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KAI

Kadant Inc.

KAI

Kadant Inc. • NYSE
$278.12 ▲ 0.12% (+0.33)
Market Cap $3.28 B
52w High $420.74
52w Low $244.87
Dividend Yield 1.34%
P/E 32.15
Volume 106.45K
Outstanding Shares 11.78M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $271.567M ▲ $80.045M ▲ $27.722M ▲ 10.208% ▼ $2.35 ▲ $69.687M ▲
Q2-2025 $255.267M ▲ $77.665M ▲ $26.159M ▲ 10.248% ▲ $2.22 ▲ $51.868M ▲
Q1-2025 $239.21M ▼ $74.744M ▼ $24.063M ▲ 10.059% ▲ $2.05 $48.1M ▼
Q4-2024 $258.03M ▼ $74.923M ▲ $24.032M ▼ 9.314% ▼ $2.05 ▼ $50.527M ▼
Q3-2024 $271.614M $72.452M $31.586M 11.629% $2.69 $62.153M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $126.913M ▲ $1.532B ▲ $570.727M ▲ $949.847M ▲
Q2-2025 $95.321M ▲ $1.485B ▲ $547.221M ▼ $926.02M ▲
Q1-2025 $91.678M ▼ $1.435B ▲ $548.869M ▼ $875.951M ▲
Q4-2024 $94.66M ▲ $1.43B ▼ $572.217M ▼ $847.127M ▼
Q3-2024 $88.407M $1.489B $626.554M $851.733M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q2-2025 $26.639M ▲ $40.482M ▲ $-3.104M ▲ $-38.391M ▼ $3.383M ▲ $36.514M ▲
Q1-2025 $24.437M ▲ $22.835M ▼ $-3.836M ▼ $-23.085M ▲ $-2.141M ▼ $18.999M ▼
Q4-2024 $24.032M ▼ $51.89M ▼ $-3.266M ▲ $-36.86M ▼ $6.212M ▼ $46.315M ▼
Q3-2024 $31.586M ▲ $52.478M ▲ $-14.353M ▲ $-26.063M ▼ $14.556M ▲ $48.293M ▲
Q2-2024 $31.291M $28.066M $-64.255M $29.932M $-7.44M $23.092M

Revenue by Products

Product Q3-2024Q4-2024Q1-2025Q2-2025
Capital
Capital
 $90.00M ▲$90.00M ▲$60.00M ▼$70.00M ▲
Parts and Consumables
Parts and Consumables
 $180.00M ▲$170.00M ▼$180.00M ▲$180.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Kadant’s income statement shows a business that has grown steadily and become more profitable over the past five years. Sales have risen consistently, and gross profit has grown along with them, showing the company can add value and maintain healthy pricing on its products and services. Operating profit has moved up over time as well, suggesting good cost control and operating discipline. One nuance: net income has been fairly stable over the last three years despite higher sales, and earnings per share have dipped slightly from their recent peak. That hints at some pressure further down the income statement, possibly from higher costs, taxes, interest, or acquisition‑related items. Overall, though, the pattern is of a mature industrial company that has scaled up revenue and kept margins solid, but is no longer seeing a straight‑line rise in bottom‑line earnings every year.

Balance Sheet

Balance Sheet The balance sheet looks generally strong and improving. Total assets have grown, reflecting both organic growth and acquisitions. Shareholders’ equity has risen steadily, which is usually a sign that retained profits are being reinvested and the financial base of the company is strengthening over time. Debt levels had come down and then ticked back up more recently, likely tied to deal-making or investment, but still appear moderate relative to the size of the business. Cash on hand is modest and fairly stable, indicating the company tends to use its balance sheet actively rather than letting cash build excessively. Overall, Kadant appears to be operating with a solid capital base and a balanced use of leverage, not an overly stretched one.

Cash Flow

Cash Flow Kadant’s cash flow profile is a key strength. The company has consistently generated cash from its operations, and operating cash flow generally lines up well with its reported profits, which supports the quality of earnings. Free cash flow has been positive in each of the past five years, even as the company has continued to invest. Capital spending has increased compared with earlier years but remains modest relative to the size of the business, suggesting disciplined investment rather than heavy, risky bets. The combination of steady operating cash, positive free cash flow, and manageable investment needs gives Kadant flexibility to fund acquisitions, pay dividends, and handle its debt without obvious strain.

Competitive Edge

Competitive Edge Kadant occupies a specialized, defensible niche within industrial machinery. Its strength comes from deep engineering know‑how in fluid handling, doctoring and cleaning, fiber processing, and wood and material handling systems. These are not commodity parts; they are mission‑critical components that directly affect efficiency, uptime, and product quality for customers. The company benefits from a large installed base and a high share of revenue from aftermarket parts and services, which tend to be recurring, higher‑margin, and sticky. Long-standing customer relationships, global service coverage, and the ability to provide custom-engineered solutions all raise switching costs and create a meaningful competitive moat. On the risk side, Kadant is still tied to cyclical end markets such as paper, packaging, wood products, and broader process industries. Any downturn or structural shift in these sectors could weigh on demand, even if the company’s relative position versus competitors remains strong.

Innovation and R&D

Innovation and R&D Innovation is a central part of Kadant’s strategy and competitive edge. The company runs dedicated R&D centers in Europe and the U.S., focuses on patented technologies, and continually refines its components and systems to boost efficiency, reduce energy and water use, and cut waste for customers. This aligns closely with rising demand for sustainable industrial solutions. Beyond hardware, Kadant is pushing into digital and data-driven offerings through its illumen platform, which aims to connect equipment, monitor performance, and optimize processes. This could deepen customer integration and open additional service and software-style revenue streams if adoption grows. Kadant also effectively uses acquisitions to accelerate innovation and broaden its capabilities, adding technologies in boiler efficiency, recycling, and material handling. The main watchpoints are execution risk on integrating acquired businesses, the need to keep R&D focused on the highest-value opportunities, and dependence on customers’ willingness to adopt new digital tools at a meaningful scale.

Summary

Overall, Kadant looks like a well-managed industrial company with steady growth, resilient profitability, and a solid financial foundation. Its business model is anchored by specialized, high‑value components, strong engineering capabilities, and a large installed base that supports recurring aftermarket revenue. Cash generation has been consistently healthy, and leverage appears manageable. Strategically, the company is leaning into sustainability, process efficiency, and digitalization, which are attractive long‑term themes in industrial markets. At the same time, investors should recognize the typical risks of an industrial supplier: exposure to cyclical demand, integration of acquisitions, and the need to continually innovate to stay ahead of competitors and justify its premium positioning. In short, Kadant presents as a durable, niche industrial player with good cash flow and an innovation-driven moat, operating in markets that are cyclical but structurally supported by trends in efficiency, recycling, and responsible resource use.

NEWS

November 13, 2025 · 4:39 PM UTC

Kadant Declares Cash Dividend

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October 28, 2025 · 5:03 PM UTC

Kadant Reports Third Quarter 2025 Results

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October 23, 2025 · 10:52 AM UTC

Kadant to Hold Earnings Conference Call on Wednesday, October 29, 2025

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October 7, 2025 · 4:53 PM UTC

Kadant Acquires Clyde Industries

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September 4, 2025 · 4:46 PM UTC

Kadant Declares Cash Dividend

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