Kadant

Kadant makes systems that help factories run more efficiently with less waste. These machines allow producers of paper, wood, and minerals to use less water and energy. The company helps manufacturers improve their yield while meeting sustainability goals.

The Industrial Toolkit

• Flow Control: Custom-engineered systems that manage fluid flow and clean machines in sectors like food, energy, and paper.
• Industrial Processing: Heavy machinery used to recycle paper, process timber into lumber, and improve industrial boiler efficiency.
• Material Handling: Equipment that moves bulk materials like aggregates and minerals, plus biodegradable granules used in lawn care and oil absorption.

Recent Strategic Moves

• Acquired Babbini in July 2025 to add industrial dewatering and power transmission technologies to its processing segment.
• Bought Clyde Industries in October 2025 for $173.7 million to expand into highly engineered boiler cleaning systems.
• Signed an agreement in January 2026 to acquire voestalpine BÖHLER Profil, a global supplier of high-performance industrial knives.

What Makes Kadant Stand Out

The company maintains one of the largest installed bases of equipment in its target markets, providing a steady stream of parts and service business. Its global reach allows it to serve customers across North America, Europe, and Asia while leveraging low-cost manufacturing in regions like China and Mexico.

The Latest Numbers

• Revenue grew to $286.2 million in Q4 2025, up 10.9% from $258 million in Q4 2024.
• Gross profit reached $125.7 million in Q4 2025, up 12.4% year-over-year.
• Free cash flow rose to $54.7 million in Q4 2025, an 18.1% increase from the previous year.
• Backlog of firm orders stood at $288.2 million on January 3, 2026, compared to $257.4 million a year earlier.
• Operating cash flow hit $60.8 million in Q4 2025, up 17.1% from the same period in 2024.

Bottom Line

Kadant has transformed from a paper-focused supplier into a diversified industrial technology provider. Its expansion into wood processing and material handling helps it navigate changing demand in traditional media markets.