectively, and generate cash flow; (vi) the economic and operational stability of our significant customers and suppliers, including their respective supply chains, and the ability to source alternative suppliers as necessary; (vii) our ability to continue to grow our business organically and through acquisitions; (viii) the production, sales, collections, customer deposits and revenues generated by new customer orders and our ability to realize the resulting cash flows; (ix) information technology failures, network disruptions, cybersecurity attacks or breaches in data security; (x) the sufficiency of our liquidity and alternate sources of funding, if necessary; (xi) our ability to realize revenue from customer orders and backlog (including our ability to finalize the terms of the remaining obligations under a supply agreement with a leading global wind turbine manufacturer); (xii) the economy and the potential impact it may have on our business, including our customers; (xiii) the state of the wind energy market and other energy and industrial markets generally, including the availability of tax credits, and the impact of competition and economic volatility in those markets; (xiv) the effects of market disruptions and regular market volatility, including fluctuations in the price of oil, gas and other commodities; (xv) competition from new or existing industry participants including, in particular, increased competition from foreign tower manufacturers; (xvi) the effects of the change of administrations in the U.S. federal government; (xvii) our ability to successfully integrate and operate acquired companies and to identify, negotiate and execute future acquisitions; (xviii) the potential loss of tax benefits if we experience an “ownership change” under Section 382 of the Internal Revenue Code of 1986, as amended; (xix) the effects of proxy contests and actions of activist stockholders; (xx) the limited trading market for our securities and the volatility of market price for our securities; (xxi) our outstanding indebtedness and its impact on our business activities (including our ability to incur additional debt in the future); and (xxii) the impact of future sales of our common stock or securities convertible into our common stock on our stock price. These statements are based on information currently available to us and are subject to various risks, uncertainties and other factors that could cause our actual growth, results of operations, financial condition, cash flows, performance, business prospects and opportunities to differ materially from those expressed in, or implied by, these statements including, but not limited to, those set forth under the caption “Risk Factors” in Part I, Item 1A of our most recently filed Form 10-K and in Part II, Item 1A of our current year Quarterly Reports on Form 10-Q, and in our other filings with the Securities and Exchange Commission. We are under no duty to update any of these statements. You should not consider any list of such factors to be an exhaustive statement of all of the risks, uncertainties or other factors that could cause our current beliefs, expectations, plans and/or assumptions to change. Accordingly, forward-looking statements should not be relied upon as a predictor of actual results. BROADWIND, INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS(IN THOUSANDS)(UNAUDITED) September 30, December 31, 2025 2024 ASSETS CURRENT ASSETS: Cash $1,195 $7,721 Accounts receivable, net 14,409 13,454 AMP credit receivable 4,076 2,533 Contract assets 587 836 Inventories 45,759 39,950 Prepaid expenses and other current assets 2,529 2,374 Total current assets 68,555 66,868 LONG-TERM ASSETS: Property and equipment, net 39,899 45,572 Operating lease right-of-use assets, net 9,806 13,841 Intangible assets, net 906 1,403 Other assets 482 606 TOTAL ASSETS $119,648 $128,290 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Line of credit and current maturities of long-term debt $4,949 $1,454 Current portion of finance lease obligations 2,188 2,266 Current portion of operating lease obligations 1,687 2,115 Accounts payable 17,620 16,080 Accrued liabilities 3,466 3,605 Customer deposits 4,857 18,037 Total current liabilities 34,767 43,557 LONG-TERM LIABILITIES: Long-term debt, net of current maturities 5,380 7,742 Long-term finance lease obligations, net of current portion 2,756 3,777 Long-term operating lease obligations, net of current portion 9,856 13,799 Other - 15 Total long-term liabilities 17,992 25,333 COMMITMENTS AND CONTINGENCIES STOCKHOLDERS' EQUITY: Preferred stock, $0.001 par value; 10,000,000 shares authorized; no shares issued or outstanding - - Common stock, $0.001 par value; 45,000,000 shares authorized; 23,474,925 and 22,593,589 shares issued as of September 30, 2025 and December 31, 2024, respectively 23 23 Treasury stock, at cost, 273,937 shares as of September 30, 2025 and December 31, 2024, respectively (1,842) (1,842)Additional paid-in capital 402,949 401,564 Accumulated deficit (334,241) (340,345)Total stockholders' equity 66,889 59,400 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $119,648 $128,290 BROADWIND, INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(IN THOUSANDS, EXCEPT PER SHARE DATA)(UNAUDITED) Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 Revenues $44,239 $35,503 $120,312 $109,571 Cost of sales 39,719 30,306 107,491 92,171 Gross profit 4,520 5,197 12,821 17,400 OPERATING EXPENSES: Selling, general and administrative 3,796 3,854 11,805 12,391 Gain on sale of Manitowoc industrial fabrication operations (8,155) - (8,213) - Intangible amortization 165 165 496 496 Total operating expense, net (4,194) 4,019 4,088 12,887 Operating income 8,714 1,178 8,733 4,513 OTHER (EXPENSE) INCOME, net: Interest expense, net (1,227) (1,058) (2,526) (2,316)Other, net 3 (5) (7) 2 Total other expense, net (1,224) (1,063) (2,533) (2,314) Net income before provision for income taxes 7,490 115 6,200 2,199 Provision for income taxes 27 41 96 133 NET INCOME $7,463 $74 $6,104 $2,066 NET INCOME PER COMMON SHARE - BASIC: Net income $0.32 $0.00 $0.27 $0.09 WEIGHTED AVERAGE COMMON SHARES OUTSTANDING - BASIC 23,102 22,029 22,748 21,803 NET INCOME PER COMMON SHARE - DILUTED: Net income $0.32 $0.00 $0.27 $0.09 WEIGHTED AVERAGE COMMON SHARES OUTSTANDING - DILUTED 23,255 22,100 22,809 21,904 BROADWIND, INC. AND SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS(IN THOUSANDS)(UNAUDITED) Nine Months Ended September 30, 2025 2024 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $6,104 $2,066 Adjustments to reconcile net cash used in operating activities: Depreciation and amortization expense 4,819 4,986 Deferred income taxes (20) (2)Stock-based compensation 655 807 Allowance for credit losses 5 4 Common stock issued under defined contribution 401(k) plan 986 879 Gain on sale of assets (8,214) (114)Changes in operating assets and liabilities: Accounts receivable (960) 5,866 AMP credit receivable (1,543) 4,152 Contract assets 248 (305)Inventories (6,230) (2,976)Prepaid expenses and other current assets (286) 1,224 Accounts payable 1,480 (2,932)Accrued liabilities (139) (2,476)Customer deposits (13,180) (12,134)Other non-current assets and liabilities 33 (31)Net cash used in operating activities (16,242) (986) CASH FLOWS FROM INVESTING ACTIVITIES: Purchases of property and equipment (2,586) (3,279)Net proceeds from sale of Manitowoc industrial fabrication operations 12,522 - Net proceeds from disposals of property and equipment - 159 Net cash provided by (used in) investing activities 9,936 (3,120) CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from line of credit, net 3,822 5,262 Proceeds from long-term debt - 1,540 Payments on long-term debt (2,687) (1,005)Payments on finance leases (1,099) (1,276)Shares withheld for taxes in connection with issuance of restricted stock (256) (130)Net cash (used in) provided by financing activities (220) 4,391 NET (DECREASE) INCREASE IN CASH (6,526) 285 CASH beginning of the period 7,721 1,099 CASH end of the period $1,195 $1,384 BROADWIND, INC. AND SUBSIDIARIESSELECTED SEGMENT FINANCIAL INFORMATION(IN THOUSANDS)(UNAUDITED) Three Months Ended Nine Months Ended September 30, September 30, 2025 2024 2025 2024 ORDERS: Heavy Fabrications $13,885 $11,147 $24,203 $31,506 Gearing 15,877 4,396 30,636 19,546 Industrial Solutions 13,823 7,432 37,836 19,291 Total orders $43,585 $22,975 $92,675 $70,343 REVENUES: Heavy Fabrications $29,364 $20,600 $79,600 $62,228 Gearing 7,069 9,167 20,320 27,958 Industrial Solutions 7,872 5,737 20,882 20,193 Corporate and Other (66) (1) (490) (808) Total revenues $44,239 $35,503 $120,312 $109,571 OPERATING INCOME/(LOSS): Heavy Fabrications $10,283 $2,230 $14,235 $5,832 Gearing (552) (78) (2,263) 429 Industrial Solutions 445 462 1,261 2,852 Corporate and Other (1,462) (1,436) (4,500) (4,600) Total operating income (loss) $8,714 $1,178 $8,733 $4,513 BROADWIND, INC. AND SUBSIDIARIESRECONCILIATION OF NON-GAAP FINANCIAL MEASURES (IN THOUSANDS)(UNAUDITED) Consolidated Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 Net Income $7,463 $74 $6,104 $2,066 Interest Expense 1,227 1,058 2,526 2,316 Income Tax Provision 27 41 96 133 Depreciation and Amortization 1,473 1,671 4,819 4,986 Share-based Compensation and Other Stock Payments 372 522 1,469 1,685 Gain on Sale of Manitowoc Industrial Fabrication Operations (8,155) - (8,213) - Proxy Contest-Related Expenses - - - (10)Adjusted EBITDA (Non-GAAP) $2,407 $3,366 $6,801 $11,176 Heavy Fabrications Segment Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 Net Income $9,940 $2,301 $13,156 $6,588 Interest Expense 579 499 933 853 Income Tax (Benefit) Provision (235) (571) 146 (1,609)Depreciation 799 999 2,784 2,932 Gain on Sale of Manitowoc Industrial Fabrication Operations (8,165) - (8,306) - Share-based Compensation and Other Stock Payments 46 188 399 588 Adjusted EBITDA (Non-GAAP) $2,964 $3,416 $9,112 $9,352 Gearing Segment Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024Net (Loss) Income $(609) $(141) $(2,448) $246Interest Expense 56 55 177 162Income Tax Provision 1 7 8 21Depreciation and Amortization 537 534 1,636 1,627Share-based Compensation and Other Stock Payments 111 106 332 337Adjusted EBITDA (Non-GAAP) $96 $561 $(295) $2,393 Industrial Solutions SegmentThree Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024Net Income$266 $286 $782 $2,340Interest Expense 155 148 404 425Income Tax Provision 16 25 51 83Depreciation and Amortization 120 109 348 314Share-based Compensation and Other Stock Payments 62 56 197 182Adjusted EBITDA (Non-GAAP)$619 $624 $1,782 $3,344 Corporate and Other Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024 Net Loss $(2,134) $(2,372) $(5,386) $(7,108)Interest Expense 437 356 1,012 876 Income Tax Provision (Benefit) 245 580 (109) 1,638 Depreciation and Amortization 17 29 51 113 Share-based Compensation and Other Stock Payments 153 172 541 578 Gain on Sale of Manitowoc Industrial Fabrication Operations 10 - 93 - Proxy Contest-Related Expenses - - - (10)Adjusted EBITDA (Non-GAAP) $(1,272) $(1,235) $(3,798) $(3,913)

Broadwind Announces Third Quarter 2025 Results

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