Wed, May 7, 7:55 PM (11 days ago)
**Helios Technologies, Inc. (HLIO) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $195.5M (down 7.8% YoY) - **Gross Profit:** $59.9M (down 10.9% YoY) - **Operating Income:** $17.0M (down 16.3% YoY) - **Net Income:** $7.3M (down 20.7% YoY) - **EPS (Diluted):** $0.22 (down 21.4% YoY) - **Cash Flow from Operations:** $19.0M (up 6.7% YoY) **Profit Margins:** - **Gross Margin:** 30.6% (down 1.1% YoY) - **Operating Margin:** 8.7% (down 0.9% YoY) - **Net Margin:** 3.7% (down 0.6% YoY) **Segment Performance:** - **Hydraulics:** Revenue down 11.2% YoY, Operating Income down 20.2% YoY - **Electronics:** Revenue down 0.7% YoY, Operating Income up 12.7% YoY **Cash Flow & Earnings Changes:** - **Cash Flow from Operations:** Improved by $1.2M YoY - **Capital Expenditures:** $6.1M (3.1% of sales) - **Free Cash Flow:** $12.2M (down from $11.5M YoY) **Trends & Uncertainties:** - **Macroeconomic Conditions:** Challenging, with economic uncertainty and inflationary pressures - **Tariffs:** Additional tariffs imposed, but no material impact on Q1 results - **Restructuring:** Ongoing restructuring activities in Hydraulics and Electronics segments - **Executive Transitions:** New CEO and Chairman appointed **Future Operations Impact:** - **Liquidity:** Strong, with $45.9M in cash and $352.6M in available credit - **Capital Expenditures:** Forecasted at 3-4% of sales for 2025 - **Share Repurchase Program:** $100M authorized, no shares repurchased as of Q1 2025 **Conclusion:** Helios Technologies, Inc. faced revenue and earnings declines in Q1 2025 due to soft demand and macroeconomic challenges. However, the company maintains strong liquidity and is undertaking restructuring activities to optimize operations. The Electronics segment showed resilience with improved operating income, while the Hydraulics segment struggled with declining sales and operating income. The company's future operations will focus on liquidity management, cost savings, and strategic investments.