Enpro Inc. Reports 6.1% Revenue Growth and Increased Net Income in Q1 2025

Enpro Inc. reported a significant increase in financial performance for the first quarter of 2025, with net sales reaching $273.2 million, a 6.1% rise from $257.5 million in the same period of 2024. The company's net income also saw a substantial increase, climbing to $24.5 million, or $1.15 per diluted share, compared to $12.5 million, or $0.59 per diluted share, in the prior year. This growth in profitability was attributed to higher demand across various sectors, particularly in aerospace and food and pharmaceuticals, as well as effective pricing strategies.

The company's operating income for the quarter was $41.8 million, up from $28.0 million a year earlier, reflecting improved operational efficiency. Total operating expenses decreased to $76.4 million from $78.2 million, primarily due to lower selling, general, and administrative expenses. The effective tax rate for the quarter was 24.3%, significantly higher than the 12.6% reported in the previous year, largely due to increased tax rates in foreign jurisdictions.

Strategically, Enpro completed the acquisition of Advanced Micro Instruments, Inc. in January 2024, which contributed to the sales growth in the Sealing Technologies segment. The company also reported a backlog of $259.1 million as of March 31, 2025, with approximately 95% expected to be fulfilled within the year. This backlog indicates a strong demand for Enpro's products and services, particularly in high-growth markets such as semiconductor manufacturing.

Geographically, sales in the United States accounted for $154.7 million, while Europe and the rest of the world contributed $40.6 million and $77.9 million, respectively. The Sealing Technologies segment generated $179.6 million in sales, while the Advanced Surface Technologies segment reported $93.8 million. The company continues to focus on expanding its market share and enhancing product adoption rates across its diverse portfolio.

Looking ahead, Enpro remains optimistic about its growth trajectory, driven by ongoing demand in critical applications and strategic initiatives aimed at enhancing operational capabilities. The company is also actively pursuing additional acquisition opportunities to further strengthen its market position. With a solid cash position of $240.3 million and a newly amended credit facility providing up to $800 million, Enpro is well-positioned to capitalize on future growth opportunities while managing its operational and financial commitments effectively.