CORRECTION: AstroNova Reiterates FY25 Organic Revenue Growth In The Mid-Single Digits And Cut Adj EBITDA Margin To 9%-10% (Prior 13%-14%), Expects FY26 Adj EBITDA Margin Of 13%-14%
Portfolio Pulse from Benzinga Newsdesk
AstroNova has adjusted its FY25 Adjusted EBITDA margin forecast to 9%-10% due to the MTEX integration, down from the previous 13%-14%. The company expects FY26 margins to return to 13%-14%. Despite this, AstroNova remains optimistic about its mid-single-digit organic revenue growth.
September 16, 2024 | 4:42 pm
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AstroNova has revised its FY25 Adjusted EBITDA margin to 9%-10% due to the MTEX integration, down from 13%-14%. The company expects margins to recover to 13%-14% in FY26, while maintaining mid-single-digit organic revenue growth.
The reduction in FY25 EBITDA margin guidance from 13%-14% to 9%-10% due to the MTEX integration is likely to be viewed negatively by investors in the short term. However, the expectation of a rebound in FY26 margins and continued revenue growth may mitigate some concerns.
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