$HLLY

Holley Inc.

CIK:0001822928|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 28, 2026	Jun. 29, 2025	Jun. 28, 2026	Jun. 29, 2025
Income Statement [Abstract]
Net sales	$ 172,007	$ 166,661	$ 319,337	$ 319,705
Cost of goods sold	101,463	97,103	188,057	186,059
Gross profit	70,544	69,558	131,280	133,646
Selling, general, and administrative	40,427	32,954	75,829	69,653
Research and development costs	3,740	5,086	7,736	9,179
Amortization of intangible assets	3,416	3,350	6,844	6,882
Restructuring costs	840	355	1,715	818
Loss on sale of assets	28,259	0	28,224	0
Other operating (income) expense	(8,903)	299	(9,341)	257
Total operating expense	67,779	42,044	111,007	86,789
Operating income	2,765	27,514	20,273	46,857
Change in fair value of warrant liability	(548)	(7)	(1,579)	(80)
Change in fair value of earn-out liability	(1,258)	(219)	(1,772)	(404)
Interest expense, net	8,201	13,374	18,119	29,082
Total non-operating expense	6,395	13,148	14,768	28,598
Income (loss) before income taxes	(3,630)	14,366	5,505	18,259
Income tax (benefit) expense	(1,200)	3,503	679	4,579
Net income (loss)	(2,430)	10,863	4,826	13,680
Comprehensive income (loss):
Foreign currency translation adjustment	(1,869)	1,239	(2,825)	954
Total comprehensive income (loss)	$ (4,299)	$ 12,102	$ 2,001	$ 14,634
Common Share Data:
Weighted average common shares outstanding - basic (in shares)	120,284,587	119,162,895	120,049,592	119,005,954
Weighted average common shares outstanding - diluted (in shares)	120,284,587	119,790,625	121,148,759	119,676,684
Basic net income (loss) per share (in usd per share)	$ (0.02)	$ 0.09	$ 0.04	$ 0.11
Diluted net income (loss) per share (in usd per share)	$ (0.02)	$ 0.09	$ 0.04	$ 0.11

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 28, 2026	Jun. 29, 2025
OPERATING ACTIVITIES:
Net income	$ 4,826	$ 13,680
Adjustments to reconcile net income to net cash from operating activities:
Depreciation	5,174	4,514
Amortization of intangible assets	6,844	6,882
Amortization of deferred loan costs	912	904
Amortization of right of use assets	3,138	2,642
Loss on sale of assets	28,224	0
Fair value adjustments to warrant liability	(1,579)	(80)
Fair value adjustments to earn-out liability	(1,772)	(404)
Fair value adjustments to interest rate collar	(2,899)	5,243
Equity compensation	3,296	2,903
Change in deferred taxes	146	(1,595)
Provision for inventory reserves	1,297	2,671
Provision for credit losses	540	169
Change in operating assets and liabilities:
Accounts receivable	(2,737)	(14,865)
Inventories	13,913	9,152
Prepaids and other assets	(11,969)	4,044
Accounts payable	(5,988)	(359)
Accrued interest	3,288	0
Accrued and other liabilities	(400)	(2,864)
Net cash provided by operating activities	44,254	32,637
INVESTING ACTIVITIES:
Capital expenditures	(9,640)	(7,808)
Acquisition of license agreement	(3,570)	(13,090)
Business acquisition, net of cash acquired	(2,776)	0
Proceeds from the disposal of assets	9,957	0
Net cash used in investing activities	(6,029)	(20,898)
FINANCING ACTIVITIES:
Principal payments on long-term debt	(1,643)	(3,608)
Payments from stock-based award activities	(2,486)	(850)
Treasury stock purchase, at cost	(2,000)	0
Net cash used in financing activities	(6,129)	(4,458)
Effect of foreign currency rate fluctuations on cash	(307)	474
Net change in cash and cash equivalents	31,789	7,755
Cash and cash equivalents:
Beginning of period	37,231	56,087
End of period	69,020	63,842
Supplemental disclosures of cash flow information:
Cash paid for interest	20,432	19,525
Cash paid for income taxes	407,000	4,894
Supplemental non-cash investing activity:
Deferred purchase consideration for business acquisition included in debt	2,114,000	0
Deferred purchase consideration for business acquisition included in accrued liabilities	351,000	0
Deferred consideration receivable for sale of ADS included in accounts receivable, net	2,646	0
Property and equipment additions included in accounts payable
Supplemental non-cash investing activity:
Capital expenditures incurred but not yet paid	1,702,000	1,612
Purchase price of license agreement included in accrued liabilities
Supplemental non-cash investing activity:
Capital expenditures incurred but not yet paid	$ 0	$ 10,710

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 28, 2026	Dec. 31, 2025
ASSETS
Cash and cash equivalents	$ 69,020	$ 37,231
Accounts receivable, less allowance for credit losses of $2,086 and $1,856, respectively	64,158	57,895
Inventory	180,202	205,661
Prepaids and other current assets	17,231	15,374
Total current assets	330,611	316,161
Property, plant, and equipment, net	50,174	45,127
Goodwill	370,958	372,340
Other intangibles assets, net	369,753	396,910
Right-of-use assets	40,872	33,415
Total assets	1,162,368	1,163,953
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable	55,972	60,121
Accrued liabilities	40,553	48,316
Accrued interest	3,401	115
Current portion of long-term debt	8,207	6,571
Total current liabilities	108,133	115,123
Long-term debt, net of current portion	518,606	516,078
Warrant liability	444	2,024
Earn-out liability	273	2,045
Deferred taxes	47,362	46,540
Other noncurrent liabilities	37,812	33,218
Total liabilities	712,630	715,028
Commitments and contingencies (Refer to Note 17 - Commitments and Contingencies)
Stockholders' equity:
Preferred stock, $0.0001 par value, 5,000,000 shares authorized, none issued and outstanding on June 28, 2026 and December 31, 2025	0	0
Common stock, $0.0001 par value, 550,000,000 shares authorized, 120,847,506 and 119,670,987 shares issued on June 28, 2026 and December 31, 2025; and 120,140,393 and 119,670,987 shares outstanding on June 28, 2026 and December 31, 2025, respectively	12	12
Additional paid-in capital	385,684	384,873
Treasury stock	(2,000)	0
Accumulated other comprehensive income (loss)	(2,705)	120
Retained earnings	68,747	63,920
Total stockholders' equity	449,738	448,925
Total liabilities and stockholders' equity	$ 1,162,368	$ 1,163,953