8-K
Transcat Inc (TRNS)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
| Date of Report (Date of earliest event reported) | May 26, 2026 | |
|---|---|---|
| Transcat, Inc. | ||
| --- | ||
| (Exact name of registrant as specified in its charter) | ||
| Ohio | 000-03905 | 16-0874418 |
| --- | --- | --- |
| (State or other jurisdiction | (Commission | (IRS Employer |
| of incorporation) | File Number) | Identification No.) |
| 35 Vantage Point Drive, Rochester, New York | 14624 | |
| --- | --- | |
| (Address of principal executive offices) | (Zip Code) | |
| Registrant's telephone number, including area code | (585) 352-7777 | |
| --- | --- | |
| (Former name or former address, if changed since last report) | ||
| --- |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
|---|---|---|
| Common Stock, $0.50 par value | TRNS | Nasdaq Global Market |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 2.02 | Results of Operations and Financial Condition. |
|---|
On May 26, 2026, Transcat, Inc. (the “Company”) issued a press release announcing its financial results for its fiscal fourth quarter and year ended March 28, 2026. The press release is attached to this Form 8-K as Exhibit 99.1.
In addition, on May 26, 2026, the Company posted slides to the Investor Relations section of its website that will accompany the Company’s earnings conference call and webcast at 4:30 p.m. Eastern Time today. The slides are attached to this Form 8-K as Exhibit 99.2.
The information furnished pursuant to this Item 2.02, including Exhibits 99.1 and 99.2, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities under such section and shall not be deemed to be incorporated by reference into any filing of the Company under the Securities Act of 1933, as amended, or the Exchange Act.
| Item 9.01 | Financial Statements and Exhibits. |
|---|
(d) Exhibits.
| Exhibit No. | Description |
|---|---|
| 99.1 | Transcat, Inc. Press Release dated May 26, 2026 |
| 99.2 | Slides for the May 26, 2026 Earnings Conference Call and Webcast |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| TRANSCAT, INC. | ||
|---|---|---|
| Dated: May 26, 2026 | By: | /s/ Thomas L. Barbato |
| Thomas L. Barbato | ||
| Senior Vice President of Finance and Chief Financial Officer |
ex_918631.htm
Exhibit 99.1
 |
NEWS<br> RELEASE |
|---|
Transcat, Inc. 35 Vantage Point Drive • Rochester • NY • 14624 • Phone: (585) 352-7777
IMMEDIATE RELEASE
Transcat Reports Strong Fiscal Fourth Quarter 2026 Financial Results with Continued
High Single-Digit Service Organic Revenue* Growth
| ● | Q4’26 Service Revenue Increased 18% to $61.6 Million |
|---|---|
| ● | Q4’26 Distribution Revenue Grew 11% to $27.8 Million on Increased Demand for Rentals |
| ● | Q4’26 Gross Margins Expanded 50 Basis Points to 34.1% |
| ● | Fiscal 2026 Full Year Revenue Increased 19% to $331.9 Million |
| ● | Company Guides to High Single-Digit Service Organic Revenue Growth for Fiscal 2027 |
| ● | Management to Host Conference Call Today at 4:30 p.m. Eastern Time |
ROCHESTER, NY, May 26, 2026 – Transcat, Inc. (Nasdaq: TRNS) (“Transcat” or the “Company”), a leader in test measurement, control and calibration, has reported financial and operational results for its fiscal fourth quarter and year ended March 28, 2026 (“fiscal 2026”).
Management Commentary
“Transcat achieved robust results across both business segments in the fiscal fourth quarter, with service organic revenue* climbing 7%," said Jaime Irick, President and CEO. "Distribution revenue surged 11% during the quarter, accompanied by a 280 basis point expansion in gross margin compared to the prior year, fueled by our ongoing strategic shift toward higher-margin rental offerings. The combined strength of our team's operational execution and strong revenue momentum drove a 16% increase in adjusted EBITDA*. Service revenue grew 18% in the quarter, the sixty-eighth consecutive quarter of service revenue growth. Given our strong organic growth and strategic acquisitions of top regional players we believe Transcat gained market share in the calibration services market during fiscal 2026. Service gross margins improved sequentially in the fiscal fourth quarter by 670 bps, as expected.
Looking ahead, we remain optimistic about the trajectory of our service segment, underpinned by strong customer retention, rising activity levels, and the conversion of new business wins into revenue. We expect service organic revenue growth to continue in the high single-digits in Fiscal 2027, assuming the broader economic environment remains stable. Strategic M&A is a key pillar of our overall growth strategy and the recent acquisition of SCM Metrology and Laboratories reinforces our belief that we continue to be the acquirer of choice in the calibration services market. SCM establishes Transcat’s first operational presence in Latin America and advances the Company’s strategy to grow alongside our existing customers in high-growth, highly regulated markets.
I am incredibly impressed with everyone on the Transcat leadership and governance teams, our dedicated employees across all regions, and our world-class customer and partner base. Our core values prioritize uncompromising integrity, relentless customer focus, and technical excellence to ensure safety and quality in the highly regulated industries we serve. I am extremely excited to be part of this exceptional team, and we will continue to execute and accelerate our proven and successful core strategy: high single-digit service organic revenue growth, service gross margin expansion, strategic M&A, and strong rentals growth. We are confident that our compelling value proposition, combined with recent additions of premier calibration service companies that broaden our geographic reach, positions Transcat to deliver continued sustainable, long-term shareholder value," concluded Mr. Irick.
* See Note 1 on page 6 for a description of the non-GAAP financial measures and pages 12-17 for the reconciliation tables.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial Results
May 26, 2026Page 2 of 17
Fourth Quarter Fiscal 2026 Review
(Results are compared with the fourth quarter of the fiscal year ended March 29, 2025 ("fiscal 2025") )
| ( in thousands) | **** | **** | Change | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FY26 Q4 | FY25 Q4 | % | ||||||||||
| Service Revenue | $ | 61,570 | $ | 52,010 | $ | 9,560 | 18.4 | % | ||||
| Distribution Revenue | 27,755 | 25,124 | 2,631 | 10.5 | % | |||||||
| Revenue | $ | 89,325 | $ | 77,134 | $ | 12,191 | 15.8 | % | ||||
| Gross Profit | $ | 30,468 | $ | 25,913 | $ | 4,555 | 17.6 | % | ||||
| Gross Margin | 34.1 | % | 33.6 | % | ||||||||
| Operating Income | $ | 4,332 | $ | 6,940 | $ | (2,608 | ) | (37.6 | )% | |||
| Operating Margin | 4.8 | % | 9.0 | % | ||||||||
| Net Income | $ | 1,947 | $ | 4,464 | $ | (2,517 | ) | (56.4 | )% | |||
| Net Margin | 2.2 | % | 5.8 | % | ||||||||
| Adjusted Net Income* | 5,237 | 5,939 | $ | (702 | ) | (11.8 | )% | |||||
| Adjusted Net Margin* | 5.9 | % | 7.7 | % | ||||||||
| Adjusted EBITDA* | $ | 14,788 | $ | 12,745 | $ | 2,043 | 16.0 | % | ||||
| Adjusted EBITDA* Margin | 16.6 | % | 16.5 | % | ||||||||
| Diluted EPS | $ | 0.21 | $ | 0.48 | $ | (0.27 | ) | (56.3 | )% | |||
| Adjusted Diluted EPS* | $ | 0.56 | $ | 0.64 | $ | (0.08 | ) | (12.5 | )% |
All values are in US Dollars.
| *See Note 1 on page 6 for a description of these non-GAAP financial measures and pages 12-17 for the reconciliation tables. |
|---|
Consolidated revenue was $89.3 million, an increase of 15.8%, compared to the prior year quarter primarily due to organic service revenue* growth and revenue related to acquisitions. Consolidated gross profit was $30.5 million, an increase of $4.6 million, or 17.6%, and gross margin increased by 50 basis points compared to the prior year quarter, primarily due to sales mix.
Operating expenses were $26.1 million, an increase of $7.2 million, or 37.8%, driven by incremental expenses from acquired businesses, including increased intangibles amortization expense, increased stock-based compensation expense, executive transition costs, and focused marketing spend.
Net income was $1.9 million, a decrease of $2.5 million compared to the prior year quarter net income of $4.5 million. Adjusted EBITDA* was $14.8 million, which represented an increase of $2.0 million or 16.0%. Net income per diluted share of $0.21 was down from $0.48 last year and adjusted diluted earnings per share* was down $0.08 at $0.56 versus $0.64 last year.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026Page 3 of 17
Service Segment Fiscal 2026 Fourth Quarter Results
Represents the accredited calibration, repair, inspection and laboratory instrument services business (68.9% of total revenue for the fourth quarter of fiscal 2026).
| ( in thousand) | **** | **** | Change | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FY26 Q4 | FY25 Q4 | % | ||||||||||
| Service Segment Revenue | $ | 61,570 | $ | 52,010 | $ | 9,560 | 18.4 | % | ||||
| Gross Profit | $ | 21,860 | $ | 18,828 | $ | 3,032 | 16.1 | % | ||||
| Gross Margin | 35.5 | % | 36.2 | % | ||||||||
| Operating Income | $ | 3,508 | $ | 5,976 | $ | (2,468 | ) | (41.3 | )% | |||
| Operating Margin | 5.7 | % | 11.5 | % | ||||||||
| Adjusted Operating Income* | $ | 11,202 | $ | 10,318 | $ | 884 | 8.6 | % | ||||
| Adjusted Operating Margin* | 18.2 | % | 19.8 | % |
All values are in US Dollars.
| *See Note 1 on page 6 for a description of this non-GAAP financial measure and pages 12-17 for the reconciliation tables. |
|---|
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026Page 4 of 17
Service segment revenue was $61.6 million, an increase of $9.6 million or 18.4% and included $5.8 million of incremental revenue from acquisitions. Service organic revenue increased 7% compared to the prior year quarter. The segment gross margin decreased 70 basis points from the prior year, primarily due to costs associated with new customer wins.
Distribution Segment Fiscal 2026 Fourth Quarter Results
Represents the sale and rental of new and used professional grade handheld test, measurement and control instrumentation (31.1% of total revenue for the fourth quarter of fiscal 2026).
| ( in thousands) | **** | **** | Change | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FY26 Q4 | FY25 Q4 | % | ||||||||||
| Distribution Segment Revenue | $ | 27,755 | $ | 25,124 | $ | 2,631 | 10.5 | % | ||||
| Gross Profit | $ | 8,608 | $ | 7,085 | $ | 1,523 | 21.5 | % | ||||
| Gross Margin | 31.0 | % | 28.2 | % | ||||||||
| Operating Income | $ | 824 | $ | 964 | $ | (140 | ) | (14.5 | )% | |||
| Operating Margin | 3.0 | % | 3.8 | % | ||||||||
| Adjusted Operating Income* | $ | 3,709 | $ | 2,618 | $ | 1,091 | 41.7 | % | ||||
| Adjusted Operating Margin* | 13.4 | % | 10.4 | % |
All values are in US Dollars.
| *See Note 1 on page 6 for a description of this non-GAAP financial measure and pages 12-17 for the reconciliation tables. |
|---|
Distribution segment revenue was $27.8 million, an increase of 10.5% on improved rental sales. Distribution segment gross margin was 31.0%, an increase of 280 basis points, driven by a favorable sales mix.
Full-Year Fiscal 2026 Review
(Results are compared with full-year fiscal 2 025 )
| ( in thousands) | **** | **** | Change | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FY 2026 | FY 2025 | % | ||||||||||
| Service Revenue | 217,209 | 181,428 | $ | 35,781 | 19.7 | % | ||||||
| Distribution Revenue | 114,668 | 96,993 | 17,675 | 18.2 | % | |||||||
| Revenue | $ | 331,877 | $ | 278,421 | $ | 53,456 | 19.2 | % | ||||
| Gross Profit | $ | 108,304 | $ | 89,453 | $ | 18,851 | 21.1 | % | ||||
| Gross Margin | 32.6 | % | 32.1 | % | ||||||||
| Operating Income | $ | 13,263 | $ | 17,874 | $ | (4,611 | ) | (25.8 | )% | |||
| Operating Margin | 4.0 | % | 6.4 | % | ||||||||
| Net Income | $ | 5,376 | $ | 14,515 | $ | (9,139 | ) | (63.0 | )% | |||
| Net Margin | 1.6 | % | 5.2 | % | ||||||||
| Adjusted Net Income* | $ | 17,297 | $ | 21,159 | $ | (3,862 | ) | (18.2 | )% | |||
| Adjusted Net Margin* | 5.2 | % | 7.6 | % | ||||||||
| Adjusted EBITDA* | $ | 48,739 | $ | 39,732 | $ | 9,007 | 22.7 | % | ||||
| Adjusted EBITDA* Margin | 14.7 | % | 14.3 | % | ||||||||
| Diluted EPS | $ | 0.57 | $ | 1.57 | $ | (1.00 | ) | (63.7 | )% | |||
| Adjusted Diluted EPS* | $ | 1.84 | $ | 2.29 | $ | (0.45 | ) | (19.7 | )% |
All values are in US Dollars.
| *See Note 1 on page 6 for a description of these non-GAAP financial measures and pages 12-17 for the reconciliation tables. |
|---|
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 5 of 17
Total revenue was $331.9 million, an increase of $53.5 million or 19.2%. Consolidated gross profit was $108.3 million, up $18.9 million, or 21.1%, and gross margin was 32.6%, an increase of 50 basis points.
Consolidated operating expenses were $95.0 million, an increase of $23.5 million, or 32.8%, driven by incremental expenses from acquired businesses, including increased intangibles amortization expense, increased stock-based compensation expense, executive transition costs, and higher sales-based incentives. As a result, consolidated operating income was $13.3 million compared with $17.9 million in the prior fiscal year, a decrease of 25.8%.
Net income was $5.4 million, a decrease of $9.1 million compared to the prior year net income of $14.5 million. Adjusted EBITDA* was $48.7 million which represented an increase of $9.0 million or 22.7%. Net income per diluted share decreased to $0.57 from $1.57 and adjusted diluted earnings per share was $1.84 versus $2.29 last year.
Balance Sheet and Cash Flow Overview
On March 28, 2026, the Company had $4.9 million in cash and cash equivalents and $50.1 million available for borrowing, subject to covenant restrictions, under its secured revolving credit facility. Net cash provided by operations for the year ended March 2026 and March 2025 was $34.9 million and $39.0 million, respectively. Operating free cash flow* for the year ended March 2026 and March 2025 was $19.6 million and $25.8 million, respectively.
Total debt as of March 28, 2026 was $99.9 million versus $32.7 million on March 29, 2025, and net debt* was $94.9 million as of March 28, 2026 versus $31.2 million at the end of the prior fiscal year. The Company’s leverage ratio, as defined in the credit agreement, was 2.03 on March 28, 2026, compared with 0.78 on March 29, 2025.
Tom Barbato, Transcat’s Chief Financial Officer, added, “Fourth quarter adjusted EBITDA* grew 16%, as both segments delivered double-digit revenue growth. We are excited about the recent acquisition of SCM in Costa Rica because it strengthens Transcat’s support for our multinational customer base by adding a broader local service footprint, and we expect it to drive future organic service revenue growth. We remain well-positioned to pursue growth through both organic initiatives and strategic M&A.”
Fiscal Fourth Quarter and Full Year 2026 Results Webcast and Conference Call
Transcat will host a conference call and webcast on Tuesday, May 26, 2026, at 4:30 p.m. ET. Management will review the financial and operating results for the fourth quarter and full fiscal year, as well as the Company’s strategy and outlook. A question-and-answer session will follow the formal discussion. The review will be accompanied by a slide presentation, which will be available at www.transcat.com/investor-relations. The conference call can be accessed by calling (800) 245-3047. Alternatively, the webcast can be monitored at www.transcat.com/investor-relations.
Tuesday, May 26, 2026
4:30 p.m. Eastern Time
Dial-in – Toll-Free US / Canada: 1-800-245-3047
Dial-in – Toll / International: 1-203-518-9765
Conference ID: TRANSCAT (THIS CONFERENCE ID WILL BE REQUIRED FOR ENTRY)
Webcast and accompanying slide presentation: https://viavid.webcasts.com/starthere.jsp?ei=1758089&tp_key=b56742249d
A telephonic replay will be available from 8:30 p.m. ET on the day of the conference call through Tuesday, June 9, 2026. To listen to the archived call, dial 1-844-512-2921 from the US or Canada, or 1-412-317-6671 from international locations and enter conference ID number 11161413 or access the webcast replay at https://www.transcat.com/investor-relations, where a transcript will be posted once available.
*See Note 1 on page 6 for a description of these non-GAAP financial measures and pages 12-17 for the reconciliation tables.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 6 of 17
NOTE 1 – Non-GAAP Financial Measures
In addition to reporting service revenue, a U.S. generally accepted accounting principle ("GAAP") measure, we present service organic revenue (current period service revenue less freight billed to customer less acquired revenue less prior period service revenue). Acquired revenue is revenue generated from acquisitions for twelve months subsequent to the acquisition date. The Company’s management believes service organic revenue is an important measure of operating performance because the measure provides a basis for comparison of our business operations across periods to assess core operating performance. As such, the Company uses service organic revenue as a measure of performance when evaluating its Service segment and as a basis for planning and forecasting.
In addition to reporting net income and net margin, GAAP measures, we present Adjusted Net Income (net income plus acquisition related amortization expense, acquisition related transaction expenses, acquisition related stock-based compensation, executive transition costs, and acquisition amortization of backlog) and Adjusted net margin (Adjusted Net Income* divided by revenue), which are non-GAAP measures. The Company’s management believes Adjusted net income* and Adjusted net margin are important measures of operating performance because the measures provide a basis for comparison of our business operations between current, past and future periods by excluding items that we do not believe are indicative of our core operating performance. As such, the Company uses Adjusted Net Income* and Adjusted net margin as measures of performance when evaluating its business segments and as a basis for planning and forecasting.
In addition to reporting net income and net margin, GAAP measures, we present Adjusted EBITDA (earnings before interest, income taxes, depreciation and amortization, non-cash stock compensation expense, executive transition costs, and acquisition related transaction expenses) and Adjusted EBITDA margin (Adjusted EBITDA divided by revenue), which are non-GAAP measures. The Company’s management believes Adjusted EBITDA and Adjusted EBITDA margin are important measures of operating performance because the measures allow management, investors and others to evaluate and compare the performance of its core operations from period to period by removing the impact of the capital structure (interest), tangible and intangible asset base (depreciation and amortization), taxes, stock-based compensation expense, executive transition costs, gain on sale of assets and other items, which is not always commensurate with the reporting period in which it is included. As such, the Company uses Adjusted EBITDA and Adjusted EBITDA margin as measures of performance and as a basis for planning and forecasting.
In addition to reporting operating income, a GAAP measure, we present Adjusted Operating Income (operating income plus depreciation and amortization, non-cash stock compensation expense, acquisition related transaction expenses, executive transition costs, and contingent consideration adjustments) and Adjusted Operating Income Margin (Adjusted Operating Income divided by revenue), which are non-GAAP measures. The Company’s management believes Adjusted Operating Income and Margin are important measures of operating performance because they allow management, investors and others to evaluate and compare the performance of its core operations from period to period by excluding items that we do not believe are indicative of our core operating performance. As such, the Company uses Adjusted Operating Income and Margin as measures of performance when evaluating its business segments.
In addition to reporting Diluted Earnings Per Share, a GAAP measure, we present Adjusted Diluted Earnings Per Share (net income plus acquisition related amortization expense, acquisition related transaction expenses, acquisition related stock-based compensation, executive transition costs, and acquisition amortization of backlog, as applicable; divided by the average diluted shares outstanding during the period ), which is a non-GAAP measure. Our management believes Adjusted Diluted Earnings Per Share is an important measure of our operating performance because it provides a basis for comparison of our business operations between current, past and future periods by excluding items that we do not believe are indicative of our core operating performance.
In addition to reporting cash from operations, a GAAP measure, we present Operating Free Cash Flow (cash from operations less capital expenditures), which is a non-GAAP measure. The Company's management believes Operating Free Cash Flow is an important liquidity measure that reflects the cash generated by the business, after the purchases of technology, capabilities and assets, that can be used for, among other things, strategic acquisitions, investments in the business and funding ongoing operations. As such, the Company uses Operating Free Cash Flow as a measure of performance when evaluating its business.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 7 of 17
In addition to reporting debt, a GAAP measure, we present Net Debt (debt less cash and cash equivalents), which is a non-GAAP measure. We believe Net Debt is an important measure of financial leverage.
Service Organic Revenue, Adjusted Net Income, Adjusted net income margin, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Operating Income, Adjusted Diluted Earnings Per Share, Operating Free Cash Flow and Net Debt are not measures of financial performance under GAAP and are not calculated through the application of GAAP. As such, the measures should not be considered as a substitute or alternative for the GAAP measures of Service Revenue, Net Income, Operating Income, Diluted Earnings Per Share, Net Cash provided by Operations and Debt and, therefore, should not be used in isolation of, but in conjunction with, the related GAAP measures. Service Organic Revenue, Adjusted Net Income, Adjusted net margin, Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Operating Income, Adjusted Diluted Earnings Per Share, Operating Free Cash Flow and Net Debt as presented, may produce results that vary from the related GAAP measure and may not be comparable to similarly defined non-GAAP measures used by other companies. See pages 12-17 for the reconciliation tables.
ABOUT TRANSCAT
Transcat, Inc. is a leading provider of accredited calibration, reliability, maintenance optimization, quality and compliance, validation, Computerized Maintenance Management System (CMMS), and pipette services. The Company is focused on providing best-in-class services and products to highly regulated industries, particularly the life sciences industry, which includes pharmaceutical, biotechnology, medical device, and other FDA-regulated businesses, as well as aerospace and defense, and energy and utilities. Transcat provides periodic on-site services, mobile calibration services, pickup and delivery, in-house services at its Calibration Service Centers strategically located across the United States and Internationally. In addition, Transcat operates calibration labs in imbedded customer-site locations. The breadth and depth of measurement parameters addressed by Transcat’s ISO/IEC 17025 scopes of accreditation are believed to be the best in the industry.
Transcat also operates as a leading value-added distributor that markets, sells and rents new and used national and proprietary brand instruments to customers primarily in North America. The Company believes its combined Service and Distribution segment offerings, experience, technical expertise, and integrity create a unique and compelling value proposition for its customers.
Transcat’s strategy is to leverage its strong brand and unique value proposition that includes its comprehensive instrument service capabilities, Cost, Control and Optimizations services, and leading distribution platform to drive organic sales growth. The Company will also look to expand its addressable calibration market through acquisitions and capability investments to further realize the inherent leverage of its business model. More information about Transcat can be found at Transcat.com.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 8 of 17
Safe Harbor Statement
This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact and thus are subject to risks, uncertainties and assumptions. Forward-looking statements relate to expectations, estimates, beliefs, assumptions and predictions of future events and are identified by words such as “anticipates,” “assuming,” “believes,” “can,” “continues,” “estimates,” “expects,” “focus,” “guides,” “looking ahead,” “may,” “plan,” “opportunity,” “outlook,” “potential,” “strategy,” “will,” and other similar words. All statements addressing operating performance, events or developments that Transcat expects or anticipates will occur in the future, including but not limited to statements relating to anticipated revenue, profit margins, sales operations, capital expenditures, cash flows, operating income, growth strategy, segment growth, potential acquisitions, integration of acquired businesses, market position, customer preferences, outlook and changes in market conditions in the industries in which Transcat operates are forward-looking statements. Forward-looking statements should be evaluated in light of important risk factors and uncertainties. These risk factors and uncertainties include those more fully described in Transcat’s Annual Report and Quarterly Reports filed with the Securities and Exchange Commission, including under the heading entitled “Risk Factors.” Should one or more of these risks or uncertainties materialize or should any of the Company’s underlying assumptions prove incorrect, actual results may vary materially from those currently anticipated. In addition, undue reliance should not be placed on the Company’s forward-looking statements, which speak only as of the date they are made. Except as required by law, the Company disclaims any obligation to update, correct or publicly announce any revisions to any of the forward-looking statements contained in this news release, whether as the result of new information, future events or otherwise.
Investor Relations
Chris Tyson
Executive Vice President
MZ Group - MZ North America
Phone: (949) 491-8235
TRNS@mzgroup.us
www.mzgroup.us
FINANCIAL TABLES FOLLOW.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 9 of 17
TRANSCAT, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Amounts in Thousands, Except Per Share Amounts)
| (Unaudited) | (Unaudited) | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Fourth Quarter Ended | Fiscal Year Ended | ||||||||
| March 28, | March 29, | March 28, | March 29, | ||||||
| 2026 | 2025 | 2026 | 2025 | ||||||
| Service Revenue | $ | 61,570 | $ | 52,010 | $ | 217,209 | $ | 181,428 | |
| Distribution Sales | 27,755 | 25,124 | 114,668 | 96,993 | |||||
| Total Revenue | 89,325 | 77,134 | 331,877 | 278,421 | |||||
| Cost of Service Revenue | 39,710 | 33,182 | 146,677 | 120,769 | |||||
| Cost of Distribution Sales | 19,147 | 18,039 | 76,896 | 68,199 | |||||
| Total Cost of Revenue | 58,857 | 51,221 | 223,573 | 188,968 | |||||
| Gross Profit | 30,468 | 25,913 | 108,304 | 89,453 | |||||
| Selling, Marketing and Warehouse Expenses | 11,223 | 9,240 | 42,765 | 33,341 | |||||
| General and Administrative Expenses | 14,913 | 9,733 | 52,276 | 38,238 | |||||
| Total Operating Expenses | 26,136 | 18,973 | 95,041 | 71,579 | |||||
| Operating Income | 4,332 | 6,940 | 13,263 | 17,874 | |||||
| Interest and Other Expense (Income), net | 1,498 | 684 | 5,274 | (452 | ) | ||||
| Income Before Income Taxes | 2,834 | 6,256 | 7,989 | 18,326 | |||||
| Provision for Income Taxes | 887 | 1,792 | 2,613 | 3,811 | |||||
| Net Income | $ | 1,947 | $ | 4,464 | $ | 5,376 | $ | 14,515 | |
| Basic Earnings Per Share | $ | 0.21 | $ | 0.48 | $ | 0.58 | $ | 1.58 | |
| Average Shares Outstanding | 9,345 | 9,230 | 9,334 | 9,185 | |||||
| Diluted Earnings Per Share | $ | 0.21 | $ | 0.48 | $ | 0.57 | $ | 1.57 | |
| Average Shares Outstanding | 9,398 | 9,287 | 9,380 | 9,254 |
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 10 of 17
TRANSCAT, INC.
CONSOLIDATED BALANCE SHEETS
(Amounts in Thousands, Except Share and Per Share Amounts)
| March 28, | March 29, | |||||
|---|---|---|---|---|---|---|
| 2026 | 2025 | |||||
| ASSETS | **** | **** | ||||
| Current Assets: | ||||||
| Cash and Cash Equivalents | $ | 4,942 | $ | 1,517 | ||
| Accounts Receivable, less allowance for credit losses of 851 and 659 | 65,170 | 55,941 | ||||
| Other Receivables | 672 | 373 | ||||
| Inventory | 13,705 | 14,483 | ||||
| Prepaid Expenses and Other Current Assets | 7,973 | 5,695 | ||||
| Total Current Assets | 92,462 | 78,009 | ||||
| Property and Equipment, net | 57,801 | 50,024 | ||||
| Goodwill | 218,185 | 176,928 | ||||
| Intangible Assets, net | 77,706 | 54,777 | ||||
| Right to Use Assets, net | 32,365 | 24,345 | ||||
| Other Assets | 1,968 | 1,159 | ||||
| Total Assets | $ | 480,487 | $ | 385,242 | ||
| LIABILITIES AND SHAREHOLDERS' EQUITY | **** | **** | ||||
| Current Liabilities: | ||||||
| Accounts Payable | $ | 17,931 | $ | 16,755 | ||
| Accrued Compensation and Other Current Liabilities | 21,697 | 15,466 | ||||
| Current Portion of Long-Term Debt | - | 1,816 | ||||
| Total Current Liabilities | 39,628 | 34,037 | ||||
| Long-Term Debt | 99,885 | 30,892 | ||||
| Deferred Tax Liabilities, net | 10,167 | 9,286 | ||||
| Lease Liabilities | 29,000 | 21,395 | ||||
| Other Liabilities | 1,188 | 2,752 | ||||
| Total Liabilities | 179,868 | 98,362 | ||||
| Commitments and Contingencies (Note 8) | ||||||
| Shareholders' Equity: | ||||||
| Common Stock, par value 0.50 per share, 30,000,000 shares authorized; 9,333,953 and 9,315,840 shares issued and outstanding as of March 28, 2026 and March 29, 2025, respectively | 4,670 | 4,658 | ||||
| Capital in Excess of Par Value | 199,115 | 191,167 | ||||
| Accumulated Other Comprehensive Loss | (923 | ) | (1,469 | ) | ||
| Retained Earnings | 97,757 | 92,524 | ||||
| Total Shareholders' Equity | 300,619 | 286,880 | ||||
| Total Liabilities and Shareholders' Equity | $ | 480,487 | $ | 385,242 |
All values are in US Dollars.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 11 of 17
TRANSCAT, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in Thousands)
| (Unaudited) | ||||||
|---|---|---|---|---|---|---|
| Fiscal Year Ended | ||||||
| March 28, | March 29, | |||||
| 2026 | 2025 | |||||
| Cash Flows from Operating Activities: | ||||||
| Net Income | $ | 5,376 | $ | 14,515 | ||
| Adjustments to Reconcile Net Income to Net Cash | ||||||
| Provided by Operating Activities: | ||||||
| Net (Gain) Loss on Disposal of Property and Equipment | 232 | (31 | ) | |||
| Noncash Lease Expense | 6,021 | 3,447 | ||||
| Deferred Income Taxes | 827 | (5 | ) | |||
| Depreciation and Amortization | 26,172 | 18,567 | ||||
| Gain on Sale of Assets | - | (855 | ) | |||
| Amortization of Deferred Financing Costs | 104 | - | ||||
| Provision for Accounts Receivable and Inventory Reserves | 471 | 336 | ||||
| Stock-Based Compensation Expense | 7,549 | 3,248 | ||||
| Changes in Assets and Liabilities, net of acquisitions: | ||||||
| Accounts Receivable and Other Receivables | (6,578 | ) | (1,292 | ) | ||
| Inventory | 839 | 4,393 | ||||
| Prepaid Expenses and Other Current Assets | (2,209 | ) | (992 | ) | ||
| Accounts Payable | 965 | 4,940 | ||||
| Accrued Compensation and Other Current Liabilities | 924 | (1,118 | ) | |||
| Lease Liabilities | (5,842 | ) | (3,243 | ) | ||
| Income Taxes Payable | - | (2,925 | ) | |||
| Net Cash Provided by Operating Activities | 34,850 | 38,985 | ||||
| Cash Flows from Investing Activities: | ||||||
| Purchase of Property and Equipment | (15,298 | ) | (13,197 | ) | ||
| Business Acquisitions, net of cash acquired | (82,525 | ) | (87,436 | ) | ||
| Proceeds from Sale of Assets | - | 1,100 | ||||
| Sales/(Purchases) of Marketable Securities | - | 15,533 | ||||
| Net Cash Used in Investing Activities | (97,823 | ) | (84,000 | ) | ||
| Cash Flows from Financing Activities: | ||||||
| Proceeds From Revolving Credit Facility, net of lender fees | 156,675 | 68,630 | ||||
| Repayment of Revolving Credit Facility | (88,086 | ) | (37,739 | ) | ||
| Repayments of Term Loan | (1,816 | ) | (2,338 | ) | ||
| Payments of Deferred Financing Costs | (365 | ) | - | |||
| Principal Payments on Finance Leases | (280 | ) | - | |||
| Issuance of Common Stock, net of direct costs | 842 | 1,874 | ||||
| Repurchase of Common Stock | (469 | ) | (3,565 | ) | ||
| Net Cash Provided by Financing Activities | 66,501 | 26,862 | ||||
| Effect of Exchange Rate Changes on Cash and Cash Equivalents | (103 | ) | 24 | |||
| Net (Decrease) Increase in Cash and Cash Equivalents | 3,425 | (18,129 | ) | |||
| Cash and Cash Equivalents at Beginning of Fiscal Year | 1,517 | 19,646 | ||||
| Cash and Cash Equivalents at End of Fiscal Year | $ | 4,942 | $ | 1,517 |
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 12 of 17
TRANSCAT, INC.
Adjusted EBITDA Reconciliation Table
(Dollars in Thousands)
(Unaudited)
| Fiscal 2026 | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Q1 | Q2 | Q3 | Q4 | YTD | |||||||
| Net Income | $ | 3,261 | $ | 1,269 | $ | (1,101 | ) | $ | 1,947 | $ | 5,376 |
| + Interest Expense | 440 | 1,264 | 1,500 | 1,375 | 4,579 | ||||||
| + Tax Provision | 1,304 | 760 | (338 | ) | 887 | 2,613 | |||||
| + Depreciation & Amortization | 5,605 | 6,487 | 7,130 | 6,950 | 26,172 | ||||||
| + Executive Transition Costs | - | - | 771 | 935 | 1,706 | ||||||
| + Transaction Expense | 28 | 496 | 45 | 175 | 744 | ||||||
| + Noncash Stock Compensation | 1,130 | 1,839 | 2,061 | 2,519 | 7,549 | ||||||
| Adjusted EBITDA* | $ | 11,768 | $ | 12,115 | $ | 10,068 | $ | 14,788 | $ | 48,739 | |
| Segment Breakdown | |||||||||||
| Service Operating Income (Loss) | $ | 2,567 | $ | 920 | $ | (2,052 | ) | $ | 3,508 | $ | 4,943 |
| + Depreciation & Amortization | 3,763 | 4,562 | 5,175 | 5,143 | 18,643 | ||||||
| + Executive Transition Costs | - | - | 519 | 630 | 1,149 | ||||||
| + Transaction Expense | 28 | 496 | 45 | 175 | 744 | ||||||
| + Noncash Stock Compensation | 801 | 1,301 | 1,459 | 1,746 | 5,307 | ||||||
| Service Adjusted Operating Income* | $ | 7,159 | $ | 7,279 | $ | 5,146 | $ | 11,202 | $ | 30,786 | |
| Distribution Operating Income | $ | 2,771 | $ | 2,585 | $ | 2,140 | $ | 824 | $ | 8,320 | |
| + Depreciation & Amortization | 1,842 | 1,925 | 1,955 | 1,807 | 7,529 | ||||||
| + Executive Transition Costs | - | - | 252 | 305 | 557 | ||||||
| + Transaction Expense | - | - | - | - | - | ||||||
| + Noncash Stock Compensation | 329 | 538 | 602 | 773 | 2,242 | ||||||
| Distribution Adjusted Operating Income* | $ | 4,942 | $ | 5,048 | $ | 4,949 | $ | 3,709 | $ | 18,648 |
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial Results
May 26, 2026
Page 13 of 17
TRANSCAT, INC.
Adjusted EBITDA Reconciliation Table
(Dollars in Thousands)
(Unaudited)
| Fiscal 2025 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Q1 | Q2 | Q3 | Q4 | YTD | |||||||||||
| Net Income | $ | 4,408 | $ | 3,286 | $ | 2,357 | $ | 4,464 | $ | 14,515 | |||||
| + Interest Expense (Income), net | (260 | ) | (210 | ) | (20 | ) | 463 | (27 | ) | ||||||
| + Tax Provision | 820 | 427 | 772 | 1,792 | 3,811 | ||||||||||
| + Depreciation & Amortization | 4,113 | 4,399 | 4,430 | 5,625 | 18,567 | ||||||||||
| + Transaction Expense | 434 | 32 | 778 | 33 | 1,277 | ||||||||||
| + Acquisition Earn-Out Adjustment | - | - | - | (835 | ) | (835 | ) | ||||||||
| + (Gain) Loss on Sale of Business | - | 1 | (855 | ) | 30 | (824 | ) | ||||||||
| + Noncash Stock Compensation | 697 | 926 | 452 | 1,173 | 3,248 | ||||||||||
| Adjusted EBITDA* | $ | 10,212 | $ | 8,861 | $ | 7,914 | $ | 12,745 | $ | 39,732 | |||||
| Segment Breakdown | |||||||||||||||
| Service Operating Income | $ | 4,091 | $ | 3,704 | $ | 1,412 | $ | 5,976 | $ | 15,183 | |||||
| + Depreciation & Amortization | 2,402 | 2,455 | 2,451 | 3,774 | 11,082 | ||||||||||
| + Transaction Expense | 146 | - | 778 | 11 | 935 | ||||||||||
| + Acquisition Earn-Out Adjustment | - | - | - | (256 | ) | (256 | ) | ||||||||
| + Noncash Stock Compensation | 421 | 629 | 186 | 813 | 2,049 | ||||||||||
| Service Adjusted Operating Income* | $ | 7,060 | $ | 6,788 | $ | 4,827 | $ | 10,318 | $ | 28,993 | |||||
| Distribution Operating Income | $ | 1,008 | $ | 31 | $ | 688 | $ | 964 | $ | 2,691 | |||||
| + Depreciation & Amortization | 1,711 | 1,944 | 1,979 | 1,851 | 7,485 | ||||||||||
| + Transaction Expense | 288 | 32 | - | 22 | 342 | ||||||||||
| + Acquisition Contingent Consideration Adjustment | - | - | - | (579 | ) | (579 | ) | ||||||||
| + Noncash Stock Compensation | 276 | 297 | 266 | 360 | 1,199 | ||||||||||
| Distribution Adjusted Operating Income* | $ | 3,283 | $ | 2,304 | $ | 2,933 | $ | 2,618 | $ | 11,138 |
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 14 of 17
TRANSCAT, INC.
Adjusted Diluted EPS Reconciliation Table
(Amounts in Thousands, Except Per Share Amounts)
(Unaudited)
| Fiscal 2026 | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Q1 | Q2 | Q3 | Q4 | YTD | |||||||||||
| Net Income | $ | 3,261 | $ | 1,269 | $ | (1,101 | ) | $ | 1,947 | $ | 5,376 | ||||
| + Amortization of Intangible Assets | 2,844 | 3,461 | 3,977 | 3,488 | 13,770 | ||||||||||
| + Acquisition Amortization of Backlog | - | - | - | - | - | ||||||||||
| + Executive Transition Costs | - | - | 771 | 935 | 1,706 | ||||||||||
| + Acquisition Deal Costs | 28 | 496 | 45 | 175 | 744 | ||||||||||
| + Acquisition Stock Expense | 145 | 226 | 291 | 290 | 952 | ||||||||||
| + Income Tax Effect @ 32% | (754 | ) | (1,297 | ) | (1,601 | ) | (1,598 | ) | (5,251 | ) | |||||
| Adjusted Net Income* | $ | 5,524 | $ | 4,155 | $ | 2,382 | $ | 5,237 | $ | 17,297 | |||||
| Average Diluted Shares Outstanding | 9,389 | 9,399 | 9,329 | 9,398 | 9,380 | ||||||||||
| Diluted Earnings Per Share | $ | 0.35 | $ | 0.14 | $ | (0.12 | ) | $ | 0.21 | $ | 0.57 | ||||
| + Amortization of Intangible Assets | 0.30 | 0.37 | 0.43 | 0.37 | 1.47 | ||||||||||
| + Acquisition Amortization of Backlog | - | - | - | - | - | ||||||||||
| + Executive Transition Costs | - | - | 0.08 | 0.10 | 0.18 | ||||||||||
| + Acquisition Deal Costs | 0.00 | 0.05 | 0.00 | 0.02 | 0.08 | ||||||||||
| + Acquisition Stock Expense | 0.02 | 0.02 | 0.03 | 0.03 | 0.10 | ||||||||||
| + Income Tax Effect @ 32% | (0.08 | ) | (0.14 | ) | (0.17 | ) | (0.17 | ) | (0.56 | ) | |||||
| Adjusted Diluted Earnings Per Share* | $ | 0.59 | $ | 0.44 | $ | 0.26 | $ | 0.56 | $ | 1.84 | |||||
| Fiscal 2025 | |||||||||||||||
| Q1 | Q2 | Q3 | Q4 | YTD | |||||||||||
| Net Income | $ | 4,408 | $ | 3,286 | $ | 2,357 | $ | 4,464 | $ | 14,515 | |||||
| + Amortization of Intangible Assets | 1,749 | 1,888 | 1,879 | 2,906 | 8,422 | ||||||||||
| + Acquisition Amortization of Backlog | 24 | 4 | - | - | 28 | ||||||||||
| + Acquisition Deal Costs | 434 | 33 | 778 | 34 | 1,279 | ||||||||||
| + Acquisition Stock Expense | 234 | 130 | (261 | ) | 141 | 244 | |||||||||
| + Income Tax Effect at 25% | (610 | ) | (514 | ) | (599 | ) | (770 | ) | (2,493 | ) | |||||
| + Acquisition Earn-Out Adjustment | - | - | - | (836 | ) | (836 | ) | ||||||||
| Adjusted Net Income* | $ | 6,239 | $ | 4,827 | $ | 4,154 | $ | 5,939 | $ | 21,159 | |||||
| Average Diluted Shares Outstanding | 9,196 | 9,282 | 9,326 | 9,287 | 9,254 | ||||||||||
| Diluted Earnings Per Share | $ | 0.48 | $ | 0.35 | $ | 0.25 | $ | 0.48 | $ | 1.57 | |||||
| + Amortization of Intangible Assets | 0.19 | 0.20 | 0.20 | 0.31 | 0.91 | ||||||||||
| + Acquisition Amortization of Backlog | - | - | - | - | - | ||||||||||
| + Acquisition Deal Costs | 0.05 | 0.00 | 0.08 | 0.00 | 0.14 | ||||||||||
| + Acquisition Stock Expense | 0.03 | 0.01 | (0.03 | ) | 0.02 | 0.03 | |||||||||
| + Income Tax Effect @ 25% | (0.07 | ) | (0.06 | ) | (0.06 | ) | (0.08 | ) | (0.27 | ) | |||||
| + Acquisition Earn-Out Adjustment | - | - | - | (0.09 | ) | (0.09 | ) | ||||||||
| Adjusted Diluted Earnings Per Share* | $ | 0.68 | $ | 0.52 | $ | 0.45 | $ | 0.64 | $ | 2.29 |
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 15 of 17
TRANSCAT, INC.
Additional Information - Business Segment Data
(Dollars in Thousands)
(Unaudited)
| **** | **** | Change | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| SERVICE | FY 2026 Q4 | FY 2025 Q4 | % | |||||||||
| Service Revenue | $ | 61,570 | $ | 52,010 | $ | 9,560 | 18.4 | % | ||||
| Cost of Revenue | 39,710 | 33,182 | 6,528 | 19.7 | % | |||||||
| Gross Profit | $ | 21,860 | $ | 18,828 | $ | 3,032 | 16.1 | % | ||||
| Gross Margin | 35.5 | % | 36.2 | % | ||||||||
| Selling, Marketing & Warehouse Expenses | $ | 7,486 | $ | 5,743 | $ | 1,743 | 30.3 | % | ||||
| General and Administrative Expenses | 10,866 | 7,109 | 3,757 | 52.8 | % | |||||||
| Operating Income | $ | 3,508 | $ | 5,976 | $ | (2,468 | ) | (41.3 | )% | |||
| % of Revenue | 5.7 | % | 11.5 | % |
All values are in US Dollars.
| **** | **** | Change | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| DISTRIBUTION | FY 2026 Q4 | FY 2025 Q4 | % | |||||||||
| Distribution Revenue | $ | 27,755 | $ | 25,124 | $ | 2,631 | 10.5 | % | ||||
| Cost of Revenue | 19,147 | 18,039 | 1,108 | 6.1 | % | |||||||
| Gross Profit | $ | 8,608 | $ | 7,085 | $ | 1,523 | 21.5 | % | ||||
| Gross Margin | 31.0 | % | 28.2 | % | ||||||||
| Selling, Marketing & Warehouse Expenses | $ | 3,736 | $ | 3,497 | $ | 239 | 6.8 | % | ||||
| General and Administrative Expenses | 4,048 | 2,624 | 1,424 | 54.3 | % | |||||||
| Operating Income | $ | 824 | $ | 964 | $ | (140 | ) | (14.5 | )% | |||
| % of Sales | 3.0 | % | 3.8 | % |
All values are in US Dollars.
| **** | **** | Change | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| TOTAL | FY 2026 Q4 | FY 2025 Q4 | % | |||||||||
| Total Revenue | $ | 89,325 | $ | 77,134 | $ | 12,191 | 15.8 | % | ||||
| Total Cost of Revenue | 58,857 | 51,221 | 7,636 | 14.9 | % | |||||||
| Gross Profit | $ | 30,468 | $ | 25,913 | $ | 4,555 | 17.6 | % | ||||
| Gross Margin | 34.1 | % | 33.6 | % | ||||||||
| Selling, Marketing & Warehouse Expenses | $ | 11,222 | $ | 9,240 | $ | 1,982 | 21.5 | % | ||||
| General and Administrative Expenses | 14,914 | 9,733 | 5,181 | 53.2 | % | |||||||
| Operating Income | $ | 4,332 | $ | 6,940 | $ | (2,608 | ) | (37.6 | )% | |||
| % of Revenue | 4.8 | % | 9.0 | % |
All values are in US Dollars.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 16 of 17
TRANSCAT, INC.
Additional Information - Business Segment Data
(Dollars in Thousands)
(Unaudited)
| **** | **** | Change | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FY 2026 | FY 2025 | **** | **** | |||||||||
| SERVICE | YTD | YTD | % | |||||||||
| Service Revenue | $ | 217,209 | $ | 181,428 | $ | 35,781 | 19.7 | % | ||||
| Cost of Revenue | 146,677 | 120,769 | 25,908 | 21.5 | % | |||||||
| Gross Profit | $ | 70,532 | $ | 60,659 | $ | 9,873 | 16.3 | % | ||||
| Gross Margin | 32.5 | % | 33.4 | % | ||||||||
| Selling, Marketing & Warehouse Expenses | $ | 27,692 | $ | 19,013 | $ | 8,679 | 45.6 | % | ||||
| General and Administrative Expenses | 37,897 | 26,466 | 11,431 | 43.2 | % | |||||||
| Operating Income | $ | 4,943 | $ | 15,180 | $ | (10,237 | ) | (67.4 | )% | |||
| % of Revenue | 2.3 | % | 8.4 | % |
All values are in US Dollars.
| **** | **** | Change | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FY 2026 | FY 2025 | **** | **** | |||||||||
| DISTRIBUTION | YTD | YTD | % | |||||||||
| Distribution Revenue | $ | 114,668 | $ | 96,993 | $ | 17,675 | 18.2 | % | ||||
| Cost of Revenue | 76,896 | 68,199 | 8,697 | 12.8 | % | |||||||
| Gross Profit | $ | 37,772 | $ | 28,794 | $ | 8,978 | 31.2 | % | ||||
| Gross Margin | 32.9 | % | 29.7 | % | ||||||||
| Selling, Marketing & Warehouse Expenses | $ | 15,073 | $ | 14,328 | $ | 745 | 5.2 | % | ||||
| General and Administrative Expenses | 14,379 | 11,772 | 2,607 | 22.1 | % | |||||||
| Operating Income | $ | 8,320 | $ | 2,694 | $ | 5,626 | 208.8 | % | ||||
| % of Sales | 7.3 | % | 2.8 | % |
All values are in US Dollars.
| **** | **** | Change | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FY 2026 | FY 2025 | **** | **** | |||||||||
| TOTAL | YTD | YTD | % | |||||||||
| Total Revenue | $ | 331,877 | $ | 278,421 | $ | 53,456 | 19.2 | % | ||||
| Total Cost of Revenue | 223,573 | 188,968 | 34,605 | 18.3 | % | |||||||
| Gross Profit | $ | 108,304 | $ | 89,453 | $ | 18,851 | 21.1 | % | ||||
| Gross Margin | 32.6 | % | 32.1 | % | ||||||||
| Selling, Marketing & Warehouse Expenses | $ | 42,765 | $ | 33,341 | $ | 9,424 | 28.3 | % | ||||
| General and Administrative Expenses | 52,276 | 38,238 | 14,038 | 36.7 | % | |||||||
| Operating Income | $ | 13,263 | $ | 17,874 | $ | (4,611 | ) | (25.8 | )% | |||
| % of Revenue | 4.0 | % | 6.4 | % |
All values are in US Dollars.
Transcat Reports Fiscal Fourth Quarter and Full Year 2026 Financial ResultsMay 26, 2026
Page 17 of 17
TRANSCAT, INC.
Service Organic Revenue and Operating Free Cash Flow
(Dollars in Thousands)
(Unaudited)
| Service Organic Revenue | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Fourth Quarter Ended | **** | **** | ||||||||||
| March 28, | March 29, | Change | ||||||||||
| 2026 | 2025 | % | ||||||||||
| Service Revenue | $ | 61,570 | $ | 52,010 | $ | 9,560 | 18 | % | ||||
| Less: Acquired Revenue | (5,802 | ) | 11 | |||||||||
| Less: Freight Billed to Customer | (875 | ) | (643 | ) | ||||||||
| Service Organic Revenue | $ | 54,893 | $ | 51,378 | $ | 3,515 | 7 | % |
All values are in US Dollars.
| Service Organic Revenue | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Year Ended | **** | **** | ||||||||||
| March 28, | March 29, | Change | ||||||||||
| 2026 | 2025 | % | ||||||||||
| Service Revenue | $ | 217,209 | $ | 181,428 | $ | 35,781 | 20 | % | ||||
| Less: Acquired Revenue | (30,934 | ) | (1,337 | ) | ||||||||
| Less: Freight Billed to Customer | (2,984 | ) | (2,112 | ) | ||||||||
| Service Organic Revenue | $ | 183,291 | $ | 177,979 | $ | 5,312 | 3 | % |
All values are in US Dollars.
| Operating Free Cash Flow | ||||||
|---|---|---|---|---|---|---|
| Year Ended | ||||||
| March 28, | March 29, | |||||
| 2026 | 2025 | |||||
| Net Cash Provided by Operating Activities | $ | 34,850 | $ | 38,985 | ||
| Less: Capital Expenditures | (15,298 | ) | (13,197 | ) | ||
| Operating Free Cash Flow | $ | 19,552 | $ | 25,788 | ||
| Net Debt | ||||||
| --- | --- | --- | --- | --- | --- | --- |
| Year Ended | ||||||
| March 28, | March 29, | |||||
| 2026 | 2025 | |||||
| Debt | $ | 99,885 | $ | 32,708 | ||
| Less: Cash & Cash Equivalents | (4,942 | ) | (1,517 | ) | ||
| Net Debt | $ | 94,943 | $ | 31,191 |
* See Note 1 on page 6 for a description of the non-GAAP financial measures
Image Exhibit
Exhibit 99.2
