Earnings release
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August 10 , 2026 HHELIOSⓇ TECHNOLOGIES Helios Technologies Reports Second Quarter 2026 Results ; Profitable Sales Growth Momentum Continues , Raising Full Year 2026 Outlook • Grew 2Q26 sales to $ 232 million , up 9 % over prior year period or 16 % growth on a pro - forma basis for divestiture and foreign exchange ( FX ) impact ; Electronics + 19 % and Hydraulics + 14 % pro forma • Expanded 2Q26 gross profit over prior year period by $ 13 million , which includes $ 1 million benefit from net IEEPA tariff refunds ; gross margin of 34.6 % was 280 bps higher than prior year period • Delivered 2Q26 diluted EPS of $ 0.66 up 94 % andadjusted diluted EPS of $ 0.88 , up 49 % over prior year period • Generated a second quarter record $ 42 million in cash from operations , up 13 % , and $ 31 million of free cash flow in the second quarter • Reduced net - debt - to - adjusted EBITDA leverage ratio to 1.4x down from 2.6x in the prior - year period • Paid 118th consecutive cash dividend to shareholders ; Repurchased $ 6.0 million of Company's common stock in second quarter ; Total dollars returned to shareholders over the last twelve months up 71 % over prior period • Raising the FY2026 outlook - at midpoint implies the Company's highest annual sales in its history SARASOTA , Fla .-- ( BUSINESS WIRE ) -- Helios Technologies , Inc. ( NYSE : HLIO ) ( " Helios " or the " Company " ) , a global leader in highly engineered motion control and electronic controls technology , today reported financial results for the second quarter ended July 4 , 2026 . " We extended the momentum we built to start the year and delivered another strong quarter , with second quarter sales at the high end of our guidance range and adjusted earnings exceeding the top end of our guidance . This marks our fourth consecutive quarter of double- digit pro - forma sales and order intake growth , demonstrating that the strategic actions we've taken over the past two years are translating into sustained operating and financial performance . Our continued margin expansion is an outcome of our volume outperformance , innovative products , and operating leverage gains . The commercial success reflects both the investments we've made in customer - facing capabilities and the product portfolio across our operating companies . We generated record second quarter and first half operating cash flow , have debt and leverage levels at multi - year lows , and returned incremental capital to shareholders through our long - standing dividend and ongoing share repurchases , " said Sean Bagan , President & Chief Executive Officer of Helios . “ The first half performance positions us well as we enter the second half of the year to
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continue to deliver progress toward The CORE Strategy and our 2030 financial targets. We remain focused on disciplined execution, strengthening our customer-centric go-to-market engine, and advancing our innovation and operational excellence initiatives. Supported by our strong cash generation and an ROIC-focused approach to capital allocation, we believe Helios is well positioned to navigate a range of macro environments, while continuing to create long-term shareholder value,” he concluded. Hydraulics Segment Summary (Refer to sales by geographic region and segment data in accompanying tables) Hydraulics For The Three Months Ended ($ in millions) (Unaudited) July 04, 2026 June 28, 2025 Change % Change Net sales Americas $ 57.2 $ 54.2 $ 3.0 6 % EMEA 51.8 46.1 5.7 12 % APAC 37.4 40.6 (3.2 ) (8 %) Total segment sales $ 146.4 $ 140.9 $ 5.5 4 % Gross profit $ 50.6 $ 46.5 $ 4.1 9 % Gross margin 34.6 % 33.0 % 160 bps SEA expenses $ 21.7 $ 21.5 $ 0.2 1 % Operating income $ 28.9 $ 25.0 $ 3.9 16 % Operating margin 19.7 % 17.7 % 200 bps General note: items may not sum or recalculate due to rounding Electronics Segment Summary (Refer to sales by geographic region and segment data in accompanying tables) Electronics For The Three Months Ended ($ in millions) (Unaudited) July 04, 2026 June 28, 2025 Change % Change Net sales Americas $ 63.0 $ 53.7 $ 9.3 17 % EMEA 9.1 8.5 0.6 7 % APAC 13.4 9.4 4.0 43 % Total segment sales $ 85.5 $ 71.6 $ 13.9 19 % Gross profit $ 29.6 $ 21.0 $ 8.6 41 % Gross margin 34.6 % 29.3 % 530 bps SEA expenses $ 18.4 $ 15.1 $ 3.3 22 % Operating income $ 11.2 $ 5.9 $ 5.3 90 % Operating margin 13.1 % 8.2 % 490 bps General note: items may not sum or recalculate due to rounding
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Second Quarter 2026 Consolidated Results For The Three Months Ended ($ in millions, except per share data) (Unaudited) July 04, 2026 June 28, 2025 Change % Change Net sales $ 231.9 $ 212.5 $ 19.4 9 % Gross profit $ 80.2 $ 67.5 $ 12.7 19 % Gross margin 34.6 % 31.8 % 280 bps Operating income $ 32.5 $ 21.9 $ 10.6 48 % Operating margin 14.0 % 10.3 % 370 bps Non-GAAP adjusted operating margin* 17.8 % 15.0 % 280 bps Net income $ 21.9 $ 11.4 $ 10.5 92 % Diluted EPS $ 0.66 $ 0.34 $ 0.32 94 % Non-GAAP adjusted net income $ 29.2 $ 19.5 $ 9.7 50 % Non-GAAP adjusted diluted EPS* $ 0.88 $ 0.59 $ 0.29 49 % Adjusted EBITDA* $ 49.3 $ 39.5 $ 9.8 25 % Adjusted EBITDA margin* 21.2 % 18.6 % 260 bps General note: items may not sum or recalculate due to rounding * Adjusted numbers are not measures determined in accordance with generally accepted accounting principles in the United States, commonly known as GAAP. Nevertheless, Helios believes that providing these specific Non-GAAP figures are important for investors and other readers of Helios financial statements, as they are used as analytical indicators by Helios management to better understand operating performance. These Non-GAAP financial measures should be considered in addition to results prepared in accordance with GAAP and should not be considered a substitute for GAAP. Please carefully review the attached Non-GAAP reconciliations to the most directly comparable GAAP measures and the related additional information provided throughout. Because these metrics are Non- GAAP measures and are thus susceptible to varying calculations, these figures, as presented, may not be directly comparable to other similarly titled measures used by other companies. Raising Full Year 2026 and Establishing Third Quarter 2026 Outlook 1 Jeremy Evans, Executive Vice President, Chief Financial Officer, commented, “As we look to the second half of 2026, we do so from a position of strength, built on solid execution in the first half. We increased sales 16% on a pro-forma basis in the second quarter, expanded adjusted EBITDA margin above 21%, and continued to deliver significant year-over-year growth in earnings per share. While we remain mindful of the tougher comparisons in the back half and ongoing external factors, including geopolitical uncertainty, tariff dynamics, and broader inflationary pressures, our confidence in the business, new business wins, and our visibility into near-term demand support raising the full year outlook for sales and earnings. We will stay focused on disciplined operational execution and investing in high-return opportunities, positioning the Company for continued growth consistent with The CORE Strategy's 2030 targets." The following provides the Company’s expectations for 2026 as of August 10, 2026. This assumes constant currency, based on ending second quarter 2026 foreign exchange rates. Prior FY26 Outlook New FY26 Outlook 3Q26 Outlook Sales $840 to $870 million $880 to $900 million $215 to $222 million Adjusted EBITDA margin 19.5% to 21.0% 20.2% to 21.0% 19.8% to 20.6% Adjusted diluted EPS $2.75 to $3.00 $3.05 to $3.25 $0.70 to $0.77 1 Reference "Second Quarter 2026 Earnings Presentation" slides for details and assumptions. Forward-looking Adjusted EBITDA Margin and adjusted diluted EPS represent Non-GAAP financial measures. The Company has presented the comparable GAAP figures in the tables that follow. See comments on reconciliation of forward-looking non-GAAP financial measures in the Forward-Looking Information included in this release describing the safe harbor provided within the meaning of Section 21E of the Securities Exchange Act of 1934. Webcast
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The Company will host a conference call and webcast tomorrow, Tuesday, August 11, 2026, at 9:00 a.m. Eastern Time to review its financial and operating results and discuss its outlook. A question-and-answer session will follow. The conference call can be accessed by calling (201) 689-8573. The audio webcast will be available at www.heliostechnologies.com . A telephonic replay will be available from approximately 1:00 p.m. ET on the day of the call through Tuesday, August 25, 2026. To listen to the archived call, dial (412) 317-6671 and enter conference ID number 13761179. The webcast replay will be available in the investor relations section of the Company’s website at www.heliostechnologies.com . About Helios Technologies Helios Technologies is a global leader in highly engineered motion control and electronic controls technology, providing premium products that ensure safety, reliability, and seamless connectivity to diverse end markets including agriculture, construction, data centers, energy, health and wellness, industrial, marine, material handling, and recreational vehicles. Helios sells its products to customers in over 80 countries around the world. Its strategy is to be a diversified, customer-centric global enterprise distinguished by innovation, operational speed, and a high-performance culture. The Company has paid a cash dividend to its shareholders every quarter since becoming a public company in 1997. For more information please visit: www.heliostechnologies.com and follow us on LinkedIn . FORWARD-LOOKING INFORMATION This news release contains “forward ‐ looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. Forward ‐ looking statements involve risks and uncertainties, and actual results may differ materially from those expressed or implied by such statements. They include statements regarding current expectations, estimates, forecasts, projections, our beliefs, and assumptions made by Helios Technologies, Inc. (“Helios,” the “Company,” "we," "us," or "our"), its directors or its officers about the Company and the industry in which it operates, and assumptions made by management, and include among other items, (i) the Company’s strategies regarding growth, and improving margins, including its intention to develop new products and undertake acquisitions and divestitures; (ii) the Company's strategy and progress toward The CORE Strategy and 2030 financial targets; (iii) the effectiveness of creating the Centers of Excellence; (iv) its financial plans, results, outlook, and guidance, including expectations for sales, margins, and earnings per share; (v) trends affecting the Company’s financial condition or results of operations; (vi) the Company’s ability to continue to control costs and to meet its liquidity and other financing needs; (vii) the Company’s ability to declare and pay dividends; (viii) the Company’s ability to respond to changes in customer demand domestically and internationally, including as a result of the cyclical nature of the business; (ix) the Company's expectations regarding its capital allocation strategy, including share repurchases and debt reduction; and (x) the Company's ability to mitigate the impacts of changes in trade policy, tariffs and related regulatory developments on our business. In addition, we may make other written or oral statements, which constitute forward-looking statements, from time to time. Words such as “may,” “expects,” “projects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates,” variations of such words, and similar expressions are intended to identify such forward- looking statements. Similarly, statements that describe our future plans, objectives or goals also are forward-looking statements. These statements are not guarantees of future performance and are subject to a number of risks and uncertainties. Our actual results may
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differ materially from what is expressed or forecasted in such forward-looking statements, and undue reliance should not be placed on such statements. All forward-looking statements are made as of the date hereof, and we undertake no obligation to update any forward- looking statements, whether as a result of new information, future events or otherwise. Factors that could cause actual results to differ materially from what is expressed or forecasted in such forward ‐ looking statements include, but are not limited to, (i) the Company’s ability to respond to global economic trends and changes in customer demand domestically and internationally, including as a result of standardization and the cyclical nature of our business, which can adversely affect the demand for capital goods; (ii) supply chain disruption and the potential inability to procure goods; (iii) conditions in the capital markets, including the interest rate environment and the continued availability of capital on terms acceptable to us, or at all (or hyperinflation); (iv) global and regional economic and political conditions, including trade policy, tariffs and other trade barriers, inflation, exchange rates, changes in the cost or availability of energy, transportation, the availability of other necessary supplies and services and recession; (v) changes in the competitive marketplace that could affect the Company’s revenue and/or cost basis, such as increased competition, lack of qualified engineering, marketing, management or other personnel and increased labor and raw materials costs; (vi) risks related to the development, introduction, and market acceptance of new products and technologies, including the integration of artificial intelligence into our operations and products; (vii) health epidemics, pandemics and similar outbreaks, which may have material adverse effects on our business, financial position, results of operations and/or cash flows; (viii) risks related to our international operations, including the potential impact from the ongoing geopolitical conflicts in Ukraine and the Middle East; (ix) new product introductions, product sales mix and the geographic mix of sales nationally and internationally; and (x) stakeholders’, including regulators’, views regarding our environmental, social and governance goals and initiatives, and the impact of factors outside of our control on such goals and initiatives. Further information relating to additional factors that could cause actual results to differ from those anticipated is included but not limited to information under the heading Item 1. “Business” and Item 1A. “Risk Factors” in the Company’s Form 10-K for the year ended January 3, 2026, filed with the Securities and Exchange Commission (SEC) on March 3, 2026, as well as any subsequent filings with the SEC. Helios has presented Non-GAAP measures including adjusted operating income, adjusted operating margin, EBITDA, EBITDA margin, adjusted EBITDA, adjusted EBITDA margin, net debt-to-adjusted EBITDA, adjusted net income, adjusted diluted earnings per share, adjusted net income per diluted share, free cash flow, adjusted free cash flow, adjusted free cash flow conversion, sales in constant currency, and pro-forma sales. Helios believes that providing these specific Non-GAAP figures are important for investors and other readers of Helios financial statements, as they are used as analytical indicators by Helios management to better understand operating performance. The determination of the amounts that are excluded from these Non-GAAP measures is a matter of management judgment and depends upon, among other factors, the nature of the underlying expense or income recognized in a given period. You should not consider the inclusion of this additional information in isolation or as a substitute for results prepared in accordance with GAAP. Please carefully review the Non-GAAP reconciliations to the most directly comparable GAAP measures and the related additional information provided throughout. Because these metrics are Non-GAAP measures and are thus susceptible to varying calculations, these figures, as
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presented, may not be directly comparable to other similarly titled measures used by other companies. This news release also presents forward-looking statements regarding Non-GAAP measures, including adjusted EBITDA margin and adjusted diluted earnings per share. The Company is unable to present a quantitative reconciliation of these forward-looking Non- GAAP financial measures to their most directly comparable forward-looking GAAP financial measures because such information is not available, and management cannot reliably predict the necessary components of such GAAP measures without unreasonable effort or expense. In addition, the Company believes that such reconciliations would imply a degree of precision that would be confusing or misleading to investors. The unavailable information could have a significant impact on the Company’s 2026 financial results. These Non-GAAP financial measures are preliminary estimates and are subject to risks and uncertainties, including, among others, changes in connection with quarter-end and year-end adjustments. Any variation between the Company’s actual results and preliminary financial data set forth above may be material. Financial Tables Follow:
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HELIOS TECHNOLOGIES CONSOLIDATED STATEMENTS OF OPERATIONS (In millions, except per share data) (Unaudited) For The Three Months Ended For The Six Months Ended July 04, 2026 June 28, 2025 % Change July 04, 2026 June 28, 2025 % Change Net sales $ 231.9 $ 212.5 9 % $ 460.3 $ 408.0 13 % Cost of sales 151.7 145.0 5 % 305.2 280.6 9 % Gross profit 80.2 67.5 19 % 155.1 127.4 22 % Gross margin 34.6 % 31.8 % 33.7 % 31.2 % Selling, engineering and administrative expense 40.2 37.3 8 % 77.6 71.9 8 % Amortization of intangible assets 7.5 8.3 (10 )% 15.1 16.5 (8 )% Operating income 32.5 21.9 48 % 62.4 39.0 60 % Operating margin 14.0 % 10.3 % 13.6 % 9.6 % Interest expense, net 4.7 7.0 (33 )% 9.8 14.4 (32 )% Foreign currency transaction loss, net 0.1 0.5 (80 )% (0.5 ) 0.6 (183 )% Other non-operating (income) expense, net (0.4 ) (0.5 ) (20 )% (0.6 ) (0.4 ) 50 % Income before income taxes 28.1 14.9 89 % 53.7 24.4 120 % Income tax provision 6.2 3.5 77 % 12.1 5.8 109 % Net income $ 21.9 $ 11.4 92 % $ 41.6 $ 18.6 124 % Net income per share: Basic $ 0.66 $ 0.34 94 % $ 1.26 $ 0.56 125 % Diluted $ 0.66 $ 0.34 94 % $ 1.25 $ 0.56 123 % Weighted average shares outstanding: Basic 33.0 33.3 33.1 33.3 Diluted 33.2 33.3 33.2 33.4 Dividends declared per share $ 0.12 $ 0.09 $ 0.24 $ 0.18
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HELIOS TECHNOLOGIES CONSOLIDATED BALANCE SHEETS (In millions, except per share data) July 04, 2026 January 03, 2026 (Unaudited) Assets Current assets: Cash and cash equivalents $ 68.0 $ 73.0 Accounts receivable, net of allowance for credit losses of $3.5 and $1.4 140.6 116.0 Inventories, net 194.0 188.6 Income taxes receivable 9.7 15.4 Other current assets 26.4 21.9 Total current assets 438.7 414.9 Property, plant and equipment, net 209.6 206.6 Deferred income taxes 2.2 1.9 Goodwill 491.5 498.1 Other intangible assets, net 350.3 369.9 Other assets 23.7 23.1 Total assets $ 1,516.0 $ 1,514.5 Liabilities and shareholders’ equity Current liabilities: Accounts payable $ 87.9 $ 75.6 Accrued compensation and benefits 19.9 23.3 Other accrued expenses and current liabilities 33.8 23.0 Current portion of long-term non-revolving debt, net - 5.4 Dividends payable 4.0 3.0 Income taxes payable 14.3 12.9 Total current liabilities 159.9 143.2 Revolving lines of credit 105.4 105.5 Long-term non-revolving debt, net 226.1 256.2 Deferred income taxes 51.0 52.4 Other noncurrent liabilities 25.3 25.7 Total liabilities 567.7 583.0 Note 15 - Commitments and contingencies Shareholders’ equity: Preferred stock, par value $0.001, 2.0 shares authorized, no shares issued or outstanding - - Common stock, par value $0.001, 100.0 shares authorized, 33.5 and 33.4 shares issued; 33.0 and 33.1 outstanding at July 04, 2026 and January 03, 2026, respectively - - Capital in excess of par value 448.1 442.9 Treasury stock, at cost, 0.5 and 0.3 shares, respectively (24.3 ) (13.6 ) Accumulated other comprehensive loss (48.2 ) (36.9 ) Retained earnings 572.7 539.1 Total shareholders’ equity 948.3 931.5 Total liabilities and shareholders’ equity $ 1,516.0 $ 1,514.5
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HELIOS TECHNOLOGIES CONSOLIDATED STATEMENTS OF CASH FLOWS (In millions) (Unaudited) For The Six Months Ended July 04, 2026 June 28, 2025 Cash flows from operating activities: Net income $ 41.6 $ 18.6 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 30.3 31.9 Loss on disposal of assets 0.1 0.1 (Gain) on sale of business, net of CTA loss (0.4 ) - Stock-based compensation expense 4.2 2.9 Amortization of debt issuance costs 0.4 0.4 Benefit for deferred income taxes (1.5 ) (1.4 ) Other, net 3.1 0.5 (Increase) decrease in, net of acquisitions: Accounts receivable (27.3 ) (23.4 ) Inventories (7.9 ) (1.7 ) Income taxes receivable 5.6 6.5 Other current assets (5.0 ) 2.1 Other assets - (1.3 ) Increase (decrease) in, net of acquisitions: Accounts payable 13.0 21.4 Accrued expenses and other liabilities 7.9 4.2 Income taxes payable 1.5 (2.8 ) Other noncurrent liabilities 0.2 (2.0 ) Net cash provided by operating activities 65.8 56.0 Cash flows from investing activities: Capital expenditures (18.0 ) (11.5 ) Proceeds from dispositions of property, plant and equipment - 0.2 Business divestiture proceeds 0.4 - Software development costs (1.6 ) (1.9 ) Net cash used in investing activities (19.2 ) (13.2 ) Cash flows from financing activities: Borrowings on revolving credit facilities 80.5 20.6 Repayment of borrowings on revolving credit facilities (78.0 ) (38.4 ) Repayment of borrowings on long-term non-revolving debt (35.6 ) (7.8 ) Proceeds from stock issued 1.3 0.9 Treasury stock purchases (10.6 ) (6.5 ) Dividends paid to shareholders (6.9 ) (6.0 ) Payment of employee tax withholding on equity award vestings (0.3 ) (0.5 ) Other financing activities (1.0 ) (0.8 ) Net cash used in financing activities (50.6 ) (38.5 ) Effect of exchange rate changes on cash and cash equivalents (1.0 ) 4.6 Net (decrease) increase in cash and cash equivalents (5.0 ) 8.9 Cash and cash equivalents, beginning of period 73.0 44.1 Cash and cash equivalents, end of period $ 68.0 $ 53.0
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HELIOS TECHNOLOGIES SEGMENT DATA (In millions) (Unaudited) For The Three Months Ended For The Six Months Ended July 04, 2026 June 28, 2025 July 04, 2026 June 28, 2025 Net sales: Hydraulics $ 146.4 $ 140.9 $ 285.6 $ 267.3 Electronics 85.5 71.6 174.7 140.7 Consolidated $ 231.9 $ 212.5 $ 460.3 $ 408.0 Gross profit and margin: Hydraulics $ 50.6 $ 46.5 $ 94.9 $ 83.9 34.6 % 33.0 % 33.2 % 31.4 % Electronics 29.6 21.0 60.2 43.5 34.6 % 29.3 % 34.4 % 30.9 % Consolidated $ 80.2 $ 67.5 $ 155.1 $ 127.4 34.6 % 31.8 % 33.7 % 31.2 % Operating income (loss) and margin: Hydraulics $ 28.9 $ 25.0 $ 52.3 $ 42.5 19.7 % 17.7 % 18.3 % 15.9 % Electronics 11.2 5.9 25.4 13.9 13.1 % 8.2 % 14.5 % 9.9 % Corporate and other (7.6 ) (9.0 ) (15.3 ) (17.4 ) Consolidated $ 32.5 $ 21.9 $ 62.4 $ 39.0 14.0 % 10.3 % 13.6 % 9.6 %
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HELIOS TECHNOLOGIES Net Sales by Geographic Region and Segment (In millions) (Unaudited) 2026 Q1 % Change y/y Q2 % Change y/y YTD 2026 % Change y/y Americas: Hydraulics $ 56.7 14 % $ 57.2 6 % $ 113.9 9 % Electronics 72.0 27 % 63.0 17 % 135.0 22 % Consol. Americas 128.7 21 % 120.2 11 % 248.9 16 % % of total 57 % 52 % 54 % EMEA: Hydraulics $ 49.2 30 % $ 51.8 12 % $ 101.0 20 % Electronics 8.6 39 % 9.1 7 % 17.7 20 % Consol. EMEA 57.8 31 % 60.9 12 % 118.7 20 % % of total 25 % 26 % 26 % APAC: Hydraulics $ 33.3 (14 %) $ 37.4 (8 %) $ 70.7 (11 %) Electronics 8.6 39 % 13.4 43 % 22.0 41 % Consol. APAC 41.9 (6 %) 50.8 2 % 92.7 (2 %) % of total 18 % 22 % 20 % Total $ 228.4 17 % $ 231.9 9 % $ 460.3 13 % 2025 Q1 % Change y/y Q2 % Change y/y Q3 % Change y/y Q4 % Change y/y Full Year % Change y/y Americas: Hydraulics $ 49.9 (11 %) $ 54.2 (9 %) $ 53.7 3 % $ 58.4 13 % $ 216.3 (1 %) Electronics 56.7 (2 %) 53.7 (7 %) 60.5 19 % 65.0 32 % 235.9 9 % Consol. Americas 106.6 (6 %) 107.9 (8 %) 114.2 11 % 123.4 22 % 452.2 4 % % of total 55 % 51 % 52 % 59 % 54 % EMEA: Hydraulics $ 37.9 (17 %) $ 46.1 8 % $ 41.2 12 % $ 43.3 35 % $ 168.5 7 % Electronics 6.2 (5 %) 8.5 (6 %) 9.8 49 % 5.7 21 % 30.1 13 % Consol. EMEA 44.1 (15 %) 54.6 5 % 51.0 18 % 49.0 33 % 198.6 8 % % of total 23 % 26 % 23 % 23 % 24 % APAC: Hydraulics $ 38.6 (6 %) $ 40.6 (6 %) $ 46.4 14 % $ 30.4 (15 %) $ 156.0 (3 %) Electronics 6.2 24 % 9.4 27 % 8.7 12 % 7.9 32 % 32.2 23 % Consol. APAC 44.8 (3 %) 50.0 (2 %) 55.1 14 % 38.3 (8 %) 188.2 1 % % of total 23 % 23 % 25 % 18 % 22 % Total $ 195.5 (8 %) $ 212.5 (3 %) $ 220.3 13 % $ 210.7 17 % $ 839.0 4 % General note: items may not sum or recalculate due to rounding
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HELIOS TECHNOLOGIES Non-GAAP Adjusted Operating Income & Non-GAAP Adjusted Operating Margin Reconciliation (In millions) (Unaudited) For The Three Months Ended For The Six Months Ended July 04, 2026 Margin June 28, 2025 Margin July 04, 2026 Margin June 28, 2025 Margin GAAP operating income $ 32.5 14.0 % $ 21.9 10.3 % $ 62.4 13.6 % $ 39.0 9.6 % Acquisition-related amortization of intangible assets 7.5 3.2 % 8.3 3.9 % 15.1 3.3 % 16.5 4.0 % Acquisition, divestiture, and financing- related expenses - 0.0 % 0.3 0.2 % 0.1 0.0 % 0.3 0.1 % Restructuring charges 1.3 0.6 % 0.8 0.4 % 1.8 0.4 % 1.2 0.3 % Officer transition costs - 0.0 % 0.4 0.2 % - 0.0 % 0.5 0.1 % Goodwill Impairment - 0.0 % - 0.0 % - 0.0 % - 0.0 % Other - 0.0 % - 0.0 % - 0.0 % 0.6 0.1 % Non-GAAP adjusted operating income $ 41.3 17.8 % $ 31.8 15.0 % $ 79.5 17.3 % $ 58.0 14.2 % GAAP operating margin 14.0 % 10.3 % 13.6 % 9.6 % Non-GAAP adjusted operating margin 17.8 % 15.0 % 17.3 % 14.2 % Net sales $ 231.9 $ 212.5 $ 460.3 $ 408.0 General note: items may not sum or recalculate due to rounding Non-GAAP Adjusted EBITDA & Non-GAAP Adjusted EBITDA Margin Reconciliation (In millions) (Unaudited) For The Three Months Ended For The Six Months Ended July 04, 2026 Margin June 28, 2025 Margin July 04, 2026 Margin June 28, 2025 Margin Net income $ 21.9 9.4 % $ 11.4 5.3 % $ 41.6 9.0 % $ 18.6 4.6 % Interest expense, net 4.7 2.0 % 7.0 3.3 % 9.8 2.1 % 14.4 3.5 % Income tax provision 6.2 2.7 % 3.5 1.7 % 12.1 2.6 % 5.8 1.4 % Depreciation and amortization 15.2 6.6 % 15.9 7.5 % 30.3 6.6 % 31.9 7.8 % EBITDA $ 48.0 20.7 % $ 37.8 17.8 % 93.8 20.3 % 70.7 17.3 % Acquisition, divestiture, and financing-related expenses - 0.0 % 0.3 0.2 % 0.1 0.0 % 0.3 0.1 % Restructuring charges 1.3 0.6 % 0.8 0.4 % 1.8 0.4 % 1.2 0.3 % Officer transition costs - 0.0 % 0.4 0.2 % - 0.0 % 0.5 0.1 % Goodwill Impairment - 0.0 % - 0.0 % - 0.0 % - 0.0 % (Gain) on sale of business - net of CTA loss - 0.0 % - 0.0 % (0.4 ) -0.1 % - 0.0 % Forward contract losses - 0.0 % - 0.0 % - 0.0 % - 0.0 % Change in fair value of contingent consideration - 0.0 % - 0.0 % - 0.0 % - 0.0 % Other - 0.0 % 0.1 0.0 % 0.5 0.1 % 0.6 0.2 % Adjusted EBITDA $ 49.3 21.2 % $ 39.5 18.6 % $ 95.7 20.8 % $ 73.3 18.0 % GAAP net income margin 9.4 % 5.3 % 9.0 % 4.6 % EBITDA margin 20.7 % 17.8 % 20.4 % 17.3 % Adjusted EBITDA margin 21.2 % 18.6 % 20.8 % 18.0 % Net sales $ 231.9 $ 212.5 $ 460.3 $ 408.0 General note: items may not sum or recalculate due to rounding
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HELIOS TECHNOLOGIES Non-GAAP Adjusted Net Income & Non-GAAP Adjusted Net Income Per Diluted Share Reconciliation (In millions) (Unaudited) For The Three Months Ended For The Six Months Ended July 04, 2026 Per Diluted Share June 28, 2025 Per Diluted Share July 04, 2026 Per Diluted Share June 28, 2025 Per Diluted Share GAAP net income $ 21.9 $ 0.66 $ 11.4 $ 0.34 $ 41.6 $ 1.25 $ 18.6 $ 0.56 Amortization of intangible assets 8.1 0.24 8.8 0.26 16.3 0.49 17.5 0.53 Acquisition, divestiture, and financing-related expenses - - 0.3 0.01 0.1 - 0.3 0.01 Restructuring charges 1.3 0.04 0.8 0.03 1.8 0.06 1.2 0.04 Officer transition costs - - 0.4 0.01 - - 0.5 0.01 (Gain) on sale of business, net of CTA loss - - - - (0.4 ) (0.01 ) - - Other - - 0.1 - 0.4 0.01 0.6 0.02 Tax effect of above (2.1 ) (0.06 ) (2.3 ) (0.07 ) (4.1 ) (0.12 ) (4.4 ) (0.13 ) Non-GAAP adjusted net income $ 29.2 $ 0.88 $ 19.5 $ 0.59 $ 55.7 $ 1.68 $ 34.3 $ 1.03 GAAP net income per diluted share $ 0.66 $ 0.34 $ 1.25 $ 0.56 Non-GAAP adjusted net income per diluted share $ 0.88 $ 0.59 $ 1.68 $ 1.03 General note: items may not sum or recalculate due to rounding HELIOS TECHNOLOGIES Pro Forma Non-GAAP Net Sales Growth Reconciliation (In millions) (Unaudited) For The Three Months Ended For The Six Months Ended July 04, 2026 July 04, 2026 Hydraulics Electronics Consolidated Hydraulics Electronics Consolidated Net sales $ 146.4 $ 85.5 $ 231.9 $ 285.6 $ 174.7 $ 460.3 Impact of foreign currency translation * (2.4 ) (0.5 ) (2.9 ) (7.7 ) (0.8 ) (8.5 ) Net sales in constant currency $ 144.0 $ 85.0 $ 229.0 $ 277.9 $ 173.9 $ 451.8 Net sales growth 5.5 13.9 19.4 18.3 34.0 52.3 % Change y/y 4 % 19 % 9 % 7 % 24 % 13 % Growth in constant currency 3.1 13.4 16.5 10.6 33.2 43.9 % Change y/y 2 % 19 % 8 % 4 % 24 % 11 % Pro forma growth in constant currency 18.1 13.4 31.5 39.8 33.2 73.1 % Change y/y 14 % 19 % 16 % 17 % 24 % 19 % * The impact from foreign currency translation is calculated by translating current period activity at average prior period exchange rates. For The Three Months Ended For The Six Months Ended June 28, 2025 June 28, 2025 Hydraulics Electronics Consolidated Hydraulics Electronics Consolidated Net sales $ 140.9 $ 71.6 $ 212.5 $ 267.3 $ 140.7 $ 408.0 Less: divestiture of CFP (15.0 ) - (15.0 ) (29.2 ) - (29.2 ) Pro forma net sales $ 125.9 $ 71.6 $ 197.5 $ 238.1 $ 140.7 $ 378.7 General note: items may not sum or recalculate due to rounding
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Net Debt-to-Adjusted EBITDA Reconciliation (In millions) (Unaudited) As of As of July 04, 2026 June 28, 2025 Current portion of long-term non-revolving debt, net - 24.5 Revolving lines of credit 105.4 144.3 Long-term non-revolving debt, net 226.1 267.4 Total debt 331.5 436.2 Less: cash and cash equivalents 68.0 53.0 Net debt 263.5 383.2 TTM adjusted EBITDA 183.1 145.1 Ratio of net debt to TTM adjusted EBITDA 1.4 2.6 General note: items may not sum or recalculate due to rounding Non-GAAP Financial Measures and Non-GAAP Forward-looking Financial Measures: Adjusted operating income, adjusted operating margin, EBITDA, EBITDA margin, adjusted EBITDA, adjusted EBITDA margin, net debt-to-adjusted EBITDA, adjusted net income, adjusted diluted earnings per share, adjusted net income per diluted share, free cash flow, adjusted free cash flow, adjusted free cash flow conversion, sales in constant currency and pro forma sales are not measures determined in accordance with generally accepted accounting principles in the United States, commonly known as GAAP. Nevertheless, Helios believes that providing these specific Non-GAAP figures are important for investors and other readers of Helios financial statements, as they are used as analytical indicators by Helios management to better understand operating performance. These Non-GAAP financial measures should be considered in addition to results prepared in accordance with GAAP and should not be considered a substitute for GAAP. Please carefully review the attached Non-GAAP reconciliations to the most directly comparable GAAP measures and the related additional information provided throughout. Because these metrics are Non-GAAP measures and are thus susceptible to varying calculations, these figures, as presented, may not be directly comparable to other similarly titled measures used by other companies. The Company does not provide a reconciliation of forward-looking Non-GAAP financial measures, such as adjusted EBITDA margin and adjusted diluted earnings per share, disclosed above in our 2026 Outlook, to their comparable GAAP financial measures because it could not do so without unreasonable effort due to the unavailability of the information needed to calculate reconciling items and due to the variability, complexity and limited visibility of the adjusting items that would be excluded from the Non-GAAP financial measures in future periods. View source version on businesswire.com: https://www.businesswire.com/news/home/20260810551530/en/ For more information, contact: Tania Almond Vice President, Investor Relations & Corporate Communication (941) 362-1333 tania.almond@HLIO.com
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Deborah Pawlowski Alliance Advisors IR (716) 843-3908 dpawlowski@allianceadvisors.com Source: Helios Technologies, Inc.