AstroNova Reports 8.5% Sequential Growth in Revenue for Third Quarter Fiscal 2026

WEST WARWICK, R.I.--( BUSINESS WIRE)-- AstroNova, Inc. (Nasdaq: ALOT), a leading innovator in specialized print technology solutions, today announced financial results for its fiscal 2026 third quarter ended October 31, 2025.

Jorik Ittmann, President and Chief Executive Officer of AstroNova, noted, “Our third quarter results indicate our efforts to stabilize the business, reignite sales in our Product ID segment and develop a greater sense of urgency in the business to deliver for our customers and shareholders are having a positive impact. We drove improvements in our mail & sheet/flatpack operations to provide more timely lead times for our customers and to reduce dated backlog. Importantly, the strong margins of our Aerospace segment confirm the value of the leading market position of our ToughWriter brand flight deck printers which are displacing legacy products for our highest volume major aircraft partners. This action combined with encouraging aircraft build rate forecasts bode well for this segment.”

Mr. Ittmann added, “While we have improved our financial results sequentially, including growing Product ID’s valuable and profitable recurring supplies, parts and service revenue, work remains to deliver consistent growth while we capture the benefits of our Aerospace segment.”

Third Quarter Fiscal 2026 Overview 1 (comparisons are to the prior-year period unless noted otherwise)

39,169

40,422

(1,253

)

(3.1

36,102

3,067

8.5

14,197

13,714

483

3.5

11,633

2,564

22.0

36.2

33.9

32.2

14,557

13,748

809

5.9

11,631

2,926

25.2

37.2

34.0

32.2

1,287

1,264

1.8

(708

)

1,995

(281.7

3.3

3.1

(2.0

2,561

1,623

938

57.8

380

2,181

574.0

6.5

4.0

1.1

378

240

138

57.3

(1,243

)

1,621

(130.4

1,532

513

1,019

198.6

(412

)

1,944

(471.8

4,172

3,228

944

29.3

2,055

2,117

103.0

10.7

8.0

5.7

1 Non-GAAP gross profit, Non-GAAP gross profit margin, Non-GAAP operating income, Non-GAAP operating income margin, Non-GAAP net income, adjusted EBITDA and adjusted EBITDA margin are Non-GAAP financial measures. Refer to the reconciliation of GAAP to non-GAAP measures in the tables that accompany this news release.

Compared with the trailing second quarter of fiscal 2026, revenue increased 8.5% reflecting growth in both Aerospace and Product ID segments. Gross profit improved sequentially by 400 basis points as a result of productivity improvements and improved product mix. Operating income increased over the trailing quarter representing operating leverage on higher volume and improved product mix.

Compared with the prior-year period, revenue declined $1.3 million as the combined growth in Product ID and the Aerospace segment’s Commercial Aircraft, Defense and Other markets sales did not fully offset lower Aerospace Aftermarket revenue, which had a tough comparison against an unusually strong third quarter in FY 2025. Tariff mitigation contributed $0.4 million in revenue and foreign currency translation was a $0.3 million benefit in the quarter.

As a result of improved productivity and a more profitable mix, gross profit was up $0.5 million, or 3.5%, and gross margin expanded 230 basis points compared with the prior-year period despite lower revenue and a provision for inventory of $0.4 million related to the closure of a warehouse. On an adjusted basis, gross margin expanded 320 basis points from the prior-year period to 37.2%.

Operating expenses in the quarter were $12.9 million up from $12.5 million in the prior-year period. Savings from cost reduction actions were offset by $0.4 million in legal expenses related to ongoing litigation, $0.1 million of costs related to the contested proxy solicitation and a $0.3 million goodwill impairment charge associated with the May 2024 MTEX acquisition. Operating income for the quarter was $1.3 million similar to the prior-year period, while non-GAAP operating income was $2.6 million, up $0.9 million, or 57.8% compared with the prior-year period.

Interest expense of $0.8 million was down 12.4% as debt balance decreased from $46.7 million in the prior-year end to $40.3 million as of the end of the quarter fiscal. Improved financial performance resulted in net income of $0.4 million, or $0.05 per share, compared with $0.2 million in the prior-year period. Non-GAAP net income was $1.5 million, or $0.20 per share. Adjusted EBITDA was $4.2 million and Adjusted EBITDA margin was 10.7%.

Product Identification (Product ID) Segment Review

Product ID revenue was $26.8 million for the third quarter of fiscal 2026, up 2.0%, or $0.5 million, compared with the prior year and was up $2.1 million, or 8.5%, sequentially. Sequential growth was across all product categories with Mail & Sheet/Flat Pack Printers increasing $0.5 million, or 14.4%, as productivity improvements enabled higher shipment levels.

Operating income for Product ID of $1.9 million was similar with the prior-year period, as improved volume and mix helped to offset an inventory provision of $0.7 million related to a warehouse closure and true-up between segments and a $0.3 million goodwill impairment charge. Operating margin was 7.0% compared with 7.1% in the prior-year period. Non-GAAP segment operating income grew $1.0 million, or 50%, to $2.9 million. Non-GAAP operating income margin for the third quarter of fiscal 2026 was 10.6%.

Aerospace Segment Review

Aerospace segment revenue was $12.3 million in the fiscal 2026 third quarter, a decrease of 12.7%, or $1.8 million. The decline reflects the benefit of $2.3 million in revenue in the prior-year period from atypical orders related to replacement printheads that had built up in backlog pending certification.

Despite lower sales, Aerospace segment operating profit was $4.5 million, up $1.3 million, or 39.4%, over the prior-year period from a $0.3 million benefit from an inventory provision true-up between segments as well as improved product mix.

Balance Sheet and Cash Flow

Cash provided by operations in the third quarter of fiscal 2026 was $3.4 million and was $8.1 million year to date. The improvement in cash generation in the quarter was a combination of stronger cash earnings and reduced working capital requirements, primarily due to lower inventory.

Capital expenditures in the quarter were $86 thousand and $0.2 million year to date compared with $0.3 million and $1.1 million, respectively, in the prior year periods.

Cash at the end of the third quarter of fiscal 2026 was $3.6 million, down $1.4 million from the end of fiscal 2025. The Company strengthened its balance sheet and reduced debt by $3.2 million in the quarter and by $6.4 million year to date. Debt as of October 31, 2025 was $40.3 million compared with $46.7 million as of January 31, 2025.

On October 31, 2025, the Company executed an amended credit agreement which extended the maturity of its revolving credit facility, temporarily increased the facility to $27.5 million, and refinanced previous term loans resulting in a new $10 million term loan and a new $9.7 million term A-2 loan. The new credit structure reduces principal payments and eliminates the foreign currency exchange rate volatility of the Euro payments. It also provides greater flexibility in its EBITDA covenant.

Bookings and Backlog by Segment

Orders in the quarter for the Product ID segment were $22.5 million, down $4.3 million compared with the prior-year period due to delays in renewing blanket orders with certain customers. The Company expects those orders to be renewed in the fourth quarter of fiscal 2026. As a result, the book to bill ratio for the segment was 84% and backlog decreased by $4.4 million from second quarter of fiscal 2026.

Orders in the quarter for the Aerospace segment increased $2.6 million, or 23.7%, over the prior-year period to $13.4 million primarily related to major OEM orders improving as inventory better aligns with build rates. The book to bill ratio for the segment was 109%. Backlog at the end of the third quarter of fiscal 2026 increased by $1.1 million compared with second quarter of fiscal 2026.

Fiscal 2026 Outlook

“Our solid performance in the third quarter and the progress we are making in the business provide us further confidence in our expectations for the full year," concluded Mr. Ittmann.

AstroNova has maintained its revenue expectations for fiscal 2026 within a range of $149 million to $154 million implying fourth quarter revenue in a range of $36 million to $41 million. Adjusted EBITDA margin expectations are in a range of 7.5% to 8.5% for the year.

Earnings Conference Call Information

AstroNova will host a conference call and webcast today at 8:30 a.m. ET to review financial and operating results for the third quarter of fiscal 2026. A question and answer session will follow.

To access the conference call, please dial (201) 689-8560 or find the webcast and accompanying slide presentation at https://investors.astronovainc.com/investors/events-and-presentations/default.aspx.

A telephonic replay will be available from 12:00 p.m. ET on the day of the call through Wednesday, December 24, 2025. To listen to the archived call, dial (412) 317-6671 and enter a replay PIN 13756179. The webcast replay will be available on the Investor Relations section of the Company’s website where a transcript will be posted once available.

About AstroNova, Inc.

AstroNova (Nasdaq: ALOT) is a leading innovator in specialized print technology solutions. The Company designs, manufactures, distributes and services a broad range of products that acquire, store, analyze, and present data in multiple formats on a variety of media. Its strategy is to drive profitable growth through innovative new technologies, building its installed base to expand recurring revenue while strategically sourcing its aftermarket products.

The Product Identification segment provides a wide array of digital, end-to-end product marking and identification solutions, including hardware, software, and supplies for OEMs, commercial printers, and brand owners for printing on paper, labels, paperboard packaging, corrugated boxes, and paper bags. The Aerospace segment is a global leader in providing products designed for airborne printing solutions, avionics, and data acquisition including flight deck printing solutions, networking hardware, and specialized aerospace-grade supplies. More information about the Company can be found at www.astronovainc.com.

Use of Non-GAAP Financial Measures

In addition to financial measures prepared in accordance with generally accepted accounting principles (GAAP), this news release contains the Non-GAAP financial measures: Non-GAAP gross profit, Non-GAAP gross profit margin, Non-GAAP operating expenses, Non-GAAP operating income, Non-GAAP operating income margin, Non-GAAP net income (loss), Non-GAAP net income per Common Share - diluted , Non-GAAP segment gross profit, Non-GAAP segment gross profit margin, Non-GAAP segment operating income, Non-GAAP segment operating margin, Adjusted EBITDA, and Adjusted EBITDA Margin. AstroNova believes that the inclusion of these Non-GAAP financial measures helps investors gain a meaningful understanding of changes in the Company’s core operating results and can help investors who wish to make comparisons between AstroNova and other companies on both a GAAP and a Non-GAAP basis. AstroNova’s management uses these Non-GAAP financial measures, in addition to GAAP financial measures, as the basis for measuring its core operating performance and comparing such performance to that of prior periods and to the performance of its competitors. These measures are also used by the Company’s management to assist with their financial and operating decision-making. Please refer to the financial reconciliation table included in this news release for a reconciliation of the Non-GAAP measures to the most directly comparable GAAP measures for the nine months ended October 31, 2025 and November 2, 2024 and the year ending January 31, 2025.

AstroNova has not reconciled the forward-looking Adjusted EBITDA margin included in its fiscal 2026 financial targets and outlook to the most directly comparable forward-looking GAAP measure because this cannot be done without unreasonable effort due to the lack of predictability regarding cost of sales, operating expenses, depreciation and amortization, and stock-based compensation. The impact of any of these items, individually or in the aggregate, may be significant.

Forward-Looking Statements

Information included in this news release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact but rather reflect our current expectations concerning future events and results. These statements may include the use of the words “believes,” “expects,” “intends,” “plans,” “anticipates,” “likely,” “continues,” “may,” “will,” and similar expressions to identify forward-looking statements. Such forward-looking statements, including those concerning the Company’s anticipated performance, involve risks, uncertainties and other factors, some of which are beyond our control, which may cause our actual results, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. These risks, uncertainties and factors include, but are not limited to, (i) the risk that our efforts to improve sales in our Product Identification segment may not result in the benefits we expect, (ii) the risk that our Aerospace customers may not continue to convert to our ToughWriter ® printer in the volumes or on the schedule that we expect; (iii) the risk that we may not realize the anticipated benefits of our next-generation print engine technology; and (iv) those factors set forth in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2025 and subsequent filings AstroNova makes with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The reader is cautioned not to unduly rely on such forward-looking statements when evaluating the information presented in this news release.

ASTRONOVA, INC.

Condensed Consolidated Statements of Income (Loss)

(In thousands, except per share data)

(Unaudited)

39,169

40,422

(1,253

)

(3.1

24,972

26,708

(1,736

)

(6.5

14,197

13,714

483

3.5

36.2

33.9

5,593

6,752

(1,159

)

(17.2

1,898

1,843

3.0

5,122

3,855

1,267

32.9

297

—

297

100.0

12,910

12,450

460

3.7

1,287

1,264

1.8

3.3

3.1

827

944

(117

)

(12.4

210

164

356.5

250

274

(24

)

(8.9

(128

)

(162

)

(476.5

378

240

138

57.3

0.05

0.03

0.05

0.03

7,633

7,524

7,698

7,580

112,979

113,922

(943

)

(0.8

74,496

73,909

587

0.8

38,483

40,013

(1,530

)

(3.8

34.1

35.1

16,877

19,140

(2,263

)

(11.8

5,017

4,859

158

3.3

15,140

12,343

2,797

22.7

297

—

297

100.0

37,331

36,342

989

2.7

1,152

3,671

(2,519

)

(68.6

1.0

3.2

2,609

2,363

246

10.4

291

337

(46

)

(13.6

(1,748

)

971

(2,719

)

(280.1

(506

)

(139

)

(367

)

264.0

(1,242

)

1,110

(2,352

)

(211.9

(0.16

)

0.15

(0.16

)

0.15

7,601

7,501

7,601

7,605

ASTRONOVA, INC.

Condensed Consolidated Balance Sheets

(In thousands)

(Unaudited)

3,606

5,050

20,396

21,218

45,124

47,894

5,022

3,855

74,148

78,017

61,183

58,613

(46,474

)

(42,820

)

14,709

15,793

22,070

23,519

17,121

16,361

8,565

8,431

2,573

1,781

1,647

1,693

140,833

145,595

7,402

7,928

4,036

3,745

4,857

4,461

18,146

20,929

3,152

6,110

581

1,600

1,358

592

691

846

543

40,631

46,346

18,978

19,044

2,107

1,535

1,061

1,090

354

1,106

684

138

63,953

69,845

553

547

65,681

64,215

48,139

49,380

(35,226

)

(35,043

)

(2,267

)

(3,349

)

76,880

75,750

140,833

145,595

ASTRONOVA, INC.

Condensed Consolidated Statements of Cash Flow

(In thousands)

(Unaudited)

(1,242

)

1,110

3,425

3,514

175

108

289

—

1,559

1,159

(74

)

—

112

—

1,220

1,619

3,780

1,380

(1,101

)

(1,534

)

(367

)

(2,371

)

(1,080

)

149

(1,603

)

8,057

2,324

100

—

(193

)

(1,086

)

(19,109

)

(93

)

(20,195

)

(183

)

(432

)

(3,177

)

10,774

19,720

15,078

(959

)

(1,247

)

(25,117

)

(6,706

)

(66

)

(37

)

(9,731

)

17,541

324

235

(1,443

)

(95

)

5,050

4,527

3,606

4,432

Cash Paid (Received) During the Period for:

2,292

1,891

621

1,503

Non-Cash Transactions:

986

1,581

ASTRONOVA, INC.

Segment Sales and Profit

(Unaudited, $ in thousands)

26,849

26,317

77,891

76,667

12,320

14,105

35,088

37,255

39,169

40,422

112,979

113,922

7,806

8,407

24,211

25,354

6,391

5,307

14,272

14,659

14,197

13,714

38,483

40,013

29.1

31.9

31.1

33.1

51.9

37.6

40.7

39.3

36.2

33.9

34.1

35.1

1,878

1,868

6,585

7,208

4,531

3,251

9,707

8,806

6,409

5,119

16,292

16,014

7.0

7.1

8.5

9.4

36.8

23.0

27.7

23.6

16.4

12.7

14.4

14.1

(5,122

)

(3,855

)

(15,140

)

(12,343

)

1,287

1,264

1,152

3,671

827

944

2,609

2,363

210

291

337

250

274

(1,748

)

971

(128

)

(506

)

(139

)

378

240

(1,242

)

1,110

ASTRONOVA, INC.

Segment Sales and Non-GAAP Profit

(Unaudited, $ in thousands)

26,849

26,317

77,891

76,667

12,320

14,105

35,088

37,255

39,169

40,422

112,979

113,922

8,476

8,441

25,115

25,508

6,080

5,307

14,126

14,659

14,556

13,748

39,241

40,167

31.6

32.1

32.2

33.3

49.4

37.6

40.3

39.3

37.2

34.0

34.7

35.3

2,852

1,902

7,994

7,362

4,220

3,251

9,567

8,806

7,072

5,153

17,561

16,168

10.6

7.2

10.3

9.6

34.3

23.0

27.3

23.6

18.1

12.7

15.5

14.2

(4,511

)

(3,530

)

(13,092

)

(10,961

)

2,561

1,623

4,469

5,207

827

944

2,609

2,363

)

337

1,735

633

1,782

2,507

204

120

309

242

1,531

513

1,473

2,265

ASTRONOVA, INC.

Revenue by Market

(unaudited, $ in thousands)

14,220

16,349

15,408

14,019

59,996

15,478

15,190

16,115

3,930

3,471

3,679

4,494

15,574

4,050

3,740

4,280

3,245

4,231

3,423

2,972

13,871

3,247

3,506

3,636

1,787

2,925

3,627

2,718

11,057

3,396

2,230

2,371

1,289

1,304

189

165

186

541

368

23,185

27,165

26,317

25,678

102,345

26,289

24,754

26,849

4,694

5,326

7,058

5,481

22,560

4,911

4,953

4,955

3,813

6,299

5,221

4,363

19,696

4,953

4,714

5,764

329

608

734

781

2,452

811

1,047

766

697

604

993

802

3,096

396

431

634

243

537

256

1,134

348

203

201

9,776

13,374

14,105

11,683

48,938

11,419

11,348

12,320

32,961

40,539

40,422

37,361

151,283

37,708

36,102

39,169

ASTRONOVA, INC.

Revenue by Type

(unaudited, $ in thousands)

3,802

4,311

4,590

5,591

18,294

4,776

4,511

5,357

19,383

22,854

21,727

20,087

84,051

21,513

20,243

21,492

23,185

27,165

26,317

25,678

102,345

26,289

24,754

26,849

5,073

8,048

7,032

6,185

26,338

6,519

6,425

7,360

4,703

5,326

7,073

5,498

22,600

4,900

4,923

4,960

9,776

13,374

14,105

11,683

48,938

11,419

11,348

12,320

8,875

12,359

11,622

11,776

44,632

11,295

10,936

12,717

24,086

28,180

28,800

25,585

106,651

26,413

25,166

26,452

32,961

40,539

40,422

37,361

151,283

37,708

36,102

39,169

ASTRONOVA, INC.

Bookings and Backlog

(unaudited, $ in thousands)

31,394

31,556

29,900

27,093

31,394

28,307

25,491

25,291

3,084

31,394

34,640

29,900

27,093

34,478

28,307

25,491

25,291

32,961

40,539

40,422

37,361

151,283

37,708

36,102

39,169

33,122

35,799

37,615

38,576

145,112

34,893

35,901

35,867

31,556

29,900

27,093

28,307

25,491

25,291

21,989

100

103

19,725

19,467

18,786

19,254

19,725

18,091

18,044

16,727

3,084

19,725

22,551

18,786

19,254

22,809

18,091

18,044

16,727

23,185

27,165

26,317

25,678

102,345

26,289

24,754

26,849

22,926

23,400

26,785

24,516

97,627

26,242

23,437

22,473

19,467

18,786

19,254

18,091

18,044

16,727

12,351

102

100

11,669

12,089

11,114

7,839

11,669

10,216

7,447

8,563

9,776

13,374

14,105

11,683

48,938

11,419

11,348

12,320

10,196

12,399

10,830

14,060

47,485

8,651

12,464

13,394

12,089

11,114

7,839

10,216

7,447

8,563

9,638

104

120

110

109

ASTRONOVA, INC.

Reconciliation of GAAP to Non-GAAP Items

(Unaudited, $ in thousands)

39,169

40,422

14,197

13,714

360

14,557

13,748

36.2

33.9

37.2

34.0

12,910

12,450

(325

)

(58

)

(387

)

(172

)

(297

)

11,996

12,125

1,287

1,264

325

360

387

172

297

2,561

1,623

3.3

3.1

6.5

4.0

378

240

247

275

301

131

238

1,532

513

0.05

0.03

0.04

0.02

0.01

0.03

0.20

0.06

ASTRONOVA, INC.

Reconciliation of GAAP to Non-GAAP Items

(Unaudited, $ in thousands)

112,979

113,922

38,483

40,013

154

360

337

39,241

40,167

34.1

35.1

34.7

35.3

37,331

36,342

(311

)

(1,382

)

(968

)

(457

)

(527

)

(100

)

(112

)

(297

)

34,559

34,960

1,152

3,671

311

1,382

154

360

1,305

457

527

100

112

297

4,682

5,207

1.0

3.2

4.1

4.6

(1,242

)

1,110

238

1,044

111

275

1,001

354

403

238

1,480

2,265

(0.16

)

0.15

0.03

0.14

0.01

0.04

0.13

0.05

0.01

0.03

0.20

0.30

ASTRONOVA, INC.

Reconciliation of Net Income and Margin to Adjusted EBITDA and Margin

(Unaudited, $ in thousands)

378

240

827

944

(128

)

855

1,298

1,932

2,516

754

353

325

360

387

172

100

112

297

4,172

3,228

39,169

40,422

1.0

0.6

10.7

8.0

(1,242

)

1,110

2,609

2,363

(506

)

(139

)

3,425

3,514

4,286

6,848

1,559

1,159

311

1,382

154

360

1,305

457

527

100

112

297

9,375

9,543

112,979

113,922

(1.1

1.0

8.3

8.4

ASTRONOVA, INC.

Reconciliation of Segment Gross Profit and Margin to Non-GAAP Gross Profit and Margin

(Unaudited, $ in thousands)

7,806

6,391

14,197

8,407

5,307

13,714

671

(311

)

360

8,477

6,080

14,557

8,441

5,307

13,748

26,849

12,320

39,169

26,317

14,105

40,422

29.1

51.9

36.2

31.9

37.6

33.9

31.6

49.4

37.2

32.1

37.6

34.0

24,211

14,272

38,483

25,354

14,659

40,013

154

671

(311

)

360

173

165

338

25,116

14,126

39,242

25,508

14,659

40,167

77,890

35,089

112,979

76,667

37,255

113,922

31.1

40.7

34.1

33.1

39.3

35.1

32.2

40.3

34.7

33.3

39.3

35.3

(Unaudited, $ in thousands)

1,878

4,531

6,409

1,868

3,251

5,119

671

(311

)

360

297

2,853

4,220

7,073

1,902

3,251

5,153

26,849

12,320

39,169

26,317

14,105

40,422

7.0

36.8

16.4

7.1

23.0

12.7

10.6

34.3

18.1

7.2

23.0

12.7

6,585

9,707

16,292

7,208

8,806

16,014

154

671

(311

)

360

297

381

171

552

7,995

9,567

17,562

7,362

8,806

16,168

77,890

35,089

112,979

76,667

37,255

113,922

8.5

27.7

14.4

9.4

23.6

14.1

10.3

27.3

15.5

9.6

23.6

14.2