$ESE

ESCO TECHNOLOGIES INC

CIK:0000866706|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Net sales	$ 339,027	$ 296,344	$ 938,027	$ 742,714
Costs and expenses:
Cost of sales	197,508	174,350	545,274	431,068
Selling, general and administrative expenses	71,002	62,042	195,039	171,305
Amortization of intangible assets	20,342	16,753	61,086	32,735
Interest expense, net	8,713	7,921	13,992	12,373
Other expenses, net	508	2,209	2,340	1,947
Total costs and expenses	298,073	263,275	817,731	649,428
Earnings before income taxes	40,954	33,069	120,296	93,286
Income tax expense	8,219	8,314	25,314	21,841
Earnings from continuing operations	32,735	24,755	94,982	71,445
Earnings from discontinued operations, net of tax expense		1,310	1,177	9,126
Net earnings	$ 32,735	$ 26,065	$ 96,159	$ 80,571
Basic:
Continuing operations (In dollars per share)	$ 1.26	$ 0.96	$ 3.66	$ 2.77
Discontinued operations (In dollars per share)	0	0.05	0.05	0.35
Net earnings (In dollars per share)	1.26	1.01	3.71	3.12
Diluted:
Continuing operations (In dollars per share)	1.26	0.96	3.66	2.76
Discontinued operations (In dollars per share)	0	0.05	0.05	0.35
Net earnings (In dollars per share)	$ 1.26	$ 1.01	$ 3.71	$ 3.11

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net earnings	$ 96,159	$ 80,571
Adjustments to reconcile net earnings to net cash provided by operating activities:
Earnings from discontinued operations, net of tax	(1,177)	(9,126)
Depreciation and amortization	80,073	48,401
Stock compensation expense	10,182	7,934
Changes in assets and liabilities	2,983	(33,473)
Effect of deferred taxes	5,157	(6,008)
Net cash provided by operating activities - continuing operations	193,377	88,299
Net cash (used) provided by operating activities - discontinued operations	(59,340)	43,703
Net cash provided by operating activities	134,037	132,002
Cash flows from investing activities:
Acquisition of business, net of cash acquired	(10,232)	(472,006)
Capital expenditures	(24,560)	(24,210)
Additions to capitalized software and other	(7,874)	(13,018)
Net cash used by investing activities - continuing operations	(42,666)	(509,234)
Net cash provided (used) by investing activities - discontinued operations	1,540	(966)
Net cash used by investing activities	(41,126)	(510,200)
Cash flows from financing activities:
Proceeds from long-term debt	130,000	645,000
Principal payments on long-term debt	(231,000)	(242,000)
Debt issuance costs	(1,293)
Dividends paid	(6,216)	(6,196)
Other	(10,646)	(6,205)
Net cash used by financing activities - continuing operations	(119,155)	390,599
Net cash used by financing activities	(119,155)	390,599
Effect of exchange rate changes on cash and cash equivalents	(1,870)	452
Net (decrease) increase in cash and cash equivalents	(28,114)	12,853
Cash and cash equivalents, beginning of period	101,350	65,963
Cash and cash equivalents, end of period	73,236	78,816
Supplemental cash flow information:
Interest paid	13,587	16,038
Income taxes paid (including state and foreign)	$ 71,905	$ 29,059

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2026	Sep. 30, 2025
Current assets:
Cash and cash equivalents	$ 73,236	$ 101,350
Accounts receivable, net of allowance for credit losses of $2,712 and $3,205, respectively	267,493	253,554
Contract assets	127,620	90,730
Inventories	240,542	217,807
Other current assets	46,620	25,065
Total current assets	755,511	688,506
Property, plant and equipment, net of accumulated depreciation of $200,107 and $186,796, respectively	175,282	172,493
Intangible assets, net of accumulated amortization of $348,052 and $286,965, respectively	664,450	723,973
Goodwill	760,275	761,931
Operating lease assets	47,271	47,707
Other assets	17,214	15,778
Total assets	2,420,003	2,410,388
Current liabilities:
Current maturities of long-term debt	20,000	20,000
Accounts payable	116,539	96,534
Contract liabilities	288,142	216,590
Accrued salaries	54,995	53,301
Income tax payable - current	5,754	62,007
Accrued other expenses	61,263	59,716
Total current liabilities	546,693	508,148
Deferred tax liabilities	115,333	112,390
Non-current operating lease liabilities	44,107	44,403
Other liabilities	31,608	38,576
Long-term debt	65,000	166,000
Total liabilities	802,741	869,517
Shareholders' equity:
Preferred stock, par value $.01 per share, authorized 10,000,000 shares
Common stock, par value $.01 per share, authorized 50,000,000 shares, issued 30,964,140 and 30,886,024 shares, respectively	310	309
Additional paid-in capital	315,600	316,194
Retained earnings	1,463,854	1,373,911
Accumulated other comprehensive income (loss), net of tax	(15,427)	(2,468)
Total stockholders' equity before treasury stock	1,764,337	1,687,946
Less treasury stock, at cost: 5,056,771 and 5,056,771 common shares, respectively	(147,075)	(147,075)
Total shareholders' equity	1,617,262	1,540,871
Total liabilities and shareholders' equity	$ 2,420,003	$ 2,410,388