Eastern Company (EML)
NASDAQ:EML
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Earnings Data
Report Date
Aug 11, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
―Last Year’s EPS
0.57Same Quarter Last Year
Based on 0 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Neutral
The call presents a mixed picture: meaningful operational and balance-sheet progress (sequential sales recovery, improved operating cash flow, debt reduction, inventory declines, and strategic investments/ERP deployment) are offset by near-term headwinds—primarily an operational misstep at Big 3 and continued softness in returnable transport packaging—that materially compressed margins and reduced net income and adjusted EBITDA year-over-year. Management expects the Big 3 impact to be contained to H1 2026 and is taking corrective and investment actions, suggesting the company is positioned to benefit as demand recovery continues.Company Guidance
Sequential Sales Improvement
Net sales of $59.7M in Q1 FY2026 improved sequentially by 4% from Q4, reflecting improved order execution and an improving demand environment despite year-over-year softness in returnable dunnage.
Backlog Growth (Sequential)
Backlog grew sequentially for the second consecutive quarter to $82.2M (from $81.1M at fiscal year-end), signaling strengthening order conversion across the portfolio even though backlog was down ~8% year-over-year from $85.9M.
Cash Flow Turnaround
Operating cash flow was $3.5M in the quarter, a $5.4M year-over-year improvement that reverses a prior-year use of cash of $1.9M, demonstrating meaningful cash generation.
Stronger Balance Sheet and Liquidity
Long-term debt ended the quarter at $33M and total debt-to-equity improved to 26.6% from 34.3% a year ago. The company has $67M available on a $100M revolver, preserving financial flexibility for M&A or investments.
Inventory Reduction and Working Capital Progress
Inventory declined $3.3M to $53.1M (approximately a 5.9% reduction from year-end), and working capital ended at $71.3M with a current ratio of 3.5x, supporting improved working capital efficiency.
Operational and Commercial Improvements Underway
Management is implementing corrective and growth initiatives: lean and lead-time compression at Eberhard, automation and robotics investments at Big 3, Velvac went live on a new ERP (supporting order management and inventory visibility), and a new door actuation program at Eberhard is ramping in Q2–Q3.
Portfolio Performance Excluding Big 3
Excluding the Big 3 operating issue, adjusted EBITDA and operational performance across the rest of the portfolio were broadly in line with prior quarter and prior year periods.
EML Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
EML Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
May 12, 2026 | $22.20 | $20.71 | -6.72% |
Mar 03, 2026 | $18.52 | $18.48 | -0.21% |
Nov 04, 2025 | $20.74 | $20.33 | -1.94% |
Aug 05, 2025 | $22.03 | $21.81 | -0.98% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Eastern Company (EML) report earnings?
Eastern Company (EML) is schdueled to report earning on Aug 11, 2026, After Close (Confirmed).
What is Eastern Company (EML) earnings time?
Eastern Company (EML) earnings time is at Aug 11, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is EML EPS forecast?
Currently, no data Available