Helios Technologies Reports Decline in Revenue and Profitability for Q2 2025

Helios Technologies, Inc. reported its financial results for the second quarter of 2025, revealing a decline in both revenue and profitability compared to the same period in the previous year. The company generated net sales of $212.5 million, a decrease of 3.4% from $219.9 million in the second quarter of 2024. For the first half of the fiscal year, net sales totaled $408.0 million, down 5.5% from $431.9 million in the prior year. Gross profit for the quarter was $67.5 million, reflecting a 4.4% decline from $70.6 million, while net income fell to $11.4 million, down 16.2% from $13.6 million in the same quarter last year.

The decrease in revenue and profitability was attributed to reduced demand across several end markets, particularly in recreational, industrial, and mobile sectors. The agriculture market showed signs of stabilization, with sales remaining flat compared to previous declines. The company also noted that sales in the Americas and APAC regions decreased, while the EMEA region experienced growth driven by demand for quick release coupling products. The gross margin slightly decreased to 31.8% from 32.1% due to higher material costs and lower volume, despite reductions in labor and overhead costs.

In terms of strategic developments, Helios Technologies is undergoing a restructuring process, which includes the establishment of two new Regional Operational Centers of Excellence in the Hydraulics segment. The company has also committed to selling its equity interest in Guwing Holdings Pty. Ltd. and its subsidiary Custom Fluidpower Pty. Ltd., with the sale expected to close within 60 to 90 days, pending regulatory approvals. This decision aligns with the company's strategy to optimize its operations in the Asia-Pacific region.

Operationally, Helios Technologies reported a slight increase in cash and cash equivalents, which rose to $53.0 million as of June 28, 2025, compared to $44.1 million at the end of the previous fiscal year. The company also maintained a strong liquidity position with $358.6 million available on its revolving credit facilities. However, the company’s employee headcount and customer engagement metrics were not disclosed in the filing. The company continues to focus on managing costs and improving operational efficiencies in light of ongoing economic uncertainties and geopolitical challenges.

Looking ahead, Helios Technologies anticipates continued challenges in the macroeconomic environment, including inflationary pressures and potential changes in global trade policies. The company remains committed to monitoring these conditions closely and is focused on maintaining liquidity, pricing discipline, and cost-saving initiatives to mitigate risks. The outlook for the remainder of the fiscal year remains cautious, with expectations of ongoing volatility in demand across its key markets.