#USA #Cleveland #Q3 2025 #Preformed Line Products #PLPC

Preformed Line Products' Financial Highlights in Q3 2025

CLEVELAND – Preformed Line Products Company (NASDAQ: PLPC) recently released its financial results for the third quarter of 2025. The company highlighted significant achievements and some challenges that shaped its performance during this period.

Financial Overview

In comparison with the same quarter last year, PLP reported a remarkable net sales growth of 21%. The company achieved net sales of $178.1 million this quarter, which is an increase from $147.0 million reported in Q3 2024. This growth was driven by strong sales in both the energy products and communications sectors, keeping the momentum strong for PLP-USA. Furthermore, the company's international segments also contributed positively with increased sales in energy products and communication solutions, especially from their recent acquisition of JAP Telecom. It's worth noting that foreign currency translation alone accounted for a boost of $1.9 million to Q3 2025 net sales.

Despite these positive figures, PLP faced notable challenges. The company completed the termination of its U.S. Pension Plan, which resulted in a non-cash pre-tax charge of $11.7 million in Q3. Correspondingly, the fully diluted earnings per share (EPS) fell to $0.53 from $1.54, primarily due to this pension termination charge. However, excluding this one-time charge, the adjusted fully diluted EPS saw a commendable increase of 36%, reaching $2.09.

Year-to-Date Performance

For the first nine months of 2025, PLP reported total net sales of $496.2 million, up 16% from $426.6 million for the same period in 2024. All segments experienced a year-on-year increase, reinforcing the company's market position in both energy and communication sectors. Adjusted net income for this nine-month period improved substantially to $34.6 million ($6.98 per diluted share), marking a 30% increase from the previous year. These figures accentuate PLP's resilience and capacity to adapt in a challenging market landscape influenced by tariffs and other external pressures.

Challenges Ahead

Rob Ruhlman, Executive Chairman of PLP, acknowledged the volatility in global business conditions, particularly due to tariffs affecting their international goods sourcing. The company incurred significant costs from tariff-related issues, amounting to $6.2 million on a pre-tax basis in addition to LIFO inventory valuation adjustments. Despite these challenges, Ruhlman remains optimistic about the company’s global sales growth, emphasizing the demand in both U.S. and international markets.

He stated, "While order quoting and backlog indicate market strength, the uncertainty created by tariffs has introduced challenges in customer demand. Our commitment remains unwavering as we strive to provide high-quality products and exceptional service." The complete termination of the pension plan represents a strategic move to strengthen PLP’s balance sheet, thereby de-risking future operations.

Looking Forward

As the company prepares for the upcoming quarters, it anticipates that the previously announced price increases will gradually offset the impact of rising costs attributed to tariffs. With preparations underway for addressing these challenges, PLP is keenly focused on sustaining its sales growth trajectory while maintaining operational efficiency and high customer satisfaction.

In conclusion, Preformed Line Products has demonstrated impressive growth figures and a commitment to enhancing its financial position while navigating complex challenges in the marketplace. Stakeholders can stay updated by visiting their investor relations page at PLP Investor Relations.