Revenue growth reached 19.0% in 2026Q3, yet structural margin pressure persists as operating margins remain constrained at 6.1% due to high SG&A expenses.
| Metric | TTM | Jun'25 | Jun'24 | Jun'23 | Jun'22 | Jun'21 | Jun'20 | Jun'19 | Jun'18 | Jun'17 | Jun'16 | Jun'15 | Jun'14 | Jun'13 | Jun'12 | Jun'11 | Jun'10 | Jun'09 | Jun'08 | Jun'07 | Jun'06 | Jun'05 | Jun'04 | Jun'03 | Jun'02 | Jun'01 | Jun'00 | Jun'99 | Jun'98 | Jun'97 | Jun'96 |
|---|
| Sales/Revenue | 363.55M | 340.74M | 295.13M | 276.96M | 242.91M | 218.58M | 246.84M | 302.66M | 240.73M | 168.18M | 166.28M | 265.79M | 263.91M | 285.28M | 355.87M | 310.39M | 227.53M | 295.62M | 331.69M | 317.2M | 243.29M | 218.47M | 186.09M | 179.59M | 179.38M | 180.79M | 177.99M | 168.1M | 202.6M | 189.9M | 176.7M |
| Revenue Growth % | 10.68% | 15.45% | 6.56% | 14.02% | 11.13% | -11.45% | -18.44% | 25.73% | 43.14% | 1.14% | -37.44% | 0.71% | -7.49% | -19.84% | 14.65% | 36.42% | -23.03% | -10.88% | 4.57% | 30.38% | 11.36% | 17.4% | 3.62% | 0.11% | -0.77% | 1.57% | 5.88% | -17.03% | 6.69% | 7.47% | 7.61% |
| Cost of Goods Sold | 261.1M | 248.01M | 211.81M | 202.63M | 174.1M | 167.72M | 191.13M | 213.02M | 160.5M | 119.95M | 125.69M | 182.76M | 186.66M | 205.26M | 234.24M | 202.71M | 167.07M | 214.18M | 226.83M | 214.29M | 168.9M | 161.05M | 138.46M | 144.57M | 139.15M | 137.09M | 129.65M | 125.6M | 146.9M | 140.6M | 130.6M |
| COGS % of Revenue | - | 72.79% | 71.77% | 73.16% | 71.67% | 76.73% | 77.43% | 70.38% | 66.67% | 71.32% | 75.59% | 68.76% | 70.73% | 71.95% | 65.82% | 65.31% | 73.43% | 72.45% | 68.38% | 67.56% | 69.42% | 73.72% | 74.4% | 80.5% | 77.57% | 75.83% | 72.84% | 74.72% | 72.51% | 74.04% | 73.91% |
| Gross Profit | 102.45M | 92.73M | 83.32M | 74.33M | 68.81M | 50.86M | 55.71M | 89.64M | 80.24M | 48.23M | 40.59M | 83.03M | 77.25M | 80.03M | 121.63M | 107.68M | 60.47M | 81.44M | 104.87M | 102.91M | 74.39M | 57.42M | 47.63M | 35.02M | 40.24M | 43.7M | 48.34M | 42.5M | 55.7M | 49.3M | 46.1M |
| Gross Margin % | 28.18% | 27.21% | 28.23% | 26.84% | 28.33% | 23.27% | 22.57% | 29.62% | 33.33% | 28.68% | 24.41% | 31.24% | 29.27% | 28.05% | 34.18% | 34.69% | 26.57% | 27.55% | 31.62% | 32.44% | 30.58% | 26.28% | 25.6% | 19.5% | 22.43% | 24.17% | 27.16% | 25.28% | 27.49% | 25.96% | 26.09% |
| Gross Profit Growth % | - | 11.29% | 12.09% | 8.02% | 35.3% | -8.71% | -37.85% | 11.72% | 66.35% | 18.81% | -51.11% | 7.48% | -3.46% | -34.21% | 12.95% | 78.09% | -25.76% | -22.34% | 1.9% | 38.34% | 29.55% | 20.55% | 36.02% | -12.98% | -7.91% | -9.61% | 13.74% | -23.7% | 12.98% | 6.94% | 12.17% |
| Operating Expenses | 86.91M | 82.84M | 71.84M | 58.27M | 57.78M | 63.13M | 95.96M | 69.96M | 61.91M | 52.77M | 56.67M | 67.55M | 58.93M | 67.9M | 76.76M | 72.71M | 56.89M | 60.47M | 66.35M | 63.27M | 49.61M | 44.67M | 37.17M | 34.79M | 34.64M | 31.72M | 38.46M | 39.3M | 39.7M | 36.7M | 33.9M |
| OpEx % of Revenue | - | 24.31% | 24.34% | 21.04% | 23.78% | 28.88% | 38.88% | 23.12% | 25.72% | 31.38% | 34.08% | 25.41% | 22.33% | 23.8% | 21.57% | 23.43% | 25% | 20.46% | 20% | 19.95% | 20.39% | 20.44% | 19.97% | 19.37% | 19.31% | 17.54% | 21.61% | 23.38% | 19.6% | 19.33% | 19.19% |
| Selling, General & Admin | 87.23M | 82.43M | 71.62M | 62.24M | 60.09M | 55.75M | 63.22M | 71.54M | 61.91M | 52.77M | 57.11M | 64.26M | 55.91M | 67.9M | 73.09M | 72.71M | 56.89M | 60.47M | 66.35M | 63.27M | 49.61M | 44.67M | 37.17M | 34.79M | 34.64M | 31.72M | 31.48M | 32.8M | 34.1M | 31.2M | 28.7M |
| SG&A % of Revenue | - | 24.19% | 24.27% | 22.47% | 24.74% | 25.51% | 25.61% | 23.64% | 25.72% | 31.38% | 34.35% | 24.18% | 21.18% | 23.8% | 20.54% | 23.43% | 25% | 20.46% | 20% | 19.95% | 20.39% | 20.44% | 19.97% | 19.37% | 19.31% | 17.54% | 17.68% | 19.51% | 16.83% | 16.43% | 16.24% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2.38M | 1.61M | 1.55M | 1.8M | 11.09M | 3.03M | 3.06M | 2.66M | 2.48M | 7.88M | 2.64M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | 0.79% | 0.67% | 0.92% | 1.09% | 4.17% | 1.15% | 1.07% | 0.75% | 0.8% | 3.47% | 0.89% | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | -321K | 408K | 218K | -3.97M | -2.31M | 7.38M | 32.74M | -1.58M | -227K | -248K | -273K | -7.81M | 0 | -3.06M | 1.01M | -2.48M | -7.88M | -2.64M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 6.98M | 6.5M | 5.6M | 5.5M | 5.2M |
| Operating Income | 15.54M | 9.89M | 11.48M | 16.06M | 11.04M | -12.27M | -40.25M | 18.5M | 14.93M | -8.98M | -24.6M | 15.49M | 10.45M | 12.13M | 49.23M | 34.72M | 3.58M | 20.97M | 38.89M | 36.99M | 24.78M | 10.68M | 10.46M | -1.82M | 5.6M | 10.53M | 9.88M | 3.24M | 16M | 12.6M | 12.2M |
| Operating Margin % | 4.28% | 2.9% | 3.89% | 5.8% | 4.54% | -5.61% | -16.31% | 6.11% | 6.2% | -5.34% | -14.79% | 5.83% | 3.96% | 4.25% | 13.83% | 11.18% | 1.57% | 7.09% | 11.73% | 11.66% | 10.19% | 4.89% | 5.62% | -1.01% | 3.12% | 5.82% | 5.55% | 1.93% | 7.9% | 6.64% | 6.9% |
| Operating Income Growth % | - | -13.87% | -28.52% | 45.52% | 189.94% | 69.52% | -317.6% | 23.91% | 266.28% | 63.5% | -258.83% | 48.22% | -13.84% | -75.37% | 41.79% | 869.99% | -82.94% | -46.07% | 5.14% | 49.25% | 132.1% | 2.06% | 676.1% | -132.42% | -46.79% | 6.52% | 204.81% | -79.74% | 26.98% | 3.28% | 24.49% |
| EBITDA | 30.47M | 24.79M | 21.46M | 25.42M | 20.58M | -1.03M | -28.33M | 27.83M | 21.39M | -1.96M | -15.75M | 25.65M | 21.11M | 22.96M | 59.98M | 44.62M | 13.4M | 30.75M | 46.77M | 44.24M | 30.65M | 16.36M | 16.15M | 3.86M | 11.31M | 16.92M | 16.86M | 9.74M | 21.6M | 18.1M | 17.4M |
| EBITDA Margin % | 8.38% | 7.27% | 7.27% | 9.18% | 8.47% | -0.47% | -11.48% | 9.2% | 8.89% | -1.17% | -9.47% | 9.65% | 8% | 8.05% | 16.85% | 14.38% | 5.89% | 10.4% | 14.1% | 13.95% | 12.6% | 7.49% | 8.68% | 2.15% | 6.3% | 9.36% | 9.47% | 5.8% | 10.66% | 9.53% | 9.85% |
| EBITDA Growth % | 38.89% | 15.5% | -15.57% | 23.5% | 2104.19% | 96.37% | -201.77% | 30.1% | 1190.92% | 87.55% | -161.41% | 21.52% | -8.1% | -61.71% | 34.43% | 233.08% | -56.43% | -34.26% | 5.72% | 44.35% | 87.4% | 1.24% | 318.82% | -65.9% | -33.15% | 0.33% | 73.09% | -54.9% | 19.34% | 4.02% | 19.18% |
| D&A (Non-Cash Add-back) | 14.93M | 14.9M | 9.98M | 9.36M | 9.55M | 11.24M | 11.93M | 9.34M | 6.46M | 7.02M | 8.85M | 10.16M | 10.66M | 10.84M | 10.76M | 9.9M | 9.82M | 9.77M | 7.88M | 7.25M | 5.87M | 5.68M | 5.69M | 5.67M | 5.71M | 6.39M | 6.98M | 6.5M | 5.6M | 5.5M | 5.2M |
| EBIT | 11.12M | 4.42M | 16.81M | 16.72M | 14.73M | -7.48M | -41.88M | 16.48M | 18.33M | -9.23M | -24.87M | 18.77M | 9.85M | 10.67M | 46.23M | 33.75M | 4M | 20.53M | 38.52M | 39.64M | 24.78M | 12.75M | 11.12M | 183K | 5.6M | 11.98M | 9.88M | 3.24M | 16.04M | 12.6M | 12.2M |
| Net Interest Income | -1.64M | -2.65M | -1.44M | -2.25M | -2.13M | -2.36M | -1.61M | -1.88M | -227K | -231K | -279K | -482K | -815K | -1.33M | -1.38M | -1.62M | -2.2M | -2.28M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 78K | 43K | 55K | 72K | 147K | 124K | 121K | 102K | 95K | 98K | 84K | 207K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 1.64M | 2.65M | 1.44M | 2.25M | 2.13M | 2.36M | 1.69M | 1.93M | 282K | 303K | 426K | 606K | 936K | 1.44M | 1.48M | 1.72M | 2.28M | 2.49M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -7.34M | -8.12M | 3.89M | -1.59M | 1.56M | 2.43M | -3.49M | -3.99M | -1.73M | -551K | -699K | 414K | -2.35M | -2.89M | -4.47M | -2.69M | -1.86M | -2.93M | -3.64M | -5.91M | -1.73M | -1.19M | 170K | -866K | -458K | 2.56M | -1.81M | -3.24M | 100K | 100K | -1.3M |
| Pretax Income | 8.21M | 1.77M | 15.37M | 14.46M | 12.6M | -9.84M | -43.74M | 14.51M | 14.42M | -9.53M | -25.3M | 15.9M | 8.1M | 9.24M | 44.76M | 32.03M | 1.72M | 18.05M | 35.25M | 34.33M | 23.05M | 9.49M | 9.98M | -2.64M | 5.14M | 13.09M | 8.07M | 1.7M | 16.1M | 12.7M | 10.9M |
| Pretax Margin % | 2.26% | 0.52% | 5.21% | 5.22% | 5.19% | -4.5% | -17.72% | 4.79% | 5.99% | -5.67% | -15.21% | 5.98% | 3.07% | 3.24% | 12.58% | 10.32% | 0.76% | 6.1% | 10.63% | 10.82% | 9.48% | 4.34% | 5.36% | -1.47% | 2.87% | 7.24% | 4.53% | 1.01% | 7.95% | 6.69% | 6.17% |
| Income Tax | -18.91M | 3.37M | 4.12M | 3.79M | 1.82M | 19.68M | -4.17M | 3.71M | 4.77M | -3.41M | -12.28M | 4.51M | 4.23M | 4.99M | 18.45M | 13.06M | 992K | 6.26M | 10.9M | 12.27M | 8.47M | 2.48M | 4.71M | -283K | 2.95M | 6.92M | 4.29M | 1M | 6.7M | 5M | 4.3M |
| Effective Tax Rate % | -230.41% | 190.39% | 26.82% | 26.19% | 14.47% | -200.02% | 9.53% | 25.58% | 33.1% | 35.83% | 48.56% | 28.4% | 52.2% | 53.98% | 41.21% | 40.79% | 57.61% | 34.67% | 30.94% | 35.75% | 36.74% | 26.18% | 47.2% | 10.72% | 57.36% | 52.88% | 53.23% | 58.82% | 41.61% | 39.37% | 39.45% |
| Net Income | 26.6M | -1.89M | 10.99M | 10.38M | 10.47M | -29.72M | -39.82M | 10.67M | 9.53M | -6.29M | -13.1M | 11.17M | 3.64M | 3.88M | 26.11M | 18.83M | 597K | 11.5M | 24.25M | 21.85M | 14.45M | 6.91M | 5.24M | -2.37M | 2.06M | 6.17M | 3.77M | -1M | 9.4M | 7.7M | 6.6M |
| Net Margin % | 7.32% | -0.56% | 3.72% | 3.75% | 4.31% | -13.6% | -16.13% | 3.53% | 3.96% | -3.74% | -7.88% | 4.2% | 1.38% | 1.36% | 7.34% | 6.07% | 0.26% | 3.89% | 7.31% | 6.89% | 5.94% | 3.16% | 2.82% | -1.32% | 1.15% | 3.41% | 2.12% | -0.59% | 4.64% | 4.05% | 3.74% |
| Net Income Growth % | 550.23% | -117.24% | 5.86% | -0.83% | 135.22% | 25.36% | -473.06% | 12.02% | 251.38% | 51.97% | -217.28% | 206.61% | -6.13% | -85.13% | 38.67% | 3054.1% | -94.81% | -52.57% | 10.98% | 51.19% | 109.16% | 31.79% | 321.41% | -215.06% | -66.64% | 63.5% | 477.3% | -110.64% | 22.08% | 16.67% | 15.79% |
| Net Income (Continuing) | 27.12M | -1.6M | 11.25M | 10.68M | 10.78M | -29.52M | -39.57M | 10.8M | 9.65M | -6.12M | -13.01M | 11.38M | 3.87M | 4.25M | 26.31M | 18.96M | 730K | 11.79M | 24.34M | 22.06M | 14.58M | 7.01M | 5.64M | -2.39M | 2.06M | 6.17M | 3.77M | 0 | 9.4M | 7.7M | 6.6M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 862K | 380K | 352K | 424K | 412K | 450K | 569K | 602K | 619K | 646K | 563K | 639K | 727K | 1.06M | 1.02M | 969K | 859K | 837K | 679K | 645K | 572K | 591K | 509K | 485K | 472K | 337K | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 1.85 | -0.14 | 0.79 | 0.75 | 0.78 | -2.24 | -3.01 | 0.84 | 0.84 | -0.56 | -1.17 | 0.99 | 0.32 | 0.34 | 2.26 | 1.64 | 0.05 | 1.03 | 2.13 | 1.84 | 1.22 | 0.60 | 0.50 | -0.21 | 0.18 | 0.55 | 0.34 | -0.09 | 0.81 | 0.69 | 0.59 |
| EPS Growth % | 545.73% | -117.72% | 5.33% | -3.85% | 134.82% | 25.58% | -458.33% | 0% | 250% | 52.14% | -218.18% | 209.38% | -5.88% | -84.96% | 37.8% | 2965.42% | -94.81% | -51.64% | 15.76% | 50.82% | 103.33% | 20% | 338.1% | -216.67% | -67.27% | 61.76% | 486.8% | -110.85% | 17.39% | 16.95% | 15.69% |
| EPS (Basic) | - | -0.14 | 0.80 | 0.77 | 0.78 | -2.24 | -3.01 | 0.85 | 0.84 | -0.56 | -1.17 | 0.99 | 0.32 | 0.34 | 2.29 | 1.66 | 0.05 | 1.04 | 2.15 | 1.88 | 1.25 | 0.61 | 0.50 | -0.21 | 0.18 | 0.55 | 0.34 | -0.09 | 0.83 | 0.70 | 0.59 |
| Diluted Shares Outstanding | 14.42M | 13.86M | 13.88M | 13.81M | 13.38M | 13.25M | 13.15M | 12.68M | 11.39M | 11.24M | 11.2M | 11.28M | 11.26M | 11.38M | 11.56M | 11.46M | 11.16M | 11.19M | 11.41M | 11.88M | 11.88M | 11.63M | 11.37M | 11.4M | 11.23M | 11.23M | 11.28M | 11.38M | 11.54M | 11.2M | 11.19M |
| Basic Shares Outstanding | 14.2M | 13.86M | 13.68M | 13.47M | 13.35M | 13.25M | 13.15M | 12.57M | 11.29M | 11.24M | 11.2M | 11.27M | 11.26M | 11.3M | 11.41M | 11.32M | 11.06M | 11.1M | 11.28M | 11.62M | 11.53M | 11.44M | 11.26M | 11.4M | 11.23M | 11.23M | 11.28M | 11.34M | 11.34M | 11.08M | 11.11M |
| Dividend Payout Ratio | - | - | 15.43% | 2.27% | 2.04% | - | - | - | - | - | - | 36.35% | 111.39% | 105.05% | 14.88% | 18.11% | 524.79% | 27% | 12.37% | 10.96% | 14.65% | 29.26% | 37.97% | - | 95.48% | 31.87% | 52.32% | - | 23.4% | 24.68% | 28.79% |
Cyclical margin volatility
According to the provided quarterly data, Twin Disc achieved a 19.0% year-over-year revenue increase in 2026Q3, signaling a robust recovery in core end-markets despite the inherent volatility associated with the company's project-based business model and reliance on capital expenditure cycles in the energy and marine sectors.
The recent acceleration in top-line growth suggests that demand for specialized propulsion systems is rebounding, likely driven by fleet refurbishments. However, investors should monitor whether this growth is sustainable or merely a temporary spike resulting from the timing of large-scale marine project deliveries.
As reported in financial statements, the company's gross margin fluctuated between 24.1% and 31.0% over the last ten quarters, indicating that Twin Disc struggles to maintain consistent pricing power against inflationary pressures on specialized alloys and components required for its high-complexity transmission systems.
The inability to consistently expand gross margins despite double-digit revenue growth suggests that the company faces significant under-absorption of fixed manufacturing costs. This volatility implies that the firm's profitability is highly sensitive to input cost fluctuations and the specific product mix of its custom marine builds.
Based on the income statement history, operating margins have remained thin, peaking at only 6.1% in 2026Q3, which highlights a lack of meaningful operating leverage as SG&A expenses continue to consume a substantial portion of the gross profit generated by the firm's manufacturing operations.
The data suggests that the company's high fixed-cost structure prevents it from scaling efficiently during periods of revenue expansion. This indicates that management may need to pursue a more aggressive rationalization of its manufacturing footprint to improve bottom-line performance.
Analysis of the reported figures reveals that net income has been highly inconsistent, swinging from a $22.4M gain in 2026Q2 to a $518K loss in 2026Q1, which suggests that non-operating items and periodic stock-based compensation charges significantly distort the underlying operational performance of the business.
The erratic nature of net income warrants further investigation into the specific drivers of these quarterly swings, as they may mask the true earnings power of the core business. Investors should be cautious of relying on headline EPS figures given the potential for non-recurring items to influence the bottom line.
Quick answers to the most common questions about buying TWIN stock.
For fiscal year 2025, Twin Disc, Incorporated (TWIN) reported total revenue of $340.7M. This represents a 92.8% increase compared to $176.7M in 1996.
Twin Disc, Incorporated (TWIN) reported a net loss of $1.9M for the fiscal year ending 2025.
Twin Disc, Incorporated (TWIN) reported an operating income of $9.9M, resulting in an operating profit margin of 2.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Twin Disc, Incorporated (TWIN) generated $92.7M in gross profit for the year, representing a gross profit margin of 27.2%. This demonstrates the company's core pricing power and production efficiency.