The earnings call highlighted the strategic acquisition of Martin Calibration and growth in distribution revenue. However, these positives were overshadowed by declines in organic service revenue, gross profit, net income, and adjusted EBITDA, driven by holiday disruptions and challenges in the solutions channel.
Company Guidance
During the Transcat Incorporated Third Quarter Fiscal Year 2025 Financial Results call, the company reported a 2% increase in consolidated revenue, totaling $66.8 million. However, organic service revenue experienced a 4% decline compared to the previous year's third quarter. Distribution revenue showed a 7% growth, reaching $25.2 million, but service gross profit decreased by 8%, resulting in a $19.7 million consolidated gross profit, which was down 6% year-over-year. Net income for the quarter was $2.4 million, translating to diluted earnings per share of $0.25, while adjusted diluted earnings per share was $0.45. The company also noted a decrease in third-quarter consolidated adjusted EBITDA by 13% to $7.9 million, primarily due to extended holiday closures impacting revenue. The acquisition of Martin Calibration was highlighted, with anticipated service growth and productivity gains expected from the integration. Looking ahead, the company anticipates fiscal 2025 organic service revenue to grow in low to mid-single digits, adjusting for the 53-week year in fiscal 2024, with a stronger pipeline and momentum projected for fiscal 2026.
Acquisition of Martin Calibration
Transcat acquired Martin Calibration, adding $25 million in annual revenue and expanding its presence in the Midwest and West Coast markets. The acquisition is expected to drive service growth and cost synergies.
Distribution Revenue Growth
Distribution revenue grew 7% in the third quarter, driven by strong product sales and rental growth.
Strong Balance Sheet
Transcat ended the quarter with a leverage ratio of 0.97x and $39.5 million available from its credit facility.
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Transcat (TRNS) Earnings, Revenues Date & History
The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
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TRNS Earnings-Related Price Changes
Report Date
Price 1 Day Before
Price 1 Day After
Percentage Change
Jan 27, 2025
$99.13
$86.53
-12.71%
Oct 28, 2024
$119.51
$99.45
-16.79%
Jul 29, 2024
$135.19
$116.91
-13.52%
May 20, 2024
$124.12
$141.86
+14.29%
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
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FAQ
When does Transcat (TRNS) report earnings?
Transcat (TRNS) is schdueled to report earning on May 26, 2025, TBA Not Confirmed.
What is Transcat (TRNS) earnings time?
Transcat (TRNS) earnings time is at May 26, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.