Broadwind, Inc. Q4 FY2025 earnings call

2025 was pivotal for Broadwind's evolution. Divestiture of Wisconsin industrial fabrication ops in Q3. Q4 performance impacted by raw material supply disruption in heavy fabrications, but corrective actions taken. Orders led by gearing and industrial solutions growth, partially offset by heavy fabrication decline. Operationally invested in equipment tech. Gearing completed 3 PPAPs, industrial solutions expanded capacity and backlog hit record.

Fourth quarter consolidated revenues were $37.7 million, up 12% vs prior year. Heavy fabrication segment: Q4 revenue $21.6 million, up 6% y-o-y; orders down 20% y-o-y due to divestiture of Wisconsin operation. Gearing segment: Q4 revenue $7 million, down 8% y-o-y; orders up 38% y-o-y to nearly $9.7 million. Industrial solutions segment: Q4 revenue $9.4 million, up 60% y-o-y; orders $11.1 million, backlog $38.1 million in Q4, a record.

Reaffirming full year 2026 guidance: expected revenue in range of $140 to $150 million and adjusted EBITDA in range of 8 to 10 million.

Fourth quarter performance impacted by raw material supply disruption in heavy fabrications business associated with an OEM customer's directed program, which reduced manufacturing throughput and operating efficiency during the period.

Q: Eric Stein with Craig Hallam asked about gearing, Manitowoc divestiture and M&A.

A: Gearing backlog up, ramp up in Q1, focus on power generation and critical infrastructure in M&A.

Q: Justin Clare with Roth Capital Partners asked about industrial solutions capacity and heavy fab backlog.

A: Industrial solutions can double revenue, heavy fab has visibility for tower production.

Q: Amit Dayal with HC Wainwright asked about growth outlook and oil and gas activity.

A: Growth into markets with high CAGRs, activity in oil and gas segment with multiple customers