Applied Industrial Technologies has reported its fiscal 2025 fourth-quarter and full-year results. The company's net sales for the fourth quarter were $1.2 billion, representing a 5.5% year-over-year increase, with a 0.2% increase on an organic daily basis. Fourth-quarter net income was $107.8 million, or $2.80 per share, a 5.9% year-over-year increase. However, fourth-quarter EBITDA decreased by 0.3% year-over-year to $153.0 million.
For the full year ended June 30, 2025, net sales were $4.6 billion, showing a 1.9% year-over-year increase, but down 2.3% on an organic daily basis. Net income for the full year was $393.0 million, or $10.12 per share, reflecting a 3.8% increase over the prior-year adjusted EPS. Additionally, full-year EBITDA increased by 1.6% year-over-year to $562.1 million.
Looking ahead to fiscal 2026, the company has issued guidance, including a projected total sales increase of 4% to 7% and an EPS range of $10.00 to $10.75. Notably, the guidance does not assume contribution from future acquisitions or share buybacks.
Neil A. Schrimsher, President & CEO of Applied Industrial Technologies, highlighted that the company ended fiscal 2025 with positive organic growth, particularly driven by strong sales in the engineered solutions segment. He also expressed optimism for fiscal 2026, citing sustained positive momentum in the first quarter with estimated year-over-year organic sales growth of 4% to date.
Schrimsher emphasized that they are mindful of ongoing trade and interest rate uncertainty impacting broader demand visibility and customer capex decisions. Despite this, he expressed confidence in the company's ability to manage through various macro and trade scenarios and anticipated another year of meaningful cash generation supporting ongoing M&A, share buybacks, and dividend growth.
The market has reacted to these announcements by moving the company's shares -0.78% to a price of $273.56. If you want to know more, read the company's complete 8-K report here.
