--- title: "Eastern Company | 8-K: FY2027 Q2 Revenue: USD 61.82 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/295580599.md" datetime: "2026-08-11T21:06:28.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295580599.md) - [en](https://longbridge.com/en/news/295580599.md) - [zh-HK](https://longbridge.com/zh-HK/news/295580599.md) generator: "portal-rs" --- # Eastern Company | 8-K: FY2027 Q2 Revenue: USD 61.82 M Revenue: As of FY2027 Q2, the actual value is USD 61.82 M. EPS: As of FY2027 Q2, the actual value is USD 0.94. EBIT: As of FY2027 Q2, the actual value is USD 8.086 M. #### Net Sales Net sales for The Eastern Company decreased 12% to $61.8 million for the second quarter of 2026, compared to $70.2 million in the corresponding period of 2025. For the first six months of 2026, net sales decreased 11% to $121.5 million from $136.1 million in the corresponding period of 2025. The decrease in Q2 2026 sales was primarily due to lower shipments of truck mirror assemblies (-$5.7 million), returnable transport packaging (-$3.4 million), and latch and handle assemblies (-$0.9 million), partially offset by $1.7 million in aerospace sales from the acquisition of Sungear and Crown Precision. Similarly, the decrease in H1 2026 sales was driven by lower shipments of returnable transport packaging (-$10.9 million), truck mirror assemblies (-$4.5 million), and latch and handle assemblies (-$0.9 million), with a partial offset from $1.7 million in aerospace sales from the acquisitions. #### Gross Margin Gross margin as a percentage of sales was 20.6% for the second quarter of 2026, compared to 23.3% for the corresponding period in 2025. For the first six months of 2026, gross margin was 20.3%, compared to 23.1% in the corresponding period of 2025. #### Selling and Administrative Expenses Selling and administrative expenses decreased $2.1 million, or 17.5%, for the second quarter of 2026 compared to the corresponding period in 2025. This decrease was mainly due to -$1.9 million in lower restructuring charges, -$0.1 million in lower personnel costs, -$0.1 million in lower amortization, and -$0.4 million in other expenses, partially offset by +$0.4 million in higher computer expenses. For the first six months of 2026, these expenses decreased $2.9 million, or 12.9%, due to -$1.9 million in lower restructuring charges, -$0.5 million in lower personnel costs, -$0.2 million in lower amortization, -$0.4 million in lower commission expenses, and -$0.6 million in other expenses, partially offset by +$0.3 million in higher legal expenses and +$0.4 million in higher computer expenses. #### Operating Profit Operating profit for the second quarter of 2026 was $1,657,792, compared to $3,142,450 for the comparable period in 2025. For the first six months of 2026, operating profit was $2,982,514, compared to $6,783,254 for the comparable period in 2025. #### Net Income from Continuing Operations Net income from continuing operations for the second quarter of fiscal 2026 was $5.6 million, compared to $2.0 million for the comparable period in 2025. For the first six months of 2026, net income from continuing operations was $6.3 million, compared to $4.2 million for the comparable period in 2025. Both periods included a one-time, non-cash bargain purchase gain of $6.5 million recognized from the acquisition of Sungear and Crown Precision. #### Adjusted Net Income from Continuing Operations (Non-GAAP) Adjusted net income from continuing operations for the second quarter of fiscal 2026 was $0.9 million, compared to $3.5 million for the corresponding period in 2025. For the six months ended July 4, 2026, adjusted net income from continuing operations was $1.6 million, compared to $5.7 million for the comparable 2025 period. #### Adjusted EBITDA from Continuing Operations (Non-GAAP) Adjusted EBITDA from continuing operations for the second quarter of 2026 was $3.4 million, a decrease of approximately 49% from $6.7 million in the corresponding period of 2025. For the six months ended July 4, 2026, adjusted EBITDA from continuing operations was $6.4 million, compared to $11.7 million in the corresponding 2025 period. #### Total Debt Total debt increased by $8.8 million to $41.7 million during the second quarter of fiscal 2026, reflecting borrowings to complete the acquisition of Sungear and Crown Precision. #### Cash Flow from Operating Activities Net cash provided by operating activities for the six months ended July 4, 2026, was $12,036,548, compared to $1,909,508 for the six months ended June 28, 2025. #### Cash and Cash Equivalents Cash and cash equivalents at the end of the period were $15,108,764 as of July 4, 2026, up from $7,412,019 as of January 3, 2026. #### Backlog Backlog increased 45% year-over-year to $126.2 million, driven by acquired aerospace orders and strengthening demand for truck mirror assemblies, returnable transport packaging, and latch and handle assemblies. #### Share Repurchases The Eastern Company repurchased 19,529 shares of common stock in the second quarter of 2026. As of July 4, 2026, 256,275 shares remained available for repurchase under the existing program. #### Outlook The Eastern Company is entering the second half of 2026 with strong momentum and enhanced visibility to support improving underlying profitability. The company anticipates improving underlying profitability through the remainder of 2026 as production volume builds, product mix improves, and acquired operations are integrated. ### Related Stocks - [EML.US](https://longbridge.com/en/quote/EML.US.md) ## Related News & Research - [EML: Backlog surged 45% year-over-year, supporting a strong outlook and margin recovery in H2 2026](https://longbridge.com/en/news/295680797.md) - [Sei Investments Co. Takes $940,000 Position in Eastern Company (The) $EML](https://longbridge.com/en/news/295767968.md) - [Have Procter & Gamble Insiders Been Selling Stock?](https://longbridge.com/en/news/296706618.md) - [Vistra Corp. 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