Dafinchi AI

ENS

Industrial

Adjusted operating earnings increased 8% to $114 million, with adjusted operating margin at 12.8%, benefiting from $38 million in 45X tax credits.
Energy Systems segment revenue grew 8% with a 44% increase in adjusted operating earnings, driven by volume and price/mix improvements.
EnerSys reported Q1 fiscal 2026 net sales of $893 million, up 5% year-over-year, driven by acquisitions, price/mix, and FX tailwinds.
Excluding 45X benefits, adjusted diluted EPS was $1.11, down 6% due to FX headwinds and lower organic volumes impacted by tariff uncertainty.
Free cash flow was negative $32 million, typical for Q1, impacted by seasonal timing and increased inventory investments.
Leverage ratio remained low at 1.6x, with $347 million cash on hand and net debt of $964 million.
Motive Power revenue declined 5% due to lower volumes and tariff-related disruptions, with adjusted operating earnings down $9 million.
Specialty segment revenue increased 18%, boosted by acquisitions, with adjusted operating earnings nearly doubling year-over-year.

Industrial

Adjusted operating earnings per share was $0.20 in Q2 compared to $0.23 in Q1, impacted by nonrecurring items and maintenance outages.
Depreciation and amortization were favorable due to non-repeat of accelerated depreciation from mill closures, partially offset by DS Smith integration costs.
DS Smith legacy operations contributed positively with a full quarter of earnings but faced softness in demand and higher fiber costs.
Free cash flow for Q2 was $54 million, with full-year guidance of $100 million to $300 million.
Operations and costs were unfavorable sequentially due to nonrecurring costs, natural gas curtailment, and maintenance outages.
Packaging Solutions EMEA experienced softer demand and a spike in fiber costs, partially offset by favorable energy costs.
Packaging Solutions North America saw improved on-time delivery from 92% to 97% and reduced volume gap to market by 200 basis points.
Second quarter revenue was at expectation, driven by a full quarter of DS Smith and strong price realization.
Volume was seasonally higher in North America but softer in EMEA, with lower volume in Global Cellulose Fibers (GCF) due to outages.

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