10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

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FORM 10-Q

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(Mark One)

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended February 28, 2025

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File No. 1-11288 

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ENERPAC TOOL GROUP CORP.

(Exact name of registrant as specified in its charter)

 ————————————

Wisconsin	39-0168610
(State of incorporation)	(I.R.S. Employer Id. No.)

N86 W12500 WESTBROOK CROSSING

MENOMONEE FALLS, WISCONSIN 53051

Mailing address: P. O. Box 3241, Milwaukee, Wisconsin 53201

(Address of principal executive offices)

(262) 293-1500

(Registrant’s telephone number, including area code)

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Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Ticker Symbol(s)	Name of each exchange on which registered
Class A common stock, $0.20 par value per share	EPAC	NYSE

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  x    No  ¨

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes  x    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or emerging growth company. See definition of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer	☒	Accelerated Filer	☐
Non-accelerated Filer	☐	Smaller reporting company	☐
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.     ☐ 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act.):    Yes  ¨    No  ☒

The number of shares outstanding of the registrant’s Class A Common Stock as of March 24, 2025 was 54,084,914.

TABLE OF CONTENTS

	Page No.
Forward-Looking Statements and Cautionary Factors	1
Part I—Financial Information
Item 1—Condensed Consolidated Financial Statements (Unaudited)
Condensed Consolidated Statements of Earnings	3
Condensed Consolidated Statements of Comprehensive Income	4
Condensed Consolidated Balance Sheets	5
Condensed Consolidated Statements of Cash Flows	6
Notes to the Condensed Consolidated Financial Statements	7
Item 2—Management’s Discussion and Analysis of Financial Condition and Results of Operations	18
Item 3—Quantitative and Qualitative Disclosures about Market Risk	23
Item 4—Controls and Procedures	23
Part II—Other Information
Item 1A—Risk Factors	24
Item 2—Unregistered Sales of Equity Securities and Use of Proceeds	24
Item 5—Other Information	24
Item 6—Exhibits	25

FORWARD-LOOKING STATEMENTS AND CAUTIONARY FACTORS

This quarterly report on Form 10-Q contains certain statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. The terms “may,” “should,” “could,” “anticipate,” “believe,” “estimate,” “expect,” “objective,” “plan,” “project” and similar expressions are intended to identify forward-looking statements. Such forward-looking statements include statements regarding expected financial results and other planned events, including, but not limited to, anticipated liquidity, anticipated restructuring costs and related savings, anticipated future charges and anticipated capital expenditures. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions that are difficult to predict. Therefore, actual future events or results may differ materially from these statements. We disclaim any obligation to publicly update or revise any forward-looking statements as a result of new information, future events or any other reason.

The following is a list of factors, among others, that could cause actual results to differ materially from the forward-looking statements:

•supply chain issues, including shortages of adequate component supply or that increase our costs or cause delays in our ability to fulfill orders;

•failure to estimate customer demand properly may result in or could have an adverse impact on our business and operating results and our relationship with customers;

•the deterioration of, or instability in, the domestic and international economy and challenging end-market conditions, including as a result of geopolitical activity, including but not limited to, the invasion of Ukraine by Russia and international sanctions imposed in response thereto, as well as armed conflicts in the Middle East;

•decreased demand from customers in the oil & gas industry, including as a result of significant volatility in oil prices resulting from disruptions in the oil markets and imposition of climate-related laws and regulations that disadvantage the oil & gas industry;

•uncertainty over global tariffs or the financial impact of tariffs;

•our ability to maintain operational improvements from our continuous improvement program and from prior restructuring actions;

1

•logistics challenges, such as global freight capacity shortages, significant increases in freight costs or other delays in our ability to fulfill orders, including as a result of attacks on commercial ships in the Red Sea and adverse weather conditions;

•failure to collect on accounts receivable, including in certain foreign jurisdictions where sales are concentrated to a limited number of distributors or agents;

•risks related to our reliance on independent agents and distributors for the distribution and service of products;

•a significant failure in our information technology (IT) infrastructure, such as unauthorized access to financial and other sensitive data or cybersecurity threats;

•a material disruption at a significant manufacturing facility;

•competition in the markets we serve;

•currency exchange rate fluctuations, export and import restrictions, transportation disruptions or shortages, and other risks inherent in our international operations;

•regulatory and legal developments, including litigation, such as product liability and warranty claims, and contractual exposure to liabilities;

•unfavorable tax law changes may adversely affect results;

•failure to develop new products and the extent of market acceptance of new products and price increases;

•our ability to execute on our growth strategy;

•our ability to successfully identify, consummate and integrate acquisitions and realize anticipated benefits/results from acquired companies as part of our portfolio management process;

•the effects of divestitures and/or discontinued operations, including retained liabilities from, or indemnification obligations with respect to, disposed businesses;

•if the operating performance of our businesses were to fall significantly below normalized levels, the potential for a non-cash impairment charge of goodwill and/or other intangible assets, as they represent a substantial amount of our total assets;

•a global economic recession;

•the impact of elevated interest rates and material, labor, or overhead cost increases;

•our ability to comply with the covenants in our debt agreements and fluctuations in interest rates;

•our ability to attract, develop, and retain qualified employees;

•inadequate intellectual property protection or infringement of the intellectual property of others;

•our ability to access capital markets; and

•other matters, including those of a political, economic, business, competitive and regulatory nature contained from time to time in our U.S. Securities and Exchange Commission ("SEC") filings, including, but not limited to, those factors listed in the "Risk Factors" section within Item 1A of Part I of our Form 10-K for the fiscal year ended August 31, 2024 filed with the SEC on October 21, 2024 (the “fiscal 2024 Annual Report on Form 10-K”).

When used herein, the terms “we,” “us,” “our” and the “Company” refer to Enerpac Tool Group Corp. and its subsidiaries. Reference to fiscal years, such as "fiscal 2025," are to the fiscal year ending on August 31 of the specified year. Enerpac Tool Group Corp. provides free-of-charge access to its Annual Report on Form 10-K, quarterly reports on Form 10-Q, current reports on Form 8-K, and all amendments thereto, through its website, www.enerpactoolgroup.com, as soon as reasonably practicable after such reports are electronically filed with the SEC.

2

PART I—FINANCIAL INFORMATION

Item 1—Financial Statements

ENERPAC TOOL GROUP CORP.

CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS

(In thousands, except per share amounts)

(Unaudited)

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Net sales	$	145,528	$	138,437	$	290,724	$	280,406
Cost of products sold	72,097		66,962		142,641		134,681
Gross profit	73,431		71,475		148,083		145,725
Selling, general and administrative expenses	41,423		40,723		83,741		82,938
Amortization of intangible assets	1,188		833		2,390		1,657
Restructuring charges	—		398		—		2,799
Impairment & divestiture charges	—		—		—		147
Operating profit	30,820		29,521		61,952		58,184
Financing costs, net	2,371		3,711		5,140		7,408
Other expense, net	750		543		1,237		1,535
Earnings before income tax expense	27,699		25,267		55,575		49,241
Income tax expense	6,798		7,396		12,951		13,064
Net earnings from continuing operations	20,901		17,871		42,624		36,177
Earnings (loss) from discontinued operations, net of income taxes	—		(54)		—		(622)
Net earnings	$	20,901	$	17,817	$	42,624	$	35,555
Earnings per share from continuing operations
Basic	$	0.38	$	0.33	$	0.78	$	0.67
Diluted	$	0.38	$	0.33	$	0.78	$	0.66
Earnings (loss) per share from discontinued operations
Basic	$	0.00	$	(0.00)	$	0.00	$	(0.01)
Diluted	$	0.00	$	(0.00)	$	0.00	$	(0.01)
Earnings per share
Basic	$	0.38	$	0.33	$	0.78	$	0.65
Diluted	$	0.38	$	0.33	$	0.78	$	0.65
Weighted average common shares outstanding
Basic	54,397		54,213		54,319		54,370
Diluted	54,808		54,685		54,810		54,846

The accompanying notes are an integral part of these condensed consolidated financial statements.

3

ENERPAC TOOL GROUP CORP.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(In thousands)

(Unaudited)

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Net earnings	$	20,901	$	17,817	$	42,624	$	35,555
Other comprehensive earnings (loss), net of tax
Foreign currency translation adjustments	(5,056)		(2,921)		(15,102)		(2,883)
Pension and other postretirement benefit plans	283		1,965		581		1,060
Cash flow hedges	(54)		(251)		18		986
Total other comprehensive loss, net of tax	(4,827)		(1,207)		(14,503)		(837)
Comprehensive income	$	16,074	$	16,610	$	28,121	$	34,718

The accompanying notes are an integral part of these condensed consolidated financial statements.

4

ENERPAC TOOL GROUP CORP.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except share and per share amounts)

	(Unaudited)
	February 28, 2025		August 31, 2024
ASSETS
Current assets
Cash and cash equivalents	$	119,509	$	167,094
Accounts receivable, net	111,993		104,335
Inventories, net	80,431		72,887
Other current assets	37,466		27,942
Total current assets	349,399		372,258
Property, plant and equipment, net	49,026		40,285
Goodwill	277,241		269,597
Other intangible assets, net	46,682		36,058
Other long-term assets	54,279		59,130
Total assets	$	776,627	$	777,328
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Current maturities of long-term debt	$	5,000	$	5,000
Trade accounts payable	43,903		43,368
Accrued compensation and benefits	19,080		25,856
Income taxes payable	3,207		5,321
Other current liabilities	42,842		49,848
Total current liabilities	114,032		129,393
Long-term debt, net	187,086		189,503
Deferred income taxes	8,632		3,696
Pension and postretirement benefit liabilities	8,449		10,073
Other long-term liabilities	52,450		52,684
Total liabilities	370,649		385,349
Shareholders’ equity
Class A common stock, $0.20 par value per share, authorized 168,000,000 shares, issued 54,258,795 and 54,234,660 shares, respectively	10,852		10,847
Additional paid-in capital	236,019		235,660
Retained earnings	290,008		261,870
Accumulated other comprehensive loss	(130,901)		(116,398)
Stock held in trust	(3,575)		(3,777)
Deferred compensation liability	3,575		3,777
Total shareholders' equity	405,978		391,979
Total liabilities and shareholders’ equity	$	776,627	$	777,328

The accompanying notes are an integral part of these condensed consolidated financial statements.

5

ENERPAC TOOL GROUP CORP.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

	Six Months Ended
	February 28, 2025		February 29, 2024
Operating Activities
Net earnings	$	42,624	$	35,555
Less: Earnings (loss) from discontinued operations, net of income taxes	—		(622)
Net earnings from continuing operations	42,624		36,177
Adjustments to reconcile net earnings to net cash provided by operating activities - continuing operations:
Impairment & divestiture charges	—		147
Depreciation and amortization	6,985		6,754
Stock-based compensation expense	6,186		5,527
Benefit for deferred income taxes	3,089		418
Amortization of debt issuance costs	293		292
Other non-cash expenses	(15)		1,954
Changes in components of working capital and other, excluding acquisitions and divestitures:
Accounts receivable	(6,830)		(375)
Inventories	(9,426)		(7,818)
Trade accounts payable	(1,658)		(6,514)
Prepaid expenses and other assets	(5,224)		(5,806)
Income tax accounts	(5,297)		1,345
Accrued compensation and benefits	(6,170)		(12,625)
Other accrued liabilities	(8,449)		(7,411)
Cash provided by operating activities - continuing operations	16,108		12,065
Cash used in operating activities - discontinued operations	—		(5,413)
Cash provided by operating activities	16,108		6,652
Investing Activities
Capital expenditures	(11,517)		(3,152)
Cash paid for business acquisitions, net of cash acquired	(27,196)		—
Working capital adjustment from sale of business assets	—		(1,133)
Purchase of business assets	—		(1,402)
Cash used in investing activities - continuing operations	(38,713)		(5,687)
Cash used in investing activities	(38,713)		(5,687)
Financing Activities
Borrowings on revolving credit facility	14,421		48,000
Principal repayments on revolving credit facility	(14,421)		(16,000)
Principal repayments on term loan	(2,500)		(1,250)
Purchase of treasury shares	(14,555)		(30,108)
Taxes paid related to the net share settlement of equity awards	(7,401)		(3,076)
Stock option exercises & other	1,554		2,871
Payment of cash dividend	(2,167)		(2,178)
Cash used in financing activities - continuing operations	(25,069)		(1,741)
Cash used in financing activities	(25,069)		(1,741)
Effect of exchange rate changes on cash	89		54
Net decrease in cash and cash equivalents	(47,585)		(722)
Cash and cash equivalents - beginning of period	167,094		154,415
Cash and cash equivalents - end of period	$	119,509	$	153,693

The accompanying notes are an integral part of these condensed consolidated financial statements.

6

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 1. Basis of Presentation

General

Enerpac Tool Group Corp. (the "Company") is a premier industrial tools, services, technology and solutions company serving a broad and diverse set of customers in more than 100 countries. The Company has one reportable segment, Industrial Tools & Services ("IT&S"), and an Other operating segment, which does not meet the criteria to be considered a reportable segment.

The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with United States generally accepted accounting principles ("GAAP") for interim financial reporting and with the instructions of Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The condensed consolidated balance sheet data as of August 31, 2024 was derived from the Company’s audited financial statements but does not include all disclosures required by GAAP. For additional information, including the Company’s significant accounting policies, refer to the consolidated financial statements and related footnotes in the Company’s fiscal 2024 Annual Report on Form 10-K.

In the opinion of management, all adjustments considered necessary for a fair statement of financial results have been made. Such adjustments consist of only those of a normal recurring nature. Operating results for the three and six months ended February 28, 2025 are not necessarily indicative of the results that may be expected for the entire fiscal year ending August 31, 2025.

Accumulated Other Comprehensive Loss

The following is a summary of the components included within the Company's accumulated other comprehensive loss (in thousands):

	February 28, 2025		August 31, 2024
Foreign currency translation adjustments	$	114,317	$	99,215
Pension and other postretirement benefit plans	16,606		17,187
Cash flow hedges	(22)		(4)
Accumulated other comprehensive loss	$	130,901	$	116,398

Property Plant and Equipment

The following is a summary of the components included within the Company's property, plant and equipment (in thousands):

	February 28, 2025		August 31, 2024
Land, buildings and improvements	$	25,059	$	14,670
Machinery and equipment	144,841		145,604
Gross property, plant and equipment	169,900		160,274
Less: Accumulated depreciation	(120,874)		(119,989)
Property, plant and equipment, net	$	49,026	$	40,285

Product Warranty Costs

The Company generally offers its customers an assurance warranty on products sold, although warranty periods may vary by product type and application. The reserve for future warranty claims, which is recorded within the "Other current liabilities" line in the Condensed Consolidated Balance Sheets, is based on historical claim rates and current warranty cost experience. The following is a roll-forward of the changes in product warranty reserves for the six months ended February 28, 2025 and February 29, 2024 (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Beginning balance	$	534	$	856
Provision for warranties	478		132
Warranty payments and costs incurred	(485)		(318)
Warranty activity for acquired businesses	381		—
Impact of changes in foreign currency rates	(18)		(1)
Ending balance	$	890	$	669

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Note 2. Revenue from Contracts with Customers

Nature of Goods and Services

The Company generates its revenue under two principal activities, which are discussed below:

Product Sales: Sales of tools, heavy-lifting solutions, and biomedical textiles are recorded when control is transferred to the customer (i.e., performance obligation has been satisfied). For the majority of the Company’s product sales, revenue is recognized at a point in time when control of the product is transferred to the customer, which generally occurs when the product is shipped from the Company to the customer. For certain other products that are highly customized and have a limited alternative use, and for which the Company has an enforceable right of reimbursement for performance completed to date, revenue is recognized over time. We consider the input measure (efforts-expended or cost-to-cost) or output measure as a fair measure of progress for the recognition of over-time revenue associated with these custom products. For a majority of the Company’s custom products, machine hours and labor hours (efforts-expended measurement) are used as a measure of progress.

Service & Rental Sales: Service contracts consist of providing highly trained technicians to perform bolting, technical services, machining and joint-integrity work for our customers. These revenues are recognized over time as our customers simultaneously receive and consume the benefits provided by the Company. We consider the input measure (efforts-expended or cost-to-cost) or output measure as a fair measure of progress for the recognition of over-time revenue associated with service contracts. For a majority of the Company’s service contracts, labor hours (efforts-expended measurement) is used as the measure of progress when it is determined to be a better depiction of the transfer of control to the customer due to the timing and pattern of labor hours incurred. Revenue from rental contracts (less than a year and non-customized products) is generally recognized ratably over the contract term, depicting the customer’s consumption of the benefit related to the rental equipment.

Disaggregated Revenue and Performance Obligations

The Company disaggregates revenue from contracts with customers by reportable segment and product line and by the timing of when goods and services are transferred. See Note 12, "Segment Information" for information regarding our revenue disaggregation by reportable segment and product line.

The following table presents information regarding revenues disaggregated by the timing of when goods and services are transferred (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Revenues recognized at point in time	$	117,448	$	108,385	$	226,745	$	214,526
Revenues recognized over time	28,080		30,052		63,979		65,880
Total	$	145,528	$	138,437	$	290,724	$	280,406

Contract Balances

The Company's contract assets and liabilities are as follows (in thousands):

	February 28, 2025		August 31, 2024
Receivables, which are included in accounts receivable, net	$	111,993	$	104,335
Contract assets, which are included in other current assets	2,990		4,531
Contract liabilities, which are included in other current liabilities	5,161		2,329

Receivables: The Company performs its obligations under a contract with a customer by transferring goods or services in exchange for consideration from the customer. The Company typically invoices its customers as soon as control of an asset is transferred and a receivable for the Company is established. Accounts receivable, net is recorded at face amount of customer receivables less an allowance for doubtful accounts. The Company maintains an allowance for doubtful accounts for expected losses as a result of customers’ inability to make required payments. Management evaluates the aging of customer receivable balances, the financial condition of its customers, historical trends and the time outstanding of specific balances to estimate the amount of receivables that may be collected in the future and records the appropriate provision. The allowance for doubtful accounts was $16.6 million and $15.9 million at February 28, 2025 and August 31, 2024, respectively.

As indicated in the "Concentration of Credit Risk" section below, as of February 28, 2025 and February 29, 2024, the Company was exposed to a concentration of credit risk with an agent as a result of its continued payment delinquency. As of February 28, 2025 and February 29, 2024, the Company had a total bad debt reserve of $13.2 million related to this agent. The allowance for doubtful accounts for this particular agent as of February 28, 2025 represents management's best estimate of the amount probable of collection and considers various factors with the respect to this matter, including, but not limited to: (i) the lack of payment by the agent since the fiscal quarter ended February 28, 2021; (ii) our due diligence on balances due to the agent from its end customers related to sales of

8

our services and products and the known markup on those sales from the agent to end customer; (iii) the status of ongoing negotiations with the agent to secure payments; (iv) legal recourse available to secure payment; and (v) the agent is currently in bankruptcy proceedings. Actual collections from the agent may differ from the Company's estimate.

Concentration of Credit Risk: The Company sells products and services through distributors and agents. In certain jurisdictions, those third parties represent a significant portion of our sales in their respective country, which can pose a concentration of credit risk if these larger distributors or agents are not timely in their payments. As of February 28, 2025, the Company was exposed to a concentration of credit risk as a result of the payment delinquency of one of our agents whose accounts receivable represent 10.1% of the Company's outstanding accounts receivable. As of February 28, 2025, the Company has fully reserved for the amounts due from this agent.

Contract Assets: Contract assets relate to the Company’s rights to consideration for work completed but not billed as of the reporting date on contracts with customers. The contract assets are transferred to receivables when the rights become unconditional. The Company has contract assets on contracts that are generally long-term and have revenues that are recognized over time.

Contract Liabilities: As of February 28, 2025, the Company had certain contracts where there were unsatisfied performance obligations and the Company had received cash consideration from customers before the performance obligations were satisfied. The majority of these contracts relate to long-term customer contracts (project durations of greater than three months) and are recognized over time. The Company estimates that substantially all of the $5.2 million of contract liabilities will be recognized in net sales from satisfying those performance obligations within the next twelve months.

Timing of Performance Obligations Satisfied at a Point in Time: The Company evaluates when the customer obtains control of the product based on shipping terms, as control will transfer, depending upon such terms, at different points between the Company's manufacturing facility or warehouse and the customer’s location. The Company considers control to have transferred upon shipment or delivery because (i) the Company has a present right to payment at that time; (ii) the legal title has been transferred to the customer; (iii) the Company has transferred physical possession of the product to the customer; and (iv) the customer has significant risks and rewards of ownership of the product.

Variable Consideration: The Company estimates whether it will be subject to variable consideration under the terms of the contract and includes its estimate of variable consideration in the transaction price based on the expected value method when it is deemed probable of being realized based on historical experience and trends. Types of variable consideration may include rebates, incentives and discounts, among others, which are recorded as a reduction to net sales at the time when control of a performance obligation is transferred to the customer.

Practical Expedients & Exemptions: The Company elected to expense the incremental cost to obtaining a contract when the amortization period for such contracts would be one year or less. The Company does not disclose the value of unperformed obligations for (i) contracts with an original expected length of one year or less and    (ii) contracts for which it recognizes revenue at the amount to which it has the right to invoice for services performed.

Note 3. ASCEND Transformation Program

In March 2022, the Company announced the start of its ASCEND transformation program. ASCEND's key initiatives included accelerating organic growth strategies, improving operational excellence and production efficiency by utilizing a Lean approach, and driving greater efficiency and productivity in selling, general and administrative ("SG&A") expense by better leveraging resources to create a more efficient and agile organization.

Total program expenses were approximately $2.0 million and $5.6 million in the three and six months ended February 29, 2024, respectively, with no expenses in the three and six months ended February 28, 2025, as the ASCEND program ended at August 31, 2024. Of the total ASCEND program expenses, $1.4 million and $2.5 million were recorded within SG&A expenses and approximately $0.2 million and $0.4 million were recorded within cost of goods sold for the three and six months ended February 29, 2024, respectively. Additionally, $0.4 million and $2.8 million of ASCEND expenses were recorded within restructuring expenses, (see Note 4, “Restructuring Charges”) for the for the three and six months ended February 29, 2024, respectively. The restructuring charges incurred were predominately severance and other employee-related costs. The ASCEND program was completed as of August 31, 2024, with total program costs of $74.7 million of which $18.6 million was restructuring charges.

Note 4. Restructuring Charges

The Company undertook various restructuring initiatives, including workforce reductions, leadership changes, plant consolidations to reduce manufacturing overhead, satellite office closures, the continued movement of production and product sourcing to low-cost alternatives, and the centralization and standardization of certain administrative functions. Liabilities for severance are generally to be paid within twelve months.

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On June 27, 2022, the Company approved a restructuring plan in connection with the initiatives identified as part of the ASCEND transformation program (see Note 3, “ASCEND Transformation Program”) to drive greater efficiency and productivity in global selling, general and administrative resources. The costs of this plan were predominately severance and other employee-related costs incurred as cash expenditures and impacting both IT&S and Corporate.

The Company recorded $0.4 million and $2.8 million of restructuring charges associated with the ASCEND transformation program in the three and six months ended February 29, 2024. No restructuring charges associated with the ASCEND transformation program were recorded in the three and six months ended February 28, 2025 as the ASCEND program ended at August 31, 2024 with a total restructuring charge of $18.6 million.

The following summarizes restructuring reserve activity for the IT&S segment and Corporate (in thousands):

	Six Months Ended February 28, 2025
	IT&S		Corporate
Balance as of August 31, 2024	$	3,527	$	197
Cash payments	(2,297)		(117)
Impact of changes in foreign currency rates	(41)		—
Balance as of February 28, 2025	$	1,189	$	80

	Six Months Ended February 29, 2024
	IT&S		Corporate
Balance as of August 31, 2023	$	2,238	$	74
Restructuring charges	2,588		211
Cash payments	(2,227)		(285)
Impact of changes in foreign currency rates	(5)		—
Balance as of February 29, 2024	$	2,594	$	—

Total restructuring charges (inclusive of the Other operating segment) were $0.4 million and $2.8 million in the three and six months ended February 29, 2024, being reported in "Restructuring charges." There were no restructuring charges in the three and six months ended February 28, 2025.

Note 5.    Acquisitions

On September 4, 2024, the Company acquired 100% of the stock of DTA The Smart Move, S.A. ("DTA"), a global leader in the industrial heavy loads transportation industry, designing and manufacturing mobile robotic solutions. The acquisition provides a complement to Enerpac's Heavy Lifting Technology product line and combines the Company's existing focus on vertical lift with DTA's specialization in horizontal movement enabling the Company to provide more comprehensive solutions for customers. The Company acquired all of the assets and assumed certain liabilities of DTA for an initial purchase price of $27.2 million plus potential earn-out of €12.0 million to be paid at the end of the third year following the acquisition that is tied to the achievement of certain financial objectives with a maximum total purchase price of €36.0 million. The acquisition was funded with both cash on hand and borrowings from our existing credit facility. At February 28, 2025, the Company preliminarily recorded a liability of €2.3 million related to the potential earn-out payment and recognized $15.0 million of intangible assets made up of amortizable assets including $1.6 million in tradenames amortizable over three years, $3.6 million in customer relationship and $9.8 million in developed technology both amortizable over fourteen years.

10

The excess of the acquisition purchase price over the fair value assigned to the assets acquired and liabilities assumed was recorded to goodwill. The preliminary value of the assets acquired and liabilities assumed as of acquisition date were as follows (in thousands):

Current assets	$	6,464
Property, plant and equipment	2,841
Intangible assets	14,977
Goodwill	14,473
Long term assets	531
Total assets acquired	39,286
Current liabilities	(6,531)
Long term liabilities	(5,559)
Net assets acquired	$	27,196

As the Company finalizes the fair value of assets acquired and liabilities assumed, additional purchase price allocation adjustments will be recorded during the measurement period, but not to exceed 12 months following acquisition date. Adjustments in purchase price allocations may require a change in the amounts allocated to net assets acquired during the periods in which the adjustments are determined.

This acquisition generated net sales of $3.2 million and $6.4 million for the three and six months ended February 28, 2025, which are reported within the IT&S reportable segment.

Note 6. Goodwill, Intangible Assets and Long-Lived Assets

Changes in the gross carrying value of goodwill and intangible assets result from changes in foreign currency exchange rates, business acquisitions, divestitures and impairment charges. The changes in the carrying amount of goodwill for the six months ended February 28, 2025 are as follows (in thousands):

	IT&S		Other		Total
Balance as of August 31, 2024	$	258,388	$	11,209	$	269,597
DTA Acquisition	14,473		—		14,473
Impact of changes in foreign currency rates	(6,829)		—		(6,829)
Balance as of February 28, 2025	$	266,032	$	11,209	$	277,241

The gross carrying value and accumulated amortization of the Company’s intangible assets are as follows (in thousands):

		February 28, 2025						August 31, 2024
	Weighted Average Amortization Period (Years)	Gross Carrying Value		Accumulated Amortization		Net Book Value		Gross Carrying Value		Accumulated Amortization		Net Book Value
Amortizable intangible assets:
Customer Relationships	10	$	110,568	$	99,387	$	11,181	$	109,582	$	99,530	$	10,052
Patents	13	9,738		9,279		459		9,916		9,408		508
Developed Technology	14	9,132		381		8,751		—		—		—
Trademarks and tradenames	3	4,278		2,444		1,834		2,764		2,308		456
Indefinite lived intangible assets:
Tradenames	N/A	24,457		—		24,457		25,042		—		25,042
		$	158,173	$	111,491	$	46,682	$	147,304	$	111,246	$	36,058

The Company estimates that amortization expense will be $1.9 million for the remaining six months of fiscal 2025. Amortization expense for future years is estimated to be: $3.2 million in both fiscal 2026 and 2027, $2.6 million in fiscal 2028, $2.4 million in fiscal 2029, $1.6 million in fiscal 2030 and $7.4 million cumulatively thereafter. The future amortization expense amounts represent estimates and may be impacted by future acquisitions, divestitures, or changes in foreign currency exchange rates, among other causes.

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Note 7. Debt

The following is a summary of the Company’s long-term indebtedness (in thousands):

	February 28, 2025		August 31, 2024
Senior Credit Facility
Revolver	$	—	$	—
Term Loan	192,500		195,000
Total Senior Indebtedness	192,500		195,000
Less: Current maturities of long-term debt	(5,000)		(5,000)
Debt issuance costs	(414)		(497)
Total long-term debt, less current maturities	$	187,086	$	189,503

Senior Credit Facility

On September 9, 2022, the Company refinanced its previous senior credit facility with a new $600 million senior credit facility, comprised of a $400 million revolving line of credit and a $200 million term loan, which is scheduled to mature in September 2027. The Company has the option to request up to $300 million of additional revolving commitments and/or term loans under the new facility, subject to customary conditions, including the commitment of the participating lenders. This facility replaces LIBOR with adjusted term SOFR as the interest rate benchmark and provides for interest rate margins above adjusted term SOFR ranging from 1.125% to 1.875% per annum depending on the Company’s net leverage ratio. In addition, a non-use fee is payable quarterly on the average unused amount of the revolving line of credit ranging from 0.15% to 0.3% per annum, based on the Company's net leverage. Borrowings under the credit facility bear interest at adjusted term SOFR plus 1.125% per annum.

The facility contains financial covenants requiring the Company to not permit (i) the net leverage ratio, determined as of the end of each of its fiscal quarters, to exceed 3.75 to 1.00 (or, at the Company’s election and subject to certain conditions, 4.25 to 1.00 for the covenants period during which certain material acquisitions occur and the next succeeding four testing periods) or (ii) the interest coverage ratio, determined as of the end of each of its fiscal quarters, to be less than 3.00 to 1.00. Borrowings under the facility are secured by substantially all personal property assets of the Company and its domestic subsidiary guarantors (other than certain specified excluded assets) and certain of the equity interests of certain subsidiaries of the Company. The Company was in compliance with all covenants under the credit facility at February 28, 2025.

At February 28, 2025, there were $192.5 million in borrowings outstanding under the term loans, no borrowings outstanding under the revolving line of credit and $398.5 million available for borrowing under the revolving line of credit facility after reduction for $1.5 million of outstanding letters of credit issued under the facility.

Note 8. Fair Value Measurements

The Company assesses the inputs used to measure the fair value of financial assets and liabilities using a three-tier hierarchy. Level 1 inputs include unadjusted quoted prices for identical instruments and are the most observable. Level 2 inputs include quoted prices for similar assets and observable inputs such as interest rates, foreign currency exchange rates, commodity rates and yield curves. Level 3 inputs are not observable in the market and include management’s own judgments about the assumptions market participants would use in pricing an asset or liability.

The fair value of the Company’s cash and cash equivalents, accounts receivable, accounts payable and variable rate long-term debt approximated book value at both February 28, 2025 and August 31, 2024 due to their short-term nature and the fact that the interest rates approximated market rates. Foreign currency exchange contracts and interest rate swaps are recorded at fair value. The fair value of the Company's foreign currency exchange contracts was a net asset of less than $0.1 million and a net liability of $0.3 million at February 28, 2025 and August 31, 2024, respectively.

The fair value of the Company's interest rate swap and net investment hedge was an asset of less than $0.1 million and $1.0 million at February 28, 2025, respectively, and an asset of less than $0.1 million and a liability of $1.6 million at August 31, 2024, respectively, (see Note 9, “Derivatives”, for further information on the Company's interest rate swap and net investment hedge.) The fair value of all derivative contracts were based on quoted inactive market prices and therefore classified as Level 2 within the valuation hierarchy.

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Note 9. Derivatives

All derivatives are recognized in the balance sheet at their estimated fair value. The Company does not enter into derivatives for speculative purposes. Changes in the fair value of derivatives (not designated as hedges) are recorded in earnings along with the gain or loss on the hedged asset or liability.

The Company is exposed to market risk for changes in foreign currency exchange rates due to the global nature of its operations. In order to manage this risk, the Company utilizes foreign currency exchange contracts to reduce the exchange rate risk associated with recognized non-functional currency balances. The effects of changes in exchange rates are reflected concurrently in earnings for both the fair value of the foreign currency exchange contracts and the related non-functional currency asset or liability. These derivative gains and losses offset foreign currency gains and losses from the related revaluation of non-functional currency assets and liabilities (amounts included in "Other expense, net" in the Condensed Consolidated Statements of Earnings). The U.S. dollar equivalent notional value of these short duration foreign currency exchange contracts was $9.8 million and $15.6 million at February 28, 2025 and August 31, 2024, respectively. The fair value of outstanding foreign currency exchange contracts was a net asset of less than $0.1 million and net liability of $0.3 million at February 28, 2025 and August 31, 2024, respectively. Net foreign currency loss (gain) (included in "Other expense, net" in the Condensed Consolidated Statements of Earnings) related to these derivative instruments are as follows (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Foreign currency loss (gain)	$	100	$	106	$	(119)	$	398

During December 2022, the Company entered into an interest rate swap, with a maturity date of November 30, 2025, for the notional amount of $60.0 million at a fixed interest rate of 4.022% to hedge the floating interest rate of the Company's term loan. The interest rate swap was designated and qualified as a cash flow hedge. The Company uses the interest rate swap for the management of interest rate risk exposure, as the interest rate swap effectively converts a portion of the Company's debt from a floating rate to a fixed rate.

The Company records the fair value of the interest rate swap as an asset or liability on its balance sheet. The change in the fair value of the interest rate swap, a net loss of less than $0.1 million and a net gain of less than $0.1 million for the three and six months ended February 28, 2025, respectively, and a net gain of less than $0.1 million and a net loss of $0.1 million for three and six months ended February 29, 2024, respectively, is recorded in other comprehensive income.

The Company also uses interest-rate derivatives to hedge portions of our net investments in non-U.S. subsidiaries (net investment hedge) against the effect of exchange rate fluctuations on the translation of foreign currency balances to the U.S. dollar. For derivatives that are designated and qualify as a net investment hedge in a foreign operation, the net gains or losses attributable to the hedge changes are recorded in other comprehensive income (loss) where they offset gains and losses recorded on our net investments where the entity has non-U.S. dollar functional currency. During December 2022, the Company entered into a cross-currency swap designated as a net investment hedge with a notional amount of $30.5 million. On October 28, 2024, the Company entered into an incremental cross-currency swap designated as a net investment hedge with a notional amount of $14.1 million. The change in the fair value of the net investment hedges, a net gain of $0.7 million and $2.0 million for the three and six months ended February 28, 2025, respectively, and a net gain of $0.3 million and $0.2 million for the three and six months ended February 29, 2024, respectively, is recorded in other comprehensive income.

Note 10. Earnings per Share and Shareholders' Equity

The Company's Board of Directors has authorized the repurchase of shares of the Company's common stock under publicly announced share repurchase programs. Since the inception of the initial share repurchase program in fiscal 2012, the Company has repurchased 30,411,708 shares of common stock for $853.4 million. The Company suspended the initial share repurchase program in response to the COVID-19 pandemic in the third quarter of fiscal 2020. In March 2022, the Company's Board of Directors rescinded its prior share repurchase authorization and approved a new share repurchase program authorizing the repurchase of a total of 10,000,000 shares of the Company's outstanding common stock.

In December 2023, the Company's Board of Directors authorized the retirement of the Company's repurchased shares. In addition to the initial share retirement, the Company repurchased and retired an additional 139,324 shares, which included 25,737 shares repurchased after December 18, 2023 that were immediately retired upon repurchase, in the three months ended February 29, 2024. The Company repurchased and retired 1,094,231 shares for $30.1 million in the six months ended February 29, 2024 and 329,527 shares for $14.6 million in the six months ended February 28, 2025. The maximum number of shares that may yet be purchased under the program is 2,387,522 shares.

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The reconciliation between basic and diluted earnings per share is as follows (in thousands, except per share amounts):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Numerator:
Net earnings from continuing operations	$	20,901	$	17,871	$	42,624	$	36,177
Earnings (loss) from discontinued operations, net of income taxes	—		(54)		—		(622)
Net earnings	$	20,901	$	17,817	$	42,624	$	35,555
Denominator:
Weighted average common shares outstanding - basic	54,397		54,213		54,319		54,370
Net effect of dilutive securities - stock based compensation plans	411		472		491		476
Weighted average common shares outstanding - diluted	54,808		54,685		54,810		54,846
Earnings per share from continuing operations
Basic	$	0.38	$	0.33	$	0.78	$	0.67
Diluted	$	0.38	$	0.33	$	0.78	$	0.66
Earnings (loss) per share from discontinued operations
Basic	$	0.00	$	(0.00)	$	0.00	$	(0.01)
Diluted	$	0.00	$	(0.00)	$	0.00	$	(0.01)
Earnings per share:*
Basic	$	0.38	$	0.33	$	0.78	$	0.65
Diluted	$	0.38	$	0.33	$	0.78	$	0.65
Anti-dilutive securities from stock based compensation plans (excluded from earnings per share calculation)	192		71		121		191
*The total of Earnings per share from continuing operations and Loss per share from discontinued operations may not equal Earnings per share due to rounding.

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The following table illustrates the changes in the balances of each component of shareholders' equity for the six months ended February 28, 2025 (in thousands):

	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at August 31, 2024	54,235	$	10,847	$	235,660	$	—	$	261,870	$	(116,398)	$	(3,777)	$	3,777	$	391,979
Net earnings	—	—		—		—		21,723		—		—		—		21,723
Other comprehensive loss, net of tax	—	—		—		—		—		(9,676)		—		—		(9,676)
Stock contribution to employee benefit plans and other	2	—		91		—		—		—		—		—		91
Vesting of equity awards	186	37		(37)		—		—		—		—		—		—
Cash dividend ($0.04 per share)	—	—		—		—		3		—		—		—		3
Stock based compensation expense	—	—		3,345		—		—		—		—		—		3,345
Stock option exercises	87	18		1,310		—		—		—		—		—		1,328
Tax effect related to net share settlement of equity awards	—	—		(6,405)		—		—		—		—		—		(6,405)
Stock issued to, acquired for and distributed from rabbi trust	—	—		—		—		—		—		3		(3)		—
Treasury stock repurchased and retired	(110)	(22)		—		—		(4,357)		—		—		—		(4,379)
Balance at November 30, 2024	54,400	10,880		233,964		—		279,239		(126,074)		(3,774)		3,774		398,009
Net earnings	—	—		—		—		20,901		—		—		—		20,901
Other comprehensive loss, net of tax	—	—		—		—		—		(4,827)		—		—		(4,827)
Stock contribution to employee benefit plans and other	2	—		97		—		—		—		—		—		97
Vesting of equity awards	73	14		(14)		—		—		—		—		—		—
Stock based compensation expense	—	—		2,841		—		—		—		—		—		2,841
Stock option exercises	2	1		37		—		—		—		—		—		38
Tax effect related to net share settlement of equity awards	—	—		(996)		—		—		—		—		—		(996)
Stock issued to, acquired for and distributed from rabbi trust	2	1		90		—		—		—		199		(199)		91
Treasury stock repurchased and retired	(220)	(44)		—		—		(10,132)		—		—		—		(10,176)
Balance at February 28, 2025	54,259	$	10,852	$	236,019	$	—	$	290,008	$	(130,901)	$	(3,575)	$	3,575	$	405,978

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The following table illustrates the changes in the balances of each component of shareholders' equity for the six months ended February 29, 2024 (in thousands):

	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at August 31, 2023	83,761	$	16,752	$	220,472	$	(800,506)	$	1,011,112	$	(121,210)	$	(3,484)	$	3,484	$	326,620
Net earnings	—	—		—		—		17,738		—		—		—		17,738
Other comprehensive income, net of tax	—	—		—		—		—		370		—		—		370
Stock contribution to employee benefit plans and other	2	—		51		—		—		—		—		—		51
Vesting of equity awards	118	23		(23)		—		—		—		—		—		—
Cash dividend ($0.04 per share)	—	—		—		—		21		—		—		—		21
Treasury stock repurchases	—	—		—		(26,116)		—		—		—		—		(26,116)
Stock based compensation expense	—	—		2,717		—		—		—		—		—		2,717
Stock option exercises	83	17		2,193		—		—		—		—		—		2,210
Tax effect related to net share settlement of equity awards	—	—		(2,025)		—		—		—		—		—		(2,025)
Stock issued to, acquired for and distributed from rabbi trust	3	1		89		—		—		—		(92)		92		90
Balance at November 30, 2023	83,967	16,793		223,474		(826,622)		1,028,871		(120,840)		(3,576)		3,576		321,676
Net earnings	—	—		—		—		17,817		—		—		—		17,817
Other comprehensive loss, net of tax	—	—		—		—		—		(1,207)		—		—		(1,207)
Stock contribution to employee benefit plans and other	1	—		35		—		—		—		—		—		35
Vesting of equity awards	105	21		(21)		—		—		—		—		—		—
Stock based compensation expense	—	—		2,810		—		—		—		—		—		2,810
Stock option exercises	21	5		472		—		—		—		—		—		477
Tax effect related to net share settlement of equity awards	—	—		(953)		—		—		—		—		—		(953)
Stock issued to, acquired for and distributed from rabbi trust	26	5		258		—		—		—		(201)		201		263
Treasury stock repurchases	—	—		—		(3,992)		—		—		—		—		(3,992)
Treasury stock retired	(29,867)	(5,973)		—		830,614		(824,641)		—		—		—		—
Balance at February 29, 2024	54,253	$	10,851	$	226,075	$	—	$	222,047	$	(122,047)	$	(3,777)	$	3,777	$	336,926

Note 11. Income Taxes

The Company's global operations, acquisition activity (as applicable) and specific tax attributes provide opportunities for continuous global tax planning initiatives to maximize tax credits and deductions. Comparative earnings before income taxes, income tax expense and effective income tax rates from continuing operations are as follows (dollars in thousands):

	Three Months Ended						Six Months Ended
	February 28, 2025			February 29, 2024			February 28, 2025			February 29, 2024
Earnings before income tax expense	$	27,699		$	25,267		$	55,575		$	49,241
Income tax expense	6,798			7,396			12,951			13,064
Effective income tax rate	24.5		%	29.3		%	23.3		%	26.5		%

The Company’s earnings from continuing operations before income taxes include earnings from both U.S. and foreign jurisdictions. As several foreign tax rates are higher than the U.S. tax rate of 21%, the annual effective tax rate is impacted by foreign rate differentials, withholding taxes, losses in jurisdictions where no benefit can be realized, and various aspects of the U.S. Tax Cuts and Jobs Act, such as the Global Intangible Low-Taxed Income and Foreign-Derived Intangible Income provisions.

The effective tax rate for the three months ended February 28, 2025 was 24.5%, compared to 29.3% for the comparable prior-year period. The effective tax rate in each time period was impacted by year-to-date losses and deductions in jurisdictions where no tax benefit can be realized. The lower effective tax rate for the three months ended February 28, 2025 was primarily driven by the more favorable tax impact of stock compensation in comparison to the prior period. Both the current and prior-year effective income tax rates include the impact of non-recurring items.

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Note 12. Segment Information

The Company is a global manufacturer of a broad range of industrial products and solutions. The IT&S reportable segment is primarily engaged in the design, manufacture and distribution of branded hydraulic and mechanical tools and in providing services and tool rental to the infrastructure; industrial maintenance; repair and operations; oil & gas; mining; alternative and renewable energy; civil construction and other markets. The Other segment is included for purposes of reconciliation of the respective balances below to the condensed consolidated financial statements.

The following tables summarize financial information by reportable segment and product line (in thousands):    

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Net Sales by Reportable Segment & Product Line
IT&S Segment
Product	$	113,880	$	107,942	$	219,966	$	212,862
Service & Rental	26,836		26,880		60,884		58,994
	140,716		134,822		280,850		271,856
Other Segment	4,812		3,615		9,874		8,550
	$	145,528	$	138,437	$	290,724	$	280,406
Operating Profit (Loss)
IT&S Segment	$	38,736	$	37,415	$	76,728	$	72,980
Other Segment	1,301		(79)		2,620		1,892
Corporate	(9,217)		(7,815)		(17,396)		(16,688)
	$	30,820	$	29,521	$	61,952	$	58,184

	February 28, 2025		August 31, 2024
Assets
IT&S Segment	$	642,924	$	613,797
Other Segment	26,576		26,533
Corporate	107,127		136,998
	$	776,627	$	777,328

In addition to the impact of changes in foreign currency exchange rates, the comparability of segment and product line information is impacted by acquisition/divestiture activities, impairment and divestiture charges, restructuring costs and related benefits. Corporate assets, which are not allocated, principally represent cash and cash equivalents, property, plant and equipment, Right of Use ("ROU") assets, capitalized debt issuance costs and deferred income taxes.

Note 13. Commitments and Contingencies

The Company had outstanding letters of credit of $4.0 million and surety bonds of $3.8 million at February 28, 2025 and $4.4 million of letters of credit and $3.8 million of surety bonds at August 31, 2024, the majority of which relate to commercial contracts and self-insured workers' compensation programs.

As part of the Company's global sourcing strategy, we have entered into agreements with certain suppliers that require the supplier to maintain minimum levels of inventory to support certain products for which we require a short lead time to fulfill customer orders. We have the ability to notify the supplier that they no longer need maintain the minimum level of inventory should we discontinue manufacturing of a product during the contract period; however, we must purchase the remaining minimum inventory levels the supplier was required to maintain within a defined period of time.

The Company is a party to various legal proceedings that have arisen in the normal course of business. These legal proceedings include regulatory matters, product liability, breaches of contract, employment, personal injury and other disputes. The Company has recorded reserves for loss contingencies based on the specific circumstances of each case. Such reserves are recorded when it is probable a loss has been incurred and can be reasonably estimated. The Company maintains a policy to exclude from such reserves an estimate of legal defense costs. In the opinion of management, resolution of these contingencies is not expected to have a material adverse effect on the Company’s financial position, results of operations or cash flows.

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Additionally, in fiscal 2019, the Company provided voluntary self-disclosures to both Dutch and U.S. authorities related to sales of products and services linked to the Crimea region of Ukraine, which potentially violated European Union and U.S. sanctions provisions. Although the U.S. investigation closed without further implication, the Dutch investigation continued. The Dutch Investigator concluded his investigation in March 2022 and provided the results to the Public Prosecutor's office for review. Specifically, the Investigator concluded that the sales transactions violated EU sanctions. The conclusion in the Investigator's report was consistent with the Company's understanding of what could be stated in the report and supported the Company to record an expense in the fiscal year-ended August 31, 2021, representing the low end of a reasonable range of financial penalties the Company may incur as no other point within the range was deemed more probable. The Company has not adjusted its estimate of financial penalties as a result of the completion of the investigation in the six months ended February 28, 2025. While there can be no assurance of the ultimate outcome of the matter, the Company currently believes that there will be no material adverse effect on the Company's financial position, results of operations or cash flows from this matter.

Note 14. Leases

The Company has operating leases for real estate, vehicles, manufacturing equipment, IT equipment and office equipment (the Company does not have any significant financing leases). Our leases typically range in term from 3 to 15 years and may contain renewal options for periods up to 5 years at our discretion. Operating leases are recorded as operating lease ROU assets in “Other long-term assets” and operating lease liabilities in “Other current liabilities” and “Other long-term liabilities” of the Condensed Consolidated Balance Sheets. There have been no material changes to our operating lease ROU assets and operating lease liabilities during the six months ended February 28, 2025.

The components of lease expense were as follows (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Lease Cost:
Operating lease cost	$	3,070	$	3,209	$	6,170	$	6,185
Short-term lease cost	409		524		880		1,109
Variable lease cost	1,159		731		2,078		1,650

Supplemental cash flow and other information related to leases were as follows (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	5,970	$	6,081
Right-of-use assets obtained in exchange for new lease liabilities:
Operating leases	1,573		2,197

Item 2 – Management’s Discussion and Analysis of Financial Condition and Results of Operations

Enerpac Tool Group Corp. is a premier industrial tools, services, technology, and solutions provider serving a broad and diverse set of customers and end markets for mission-critical applications in more than 100 countries. Enerpac Tool Group's businesses are global leaders in providing high pressure hydraulic tools, controlled force products and solutions for precise positioning of heavy loads that help customers safely and reliably tackle some of the most challenging jobs around the world. The Company was founded in 1910 and is headquartered in Menomonee Falls, Wisconsin. During fiscal 2025, the Company is scheduled to relocate our headquarters to Milwaukee, Wisconsin. The Company has one reportable segment, the Industrial Tools & Services Segment ("IT&S"). The IT&S segment is primarily engaged in the design, manufacture and distribution of branded hydraulic and mechanical tools and in providing services and tool rental to the refinery/petrochemical; general industrial; industrial maintenance, repair and operations (“MRO”), machining & manufacturing; power generation, infrastructure, mining and other markets. Financial information related to the Company's reportable segment is included in Note 12, “Segment Information” in the notes to the condensed consolidated financial statements. The Company has an Other operating segment, which does not meet the criteria to be considered a reportable segment.

Our businesses provide an array of products and services across multiple markets and geographies, which results in significant diversification. The IT&S segment and the Company are well-positioned to drive shareholder value through a sustainable business

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strategy built on well-established brands, broad global distribution and end markets, clear focus on the core tools and services business and disciplined capital deployment.

Our Business Model

Our long-term goal is to create sustainable returns for our shareholders through above-market growth in our core business, expanding our margins, generating strong cash flow, and being disciplined in the deployment of our capital. We intend to grow through execution of our organic growth strategy, focused on key vertical markets that benefit from long-term macro trends, driving customer driven innovation, expansion of our digital ecosystem to acquire and engage customers, and an expansion in emerging markets such as Asia Pacific. In addition to organic growth, we also focus on margin expansion through operational efficiency techniques, including lean, continuous improvement and 80/20, to drive productivity and lower costs, as well as optimizing our selling, general and administrative expenses through consolidation and shared service implementation. We also apply these techniques and pricing actions to offset commodity increases and inflationary pricing. Finally, cash flow generation is critical to achieving our financial and long-term strategic objectives. We believe driving profitable growth and margin expansion will result in cash flow generation, which we seek to supplement through minimizing primary working capital. We intend to allocate the cash flow that results from the execution of our strategy in a disciplined way toward investment in our businesses, maintaining our strong balance sheet, disciplined M&A and opportunistically returning capital to shareholders. We anticipate the compounding effect of reinvesting in our business will fuel further growth and profitable returns.

General Business Update

In March 2022, the Company announced the start of its ASCEND transformation program. ASCEND's key initiatives included accelerating organic growth strategies, improving operational excellence and production efficiency by utilizing a Lean approach, and driving greater efficiency and productivity in selling, general and administrative ("SG&A") expense by better leveraging resources to create a more efficient and agile organization.

In October 2023, the Company announced that during fiscal 2023, the Company had realized approximately $54 million of annual operating profit from execution of the ASCEND program and would no longer be breaking out the ASCEND benefit from results. The ASCEND program was completed as of August 31, 2024, with total program costs of $75 million of which $19 million related to restructuring charges.

Results of Operations

The following table sets forth our results of continuing operations (dollars in millions, except per share amounts):

	Three Months Ended								Six Months Ended
Results from Continuing Operations (1)	February 28, 2025				February 29, 2024				February 28, 2025				February 29, 2024
Net sales	$	146	100	%	$	138	100	%	$	291	100	%	$	280	100	%
Cost of products sold	72		50	%	67		48	%	143		49	%	135		48	%
Gross profit	73		50	%	71		52	%	148		51	%	146		52	%
Selling, general and administrative expenses	41		28	%	41		29	%	84		29	%	83		30	%
Amortization of intangible assets	1		1	%	1		1	%	2		1	%	2		1	%
Restructuring charges	—		—	%	—		—	%	—		—	%	3		1	%
Impairment & divestiture charges	—		—	%	—		—	%	—		—	%	—		—	%
Operating profit	31		21	%	30		21	%	62		21	%	58		21	%
Financing costs, net	2		2	%	4		3	%	5		2	%	7		3	%
Other expense, net	1		1	%	1		0	%	1		0	%	2		1	%
Earnings before income tax expense	28		19	%	25		18	%	56		19	%	49		18	%
Income tax expense	7		5	%	7		5	%	13		4	%	13		5	%
Net earnings	$	21	14	%	$	18	13	%	$	43	15	%	$	36	13	%
Diluted earnings per share from continuing operations	$	0.38			$	0.33			$	0.78			$	0.66

(1) Results are from continuing operations and exclude the financial results of previously divested businesses reported as discontinued operations. The summation of the individual components may not equal the total due to rounding.

Consolidated net sales for the second quarter of fiscal 2025 were $146 million an increase of $7 million, or 5%, compared to the prior-year comparable period. The effect of the strengthening U.S. dollar on foreign currency rates compared to the second quarter of

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fiscal 2024 unfavorably impacted sales by $3 million, or 2%, and the first quarter acquisition of DTA favorably impacted sales by $3 million, or 2%. This resulted in an organic sales growth of approximately 5% in the quarter. Management refers to sales adjusted to exclude the impact of these items (foreign currency changes and recent acquisitions and divestitures) as "organic sales". In the second quarter, product sales grew $8 million, or 6%, while foreign currency unfavorably impacted sales by $2 million, or 2%, and the acquisition of DTA (which falls under our Heavy Lifting Technology ("HLT") product line within product) favorably impacted product sales by $3 million, or 3%, resulting in organic product sales growth of 5% over the prior-year quarter. We saw strong year-over-year growth in Other product sales compared to the second quarter of fiscal 2024, which was lower due to temporary shipment delays related to contract negotiations. The gain in products was driven by strong performance in our HLT product line and the continued ramp of new products. Service sales were flat year-over-year, with an unfavorable impact of foreign currency of approximately $1 million, or 4%, which resulted in organic sales growth of 4%. Gross profit as a percent of sales decreased to 50.5%, compared to 51.6% in the second quarter of fiscal 2024; the decrease in gross profit margin is due to unfavorable sales mix, mainly within the service business. Operating profit for the second quarter of fiscal year 2025 was $31 million, an increase of $1 million compared to the second quarter of fiscal 2024. The increase in operating profit was mainly driven by the sales growth being strong enough to offset the impact of lower gross profit, while selling, general & administrative expense ("SG&A") was flat year-over-year.

Consolidated net sales for the first half of fiscal 2025 were $291 million compared to $280 million in the first half of fiscal 2024, an increase of $10 million, or 4%. The effect of the foreign currency rate impact in the first half of the year unfavorably impacted sales by $2 million, or 1%, while the impact of the DTA acquisition favorably impacted sales by $6 million, or 2%, resulting in year-to-date organic sales growth of 2%. Product sales for the year-to-date February 28, 2025 were $230 million compared to $221 million in the prior-year comparable period, an increase of $9 million, or 4%, with nearly flat impact of foreign currency and a $6 million, or 3%, favorable impact of DTA sales, resulting in Product sales organic growth of 1% for the first half of the fiscal year. Service sales for the first half of 2025 increased $2 million, or 3%, compared to the first half of fiscal 2024, with foreign currency unfavorably impacting sales by $1 million, or 1%, resulting in organic growth of $3 million, or 5%. Year-to-date gross profit margin is 50.9%, approximately 110 basis points lower than the prior-year period, due to unfavorable sales mix within both product and service but also the mix between product and service compared to the first half of fiscal 2024. Operating profit for the first half of fiscal year 2025 was $62 million, an increase of $4 million compared to the first half of fiscal 2024. The increase in operating profit was mainly driven by the sales growth being strong enough to offset the impact of lower gross profit, while the decrease in SG&A as a percentage of net sales was mainly driven by the lack of ASCEND program related expenses in the current year compared to the prior-year as a result of the program's completion at the end of the fourth quarter of fiscal 2024.

Segment Results

IT&S Segment

The IT&S segment is a global supplier of branded hydraulic and mechanical tools and services to a broad array of end markets, including refinery/petrochemical; general industrial; industrial MRO; machining & manufacturing; power generation; infrastructure; mining; and other markets. Our primary products include branded tools, cylinders, pumps, hydraulic torque wrenches, highly engineered heavy lifting technology solutions and other tools (Product product line). The segment provides maintenance and manpower services on customer assets to meet their specific needs and rental services for certain of our products (Service & Rental product line). The following table sets forth the results of operations for the IT&S segment (dollars in millions):

	Three Months Ended						Six Months Ended
	February 28, 2025			February 29, 2024			February 28, 2025			February 29, 2024
Net sales	$	141		$	135		$	281		$	272
Operating profit	39			37			77			73
Operating profit %	27.5		%	27.8		%	27.3		%	26.8		%

IT&S segment net sales for the second quarter of fiscal 2025 increased by $6 million, or 5%, compared to the second quarter of fiscal 2024. The strengthening U.S. dollar on foreign currency rates compared to the second quarter of fiscal 2024 unfavorably impacted sales by $3 million, or 2%, and the first quarter acquisition of DTA favorably impacted sales by $3 million, or 2%. This resulted in an organic sales growth of approximately 4% in the quarter. The organic sales increase related to a strong quarter for our HLT product line, continued ramp up of new products and focused effort by our commercial organization. Operating profit was $39 million, compared to $37 million in the second quarter of fiscal 2024. This increase was mainly driven by a $1 million increase in gross profit.

IT&S segment net sales for the first half of fiscal 2025 increased by $9 million, or 3%, compared to the first half of fiscal 2024. The strengthening U.S. dollar on foreign currency rates compared to the first half of fiscal 2024 unfavorably impacted sales by $2 million, or 1%, and the acquisition of DTA favorably impacted sales by $6 million, or 2%, resulting in an organic sales increase of 2%. The organic sales increase related to strong sales within our HLT product line in Americas and APAC, partially offset by unfavorable standard product sales within the Americas region. Operating profit was $77 million, compared to $73 million in the first half of fiscal 2024. This increase was due to reduction in SG&A and increase in gross profit.

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Corporate

Corporate expenses were $9 million and $8 million for the second quarter of fiscal 2025 and 2024, respectively, and remained flat at $17 million for the first half of fiscal 2025 and 2024. The increase in expense in the second quarter was driven by higher people costs.

Financing Costs, net

Net financing costs were $2 million and $4 million in the three months ended February 28, 2025 and February 29, 2024, respectively. For the six months ended February 28, 2025 and February 29, 2024, net financing costs were $5 million and $7 million, respectively. Financing costs decreased due to a mix of lower debt balances and lower interest rates.

Income Tax Expense

The Company's global operations, acquisition activity (as applicable) and specific tax attributes provide opportunities for continuous global tax planning initiatives to maximize tax credits and deductions. Comparative earnings before income taxes, income tax expense and effective income tax rates from continuing operations are as follows (dollars in millions):

	Three Months Ended						Six Months Ended
	February 28, 2025			February 29, 2024			February 28, 2025			February 29, 2024
Earnings before income tax expense	$	28		$	25		$	56		$	49
Income tax expense	7			7			13			13
Effective income tax rate	24.5		%	29.3		%	23.3		%	26.5		%

The Company’s earnings from continuing operations before income taxes include earnings from both U.S. and foreign jurisdictions. As several foreign tax rates are higher than the U.S. tax rate of 21%, the annual effective tax rate is impacted by foreign rate differentials, withholding taxes, losses in jurisdictions where no benefit can be realized, and various aspects of the U.S. Tax Cuts and Jobs Act, such as the Global Intangible Low-Taxed Income and Foreign-Derived Intangible Income provisions.

The effective tax rate for the three months ended February 28, 2025 was 24.5%, compared to 29.3% for the comparable prior-year period. The effective tax rate in each time period was impacted by year-to-date losses and deductions in jurisdictions where no tax benefit can be realized. The lower effective tax rate for the three months ended February 28, 2025 was primarily driven by the more favorable tax impact of stock compensation in comparison to the prior-year period. Both the current and prior-year effective income tax rates include the impact of non-recurring items.

Cash Flows and Liquidity

At February 28, 2025, we had $120 million of cash and cash equivalents, of which $101 million was held by our foreign subsidiaries and $19 million was held domestically. The following table summarizes our cash flows provided by operating, investing and financing activities (dollars in millions):

	Six Months Ended
	February 28, 2025		February 29, 2024
Cash provided by operating activities	$	16	$	7
Cash used in investing activities	(39)		(6)
Cash used in financing activities	(25)		(2)
Effect of exchange rate changes on cash	—		—
Net decrease in cash and cash equivalents	$	(48)	$	(1)

Net cash provided by operating activities was $16 million and $7 million for the six months ended February 28, 2025 and February 29, 2024, respectively. The $9 million year-over-year variance is driven by higher earnings, lower annual incentive compensation payments made in the first quarter compared to the prior-year period and the non-recurrence of payments for legal settlements related to discontinued operations.

Net cash used in investing activities was $39 million and $6 million for the six months ended February 28, 2025 and February 29, 2024, respectively. This increased use of cash was due to the payment of $27 million for the acquisition of DTA and increased capital expenditures relating to build-out costs for the Company's new headquarters location in Milwaukee, with an anticipated move-in date during the third quarter of fiscal 2025.

Net cash used in financing activities was $25 million and $2 million for the six months ended February 28, 2025 and February 29, 2024, respectively. The $23 million increase in net cash used in financing activities for the six months ended February 28, 2025 was driven by $33 million of lower net revolver borrowings and $6 million less in taxes paid with respect to equity awards,

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net of proceeds from the exercise of stock options. These year-over-year net uses of cash in financing were partially offset by $16 million of lower share repurchases due to fewer shares being repurchased in the current-year period.

On September 9, 2022, the Company refinanced its previous senior credit facility with a $600 million senior credit facility, comprised of a $400 million revolving line of credit and a $200 million term loan, which is scheduled to mature in September 2027. The Company has the option to request up to $300 million of additional revolving commitments and/or term loans under the new facility, subject to customary conditions, including the commitment of the participating lenders. The senior credit facility contains restrictive covenants and financial covenants. See Note 7, "Debt" in the notes to the condensed consolidated financial statements for further details regarding the senior credit facility.

At February 28, 2025, there were no borrowings and $399 million available under the revolving line of credit facility after reduction for $1 million of outstanding letters of credit issued under the senior credit facility. The Company was in compliance with all covenants under the senior credit facility at February 28, 2025.

We believe that the revolving credit line, combined with our existing cash on hand and anticipated operating cash flows, will be adequate to meet operating, debt service, acquisition and capital expenditure funding requirements for the foreseeable future.

Primary Working Capital Management

We use primary working capital as a percentage of sales (PWC %) as a key metric of working capital management. We define this metric as the sum of net accounts receivable and net inventory less accounts payable, divided by the past three months sales annualized. The following table shows a comparison of primary working capital (dollars in millions):

	February 28, 2025		PWC%		August 31, 2024		PWC%
Accounts receivable, net	$	112	19	%	$	104	16	%
Inventory, net	80		14	%	73		12	%
Accounts payable	(44)		(8)	%	(43)		(7)	%
Net primary working capital	$	149	26	%	$	134	21	%

Commitments and Contingencies

Given our desire to allocate cash flow and revolver availability to fund growth initiatives, we have historically leased most of our facilities and some operating equipment. We lease certain facilities, computers, equipment and vehicles under various operating lease agreements, generally over periods ranging from one to twenty years. Under most arrangements, we pay the property taxes, insurance, maintenance and expenses related to the leased property. Many of our leases include provisions that enable us to renew the

leases at contractually agreed rates or, less commonly, based upon market rental rates on the date of expiration of the initial leases.

We had outstanding letters of credit of $4.0 million and surety bonds of $3.8 million at February 28, 2025 and $4.4 million of letters of credit and $3.8 million of surety bonds at August 31, 2024, the majority of which relate to commercial contracts and self-insured workers' compensation programs.

We are also subject to certain contingencies with respect to legal proceedings and regulatory matters which are described in Note 13, "Commitments and Contingencies" in the notes to the condensed consolidated financial statements. While there can be no assurance of the ultimate outcome of these matters, the Company believes that there will be no material adverse effect on the Company's results of operations, financial position or cash flows.

Contractual Obligations

Our contractual obligations have not materially changed at February 28, 2025 from what was previously disclosed in Part II, Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” under the heading “Contractual Obligations” in the fiscal 2024 Annual Report on Form 10-K.

Critical Accounting Estimates

Management has evaluated the accounting estimates used in the preparation of the Company's condensed consolidated financial statements and related notes and believe those estimates to be reasonable and appropriate. Certain of these accounting estimates are considered by management to be the most critical in understanding judgments involved in the preparation of our condensed consolidated financial statements and uncertainties that could impact our results of operations, financial position and cash flow. For information about more of the Company’s policies, methodology and assumptions related to critical accounting policies refer to the Critical Accounting Policies in Part II, Item 7, “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” included in the fiscal 2024 Annual Report on Form 10-K.

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Item 3 – Quantitative and Qualitative Disclosures about Market Risk

The diverse nature of our business activities necessitates the management of various financial and market risks, including those related to changes in interest rates, foreign currency exchange rates and commodity costs.

Interest Rate Risk: As of February 28, 2025, long-term debt consisted of no borrowing under the revolving line of credit (variable rate debt) and $193 million of term loan debt bearing interest based on SOFR (variable rate). An interest-rate swap effectively converts the SOFR-based rate of $60 million of term borrowings under our credit facility to a fixed rate. A ten percent increase in the average costs of our variable rate debt would have resulted in less than $1 million of an increase in financing costs for the three months ended February 28, 2025.

Foreign Currency Risk: We maintain operations in the U.S. and various foreign countries. Our more significant non-U.S. operations are located in Australia, the Netherlands, the United Kingdom, United Arab Emirates and China, and we have foreign currency risk relating to receipts from customers, payments to suppliers and intercompany transactions denominated in foreign currencies. Under certain conditions, we enter into hedging transactions (primarily foreign currency exchange contracts) that enable us to mitigate the potential adverse impact of foreign currency exchange rate risk (see Note 9, “Derivatives” in the notes to the consolidated financial statements for further information). We do not engage in trading or other speculative activities with these transactions, as established policies require that these hedging transactions relate to specific currency exposures.

The strengthening of the U.S. dollar against most currencies can have an unfavorable impact on our results of operations and financial position as foreign denominated operating results are translated into U.S. dollars. To illustrate the potential impact of changes in foreign currency exchange rates on the translation of our results of operations, quarterly sales and operating profit were re-measured assuming a ten percent decrease in all foreign exchange rates compared with the U.S. dollar. Using this assumption, quarterly sales would have been lower by $7 million and operating profit would have been lower by less than $1 million for the three months ended February 28, 2025. This sensitivity analysis assumes that each exchange rate would change in the same direction relative to the U.S. dollar and excludes the potential effects that changes in foreign currency exchange rates may have on sales levels or local currency prices. Similarly, a ten percent decline in foreign currency exchange rates versus the U.S. dollar would result in a $34 million reduction to equity (accumulated other comprehensive loss) as of February 28, 2025, as a result of non-U.S. dollar denominated assets and liabilities being translated into U.S. dollars, our reporting currency.

Commodity Cost Risk: We source a wide variety of materials and components from a network of global suppliers. While such materials are typically available from numerous suppliers, commodity raw materials, such as steel and plastic resin, are subject to price fluctuations, which could have a negative impact on our results. We strive to pass along such commodity price increases to customers to avoid profit margin erosion.

Item 4 – Controls and Procedures

Evaluation of Disclosure Controls and Procedures.

Under the supervision and with the participation of our senior management, including our chief executive officer and chief financial officer, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), as of the end of the period covered by this quarterly report (the “Evaluation Date”). Based on this evaluation, our chief executive officer and chief financial officer concluded as of the Evaluation Date that our disclosure controls and procedures were effective such that the information relating to the Company, including consolidated subsidiaries, required to be disclosed in our SEC reports (i) is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms, and (ii) is accumulated and communicated to the Company’s management, including our chief executive officer and chief financial officer, as appropriate to allow timely decisions regarding required disclosure.

Changes in Internal Control Over Financial Reporting.

Our management is responsible for establishing and maintaining adequate internal control over financial reporting, as such term is defined in Exchange Act Rule 13a-15(f). There have been no changes in our internal control over financial reporting that occurred during the quarter ended February 28, 2025 that have materially affected or are reasonably likely to materially affect our internal control over financial reporting.

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PART II—OTHER INFORMATION

Item 1A – Risk Factors

In addition to the other information set forth in this report and in our other filings with the SEC, investors should carefully consider our risk factors, which could materially affect our business, financial condition, or operating results. Except as set forth below, as of the date of this report, there are no material changes or updates to the risk factors previously disclosed in Part I, Item 1A "Risk Factors" in the Company's Annual Report on Form 10-K for the fiscal year ended August 31, 2024.

Uncertainty over global tariffs, or the financial impact of tariffs, may negatively affect our results.

Changes in U.S. domestic and global tariff frameworks have increased our costs of producing goods and resulted in additional risks to our supply chain. We have developed and implemented strategies to mitigate previously implemented and, in some cases, proposed tariff increases, but there is no assurance we will be able to continue to mitigate prolonged tariffs. Recently, the U.S. government has imposed significant tariffs impacting a wide variety of goods across multiple countries and indicated that additional tariffs may be imposed in the near future. In response, some countries have announced or imposed tariffs on goods made in the U.S. These actions could depress demand for our products or increase the cost to manufacture our products, which may affect the competitiveness of our products relative to manufacturers not affected by such actions, which could have a material adverse effect on our business, financial condition, results of operations and cash flow.

Item 2 – Unregistered Sales of Equity Securities and Use of Proceeds    

The Company's Board of Directors has authorized the repurchase of shares of the Company's common stock under publicly announced share repurchase programs. Since the inception of the initial share repurchase program in fiscal 2012, the Company has repurchased 30,411,708 shares of common stock for $853 million. The Company suspended the initial share repurchase program in response to the COVID-19 pandemic in the third quarter of fiscal 2020. In March 2022, the Company's Board of Directors rescinded its prior share repurchase authorization and approved a new share repurchase program authorizing the repurchase of a total of 10,000,000 shares of the Company's outstanding common stock.

In December 2023, the Company's Board of Directors authorized the retirement of the Company's repurchased shares. In addition to the initial share retirement, the Company repurchased and retired an additional 139,324 shares, which included 25,737 shares repurchased after December 18, 2023 that were immediately retired upon repurchase, in the three months ended February 29, 2024. The Company repurchased and retired 1,094,231 shares for $30.1 million in the six months ended February 29, 2024 and 329,527 shares for $14.6 million in the six months ended February 28, 2025. The maximum number of shares that may yet be purchased under the program is 2,387,522 shares.

Period	Shares Repurchased	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Maximum Number of Shares That May Yet Be Purchased Under the Program
December 1 to December 31, 2024	—	$	—	—	2,607,189
January 1 to January 31, 2025	—	—		—	2,607,189
February 1 to February 28, 2025	219,667	45.83		219,667	2,387,522
	219,667	$	45.83	219,667

Item 5 – Other Information

During the three months ended February 28, 2025, none of the Company’s directors or officers (as defined in Rule 16a-1(f) of the Exchange Act) Adopted or terminated a “Rule 10b5-l trading arrangement” or adopted or terminated a “non-Rule 10b5-1 trading arrangement” (as such terms are defined in Item 408 of Regulation S-K).

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Item 6 – Exhibits

Exhibit	Description	Incorporated Herein By Reference To	Filed Herewith	Furnished Herewith
31.1	Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002		X
31.2	Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002		X
32.1	Certification of Chief Executive Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002			X
32.2	Certification of Chief Financial Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002			X
101	The following materials from the Enerpac Tool Group Corp. Form 10-Q for the three and six months ended February 28, 2025 and February 29, 2024 formatted in Inline Extensible Business Reporting Language (Inline XBRL): (i) the Condensed Consolidated Statements of Earnings, (ii) the Condensed Consolidated Statements of Comprehensive Income (Loss), (iii) the Condensed Consolidated Balance Sheets, (iv) the Condensed Consolidated Statements of Cash Flows and (v) the Notes to the Condensed Consolidated Financial Statements.		X
104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in the Interactive Data Files submitted as Exhibit 101)

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SIGNATURE

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 thereunto duly authorized.

	ENERPAC TOOL GROUP CORP.
	(Registrant)
Date: March 26, 2025	By:	/S/ DARREN M. KOZIK
		Darren M. Kozik
		Executive Vice President and Chief Financial Officer (Principal Financial Officer)

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EX-31.1

Exhibit 31.1

CERTIFICATION

I, Paul E. Sternlieb, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Enerpac Tool Group Corp.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting

Date: March 26, 2025

/s/ Paul E. Sternlieb

Paul E. Sternlieb

President and Chief Executive Officer

(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Darren M. Kozik, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Enerpac Tool Group Corp.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting

Date: March 26, 2025

/s/ Darren M. Kozik

Darren M. Kozik

Executive Vice President and Chief Financial Officer

(Principal Financial Officer)

EX-32.1

Exhibit 32.1

WRITTEN STATEMENT OF THE CHIEF EXECUTIVE OFFICER

Pursuant to 18 U.S.C. ss.1350, I, the undersigned Chief Executive Officer and President of Enerpac Tool Group Corp. (the “Company”), hereby certify, based on my knowledge, that the Quarterly Report on Form 10-Q of the Company for the quarterly period ended February 28, 2025 (the “Report”) fully complies with the requirements of Sections 13(a) or 15(d) of the Securities Exchange Act of 1934 and that information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of and for the periods covered in the Report.

Date: March 26, 2025

/s/ Paul E. Sternlieb

Paul E. Sternlieb
President and Chief Executive Officer

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to Enerpac Tool Group Corp. and will be retained by Enerpac Tool Group Corp. and furnished to the Securities and Exchange Commission or its staff upon request.

The foregoing certification is being furnished to the Securities and Exchange Commission as an exhibit to the Form 10-Q and shall not be considered filed as part of the Form 10-Q.

EX-32.2

Exhibit 32.2

WRITTEN STATEMENT OF THE CHIEF FINANCIAL OFFICER

Pursuant to 18 U.S.C. ss.1350, I, the undersigned Executive Vice President and Chief Financial Officer of Enerpac Tool Group Corp. (the “Company”), hereby certify, based on my knowledge, that the Quarterly Report on Form 10-Q of the Company for the quarterly period ended February 28, 2025 (the “Report”) fully complies with the requirements of Sections 13(a) or 15(d) of the Securities Exchange Act of 1934 and that information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of and for the periods covered in the Report.

Date: March 26, 2025

/s/ Darren M. Kozik

Darren M. Kozik

Executive Vice President and Chief Financial Officer

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to Enerpac Tool Group Corp. and will be retained by Enerpac Tool Group Corp. and furnished to the Securities and Exchange Commission or its staff upon request.

The foregoing certification is being furnished to the Securities and Exchange Commission as an exhibit to the Form 10-Q and shall not be considered filed as part of the Form 10-Q.

XML

Document and Entity Information - $ / shares	6 Months Ended
	Feb. 28, 2025	Mar. 24, 2025	Aug. 31, 2024
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Feb. 28, 2025
Document Transition Report	false
Entity File Number	1-11288
Entity Registrant Name	ENERPAC TOOL GROUP CORP.
Entity Incorporation, State or Country Code	WI
Entity Tax Identification Number	39-0168610
Entity Address, Address Line One	N86 W12500 WESTBROOK CROSSING
Entity Address, City or Town	MENOMONEE FALLS
Entity Address, State or Province	WI
Entity Address, Postal Zip Code	53051
City Area Code	262
Local Phone Number	293-1500
Title of 12(b) Security	Class A common stock, $0.20 par value per share
Trading Symbol	EPAC
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		54,084,914
Amendment Flag	false
Document Fiscal Year Focus	2025
Document Fiscal Period Focus	Q2
Entity Central Index Key	0000006955
Current Fiscal Year End Date	--08-31
Common Class A
Document Information [Line Items]
Common Stock, Par or Stated Value Per Share	$ 0.20		$ 0.20
Common Stock, Shares Authorized	168,000,000		168,000,000
Common Stock, Shares, Issued	54,258,795.009		54,234,660

XML

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Income Statement [Abstract]
Net Sales	$ 145,528	$ 138,437	$ 290,724	$ 280,406
Cost of products sold	72,097	66,962	142,641	134,681
Gross profit	73,431	71,475	148,083	145,725
Selling, General and Administrative Expense	41,423	40,723	83,741	82,938
Amortization of intangible assets	1,188	833	2,390	1,657
Restructuring Charges	0	398	0	2,799
Impairment & divestiture (benefits) charges	0	0	0	147
Operating profit	30,820	29,521	61,952	58,184
Financing costs, net	2,371	3,711	5,140	7,408
Other expense, net	750	543	1,237	1,535
Income tax (benefit) expense	6,798	7,396	12,951	13,064
Net Earnings from Continuing Operations	20,901	17,871	42,624	36,177
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent	0	(54)	0	(622)
Net (loss) earnings	$ 20,901	$ 17,817	$ 42,624	$ 35,555
Earnings (loss) per share
(Loss) Earnings per share from Continuing Operations, Per Basic Share	$ 0.38	$ 0.33	$ 0.78	$ 0.67
(Loss) Earnings per share from Continuing Operations, Per Diluted Share	0.38	0.33	0.78	0.66
(Loss) Earnings per share from Discontinued Operations, Per Basic Shares	0.00	0.00	0.00	(0.01)
(Loss) Earnings per share from Discontinued Operations, Per Diluted Share	0.00	0.00	0.00	(0.01)
(Loss) Earnings Per Share, Basic	0.38	0.33	0.78	0.65
(Loss) Earnings Per Share, Diluted	$ 0.38	$ 0.33	$ 0.78	$ 0.65
Weighted average common shares outstanding
Weighted average common shares outstanding - basic	54,397	54,213	54,319	54,370
Weighted Average Common Shares outstanding - diluted	54,808	54,685	54,810	54,846
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest, Total	$ 27,699	$ 25,267	$ 55,575	$ 49,241

XML

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), after Reclassification and Tax, Parent	$ (54)	$ (251)	$ 18	$ 986
Other comprehensive earnings (loss), net of tax
Foreign currency translation adjustments	(5,056)	(2,921)	(15,102)	(2,883)
Pension and other postretirement benefit plans	283	1,965	581	1,060
Other Comprehensive (Loss) Income, Net of Tax	(4,827)	(1,207)	(14,503)	(837)
Net (loss) earnings	20,901	17,817	42,624	35,555
Comprehensive (loss) income	$ 16,074	$ 16,610	$ 28,121	$ 34,718

XML

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Feb. 28, 2025	Aug. 31, 2024
Current assets
Cash and cash equivalents	$ 119,509,000	$ 167,094,000
Accounts receivable, net	111,993,000	104,335,000
Inventories, net	80,431,000	72,887,000
Other current assets	37,466,000	27,942,000
Total current assets	349,399,000	372,258,000
Property, plant and equipment, net	49,026,000	40,285,000
Goodwill	277,241,000	269,597,000
Other intangible assets, net	46,682,000	36,058,000
Other long-term assets	54,279,000	59,130,000
Total assets	776,627,000	777,328,000
Current liabilities
Current maturities of long-term debt	43,903,000	43,368,000
Trade accounts payable	19,080,000	25,856,000
Long-term Debt, Current Maturities	5,000,000	5,000,000
Income taxes payable	3,207,000	5,321,000
Other current liabilities	42,842,000	49,848,000
Total current liabilities	114,032,000	129,393,000
Long-term debt, net	187,086,000	189,503,000
Deferred Income Taxes	8,632,000	3,696,000
Pension and postretirement benefit liabilities	8,449,000	10,073,000
Other long-term liabilities	52,450,000	52,684,000
Total liabilities	370,649,000	385,349,000
Shareholders’ equity
Class A common stock, $0.20 par value per share, authorized 168,000,000 shares, issued 54,258,795 and 54,234,660 shares, respectively	10,852,000	10,847,000
Additional paid-in capital	236,019,000	235,660,000
Retained earnings	290,008,000	261,870,000
Accumulated Other Comprehensive Income (Loss), Net of Tax, Total	(130,901,000)	(116,398,000)
Stock held in trust	(3,575,000)	(3,777,000)
Deferred compensation liability	3,575,000	3,777,000
Total shareholders' equity	405,978,000	391,979,000
Total liabilities and shareholders’ equity	$ 776,627,000	$ 777,328,000

XML

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Feb. 28, 2025	Aug. 31, 2024
Treasury Stock, Common, Shares	0	0
Common Class A
Common Stock, Shares Authorized	168,000,000	168,000,000
Common Stock, Shares, Issued	54,258,795.009	54,234,660
Common Stock, Par or Stated Value Per Share	$ 0.20	$ 0.20

XML

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Aug. 31, 2024	Aug. 31, 2023
Operating Activities
Net (loss) earnings	$ 42,624	$ 35,555
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent	0	(622)
Net Earnings from Continuing Operations	42,624	36,177
Impairment & divestiture (benefits) charges	0	147
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization	6,985	6,754
Stock-based compensation expense	6,186	5,527
Benefit for deferred income taxes	3,089	418
Amortization of debt issuance costs	293	292
Other Noncash Income (Expense)	(15)	1,954
Changes in components of working capital and other, excluding acquisitions and divestitures:
Accounts receivable	(6,830)	(375)
Inventories	(9,426)	(7,818)
Trade accounts payable	(1,658)	(6,514)
Prepaid expenses and other assets	(5,224)	(5,806)
Income tax accounts	(5,297)	1,345
Accrued compensation and benefits	(6,170)	(12,625)
Other accrued liabilities	(8,449)	(7,411)
Cash provided by (used in) operating activities, Continuing Operations	16,108	12,065
Cash (used in) provided by operating activities, Discontinued Operations	0	(5,413)
Cash (Used in) Provided By Operating Activities	16,108	6,652
Investing Activities
Capital expenditures	(11,517)	(3,152)
Payments to Acquire Businesses, Net of Cash Acquired	27,196	0
Cash used in investing activities, Continuing Operations	(38,713)	(5,687)
Cash Provided by Investing Activities	(38,713)	(5,687)
Financing Activities
Borrowings on Revolving Credit	14,421	48,000
Principal Repayment on Revolving Credit Facility	(14,421)	(16,000)
Principal repayments on term loan	(2,500)	(1,250)
Taxes paid related to the net share settlement of equity awards	(7,401)	(3,076)
Stock option exercises & other	1,554	2,871
Cash dividend	(2,167)	(2,178)
Net Cash Used in Financing Activities, Continuing Operations	(25,069)	(1,741)
Cash used in financing activities	(25,069)	(1,741)
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Including Exchange Rate Effect, Total	(47,585)	(722)
Effect of Exchange Rate on Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents, Continuing Operations	89	54
Payments for Repurchase of Common Stock	(14,555)	(30,108)
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents	119,509	153,693	$ 167,094	$ 154,415
Purchase of assets	0	(1,402)
Working capital adjustment from the sale of business assets	$ 0	$ (1,133)

XML

Basis of Presentation Schedule of Accumulated Other Comprehensive Income (Loss)

6 Months Ended

Feb. 28, 2025

Schedule of Accumulated Other Comprehensive Income (Loss) [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]

Accumulated Other Comprehensive Loss

The following is a summary of the components included within the Company's accumulated other comprehensive loss (in thousands):

	February 28, 2025		August 31, 2024
Foreign currency translation adjustments	$	114,317	$	99,215
Pension and other postretirement benefit plans	16,606		17,187
Cash flow hedges	(22)		(4)
Accumulated other comprehensive loss	$	130,901	$	116,398

Schedule of Product Warranty Liability

The following is a roll-forward of the changes in product warranty reserves for the six months ended February 28, 2025 and February 29, 2024 (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Beginning balance	$	534	$	856
Provision for warranties	478		132
Warranty payments and costs incurred	(485)		(318)
Warranty activity for acquired businesses	381		—
Impact of changes in foreign currency rates	(18)		(1)
Ending balance	$	890	$	669

XML

Earnings per Share and Shareholders' Equity Shareholders Equity - USD ($)
shares in Thousands, $ in Thousands

Total

Common Stock [Member]

Additional Paid-in Capital [Member]

Retained Earnings [Member]

AOCI Attributable to Parent [Member]

Stock held in trust [member] [Member]

Deferred Compensation, Share-based Payments [Member]

Treasury Stock, Common

Stock Issued During Period, Shares, New Issues

83,761

Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest

$ 326,620

$ 16,752

$ 220,472

$ 1,011,112

$ (121,210)

$ (3,484)

$ 3,484

$ (800,506)

Net (loss) earnings

17,738

17,738

Other Comprehensive (Loss) Income, Net of Tax

370

370

Stock Issued During Period, Shares, Employee Benefit Plan

2

Stock Issued During Period, Value, Employee Benefit Plan

51

$ 0

51

Stock Issued During Period, Shares, Restricted Stock Award, Gross

118

Stock Issued During Period, Value, Restricted Stock Award, Gross

0

$ (23)

(23)

APIC, Share-based Payment Arrangement, Increase for Cost Recognition

2,717

2,717

Stock Issued To Acquired For And Distributed From Rabbi Trust

3

Stock Value Issued to Acquired For and Distributed From Rabbi Trust

90

$ 1

89

(92)

92

Adjustments to Additional Paid in Capital, Other

(2,025)

(2,025)

Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture

83

Stock Issued During Period, Value, Stock Options Exercised

2,210

$ 17

2,193

Treasury Stock, Value, Acquired, Cost Method

(26,116)

26,116

Dividends, Cash

21

21

Net (loss) earnings

35,555

Other Comprehensive (Loss) Income, Net of Tax

(837)

Stock Issued During Period, Shares, New Issues

83,967

Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest

321,676

$ 16,793

223,474

1,028,871

(120,840)

(3,576)

3,576

(826,622)

Net (loss) earnings

17,817

17,817

Other Comprehensive (Loss) Income, Net of Tax

(1,207)

(1,207)

Stock Issued During Period, Shares, Employee Benefit Plan

1

Stock Issued During Period, Value, Employee Benefit Plan

35

35

Stock Issued During Period, Shares, Restricted Stock Award, Gross

105

Stock Issued During Period, Value, Restricted Stock Award, Gross

0

$ (21)

(21)

APIC, Share-based Payment Arrangement, Increase for Cost Recognition

2,810

2,810

Stock Issued To Acquired For And Distributed From Rabbi Trust

26

Stock Value Issued to Acquired For and Distributed From Rabbi Trust

263

$ 5

258

(201)

201

Adjustments to Additional Paid in Capital, Other

(953)

(953)

Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture

21

Stock Issued During Period, Value, Stock Options Exercised

477

$ 5

472

Treasury Stock, Value, Acquired, Cost Method

(3,992)

3,992

Treasury Stock, Retired, Cost Method, Amount

0

$ 5,973

824,641

(830,614)

Treasury Stock, Shares, Retired

(29,867)

Stock Issued During Period, Shares, New Issues

54,253

Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest

336,926

$ 10,851

226,075

222,047

(122,047)

(3,777)

3,777

0

Stock Issued During Period, Shares, New Issues

54,235

Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest

391,979

$ 10,847

235,660

261,870

(116,398)

(3,777)

3,777

0

Adoption of Accounting Standards

261,870

Net (loss) earnings

21,723

21,723

Other Comprehensive (Loss) Income, Net of Tax

(9,676)

(9,676)

Stock Issued During Period, Shares, Employee Benefit Plan

2

Stock Issued During Period, Value, Employee Benefit Plan

91

91

Stock Issued During Period, Shares, Restricted Stock Award, Gross

186

Stock Issued During Period, Value, Restricted Stock Award, Gross

0

$ (37)

(37)

APIC, Share-based Payment Arrangement, Increase for Cost Recognition

3,345

3,345

Stock Value Issued to Acquired For and Distributed From Rabbi Trust

0

3

(3)

Adjustments to Additional Paid in Capital, Other

(6,405)

(6,405)

Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture

87

Stock Issued During Period, Value, Stock Options Exercised

1,328

$ 18

1,310

Treasury Stock, Retired, Cost Method, Amount

(4,379)

4,357

Treasury Stock, Retired, Par Value Method, Amount

(22)

Treasury Stock, Shares, Retired

(110)

Dividends, Cash

$ 3

3

Stockholders' Equity Note Disclosure [Text Block]

The following table illustrates the changes in the balances of each component of shareholders' equity for the six months ended February 28, 2025 (in thousands):

	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at August 31, 2024	54,235	$	10,847	$	235,660	$	—	$	261,870	$	(116,398)	$	(3,777)	$	3,777	$	391,979
Net earnings	—	—		—		—		21,723		—		—		—		21,723
Other comprehensive loss, net of tax	—	—		—		—		—		(9,676)		—		—		(9,676)
Stock contribution to employee benefit plans and other	2	—		91		—		—		—		—		—		91
Vesting of equity awards	186	37		(37)		—		—		—		—		—		—
Cash dividend ($0.04 per share)	—	—		—		—		3		—		—		—		3
Stock based compensation expense	—	—		3,345		—		—		—		—		—		3,345
Stock option exercises	87	18		1,310		—		—		—		—		—		1,328
Tax effect related to net share settlement of equity awards	—	—		(6,405)		—		—		—		—		—		(6,405)
Stock issued to, acquired for and distributed from rabbi trust	—	—		—		—		—		—		3		(3)		—
Treasury stock repurchased and retired	(110)	(22)		—		—		(4,357)		—		—		—		(4,379)
Balance at November 30, 2024	54,400	10,880		233,964		—		279,239		(126,074)		(3,774)		3,774		398,009
Net earnings	—	—		—		—		20,901		—		—		—		20,901
Other comprehensive loss, net of tax	—	—		—		—		—		(4,827)		—		—		(4,827)
Stock contribution to employee benefit plans and other	2	—		97		—		—		—		—		—		97
Vesting of equity awards	73	14		(14)		—		—		—		—		—		—
Stock based compensation expense	—	—		2,841		—		—		—		—		—		2,841
Stock option exercises	2	1		37		—		—		—		—		—		38
Tax effect related to net share settlement of equity awards	—	—		(996)		—		—		—		—		—		(996)
Stock issued to, acquired for and distributed from rabbi trust	2	1		90		—		—		—		199		(199)		91
Treasury stock repurchased and retired	(220)	(44)		—		—		(10,132)		—		—		—		(10,176)
Balance at February 28, 2025	54,259	$	10,852	$	236,019	$	—	$	290,008	$	(130,901)	$	(3,575)	$	3,575	$	405,978

The following table illustrates the changes in the balances of each component of shareholders' equity for the six months ended February 29, 2024 (in thousands):

	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at August 31, 2023	83,761	$	16,752	$	220,472	$	(800,506)	$	1,011,112	$	(121,210)	$	(3,484)	$	3,484	$	326,620
Net earnings	—	—		—		—		17,738		—		—		—		17,738
Other comprehensive income, net of tax	—	—		—		—		—		370		—		—		370
Stock contribution to employee benefit plans and other	2	—		51		—		—		—		—		—		51
Vesting of equity awards	118	23		(23)		—		—		—		—		—		—
Cash dividend ($0.04 per share)	—	—		—		—		21		—		—		—		21
Treasury stock repurchases	—	—		—		(26,116)		—		—		—		—		(26,116)
Stock based compensation expense	—	—		2,717		—		—		—		—		—		2,717
Stock option exercises	83	17		2,193		—		—		—		—		—		2,210
Tax effect related to net share settlement of equity awards	—	—		(2,025)		—		—		—		—		—		(2,025)
Stock issued to, acquired for and distributed from rabbi trust	3	1		89		—		—		—		(92)		92		90
Balance at November 30, 2023	83,967	16,793		223,474		(826,622)		1,028,871		(120,840)		(3,576)		3,576		321,676
Net earnings	—	—		—		—		17,817		—		—		—		17,817
Other comprehensive loss, net of tax	—	—		—		—		—		(1,207)		—		—		(1,207)
Stock contribution to employee benefit plans and other	1	—		35		—		—		—		—		—		35
Vesting of equity awards	105	21		(21)		—		—		—		—		—		—
Stock based compensation expense	—	—		2,810		—		—		—		—		—		2,810
Stock option exercises	21	5		472		—		—		—		—		—		477
Tax effect related to net share settlement of equity awards	—	—		(953)		—		—		—		—		—		(953)
Stock issued to, acquired for and distributed from rabbi trust	26	5		258		—		—		—		(201)		201		263
Treasury stock repurchases	—	—		—		(3,992)		—		—		—		—		(3,992)
Treasury stock retired	(29,867)	(5,973)		—		830,614		(824,641)		—		—		—		—
Balance at February 29, 2024	54,253	$	10,851	$	226,075	$	—	$	222,047	$	(122,047)	$	(3,777)	$	3,777	$	336,926

Net (loss) earnings

$ 42,624

Other Comprehensive (Loss) Income, Net of Tax

(14,503)

Stock Issued During Period, Shares, New Issues

54,400

Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest

398,009

$ 10,880

233,964

279,239

(126,074)

(3,774)

3,774

0

Net (loss) earnings

20,901

20,901

Other Comprehensive (Loss) Income, Net of Tax

(4,827)

(4,827)

Stock Issued During Period, Shares, Employee Benefit Plan

2

Stock Issued During Period, Value, Employee Benefit Plan

97

97

Stock Issued During Period, Shares, Restricted Stock Award, Gross

73

Stock Issued During Period, Value, Restricted Stock Award, Gross

0

$ (14)

14

APIC, Share-based Payment Arrangement, Increase for Cost Recognition

2,841

2,841

Stock Issued To Acquired For And Distributed From Rabbi Trust

2

Stock Value Issued to Acquired For and Distributed From Rabbi Trust

91

$ 1

90

(199)

(199)

Adjustments to Additional Paid in Capital, Other

$ (996)

(996)

Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture

2

Stock Issued During Period, Value, Stock Options Exercised

$ 38

$ 1

37

Treasury Stock, Value, Acquired, Cost Method

(10,176)

Treasury Stock, Retired, Cost Method, Amount

10,132

Treasury Stock, Retired, Par Value Method, Amount

(44)

Treasury Stock, Shares, Retired

(220)

Stock Issued During Period, Shares, New Issues

54,259

Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest

405,978

$ 10,852

$ 236,019

$ 290,008

$ (130,901)

$ (3,575)

$ 3,575

$ 0

Adoption of Accounting Standards

$ 290,008

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Basis of Presentation

6 Months Ended

Feb. 28, 2025

Accounting Policies [Abstract]

Basis of Presentation

Note 1. Basis of Presentation

General

Enerpac Tool Group Corp. (the "Company") is a premier industrial tools, services, technology and solutions company serving a broad and diverse set of customers in more than 100 countries. The Company has one reportable segment, Industrial Tools & Services ("IT&S"), and an Other operating segment, which does not meet the criteria to be considered a reportable segment.

The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with United States generally accepted accounting principles ("GAAP") for interim financial reporting and with the instructions of Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The condensed consolidated balance sheet data as of August 31, 2024 was derived from the Company’s audited financial statements but does not include all disclosures required by GAAP. For additional information, including the Company’s significant accounting policies, refer to the consolidated financial statements and related footnotes in the Company’s fiscal 2024 Annual Report on Form 10-K.

In the opinion of management, all adjustments considered necessary for a fair statement of financial results have been made. Such adjustments consist of only those of a normal recurring nature. Operating results for the three and six months ended February 28, 2025 are not necessarily indicative of the results that may be expected for the entire fiscal year ending August 31, 2025.

Accumulated Other Comprehensive Loss

The following is a summary of the components included within the Company's accumulated other comprehensive loss (in thousands):

	February 28, 2025		August 31, 2024
Foreign currency translation adjustments	$	114,317	$	99,215
Pension and other postretirement benefit plans	16,606		17,187
Cash flow hedges	(22)		(4)
Accumulated other comprehensive loss	$	130,901	$	116,398

Property Plant and Equipment

The following is a summary of the components included within the Company's property, plant and equipment (in thousands):

	February 28, 2025		August 31, 2024
Land, buildings and improvements	$	25,059	$	14,670
Machinery and equipment	144,841		145,604
Gross property, plant and equipment	169,900		160,274
Less: Accumulated depreciation	(120,874)		(119,989)
Property, plant and equipment, net	$	49,026	$	40,285

Product Warranty Costs

The Company generally offers its customers an assurance warranty on products sold, although warranty periods may vary by product type and application. The reserve for future warranty claims, which is recorded within the "Other current liabilities" line in the Condensed Consolidated Balance Sheets, is based on historical claim rates and current warranty cost experience. The following is a roll-forward of the changes in product warranty reserves for the six months ended February 28, 2025 and February 29, 2024 (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Beginning balance	$	534	$	856
Provision for warranties	478		132
Warranty payments and costs incurred	(485)		(318)
Warranty activity for acquired businesses	381		—
Impact of changes in foreign currency rates	(18)		(1)
Ending balance	$	890	$	669

Product Warranty Costs

Product Warranty Costs

The Company generally offers its customers an assurance warranty on products sold, although warranty periods may vary by product type and application. The reserve for future warranty claims, which is recorded within the "Other current liabilities" line in the Condensed Consolidated Balance Sheets, is based on historical claim rates and current warranty cost experience. The following is a roll-forward of the changes in product warranty reserves for the six months ended February 28, 2025 and February 29, 2024 (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Beginning balance	$	534	$	856
Provision for warranties	478		132
Warranty payments and costs incurred	(485)		(318)
Warranty activity for acquired businesses	381		—
Impact of changes in foreign currency rates	(18)		(1)
Ending balance	$	890	$	669

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Revenue Recognition Revenue from Contract Customers (Notes)

6 Months Ended

Feb. 28, 2025

Revenue from Contract with Customer [Abstract]

Revenue from Contract with Customer [Text Block]

Note 2. Revenue from Contracts with Customers

Nature of Goods and Services

The Company generates its revenue under two principal activities, which are discussed below:

Product Sales: Sales of tools, heavy-lifting solutions, and biomedical textiles are recorded when control is transferred to the customer (i.e., performance obligation has been satisfied). For the majority of the Company’s product sales, revenue is recognized at a point in time when control of the product is transferred to the customer, which generally occurs when the product is shipped from the Company to the customer. For certain other products that are highly customized and have a limited alternative use, and for which the Company has an enforceable right of reimbursement for performance completed to date, revenue is recognized over time. We consider the input measure (efforts-expended or cost-to-cost) or output measure as a fair measure of progress for the recognition of over-time revenue associated with these custom products. For a majority of the Company’s custom products, machine hours and labor hours (efforts-expended measurement) are used as a measure of progress.

Service & Rental Sales: Service contracts consist of providing highly trained technicians to perform bolting, technical services, machining and joint-integrity work for our customers. These revenues are recognized over time as our customers simultaneously receive and consume the benefits provided by the Company. We consider the input measure (efforts-expended or cost-to-cost) or output measure as a fair measure of progress for the recognition of over-time revenue associated with service contracts. For a majority of the Company’s service contracts, labor hours (efforts-expended measurement) is used as the measure of progress when it is determined to be a better depiction of the transfer of control to the customer due to the timing and pattern of labor hours incurred. Revenue from rental contracts (less than a year and non-customized products) is generally recognized ratably over the contract term, depicting the customer’s consumption of the benefit related to the rental equipment.

Disaggregated Revenue and Performance Obligations

The Company disaggregates revenue from contracts with customers by reportable segment and product line and by the timing of when goods and services are transferred. See Note 12, "Segment Information" for information regarding our revenue disaggregation by reportable segment and product line.

The following table presents information regarding revenues disaggregated by the timing of when goods and services are transferred (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Revenues recognized at point in time	$	117,448	$	108,385	$	226,745	$	214,526
Revenues recognized over time	28,080		30,052		63,979		65,880
Total	$	145,528	$	138,437	$	290,724	$	280,406

Contract Balances

The Company's contract assets and liabilities are as follows (in thousands):

	February 28, 2025		August 31, 2024
Receivables, which are included in accounts receivable, net	$	111,993	$	104,335
Contract assets, which are included in other current assets	2,990		4,531
Contract liabilities, which are included in other current liabilities	5,161		2,329

Receivables: The Company performs its obligations under a contract with a customer by transferring goods or services in exchange for consideration from the customer. The Company typically invoices its customers as soon as control of an asset is transferred and a receivable for the Company is established. Accounts receivable, net is recorded at face amount of customer receivables less an allowance for doubtful accounts. The Company maintains an allowance for doubtful accounts for expected losses as a result of customers’ inability to make required payments. Management evaluates the aging of customer receivable balances, the financial condition of its customers, historical trends and the time outstanding of specific balances to estimate the amount of receivables that may be collected in the future and records the appropriate provision. The allowance for doubtful accounts was $16.6 million and $15.9 million at February 28, 2025 and August 31, 2024, respectively.

As indicated in the "Concentration of Credit Risk" section below, as of February 28, 2025 and February 29, 2024, the Company was exposed to a concentration of credit risk with an agent as a result of its continued payment delinquency. As of February 28, 2025 and February 29, 2024, the Company had a total bad debt reserve of $13.2 million related to this agent. The allowance for doubtful accounts for this particular agent as of February 28, 2025 represents management's best estimate of the amount probable of collection and considers various factors with the respect to this matter, including, but not limited to: (i) the lack of payment by the agent since the fiscal quarter ended February 28, 2021; (ii) our due diligence on balances due to the agent from its end customers related to sales of

our services and products and the known markup on those sales from the agent to end customer; (iii) the status of ongoing negotiations with the agent to secure payments; (iv) legal recourse available to secure payment; and (v) the agent is currently in bankruptcy proceedings. Actual collections from the agent may differ from the Company's estimate.

Concentration of Credit Risk: The Company sells products and services through distributors and agents. In certain jurisdictions, those third parties represent a significant portion of our sales in their respective country, which can pose a concentration of credit risk if these larger distributors or agents are not timely in their payments. As of February 28, 2025, the Company was exposed to a concentration of credit risk as a result of the payment delinquency of one of our agents whose accounts receivable represent 10.1% of the Company's outstanding accounts receivable. As of February 28, 2025, the Company has fully reserved for the amounts due from this agent.

Contract Assets: Contract assets relate to the Company’s rights to consideration for work completed but not billed as of the reporting date on contracts with customers. The contract assets are transferred to receivables when the rights become unconditional. The Company has contract assets on contracts that are generally long-term and have revenues that are recognized over time.

Contract Liabilities: As of February 28, 2025, the Company had certain contracts where there were unsatisfied performance obligations and the Company had received cash consideration from customers before the performance obligations were satisfied. The majority of these contracts relate to long-term customer contracts (project durations of greater than three months) and are recognized over time. The Company estimates that substantially all of the $5.2 million of contract liabilities will be recognized in net sales from satisfying those performance obligations within the next twelve months.

Timing of Performance Obligations Satisfied at a Point in Time: The Company evaluates when the customer obtains control of the product based on shipping terms, as control will transfer, depending upon such terms, at different points between the Company's manufacturing facility or warehouse and the customer’s location. The Company considers control to have transferred upon shipment or delivery because (i) the Company has a present right to payment at that time; (ii) the legal title has been transferred to the customer; (iii) the Company has transferred physical possession of the product to the customer; and (iv) the customer has significant risks and rewards of ownership of the product.

Variable Consideration: The Company estimates whether it will be subject to variable consideration under the terms of the contract and includes its estimate of variable consideration in the transaction price based on the expected value method when it is deemed probable of being realized based on historical experience and trends. Types of variable consideration may include rebates, incentives and discounts, among others, which are recorded as a reduction to net sales at the time when control of a performance obligation is transferred to the customer.

Practical Expedients & Exemptions: The Company elected to expense the incremental cost to obtaining a contract when the amortization period for such contracts would be one year or less. The Company does not disclose the value of unperformed obligations for (i) contracts with an original expected length of one year or less and    (ii) contracts for which it recognizes revenue at the amount to which it has the right to invoice for services performed.

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Restructuring Charges (Notes)

6 Months Ended

Feb. 28, 2025

Restructuring and Related Activities [Abstract]

Restructuring and Related Activities Disclosure [Text Block]

Note 4. Restructuring Charges

The Company undertook various restructuring initiatives, including workforce reductions, leadership changes, plant consolidations to reduce manufacturing overhead, satellite office closures, the continued movement of production and product sourcing to low-cost alternatives, and the centralization and standardization of certain administrative functions. Liabilities for severance are generally to be paid within twelve months.

On June 27, 2022, the Company approved a restructuring plan in connection with the initiatives identified as part of the ASCEND transformation program (see Note 3, “ASCEND Transformation Program”) to drive greater efficiency and productivity in global selling, general and administrative resources. The costs of this plan were predominately severance and other employee-related costs incurred as cash expenditures and impacting both IT&S and Corporate.

The Company recorded $0.4 million and $2.8 million of restructuring charges associated with the ASCEND transformation program in the three and six months ended February 29, 2024. No restructuring charges associated with the ASCEND transformation program were recorded in the three and six months ended February 28, 2025 as the ASCEND program ended at August 31, 2024 with a total restructuring charge of $18.6 million.

The following summarizes restructuring reserve activity for the IT&S segment and Corporate (in thousands):

	Six Months Ended February 28, 2025
	IT&S		Corporate
Balance as of August 31, 2024	$	3,527	$	197
Cash payments	(2,297)		(117)
Impact of changes in foreign currency rates	(41)		—
Balance as of February 28, 2025	$	1,189	$	80

	Six Months Ended February 29, 2024
	IT&S		Corporate
Balance as of August 31, 2023	$	2,238	$	74
Restructuring charges	2,588		211
Cash payments	(2,227)		(285)
Impact of changes in foreign currency rates	(5)		—
Balance as of February 29, 2024	$	2,594	$	—

Total restructuring charges (inclusive of the Other operating segment) were $0.4 million and $2.8 million in the three and six months ended February 29, 2024, being reported in "Restructuring charges." There were no restructuring charges in the three and six months ended February 28, 2025.

ASCEND Transformation Program

Note 3. ASCEND Transformation Program

In March 2022, the Company announced the start of its ASCEND transformation program. ASCEND's key initiatives included accelerating organic growth strategies, improving operational excellence and production efficiency by utilizing a Lean approach, and driving greater efficiency and productivity in selling, general and administrative ("SG&A") expense by better leveraging resources to create a more efficient and agile organization.

Total program expenses were approximately $2.0 million and $5.6 million in the three and six months ended February 29, 2024, respectively, with no expenses in the three and six months ended February 28, 2025, as the ASCEND program ended at August 31, 2024. Of the total ASCEND program expenses, $1.4 million and $2.5 million were recorded within SG&A expenses and approximately $0.2 million and $0.4 million were recorded within cost of goods sold for the three and six months ended February 29, 2024, respectively. Additionally, $0.4 million and $2.8 million of ASCEND expenses were recorded within restructuring expenses, (see Note 4, “Restructuring Charges”) for the for the three and six months ended February 29, 2024, respectively. The restructuring charges incurred were predominately severance and other employee-related costs. The ASCEND program was completed as of August 31, 2024, with total program costs of $74.7 million of which $18.6 million was restructuring charges.

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Restructuring and Related Activities

6 Months Ended

Feb. 28, 2025

Restructuring and Related Activities [Abstract]

ASCEND Transformation Program

Note 3. ASCEND Transformation Program

In March 2022, the Company announced the start of its ASCEND transformation program. ASCEND's key initiatives included accelerating organic growth strategies, improving operational excellence and production efficiency by utilizing a Lean approach, and driving greater efficiency and productivity in selling, general and administrative ("SG&A") expense by better leveraging resources to create a more efficient and agile organization.

Total program expenses were approximately $2.0 million and $5.6 million in the three and six months ended February 29, 2024, respectively, with no expenses in the three and six months ended February 28, 2025, as the ASCEND program ended at August 31, 2024. Of the total ASCEND program expenses, $1.4 million and $2.5 million were recorded within SG&A expenses and approximately $0.2 million and $0.4 million were recorded within cost of goods sold for the three and six months ended February 29, 2024, respectively. Additionally, $0.4 million and $2.8 million of ASCEND expenses were recorded within restructuring expenses, (see Note 4, “Restructuring Charges”) for the for the three and six months ended February 29, 2024, respectively. The restructuring charges incurred were predominately severance and other employee-related costs. The ASCEND program was completed as of August 31, 2024, with total program costs of $74.7 million of which $18.6 million was restructuring charges.

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Business Combinations, Asset Acquisitions, and Joint Venture Formation

6 Months Ended

Feb. 28, 2025

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

Business Combination Disclosure

Note 5.    Acquisitions

On September 4, 2024, the Company acquired 100% of the stock of DTA The Smart Move, S.A. ("DTA"), a global leader in the industrial heavy loads transportation industry, designing and manufacturing mobile robotic solutions. The acquisition provides a complement to Enerpac's Heavy Lifting Technology product line and combines the Company's existing focus on vertical lift with DTA's specialization in horizontal movement enabling the Company to provide more comprehensive solutions for customers. The Company acquired all of the assets and assumed certain liabilities of DTA for an initial purchase price of $27.2 million plus potential earn-out of €12.0 million to be paid at the end of the third year following the acquisition that is tied to the achievement of certain financial objectives with a maximum total purchase price of €36.0 million. The acquisition was funded with both cash on hand and borrowings from our existing credit facility. At February 28, 2025, the Company preliminarily recorded a liability of €2.3 million related to the potential earn-out payment and recognized $15.0 million of intangible assets made up of amortizable assets including $1.6 million in tradenames amortizable over three years, $3.6 million in customer relationship and $9.8 million in developed technology both amortizable over fourteen years.

The excess of the acquisition purchase price over the fair value assigned to the assets acquired and liabilities assumed was recorded to goodwill. The preliminary value of the assets acquired and liabilities assumed as of acquisition date were as follows (in thousands):

Current assets	$	6,464
Property, plant and equipment	2,841
Intangible assets	14,977
Goodwill	14,473
Long term assets	531
Total assets acquired	39,286
Current liabilities	(6,531)
Long term liabilities	(5,559)
Net assets acquired	$	27,196

As the Company finalizes the fair value of assets acquired and liabilities assumed, additional purchase price allocation adjustments will be recorded during the measurement period, but not to exceed 12 months following acquisition date. Adjustments in purchase price allocations may require a change in the amounts allocated to net assets acquired during the periods in which the adjustments are determined.

This acquisition generated net sales of $3.2 million and $6.4 million for the three and six months ended February 28, 2025, which are reported within the IT&S reportable segment.

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Goodwill and Other Intangible Assets

6 Months Ended

Feb. 28, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Note 6. Goodwill, Intangible Assets and Long-Lived Assets

Changes in the gross carrying value of goodwill and intangible assets result from changes in foreign currency exchange rates, business acquisitions, divestitures and impairment charges. The changes in the carrying amount of goodwill for the six months ended February 28, 2025 are as follows (in thousands):

	IT&S		Other		Total
Balance as of August 31, 2024	$	258,388	$	11,209	$	269,597
DTA Acquisition	14,473		—		14,473
Impact of changes in foreign currency rates	(6,829)		—		(6,829)
Balance as of February 28, 2025	$	266,032	$	11,209	$	277,241

The gross carrying value and accumulated amortization of the Company’s intangible assets are as follows (in thousands):

		February 28, 2025						August 31, 2024
	Weighted Average Amortization Period (Years)	Gross Carrying Value		Accumulated Amortization		Net Book Value		Gross Carrying Value		Accumulated Amortization		Net Book Value
Amortizable intangible assets:
Customer Relationships	10	$	110,568	$	99,387	$	11,181	$	109,582	$	99,530	$	10,052
Patents	13	9,738		9,279		459		9,916		9,408		508
Developed Technology	14	9,132		381		8,751		—		—		—
Trademarks and tradenames	3	4,278		2,444		1,834		2,764		2,308		456
Indefinite lived intangible assets:
Tradenames	N/A	24,457		—		24,457		25,042		—		25,042
		$	158,173	$	111,491	$	46,682	$	147,304	$	111,246	$	36,058

The Company estimates that amortization expense will be $1.9 million for the remaining six months of fiscal 2025. Amortization expense for future years is estimated to be: $3.2 million in both fiscal 2026 and 2027, $2.6 million in fiscal 2028, $2.4 million in fiscal 2029, $1.6 million in fiscal 2030 and $7.4 million cumulatively thereafter. The future amortization expense amounts represent estimates and may be impacted by future acquisitions, divestitures, or changes in foreign currency exchange rates, among other causes.

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Product Warranty Costs

6 Months Ended

Feb. 28, 2025

Guarantees [Abstract]

Product Warranty Costs

Product Warranty Costs

The Company generally offers its customers an assurance warranty on products sold, although warranty periods may vary by product type and application. The reserve for future warranty claims, which is recorded within the "Other current liabilities" line in the Condensed Consolidated Balance Sheets, is based on historical claim rates and current warranty cost experience. The following is a roll-forward of the changes in product warranty reserves for the six months ended February 28, 2025 and February 29, 2024 (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Beginning balance	$	534	$	856
Provision for warranties	478		132
Warranty payments and costs incurred	(485)		(318)
Warranty activity for acquired businesses	381		—
Impact of changes in foreign currency rates	(18)		(1)
Ending balance	$	890	$	669

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Debt

6 Months Ended

Feb. 28, 2025

Debt Disclosure [Abstract]

Debt

Note 7. Debt

The following is a summary of the Company’s long-term indebtedness (in thousands):

	February 28, 2025		August 31, 2024
Senior Credit Facility
Revolver	$	—	$	—
Term Loan	192,500		195,000
Total Senior Indebtedness	192,500		195,000
Less: Current maturities of long-term debt	(5,000)		(5,000)
Debt issuance costs	(414)		(497)
Total long-term debt, less current maturities	$	187,086	$	189,503

Senior Credit Facility

On September 9, 2022, the Company refinanced its previous senior credit facility with a new $600 million senior credit facility, comprised of a $400 million revolving line of credit and a $200 million term loan, which is scheduled to mature in September 2027. The Company has the option to request up to $300 million of additional revolving commitments and/or term loans under the new facility, subject to customary conditions, including the commitment of the participating lenders. This facility replaces LIBOR with adjusted term SOFR as the interest rate benchmark and provides for interest rate margins above adjusted term SOFR ranging from 1.125% to 1.875% per annum depending on the Company’s net leverage ratio. In addition, a non-use fee is payable quarterly on the average unused amount of the revolving line of credit ranging from 0.15% to 0.3% per annum, based on the Company's net leverage. Borrowings under the credit facility bear interest at adjusted term SOFR plus 1.125% per annum.

The facility contains financial covenants requiring the Company to not permit (i) the net leverage ratio, determined as of the end of each of its fiscal quarters, to exceed 3.75 to 1.00 (or, at the Company’s election and subject to certain conditions, 4.25 to 1.00 for the covenants period during which certain material acquisitions occur and the next succeeding four testing periods) or (ii) the interest coverage ratio, determined as of the end of each of its fiscal quarters, to be less than 3.00 to 1.00. Borrowings under the facility are secured by substantially all personal property assets of the Company and its domestic subsidiary guarantors (other than certain specified excluded assets) and certain of the equity interests of certain subsidiaries of the Company. The Company was in compliance with all covenants under the credit facility at February 28, 2025.

At February 28, 2025, there were $192.5 million in borrowings outstanding under the term loans, no borrowings outstanding under the revolving line of credit and $398.5 million available for borrowing under the revolving line of credit facility after reduction for $1.5 million of outstanding letters of credit issued under the facility.

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Fair Value Measurement

6 Months Ended

Feb. 28, 2025

Fair Value Disclosures [Abstract]

Fair Value Measurement

Note 8. Fair Value Measurements

The Company assesses the inputs used to measure the fair value of financial assets and liabilities using a three-tier hierarchy. Level 1 inputs include unadjusted quoted prices for identical instruments and are the most observable. Level 2 inputs include quoted prices for similar assets and observable inputs such as interest rates, foreign currency exchange rates, commodity rates and yield curves. Level 3 inputs are not observable in the market and include management’s own judgments about the assumptions market participants would use in pricing an asset or liability.

The fair value of the Company’s cash and cash equivalents, accounts receivable, accounts payable and variable rate long-term debt approximated book value at both February 28, 2025 and August 31, 2024 due to their short-term nature and the fact that the interest rates approximated market rates. Foreign currency exchange contracts and interest rate swaps are recorded at fair value. The fair value of the Company's foreign currency exchange contracts was a net asset of less than $0.1 million and a net liability of $0.3 million at February 28, 2025 and August 31, 2024, respectively.

The fair value of the Company's interest rate swap and net investment hedge was an asset of less than $0.1 million and $1.0 million at February 28, 2025, respectively, and an asset of less than $0.1 million and a liability of $1.6 million at August 31, 2024, respectively, (see Note 9, “Derivatives”, for further information on the Company's interest rate swap and net investment hedge.) The fair value of all derivative contracts were based on quoted inactive market prices and therefore classified as Level 2 within the valuation hierarchy.

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Derivatives

6 Months Ended

Feb. 28, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives and Fair Value [Text Block]

Note 9. Derivatives

All derivatives are recognized in the balance sheet at their estimated fair value. The Company does not enter into derivatives for speculative purposes. Changes in the fair value of derivatives (not designated as hedges) are recorded in earnings along with the gain or loss on the hedged asset or liability.

The Company is exposed to market risk for changes in foreign currency exchange rates due to the global nature of its operations. In order to manage this risk, the Company utilizes foreign currency exchange contracts to reduce the exchange rate risk associated with recognized non-functional currency balances. The effects of changes in exchange rates are reflected concurrently in earnings for both the fair value of the foreign currency exchange contracts and the related non-functional currency asset or liability. These derivative gains and losses offset foreign currency gains and losses from the related revaluation of non-functional currency assets and liabilities (amounts included in "Other expense, net" in the Condensed Consolidated Statements of Earnings). The U.S. dollar equivalent notional value of these short duration foreign currency exchange contracts was $9.8 million and $15.6 million at February 28, 2025 and August 31, 2024, respectively. The fair value of outstanding foreign currency exchange contracts was a net asset of less than $0.1 million and net liability of $0.3 million at February 28, 2025 and August 31, 2024, respectively. Net foreign currency loss (gain) (included in "Other expense, net" in the Condensed Consolidated Statements of Earnings) related to these derivative instruments are as follows (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Foreign currency loss (gain)	$	100	$	106	$	(119)	$	398

During December 2022, the Company entered into an interest rate swap, with a maturity date of November 30, 2025, for the notional amount of $60.0 million at a fixed interest rate of 4.022% to hedge the floating interest rate of the Company's term loan. The interest rate swap was designated and qualified as a cash flow hedge. The Company uses the interest rate swap for the management of interest rate risk exposure, as the interest rate swap effectively converts a portion of the Company's debt from a floating rate to a fixed rate.

The Company records the fair value of the interest rate swap as an asset or liability on its balance sheet. The change in the fair value of the interest rate swap, a net loss of less than $0.1 million and a net gain of less than $0.1 million for the three and six months ended February 28, 2025, respectively, and a net gain of less than $0.1 million and a net loss of $0.1 million for three and six months ended February 29, 2024, respectively, is recorded in other comprehensive income.

The Company also uses interest-rate derivatives to hedge portions of our net investments in non-U.S. subsidiaries (net investment hedge) against the effect of exchange rate fluctuations on the translation of foreign currency balances to the U.S. dollar. For derivatives that are designated and qualify as a net investment hedge in a foreign operation, the net gains or losses attributable to the hedge changes are recorded in other comprehensive income (loss) where they offset gains and losses recorded on our net investments where the entity has non-U.S. dollar functional currency. During December 2022, the Company entered into a cross-currency swap designated as a net investment hedge with a notional amount of $30.5 million. On October 28, 2024, the Company entered into an incremental cross-currency swap designated as a net investment hedge with a notional amount of $14.1 million. The change in the fair value of the net investment hedges, a net gain of $0.7 million and $2.0 million for the three and six months ended February 28, 2025, respectively, and a net gain of $0.3 million and $0.2 million for the three and six months ended February 29, 2024, respectively, is recorded in other comprehensive income.

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Capital Stock and Share Repurchase

6 Months Ended

Feb. 28, 2025

Earnings Per Share [Abstract]

Capital Stock and Share Repurchase

Note 10. Earnings per Share and Shareholders' Equity

The Company's Board of Directors has authorized the repurchase of shares of the Company's common stock under publicly announced share repurchase programs. Since the inception of the initial share repurchase program in fiscal 2012, the Company has repurchased 30,411,708 shares of common stock for $853.4 million. The Company suspended the initial share repurchase program in response to the COVID-19 pandemic in the third quarter of fiscal 2020. In March 2022, the Company's Board of Directors rescinded its prior share repurchase authorization and approved a new share repurchase program authorizing the repurchase of a total of 10,000,000 shares of the Company's outstanding common stock.

In December 2023, the Company's Board of Directors authorized the retirement of the Company's repurchased shares. In addition to the initial share retirement, the Company repurchased and retired an additional 139,324 shares, which included 25,737 shares repurchased after December 18, 2023 that were immediately retired upon repurchase, in the three months ended February 29, 2024. The Company repurchased and retired 1,094,231 shares for $30.1 million in the six months ended February 29, 2024 and 329,527 shares for $14.6 million in the six months ended February 28, 2025. The maximum number of shares that may yet be purchased under the program is 2,387,522 shares.

The reconciliation between basic and diluted earnings per share is as follows (in thousands, except per share amounts):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Numerator:
Net earnings from continuing operations	$	20,901	$	17,871	$	42,624	$	36,177
Earnings (loss) from discontinued operations, net of income taxes	—		(54)		—		(622)
Net earnings	$	20,901	$	17,817	$	42,624	$	35,555
Denominator:
Weighted average common shares outstanding - basic	54,397		54,213		54,319		54,370
Net effect of dilutive securities - stock based compensation plans	411		472		491		476
Weighted average common shares outstanding - diluted	54,808		54,685		54,810		54,846
Earnings per share from continuing operations
Basic	$	0.38	$	0.33	$	0.78	$	0.67
Diluted	$	0.38	$	0.33	$	0.78	$	0.66
Earnings (loss) per share from discontinued operations
Basic	$	0.00	$	(0.00)	$	0.00	$	(0.01)
Diluted	$	0.00	$	(0.00)	$	0.00	$	(0.01)
Earnings per share:*
Basic	$	0.38	$	0.33	$	0.78	$	0.65
Diluted	$	0.38	$	0.33	$	0.78	$	0.65
Anti-dilutive securities from stock based compensation plans (excluded from earnings per share calculation)	192		71		121		191
*The total of Earnings per share from continuing operations and Loss per share from discontinued operations may not equal Earnings per share due to rounding.

The following table illustrates the changes in the balances of each component of shareholders' equity for the six months ended February 28, 2025 (in thousands):

	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at August 31, 2024	54,235	$	10,847	$	235,660	$	—	$	261,870	$	(116,398)	$	(3,777)	$	3,777	$	391,979
Net earnings	—	—		—		—		21,723		—		—		—		21,723
Other comprehensive loss, net of tax	—	—		—		—		—		(9,676)		—		—		(9,676)
Stock contribution to employee benefit plans and other	2	—		91		—		—		—		—		—		91
Vesting of equity awards	186	37		(37)		—		—		—		—		—		—
Cash dividend ($0.04 per share)	—	—		—		—		3		—		—		—		3
Stock based compensation expense	—	—		3,345		—		—		—		—		—		3,345
Stock option exercises	87	18		1,310		—		—		—		—		—		1,328
Tax effect related to net share settlement of equity awards	—	—		(6,405)		—		—		—		—		—		(6,405)
Stock issued to, acquired for and distributed from rabbi trust	—	—		—		—		—		—		3		(3)		—
Treasury stock repurchased and retired	(110)	(22)		—		—		(4,357)		—		—		—		(4,379)
Balance at November 30, 2024	54,400	10,880		233,964		—		279,239		(126,074)		(3,774)		3,774		398,009
Net earnings	—	—		—		—		20,901		—		—		—		20,901
Other comprehensive loss, net of tax	—	—		—		—		—		(4,827)		—		—		(4,827)
Stock contribution to employee benefit plans and other	2	—		97		—		—		—		—		—		97
Vesting of equity awards	73	14		(14)		—		—		—		—		—		—
Stock based compensation expense	—	—		2,841		—		—		—		—		—		2,841
Stock option exercises	2	1		37		—		—		—		—		—		38
Tax effect related to net share settlement of equity awards	—	—		(996)		—		—		—		—		—		(996)
Stock issued to, acquired for and distributed from rabbi trust	2	1		90		—		—		—		199		(199)		91
Treasury stock repurchased and retired	(220)	(44)		—		—		(10,132)		—		—		—		(10,176)
Balance at February 28, 2025	54,259	$	10,852	$	236,019	$	—	$	290,008	$	(130,901)	$	(3,575)	$	3,575	$	405,978

The following table illustrates the changes in the balances of each component of shareholders' equity for the six months ended February 29, 2024 (in thousands):

	Common Stock			Additional Paid-in Capital		Treasury Stock		Retained Earnings		Accumulated Other Comprehensive Loss		Stock Held in Trust		Deferred Compensation Liability		Total Shareholders’ Equity
	Issued Shares	Amount
Balance at August 31, 2023	83,761	$	16,752	$	220,472	$	(800,506)	$	1,011,112	$	(121,210)	$	(3,484)	$	3,484	$	326,620
Net earnings	—	—		—		—		17,738		—		—		—		17,738
Other comprehensive income, net of tax	—	—		—		—		—		370		—		—		370
Stock contribution to employee benefit plans and other	2	—		51		—		—		—		—		—		51
Vesting of equity awards	118	23		(23)		—		—		—		—		—		—
Cash dividend ($0.04 per share)	—	—		—		—		21		—		—		—		21
Treasury stock repurchases	—	—		—		(26,116)		—		—		—		—		(26,116)
Stock based compensation expense	—	—		2,717		—		—		—		—		—		2,717
Stock option exercises	83	17		2,193		—		—		—		—		—		2,210
Tax effect related to net share settlement of equity awards	—	—		(2,025)		—		—		—		—		—		(2,025)
Stock issued to, acquired for and distributed from rabbi trust	3	1		89		—		—		—		(92)		92		90
Balance at November 30, 2023	83,967	16,793		223,474		(826,622)		1,028,871		(120,840)		(3,576)		3,576		321,676
Net earnings	—	—		—		—		17,817		—		—		—		17,817
Other comprehensive loss, net of tax	—	—		—		—		—		(1,207)		—		—		(1,207)
Stock contribution to employee benefit plans and other	1	—		35		—		—		—		—		—		35
Vesting of equity awards	105	21		(21)		—		—		—		—		—		—
Stock based compensation expense	—	—		2,810		—		—		—		—		—		2,810
Stock option exercises	21	5		472		—		—		—		—		—		477
Tax effect related to net share settlement of equity awards	—	—		(953)		—		—		—		—		—		(953)
Stock issued to, acquired for and distributed from rabbi trust	26	5		258		—		—		—		(201)		201		263
Treasury stock repurchases	—	—		—		(3,992)		—		—		—		—		(3,992)
Treasury stock retired	(29,867)	(5,973)		—		830,614		(824,641)		—		—		—		—
Balance at February 29, 2024	54,253	$	10,851	$	226,075	$	—	$	222,047	$	(122,047)	$	(3,777)	$	3,777	$	336,926

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Income Taxes

6 Months Ended

Feb. 28, 2025

Income Tax Disclosure [Abstract]

Income Taxes

Note 11. Income Taxes

The Company's global operations, acquisition activity (as applicable) and specific tax attributes provide opportunities for continuous global tax planning initiatives to maximize tax credits and deductions. Comparative earnings before income taxes, income tax expense and effective income tax rates from continuing operations are as follows (dollars in thousands):

	Three Months Ended						Six Months Ended
	February 28, 2025			February 29, 2024			February 28, 2025			February 29, 2024
Earnings before income tax expense	$	27,699		$	25,267		$	55,575		$	49,241
Income tax expense	6,798			7,396			12,951			13,064
Effective income tax rate	24.5		%	29.3		%	23.3		%	26.5		%

The Company’s earnings from continuing operations before income taxes include earnings from both U.S. and foreign jurisdictions. As several foreign tax rates are higher than the U.S. tax rate of 21%, the annual effective tax rate is impacted by foreign rate differentials, withholding taxes, losses in jurisdictions where no benefit can be realized, and various aspects of the U.S. Tax Cuts and Jobs Act, such as the Global Intangible Low-Taxed Income and Foreign-Derived Intangible Income provisions.

The effective tax rate for the three months ended February 28, 2025 was 24.5%, compared to 29.3% for the comparable prior-year period. The effective tax rate in each time period was impacted by year-to-date losses and deductions in jurisdictions where no tax benefit can be realized. The lower effective tax rate for the three months ended February 28, 2025 was primarily driven by the more favorable tax impact of stock compensation in comparison to the prior period. Both the current and prior-year effective income tax rates include the impact of non-recurring items.

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Segment Information

6 Months Ended

Feb. 28, 2025

Segment Reporting [Abstract]

Segment Information

Note 12. Segment Information

The Company is a global manufacturer of a broad range of industrial products and solutions. The IT&S reportable segment is primarily engaged in the design, manufacture and distribution of branded hydraulic and mechanical tools and in providing services and tool rental to the infrastructure; industrial maintenance; repair and operations; oil & gas; mining; alternative and renewable energy; civil construction and other markets. The Other segment is included for purposes of reconciliation of the respective balances below to the condensed consolidated financial statements.

The following tables summarize financial information by reportable segment and product line (in thousands):    

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Net Sales by Reportable Segment & Product Line
IT&S Segment
Product	$	113,880	$	107,942	$	219,966	$	212,862
Service & Rental	26,836		26,880		60,884		58,994
	140,716		134,822		280,850		271,856
Other Segment	4,812		3,615		9,874		8,550
	$	145,528	$	138,437	$	290,724	$	280,406
Operating Profit (Loss)
IT&S Segment	$	38,736	$	37,415	$	76,728	$	72,980
Other Segment	1,301		(79)		2,620		1,892
Corporate	(9,217)		(7,815)		(17,396)		(16,688)
	$	30,820	$	29,521	$	61,952	$	58,184

	February 28, 2025		August 31, 2024
Assets
IT&S Segment	$	642,924	$	613,797
Other Segment	26,576		26,533
Corporate	107,127		136,998
	$	776,627	$	777,328

In addition to the impact of changes in foreign currency exchange rates, the comparability of segment and product line information is impacted by acquisition/divestiture activities, impairment and divestiture charges, restructuring costs and related benefits. Corporate assets, which are not allocated, principally represent cash and cash equivalents, property, plant and equipment, Right of Use ("ROU") assets, capitalized debt issuance costs and deferred income taxes.

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Contingencies and Litigation

6 Months Ended

Feb. 28, 2025

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies Disclosure

Note 13. Commitments and Contingencies

The Company had outstanding letters of credit of $4.0 million and surety bonds of $3.8 million at February 28, 2025 and $4.4 million of letters of credit and $3.8 million of surety bonds at August 31, 2024, the majority of which relate to commercial contracts and self-insured workers' compensation programs.

As part of the Company's global sourcing strategy, we have entered into agreements with certain suppliers that require the supplier to maintain minimum levels of inventory to support certain products for which we require a short lead time to fulfill customer orders. We have the ability to notify the supplier that they no longer need maintain the minimum level of inventory should we discontinue manufacturing of a product during the contract period; however, we must purchase the remaining minimum inventory levels the supplier was required to maintain within a defined period of time.

The Company is a party to various legal proceedings that have arisen in the normal course of business. These legal proceedings include regulatory matters, product liability, breaches of contract, employment, personal injury and other disputes. The Company has recorded reserves for loss contingencies based on the specific circumstances of each case. Such reserves are recorded when it is probable a loss has been incurred and can be reasonably estimated. The Company maintains a policy to exclude from such reserves an estimate of legal defense costs. In the opinion of management, resolution of these contingencies is not expected to have a material adverse effect on the Company’s financial position, results of operations or cash flows.

Additionally, in fiscal 2019, the Company provided voluntary self-disclosures to both Dutch and U.S. authorities related to sales of products and services linked to the Crimea region of Ukraine, which potentially violated European Union and U.S. sanctions provisions. Although the U.S. investigation closed without further implication, the Dutch investigation continued. The Dutch Investigator concluded his investigation in March 2022 and provided the results to the Public Prosecutor's office for review. Specifically, the Investigator concluded that the sales transactions violated EU sanctions. The conclusion in the Investigator's report was consistent with the Company's understanding of what could be stated in the report and supported the Company to record an expense in the fiscal year-ended August 31, 2021, representing the low end of a reasonable range of financial penalties the Company may incur as no other point within the range was deemed more probable. The Company has not adjusted its estimate of financial penalties as a result of the completion of the investigation in the six months ended February 28, 2025. While there can be no assurance of the ultimate outcome of the matter, the Company currently believes that there will be no material adverse effect on the Company's financial position, results of operations or cash flows from this matter.

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Leases Leases

6 Months Ended

Feb. 28, 2025

Leases [Abstract]

Lessee, Operating Leases [Text Block]

Note 14. Leases

The Company has operating leases for real estate, vehicles, manufacturing equipment, IT equipment and office equipment (the Company does not have any significant financing leases). Our leases typically range in term from 3 to 15 years and may contain renewal options for periods up to 5 years at our discretion. Operating leases are recorded as operating lease ROU assets in “Other long-term assets” and operating lease liabilities in “Other current liabilities” and “Other long-term liabilities” of the Condensed Consolidated Balance Sheets. There have been no material changes to our operating lease ROU assets and operating lease liabilities during the six months ended February 28, 2025.

The components of lease expense were as follows (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Lease Cost:
Operating lease cost	$	3,070	$	3,209	$	6,170	$	6,185
Short-term lease cost	409		524		880		1,109
Variable lease cost	1,159		731		2,078		1,650

Supplemental cash flow and other information related to leases were as follows (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	5,970	$	6,081
Right-of-use assets obtained in exchange for new lease liabilities:
Operating leases	1,573		2,197

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Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Feb. 28, 2025	Nov. 30, 2024	Feb. 29, 2024	Nov. 30, 2023	Feb. 28, 2025	Feb. 29, 2024
Pay vs Performance Disclosure
Net (loss) earnings	$ 20,901	$ 21,723	$ 17,817	$ 17,738	$ 42,624	$ 35,555

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Insider Trading Arrangements

3 Months Ended

Feb. 28, 2025

Trading Arrangements, by Individual

Material Terms of Trading Arrangement

During the three months ended February 28, 2025, none of the Company’s directors or officers (as defined in Rule 16a-1(f) of the Exchange Act) Adopted or terminated a “Rule 10b5-l trading arrangement” or adopted or terminated a “non-Rule 10b5-1 trading arrangement” (as such terms are defined in Item 408 of Regulation S-K).

Rule 10b5-1 Arrangement Adopted

false

Non-Rule 10b5-1 Arrangement Adopted

false

Rule 10b5-1 Arrangement Terminated

false

Non-Rule 10b5-1 Arrangement Terminated

false

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Basis of Presentation Property, Plant and Equipment

6 Months Ended

Feb. 28, 2025

Property, Plant and Equipment [Line Items]

Property, Plant and Equipment [Table Text Block]

Property Plant and Equipment

The following is a summary of the components included within the Company's property, plant and equipment (in thousands):

	February 28, 2025		August 31, 2024
Land, buildings and improvements	$	25,059	$	14,670
Machinery and equipment	144,841		145,604
Gross property, plant and equipment	169,900		160,274
Less: Accumulated depreciation	(120,874)		(119,989)
Property, plant and equipment, net	$	49,026	$	40,285

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Basis of Presentation Basis of Presentation (Policies)

6 Months Ended

Feb. 28, 2025

Accounting Policies [Abstract]

Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]

Accumulated Other Comprehensive Loss

The following is a summary of the components included within the Company's accumulated other comprehensive loss (in thousands):

	February 28, 2025		August 31, 2024
Foreign currency translation adjustments	$	114,317	$	99,215
Pension and other postretirement benefit plans	16,606		17,187
Cash flow hedges	(22)		(4)
Accumulated other comprehensive loss	$	130,901	$	116,398

Property, Plant and Equipment [Table Text Block]

Property Plant and Equipment

The following is a summary of the components included within the Company's property, plant and equipment (in thousands):

	February 28, 2025		August 31, 2024
Land, buildings and improvements	$	25,059	$	14,670
Machinery and equipment	144,841		145,604
Gross property, plant and equipment	169,900		160,274
Less: Accumulated depreciation	(120,874)		(119,989)
Property, plant and equipment, net	$	49,026	$	40,285

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Revenue Recognition Disaggregation of Revenues (Tables)

6 Months Ended

Feb. 28, 2025

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue [Table Text Block]

The following table presents information regarding revenues disaggregated by the timing of when goods and services are transferred (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Revenues recognized at point in time	$	117,448	$	108,385	$	226,745	$	214,526
Revenues recognized over time	28,080		30,052		63,979		65,880
Total	$	145,528	$	138,437	$	290,724	$	280,406

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Revenue Recognition Contract with Customer, Assets and Liabilities (Tables)

6 Months Ended

Feb. 28, 2025

Revenue from Contract with Customer [Abstract]

Contract with Customer, Contract Asset, Contract Liability, and Receivable [Table Text Block]

Contract Balances

The Company's contract assets and liabilities are as follows (in thousands):

	February 28, 2025		August 31, 2024
Receivables, which are included in accounts receivable, net	$	111,993	$	104,335
Contract assets, which are included in other current assets	2,990		4,531
Contract liabilities, which are included in other current liabilities	5,161		2,329

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Restructuring Charges (Tables)

6 Months Ended

Feb. 28, 2025

Restructuring and Related Activities [Abstract]

Restructuring and Related Costs [Table Text Block]

The following summarizes restructuring reserve activity for the IT&S segment and Corporate (in thousands):

	Six Months Ended February 28, 2025
	IT&S		Corporate
Balance as of August 31, 2024	$	3,527	$	197
Cash payments	(2,297)		(117)
Impact of changes in foreign currency rates	(41)		—
Balance as of February 28, 2025	$	1,189	$	80

	Six Months Ended February 29, 2024
	IT&S		Corporate
Balance as of August 31, 2023	$	2,238	$	74
Restructuring charges	2,588		211
Cash payments	(2,227)		(285)
Impact of changes in foreign currency rates	(5)		—
Balance as of February 29, 2024	$	2,594	$	—

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Business Combinations, Asset Acquisitions, and Joint Venture Formation (Tables)

6 Months Ended

Feb. 28, 2025

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The excess of the acquisition purchase price over the fair value assigned to the assets acquired and liabilities assumed was recorded to goodwill. The preliminary value of the assets acquired and liabilities assumed as of acquisition date were as follows (in thousands):

Current assets	$	6,464
Property, plant and equipment	2,841
Intangible assets	14,977
Goodwill	14,473
Long term assets	531
Total assets acquired	39,286
Current liabilities	(6,531)
Long term liabilities	(5,559)
Net assets acquired	$	27,196

As the Company finalizes the fair value of assets acquired and liabilities assumed, additional purchase price allocation adjustments will be recorded during the measurement period, but not to exceed 12 months following acquisition date. Adjustments in purchase price allocations may require a change in the amounts allocated to net assets acquired during the periods in which the adjustments are determined.

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Discontinued Operations & Other Divestiture Charges Discontinued Operations Balance Sheet and Statement of Operations (Tables) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Discontinued Operations and Disposal Groups [Abstract]
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent	$ 0	$ (54)	$ 0	$ (622)

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Goodwill and Other Intangible Assets (Tables)

6 Months Ended

Feb. 28, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill

The changes in the carrying amount of goodwill for the six months ended February 28, 2025 are as follows (in thousands):

	IT&S		Other		Total
Balance as of August 31, 2024	$	258,388	$	11,209	$	269,597
DTA Acquisition	14,473		—		14,473
Impact of changes in foreign currency rates	(6,829)		—		(6,829)
Balance as of February 28, 2025	$	266,032	$	11,209	$	277,241

Schedule Of Finite Lived And Indefinite Lived Intangible Assets Table

The gross carrying value and accumulated amortization of the Company’s intangible assets are as follows (in thousands):

		February 28, 2025						August 31, 2024
	Weighted Average Amortization Period (Years)	Gross Carrying Value		Accumulated Amortization		Net Book Value		Gross Carrying Value		Accumulated Amortization		Net Book Value
Amortizable intangible assets:
Customer Relationships	10	$	110,568	$	99,387	$	11,181	$	109,582	$	99,530	$	10,052
Patents	13	9,738		9,279		459		9,916		9,408		508
Developed Technology	14	9,132		381		8,751		—		—		—
Trademarks and tradenames	3	4,278		2,444		1,834		2,764		2,308		456
Indefinite lived intangible assets:
Tradenames	N/A	24,457		—		24,457		25,042		—		25,042
		$	158,173	$	111,491	$	46,682	$	147,304	$	111,246	$	36,058

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Product Warranty Costs (Tables)

6 Months Ended

Feb. 28, 2025

Guarantees [Abstract]

Schedule of Product Warranty Liability

The following is a roll-forward of the changes in product warranty reserves for the six months ended February 28, 2025 and February 29, 2024 (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Beginning balance	$	534	$	856
Provision for warranties	478		132
Warranty payments and costs incurred	(485)		(318)
Warranty activity for acquired businesses	381		—
Impact of changes in foreign currency rates	(18)		(1)
Ending balance	$	890	$	669

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Debt (Tables)

6 Months Ended

Feb. 28, 2025

Debt Disclosure [Abstract]

Long-Term Indebtedness

The following is a summary of the Company’s long-term indebtedness (in thousands):

	February 28, 2025		August 31, 2024
Senior Credit Facility
Revolver	$	—	$	—
Term Loan	192,500		195,000
Total Senior Indebtedness	192,500		195,000
Less: Current maturities of long-term debt	(5,000)		(5,000)
Debt issuance costs	(414)		(497)
Total long-term debt, less current maturities	$	187,086	$	189,503

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Derivatives Derivatives (Tables)

6 Months Ended

Feb. 28, 2025

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments, Gain (Loss) [Table Text Block]

Net foreign currency loss (gain) (included in "Other expense, net" in the Condensed Consolidated Statements of Earnings) related to these derivative instruments are as follows (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Foreign currency loss (gain)	$	100	$	106	$	(119)	$	398

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Earnings Per Share (Tables)

6 Months Ended

Feb. 28, 2025

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The reconciliation between basic and diluted earnings per share is as follows (in thousands, except per share amounts):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Numerator:
Net earnings from continuing operations	$	20,901	$	17,871	$	42,624	$	36,177
Earnings (loss) from discontinued operations, net of income taxes	—		(54)		—		(622)
Net earnings	$	20,901	$	17,817	$	42,624	$	35,555
Denominator:
Weighted average common shares outstanding - basic	54,397		54,213		54,319		54,370
Net effect of dilutive securities - stock based compensation plans	411		472		491		476
Weighted average common shares outstanding - diluted	54,808		54,685		54,810		54,846
Earnings per share from continuing operations
Basic	$	0.38	$	0.33	$	0.78	$	0.67
Diluted	$	0.38	$	0.33	$	0.78	$	0.66
Earnings (loss) per share from discontinued operations
Basic	$	0.00	$	(0.00)	$	0.00	$	(0.01)
Diluted	$	0.00	$	(0.00)	$	0.00	$	(0.01)
Earnings per share:*
Basic	$	0.38	$	0.33	$	0.78	$	0.65
Diluted	$	0.38	$	0.33	$	0.78	$	0.65
Anti-dilutive securities from stock based compensation plans (excluded from earnings per share calculation)	192		71		121		191
*The total of Earnings per share from continuing operations and Loss per share from discontinued operations may not equal Earnings per share due to rounding.

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Income Taxes Income Taxes (Tables)

6 Months Ended

Feb. 28, 2025

Income Tax Disclosure [Abstract]

Income Tax Effective Tax Rate [Table Text Block]

Comparative earnings before income taxes, income tax expense and effective income tax rates from continuing operations are as follows (dollars in thousands):

	Three Months Ended						Six Months Ended
	February 28, 2025			February 29, 2024			February 28, 2025			February 29, 2024
Earnings before income tax expense	$	27,699		$	25,267		$	55,575		$	49,241
Income tax expense	6,798			7,396			12,951			13,064
Effective income tax rate	24.5		%	29.3		%	23.3		%	26.5		%

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Segment Information (Tables)

6 Months Ended

Feb. 28, 2025

Segment Reporting [Abstract]

Summary of Financial Information by Reportable Segment and Product Line

The following tables summarize financial information by reportable segment and product line (in thousands):    

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Net Sales by Reportable Segment & Product Line
IT&S Segment
Product	$	113,880	$	107,942	$	219,966	$	212,862
Service & Rental	26,836		26,880		60,884		58,994
	140,716		134,822		280,850		271,856
Other Segment	4,812		3,615		9,874		8,550
	$	145,528	$	138,437	$	290,724	$	280,406
Operating Profit (Loss)
IT&S Segment	$	38,736	$	37,415	$	76,728	$	72,980
Other Segment	1,301		(79)		2,620		1,892
Corporate	(9,217)		(7,815)		(17,396)		(16,688)
	$	30,820	$	29,521	$	61,952	$	58,184

	February 28, 2025		August 31, 2024
Assets
IT&S Segment	$	642,924	$	613,797
Other Segment	26,576		26,533
Corporate	107,127		136,998
	$	776,627	$	777,328

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Leases Components of Lease Expense (Tables)

6 Months Ended

Feb. 28, 2025

Components of Lease Expense [Abstract]

Lease, Cost [Table Text Block]

The components of lease expense were as follows (in thousands):

	Three Months Ended				Six Months Ended
	February 28, 2025		February 29, 2024		February 28, 2025		February 29, 2024
Lease Cost:
Operating lease cost	$	3,070	$	3,209	$	6,170	$	6,185
Short-term lease cost	409		524		880		1,109
Variable lease cost	1,159		731		2,078		1,650

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Leases Supplemental Cash Flow Information Related to Leases (Tables)

6 Months Ended

Feb. 28, 2025

Supplemental Cash Flow Information Related to Leases [Abstract]

Supplemental Cash Flow Information Related to Leases [Table Text Block]

Supplemental cash flow and other information related to leases were as follows (in thousands):

	Six Months Ended
	February 28, 2025		February 29, 2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	5,970	$	6,081
Right-of-use assets obtained in exchange for new lease liabilities:
Operating leases	1,573		2,197

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Basis of Presentation Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands	Feb. 28, 2025	Aug. 31, 2024
Property, Plant and Equipment [Line Items]
Land, buildings and improvements	$ 25,059	$ 14,670
Machinery and equipment	144,841	145,604
Gross Property, Plant and Equipment	169,900	160,274
Less: Accumulated Depreciation	(120,874)	(119,989)
Property, Plant and Equipment, Net	$ 49,026	$ 40,285

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Basis of Presentation Basis of Presentation (Details) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024	Aug. 31, 2024	Aug. 31, 2023
Condensed Statement of Income Captions [Line Items]
AOCI, Cash Flow Hedge, Cumulative Gain (Loss), after Tax	$ (22,000)		$ (22,000)		$ (4,000)
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax	114,317,000		114,317,000		99,215,000
Standard and Extended Product Warranty Accrual	890,000	$ 669,000	890,000	$ 669,000	534,000	$ 856,000
Standard and Extended Product Warranty Accrual, Increase for Warranties Issued			478,000	132,000
Warranty Payments and costs incurred			(485,000)	(318,000)
Standard and Extended Product Warranty Accrual, Additions from Business Acquisition			381,000	$ 0
Extended Product Warranty Accrual, Foreign Currency Translation Gain (Loss)	(18,000)	$ (1,000)
AOCI - Pension and other postretirement benefit plans, net of tax	16,606,000		16,606,000		17,187,000
Accumulated Other Comprehensive Income (Loss), Net of Tax	130,901,000		130,901,000		116,398,000
AOCI Attributable to Parent [Member]
Condensed Statement of Income Captions [Line Items]
Accumulated Other Comprehensive Income (Loss), Net of Tax	$ 130,901,000		$ 130,901,000		$ 116,398,000

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Revenue Recognition Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Disaggregation of Revenue [Line Items]
Revenues	$ 145,528	$ 138,437	$ 290,724	$ 280,406
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease)			13,200
Revenue Recognized at a Point in Time [Member]
Disaggregation of Revenue [Line Items]
Revenues	117,448	108,385	226,745	214,526
Transferred over Time [Member]
Disaggregation of Revenue [Line Items]
Revenues	$ 28,080	$ 30,052	$ 63,979	$ 65,880

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Revenue Recognition Contract with Customer, Asset and Liability (Details) - USD ($) $ in Thousands	6 Months Ended
	Feb. 28, 2025	Aug. 31, 2024
Revenue from Contract with Customer [Abstract]
Accounts Receivable, Allowance for Credit Loss, Current	$ 16,600	$ 15,900
Accounts receivable, net	111,993	104,335
Contract assets	2,990	4,531
Contract liabilities	5,161	$ 2,329
Revenue, remaining performance obligation, within next twelve months	5,200
Accounts Receivable, Allowance for Credit Loss, Period Increase (Decrease)	$ 13,200
Concentration Risk, Customer	10.1

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Restructuring Charges (Details) - USD ($)	3 Months Ended		6 Months Ended		26 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024	Aug. 31, 2024
Restructuring Reserve [Roll Forward]
Restructuring Charges	$ 0	$ 398,000	$ 0	$ 2,799,000
ASCEND Restructuring Plan
Restructuring Reserve [Roll Forward]
Restructuring Charges		400,000		2,800,000	$ 18,600,000
Industrial Tools & Services [Member] [Domain] | ASCEND Restructuring Plan
Restructuring Reserve [Roll Forward]
Beginning Balance			3,527,000	2,238,000
Restructuring Charges				2,588,000
Cash payments	(2,297,000)			(2,227,000)
Impact of changes in foreign currency rates	(41,000)			(5,000)
Ending Balance	1,189,000	2,594,000	1,189,000	2,594,000	3,527,000
Corporate Segment | ASCEND Restructuring Plan
Restructuring Reserve [Roll Forward]
Beginning Balance			197,000	74,000
Restructuring Charges				211,000
Cash payments	(117,000)			(285,000)
Impact of changes in foreign currency rates	0			0
Ending Balance	$ 80,000	$ 0	$ 80,000	$ 0	$ 197,000

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Restructuring and Related Activities (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Restructuring and Related Activities [Abstract]
Restructuring Charges	$ 0	$ 398	$ 0	$ 2,799

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ASCEND Transformation Program (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		29 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024	Aug. 31, 2024
Restructuring and Related Activities [Abstract]
ASCEND Transformation Program Costs		$ 2,000		$ 5,600	$ 74,700
ASCEND Transformation Program Expenses in SG&A		1,400		2,500
Restructuring Charges	$ 0	398	$ 0	2,799
ASCEND Transformation Program Expenses in COGS		$ 200		$ 400

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Business Combinations, Asset Acquisitions, and Joint Venture Formation (Details) € in Millions		3 Months Ended		6 Months Ended
	Sep. 04, 2024 USD ($)	Feb. 28, 2025 USD ($)	Feb. 29, 2024 USD ($)	Feb. 28, 2025 USD ($)	Feb. 29, 2024 USD ($)	Feb. 28, 2025 EUR (€)	Sep. 04, 2024 EUR (€)	Aug. 31, 2024 USD ($)
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]
Goodwill, Acquired During Period				$ 14,473,000
Net Sales		$ 145,528,000	$ 138,437,000	290,724,000	$ 280,406,000
Business Acquisition [Line Items]
Net Sales		145,528,000	$ 138,437,000	290,724,000	280,406,000
Goodwill, Acquired During Period				14,473,000
Payments to Acquire Businesses, Net of Cash Acquired				27,196,000	$ 0
Goodwill		$ 277,241,000		$ 277,241,000				$ 269,597,000
Developed Technology
Business Acquisition [Line Items]
Weighted Average Amortization Period (Years)		3 years		3 years		3 years
Customer Relationships
Business Acquisition [Line Items]
Weighted Average Amortization Period (Years)		10 years		10 years		10 years
Technology-Based Intangible Assets
Business Acquisition [Line Items]
Weighted Average Amortization Period (Years)		14 years		14 years		14 years
DTA
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | €							€ 36.0
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment		$ 2,841,000		$ 2,841,000
Net Sales		3,200,000		6,400,000
Business Acquisition [Line Items]
Net Sales		3,200,000		6,400,000
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | €							36.0
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment		2,841,000		2,841,000
Payments to Acquire Businesses, Net of Cash Acquired	$ 27,200,000
Business Combination, Contingent Consideration, Liability | €						€ 2.3	€ 12.0
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill		14,977,000		14,977,000
Goodwill		14,473,000		14,473,000
DTA | Developed Technology
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles		$ 1,600,000		$ 1,600,000
Weighted Average Amortization Period (Years)		3 years		3 years		3 years
DTA | Customer Relationships
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles		$ 3,600,000		$ 3,600,000
Weighted Average Amortization Period (Years)		14 years		14 years		14 years
DTA | Technology-Based Intangible Assets
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles		$ 9,800,000		$ 9,800,000
Weighted Average Amortization Period (Years)		14 years		14 years		14 years

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Business Combinations, Asset Acquisitions, and Joint Venture Formation (Details) - USD ($)	Feb. 28, 2025	Aug. 31, 2024
Asset Acquisition [Line Items]
Goodwill	$ 277,241,000	$ 269,597,000
DTA
Asset Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets	6,464,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill	14,977,000
Goodwill	14,473,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Assets	531,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets	39,286,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities	(6,531,000)
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities	(5,559,000)
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net	27,196,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Property, Plant, and Equipment	$ 2,841,000

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Discontinued Operations & Other Divestiture Charges Discontinued Operations & Divestiture Activities (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent	$ 0	$ (54)	$ 0	$ (622)

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Changes in Carrying Value of Goodwill (Details)	6 Months Ended
	Feb. 28, 2025 USD ($)
Goodwill [Roll Forward]
Impact of changes in foreign currency rates	$ (6,829,000)
Goodwill, Acquired During Period	14,473,000
Industrial Tools & Services [Member] [Domain]
Goodwill [Roll Forward]
Impact of changes in foreign currency rates	(6,829,000)
Goodwill, Acquired During Period	14,473,000
Other Operating Segment [Member]
Goodwill [Roll Forward]
Impact of changes in foreign currency rates	0
Goodwill, Acquired During Period	$ 0

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Gross Carrying Amount and Accumulated Amortization of Other Intangible Assets (Details) - USD ($)	Feb. 28, 2025	Aug. 31, 2024
Indefinite And Finite Lived Intangible Assets [Line Items]
Accumulated Amortization	$ 111,491,000	$ 111,246,000
Statement of Financial Position [Abstract]
Gross Carrying Value	158,173,000	147,304,000
Net Book Value	46,682,000	36,058,000
Goodwill	277,241,000	269,597,000
Industrial Tools & Services [Member] [Domain]
Statement of Financial Position [Abstract]
Goodwill	266,032,000	258,388,000
Other Operating Segment [Member]
Statement of Financial Position [Abstract]
Goodwill	11,209,000	11,209,000
Tradenames
Indefinite And Finite Lived Intangible Assets [Line Items]
Gross Carrying Value	24,457,000	25,042,000
Accumulated Amortization	0	0
Net Book Value	$ 24,457,000	25,042,000
Customer Relationships
Indefinite And Finite Lived Intangible Assets [Line Items]
Weighted Average Amortization Period (Years)	10 years
Gross Carrying Value	$ 110,568,000	109,582,000
Accumulated Amortization	99,387,000	99,530,000
Net Book Value	$ 11,181,000	10,052,000
Patents
Indefinite And Finite Lived Intangible Assets [Line Items]
Weighted Average Amortization Period (Years)	13 years
Gross Carrying Value	$ 9,738,000	9,916,000
Accumulated Amortization	9,279,000	9,408,000
Net Book Value	$ 459,000	508,000
Developed Technology
Indefinite And Finite Lived Intangible Assets [Line Items]
Weighted Average Amortization Period (Years)	3 years
Gross Carrying Value	$ 4,278,000	2,764,000
Accumulated Amortization	2,444,000	2,308,000
Net Book Value	$ 1,834,000	456,000
Technology-Based Intangible Assets
Indefinite And Finite Lived Intangible Assets [Line Items]
Weighted Average Amortization Period (Years)	14 years
Gross Carrying Value	$ 9,132,000	0
Accumulated Amortization	381,000	0
Net Book Value	$ 8,751,000	$ 0

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Goodwill and Other Intangible Assets - Additional Information (Details) $ in Millions	Feb. 28, 2025 USD ($)
Impaired Assets [Line Items]
Finite-Lived Intangible Asset, Expected Amortization, Year One	$ 3.2
Future Amortization Expense, 2025	7.4
Future Amortization Expense, 2024	1.6
Future Amortization Expense, 2023	2.4
Future Amortization Expense, 2022	2.6
Future Amortization Expense, Remainder of 2020	1.9
Future Amortization Expense, 2022	2.6
Future Amortization Expense, 2023	2.4
Future Amortization Expense, 2024	1.6
Future Amortization Expense, 2025	$ 7.4

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Goodwill and Other Intangible Assets Summary of Asset Impairment Charges (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Impaired Assets [Line Items]
Impairment & divestiture (benefits) charges	$ 0	$ 0	$ 0	$ 147

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Rollforward of Accrued Product Warranty Reserve (Details) - USD ($) $ in Thousands	6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024
Movement in Standard Product Warranty Accrual [Roll Forward]
Beginning balance	$ 534	$ 856
Provision for warranties	478	132
Warranty Payments and costs incurred	$ (485)	$ (318)

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Long-Term Indebtedness (Details) - USD ($)	Feb. 28, 2025	Aug. 31, 2024
Debt Instrument [Line Items]
Long-term Debt	$ 192,500,000	$ 195,000,000
Long-term debt, net	187,086,000	189,503,000
Long-term Debt, Current Maturities	5,000,000	5,000,000
Debt Issuance Costs, Net	414,000	497,000
Senior Credit Facility - Term Loan | Debt Instrument, Name [Domain]
Debt Instrument [Line Items]
Long-term Debt	192,500,000	195,000,000
Revolving Credit Facility
Debt Instrument [Line Items]
Long-term Debt	$ 0	$ 0

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Debt - Additional Information (Details)		6 Months Ended
	Sep. 09, 2022 USD ($)	Feb. 28, 2025 USD ($)	Feb. 29, 2024 USD ($)	Aug. 31, 2024 USD ($)
Debt Instrument [Line Items]
Borrowings on Revolving Credit		$ 14,421,000	$ 48,000,000
Senior Credit Facilty	$ 600,000,000
Long-term debt, net		187,086,000		$ 189,503,000
Long-term Debt		192,500,000		195,000,000
Senior Credit Facility - Term Loan
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	200,000,000	192,500,000
Senior credit facility expansion option, available	300,000,000
Revolving Credit Facility
Debt Instrument [Line Items]
Line of Credit Facility, Maximum Borrowing Capacity	$ 400,000,000
Long-term Debt		0		0
Senior Credit Facility - Revolver
Debt Instrument [Line Items]
Outstanding letters of credit		(1,500,000)
Debt Instrument, Unused Borrowing Capacity, Amount		398,500,000
Debt Instrument, Name [Domain] | Senior Credit Facility - Term Loan
Debt Instrument [Line Items]
Long-term Debt		$ 192,500,000		$ 195,000,000
Minimum
Debt Instrument [Line Items]
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage	0.15%
Adjusted Leverage Ratio	1.00
Minimum | Senior Credit Facility - Term Loan
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate	1.125%
Leverage ratio	1.00
Interest Coverage Ratio	100.00%
Minimum | Senior Credit Facility - Term Loan | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate	1.125%
Maximum
Debt Instrument [Line Items]
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage	0.30%
Adjusted Leverage Ratio	4.25
Maximum | Senior Credit Facility - Term Loan
Debt Instrument [Line Items]
Debt Instrument, Basis Spread on Variable Rate	1.875%
Leverage ratio	3.75
Interest Coverage Ratio	300.00%

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Fair Value Measurement - Additional Information (Details) - USD ($)	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024	Aug. 31, 2024
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Foreign Currency Contract, Liability/Asset, Fair Value Disclosure	$ 100,000		$ 100,000		$ 300,000
Long-term Debt	192,500,000		192,500,000		195,000,000
Interest Rate Cash Flow Hedge Derivative at Fair Value, Net	100,000		100,000		100,000
Derivative Instruments in Hedges, at Fair Value, Net	1,000,000.0		1,000,000.0		(1,600,000)
Increase (Decrease) in Fair Value of Hedged Item in Interest Rate Fair Value Hedge	(100,000)	$ 100,000	100,000	$ (100,000)
Revolving Credit Facility
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Long-term Debt	$ 0		$ 0		$ 0

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Derivatives Narrative (Details) - USD ($)	3 Months Ended		6 Months Ended		159 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024	Nov. 30, 2024	Oct. 28, 2024	Aug. 31, 2024	Dec. 08, 2022
Derivative [Line Items]
Foreign Currency Contract, Liability/Asset, Fair Value Disclosure	$ 100,000		$ 100,000				$ 300,000
Loss on Foreign Currency Fair Value Hedge Derivatives and Not Designated as Hedging Instruments at Fair Value	100,000	$ 106,000	(119,000)	$ 398,000
Long-term Debt	192,500,000		192,500,000				195,000,000
Derivatives used in Net Investment Hedge, Increase (Decrease), Gross of Tax	700,000	300,000	2,000,000.0	200,000
Increase (Decrease) in Fair Value of Hedged Item in Interest Rate Fair Value Hedge	(100,000)	$ 100,000	100,000	$ (100,000)
Treasury Stock, Shares, Acquired					30,411,708
Fair Value Hedging [Member]
Derivative [Line Items]
Derivative, Notional Amount	$ 9,800,000		$ 9,800,000				$ 15,600,000
Net Investment Hedging [Member]
Derivative [Line Items]
Derivative, Fair Value, Net						$ 14,100,000		$ 30,500,000
Interest Rate Swap [Member]
Derivative [Line Items]
Derivative, Amount of Hedged Item								$ 60,000,000.0
Derivative, Fixed Interest Rate								4.022%

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Earnings per Share and Shareholders' Equity Share Repurchase (Details) - USD ($) $ in Thousands		1 Months Ended	3 Months Ended				6 Months Ended		159 Months Ended
	Dec. 18, 2023	Dec. 18, 2023	Feb. 28, 2025	Nov. 30, 2024	Feb. 29, 2024	Nov. 30, 2023	Feb. 28, 2025	Feb. 29, 2024	Nov. 30, 2024	Aug. 31, 2024	Aug. 31, 2023
Equity [Abstract]
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased			2,387,522				2,387,522
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest			$ 405,978	$ 398,009	$ 336,926	$ 321,676	$ 405,978	$ 336,926	$ 398,009	$ 391,979	$ 326,620
Net (loss) earnings			20,901	21,723	17,817	17,738	42,624	35,555
Other Comprehensive (Loss) Income, Net of Tax			(4,827)	(9,676)	(1,207)	370	(14,503)	$ (837)
Stock Issued During Period, Value, Employee Benefit Plan			97	91	35	51
Stock Issued During Period, Value, Restricted Stock Award, Gross			0	0	0	0
APIC, Share-based Payment Arrangement, Increase for Cost Recognition			2,841	3,345	2,810	2,717
Stock Value Issued to Acquired For and Distributed From Rabbi Trust			91	$ 0	263	90
Retained earnings			290,008				$ 290,008			$ 261,870
Treasury Stock, Value, Acquired, Cost Method			$ 10,176		$ 3,992	$ 26,116			$ 853,400
Stock Repurchase Program, Number of Shares Authorized to be Repurchased			10,000,000				10,000,000
Treasury Stock, Common, Shares			0				0			0
Stock Repurchased During Period, Shares		25,737	329,527					1,094,231
Treasury Stock, Shares, Acquired									30,411,708
Treasury Stock, Shares, Retired	139,324
Stock Repurchased During Period, Value			$ 14,600					$ 30,100
Common Stock [Member]
Stock Issued During Period, Shares, New Issues			54,259,000	54,400,000	54,253,000	83,967,000	54,259,000	54,253,000	54,400,000	54,235,000	83,761,000
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest			$ 10,852	$ 10,880	$ 10,851	$ 16,793	$ 10,852	$ 10,851	$ 10,880	$ 10,847	$ 16,752
Stock Issued During Period, Shares, Employee Benefit Plan			2,000	2,000	1,000	2,000
Stock Issued During Period, Value, Employee Benefit Plan						$ 0
Stock Issued During Period, Shares, Restricted Stock Award, Gross			73,000	186,000	105,000	118,000
Stock Issued During Period, Value, Restricted Stock Award, Gross			$ 14	$ 37	$ 21	$ 23
Stock Issued To Acquired For And Distributed From Rabbi Trust			2,000		26,000	3,000
Stock Value Issued to Acquired For and Distributed From Rabbi Trust			$ 1		$ 5	$ 1
Treasury Stock, Shares, Retired			(220,000)	(110,000)	(29,867,000)
Additional Paid-in Capital [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest			$ 236,019	$ 233,964	$ 226,075	223,474	236,019	226,075	233,964	235,660	220,472
Stock Issued During Period, Value, Employee Benefit Plan			97	91	35	51
Stock Issued During Period, Value, Restricted Stock Award, Gross			(14)	37	21	23
APIC, Share-based Payment Arrangement, Increase for Cost Recognition			2,841	3,345	2,810	2,717
Stock Value Issued to Acquired For and Distributed From Rabbi Trust			90		258	89
Retained Earnings [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest			290,008	279,239	222,047	1,028,871	290,008	222,047	279,239	261,870	1,011,112
Net (loss) earnings			20,901	21,723	17,817	17,738
AOCI Attributable to Parent [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest			(130,901)	(126,074)	(122,047)	(120,840)	(130,901)	(122,047)	(126,074)	(116,398)	(121,210)
Other Comprehensive (Loss) Income, Net of Tax			(4,827)	(9,676)	(1,207)	370
Stock held in trust [member] [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest			(3,575)	(3,774)	(3,777)	(3,576)	(3,575)	(3,777)	(3,774)	(3,777)	(3,484)
Stock Value Issued to Acquired For and Distributed From Rabbi Trust			(199)	3	(201)	(92)
Deferred Compensation, Share-based Payments [Member]
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest			3,575	3,774	3,777	3,576	$ 3,575	$ 3,777	$ 3,774	$ 3,777	$ 3,484
Stock Value Issued to Acquired For and Distributed From Rabbi Trust			$ (199)	$ (3)	$ 201	$ 92

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Capital Stock (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended				6 Months Ended
	Feb. 28, 2025	Nov. 30, 2024	Feb. 29, 2024	Nov. 30, 2023	Feb. 28, 2025	Feb. 29, 2024
Earnings Per Share [Abstract]
Net (Loss) Earnings from Continuing Operations	$ 20,901		$ 17,871		$ 42,624	$ 36,177
Net (Loss) Earnings from Discontinued Operations	0		(54)		0	(622)
Net (loss) earnings	$ 20,901	$ 21,723	$ 17,817	$ 17,738	$ 42,624	$ 35,555
Weighted average common shares outstanding - basic	54,397		54,213		54,319	54,370
Incremental Common Shares Attributable to Dilutive Effect of Share-based Payment Arrangements	411		472		491	476
Weighted Average Common Shares outstanding - diluted	54,808		54,685		54,810	54,846
(Loss) Earnings per share from Continuing Operations, Per Basic Share	$ 0.38		$ 0.33		$ 0.78	$ 0.67
(Loss) Earnings per share from Continuing Operations, Per Diluted Share	0.38		0.33		0.78	0.66
(Loss) Earnings per share from Discontinued Operations, Per Basic Shares	0.00		0.00		0.00	(0.01)
(Loss) Earnings per share from Discontinued Operations, Per Diluted Share	0.00		0.00		0.00	(0.01)
Earnings Per Share, Basic	0.38		0.33		0.78	0.65
(Loss) Earnings Per Share, Diluted	$ 0.38		$ 0.33		$ 0.78	$ 0.65
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities from stock based compensation plans (excluded from earnings per share calculation)	192		71		121	191

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Income Taxes - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Income Tax Disclosure Additional Details [Table] [Line Items]
Income tax (benefit) expense	$ 6,798	$ 7,396	$ 12,951	$ 13,064
Effective Income Tax Rate Reconciliation, Percent	24.50%	29.30%	23.30%	26.50%
Federal Statutory Income Tax Rate, Percent			21.00%
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest	$ 27,699	$ 25,267	$ 55,575	$ 49,241

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Summary of Financial Information by Reportable Segment and Product Line (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024	Aug. 31, 2024
Segment Reporting Information [Line Items]
Net Sales	$ 145,528	$ 138,437	$ 290,724	$ 280,406
Operating Profit (Loss)	30,820	29,521	61,952	58,184
Assets	776,627		776,627		$ 777,328
Industrial Tools & Services [Member] [Domain]
Segment Reporting Information [Line Items]
Net Sales	140,716	134,822	280,850	271,856
Operating Profit (Loss)	38,736	37,415	76,728	72,980
Assets	642,924		642,924		613,797
Industrial Tools & Services [Member] [Domain] | Products [Member]
Segment Reporting Information [Line Items]
Net Sales	113,880	107,942
Industrial Tools & Services [Member] [Domain] | Service & Rental [Member]
Segment Reporting Information [Line Items]
Net Sales	26,836	26,880
Products [Member]
Segment Reporting Information [Line Items]
Net Sales			219,966	212,862
Service & Rental [Member]
Segment Reporting Information [Line Items]
Net Sales			60,884	58,994
Other Operating Segment [Member]
Segment Reporting Information [Line Items]
Net Sales	4,812	3,615	9,874	8,550
Operating Profit (Loss)	1,301	(79)	2,620	1,892
Assets	26,576		26,576		26,533
General Corporate
Segment Reporting Information [Line Items]
Operating Profit (Loss)	(9,217)	$ (7,815)	(17,396)	$ (16,688)
Assets	$ 107,127		$ 107,127		$ 136,998

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Contingencies and Litigation - Additional Information (Details) - USD ($) $ in Millions	Feb. 28, 2025	Aug. 31, 2024
Standby Letters of Credit [Member]
Commitments and Contingencies Disclosure [Abstract]
Outstanding letters of credit	$ 4.0	$ 4.4
Loss Contingencies [Line Items]
Outstanding letters of credit	4.0	4.4
Surety Bond
Commitments and Contingencies Disclosure [Abstract]
Outstanding letters of credit	3.8	3.8
Loss Contingencies [Line Items]
Outstanding letters of credit	$ 3.8	$ 3.8

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Leases Components of Lease Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024	Feb. 28, 2025	Feb. 29, 2024
Components of Lease Expense [Abstract]
Operating Lease, Cost	$ 3,070	$ 3,209	$ 6,170	$ 6,185
Short-term Lease, Cost	409	524	880	1,109
Variable Lease, Cost	$ 1,159	$ 731	$ 2,078	$ 1,650

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Leases Supplemental Cash Flow Information Related to Leases (Details) - USD ($) $ in Thousands	6 Months Ended
	Feb. 28, 2025	Feb. 29, 2024
Supplemental Cash Flow Information Related to Leases [Abstract]
Operating Lease, Payments	$ 5,970	$ 6,081
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability	$ 1,573	$ 2,197

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Leases Leases (Details)	Feb. 28, 2025
Operating Leased Assets [Line Items]
Lessee, Operating Lease, Renewal Term	5 years
Minimum
Operating Leased Assets [Line Items]
Lessee, Operating Lease, Term of Contract	3 years
Maximum
Operating Leased Assets [Line Items]
Lessee, Operating Lease, Term of Contract	15 years