CECO ENVIRONMENTAL CORP
For the period ended Sep 30, 2025. Filed Oct 28, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Oct 28, 2025
CECO$43.71+16.1%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-07-29.
0000950170-25-099435
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-10-28.
0001193125-25-252944
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 93 previous paragraphs and 92 current paragraphs.
45 unchanged; 41 reworded; 6 added; 5 removed; 2 previous and 0 current paragraphs rearranged.
Tables are not compared: 7 previous and 7 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (6)
Current report
Orders booked increased $70.6 million, or 44%, to $232.9 million during the three months ended September 30, 2025 compared with $162.3 million in the three months ended September 30, 2024, inclusive of organic growth of 33%, as defined as the change in orders excluding the impact of orders recorded in the twelve month period subsequent to acquisition dates and orders from the GPS business, which was divested in the first quarter of 2025. The orders increase is primarily attributable to the Company's energy and power businesses as well as international industrial water projects.
Current report
Orders booked increased $286.7 million, or 64%, to $735.0 million during the nine months ended September 30, 2025 compared with $448.3 million in the nine months ended September 30, 2024, inclusive of organic growth of 53%. The orders increase is primarily attributable to the Company's energy and power technologies. Investments in energy infrastructure and growth in midstream and downstream markets have resulted in increased demand for emissions, separation, and acoustics products. Additionally, the Company has seen increased demand for its wet scrubbers and industrial fan technologies as well as international industrial water applications in produced water and wastewater.
Current report
Net sales for the three months ended September 30, 2025 increased $62.1 million, or 45.8%, to $197.6 million compared with $135.5 million for the three months ended September 30, 2024, inclusive of organic growth of 35%, as defined as the change in orders excluding the impact of orders recorded in the twelve month period subsequent to acquisition dates and orders from the GPS business, which was divested in the first quarter of 2025. The increase in organic revenue is driven by significant order intake in the preceding quarters which led to a record backlog position. The Company also executed on customer projects and progressed its respective projects per contractual commitments, without any materially significant delays observed. The remainder of the increase in net sales is attributable to the Company's recent acquisitions.
Current report
Net sales for the nine months ended September 30, 2025 increased $160.3 million, or 40.1%, to $559.7 million compared with $399.4 million for the nine months ended September 30, 2024, inclusive of organic growth of 24%. The increase in organic revenue is driven by significant order intake in the preceding quarters which led to a record backlog position. The Company was also able to recover from revenue project delays that adversely impacted the Company in prior periods driven by customer’s catching up to the project schedules. The remainder of the increase in net sales is attributable to the Company's recent acquisitions.
Current report
Our Engineered Systems segment orders booked increased $53.5 million, or 44%, to $175.5 million during the three months ended September 30, 2025 compared with $122.0 million in the three months ended September 30, 2024, inclusive of organic growth of 37%. The increase is primarily attributable to the Company's energy and power technologies. Investments in energy infrastructure and growth in midstream and downstream markets have resulted in increased demand for emissions, and acoustics products. The
Current report
For the nine months ended September 30, 2025, $2.8 million was used in financing activities compared with $14.5 million used in financing activities in the prior year period, for an increase of $11.7 million. The increase was driven by $5.0 million in common stock repurchases and $1.7 million of earn-out payments in the nine months ended September 30, 2024 that did not recur in the nine months ended September 30, 2025, as well as $5.1 million decrease in net debt repayments.
Removed paragraphs (5)
Previous report
Orders booked increased $133.3 million, or 95%, to $274.1 million during the three months ended June 30, 2025 compared with $140.8 million in the three months ended June 30, 2024. Approximately 89%, or $245.3 million, of the orders for the three months ended June 30, 2025 is attributable to organic bookings, defined as orders recorded subsequent to the twelve month period post-acquisition date. The orders increase is primarily attributable to the Company's energy and power technologies. Investments in domestic energy infrastructure have resulted in increased demand for emissions, separation, and acoustics products. The remainder of the increase in orders is attributable to the Company's recent acquisitions in burner management and industrial air technologies.
Previous report
Orders booked increased $216.0 million, or 75%, to $502.1 million during the six months ended June 30, 2025 compared with $286.1 million in the six months ended June 30, 2024. Approximately 86%, or $430.1 million, of the orders for the six months ended June 30, 2025 is attributable to organic bookings, defined as orders recorded subsequent to the twelve month period post-acquisition date. The orders increase is primarily attributable to the Company's energy and power technologies. Investments in energy infrastructure and growth in midstream markets have resulted in increased demand for emissions, separation, and acoustics products. The remainder of the increase in orders is attributable to the Company's recent acquisitions.
Previous report
Net sales for the three months ended June 30, 2025 increased $47.9 million, or 34.8%, to $185.4 million compared with $137.5 million for the three months ended June 30, 2024. Approximately 78%, or $145.1 million, of the net sales for the three months ended June 30, 2025 is attributable to organic revenue, defined as revenue recorded subsequent to the twelve month period post-acquisition date. The increase in organic revenue is driven by execution and delivery on our record backlog within energy transition end markets. The remainder of the increase in net sales is attributable to the Company's recent acquisitions.
Previous report
Net sales for the six months ended June 30, 2025 increased $98.2 million, or 37.2%, to $362.1 million compared with $263.9 million for the six months ended June 30, 2024. Approximately 79%, or $287.5 million, of the net sales for the six months ended June 30, 2025 is attributable to organic revenue, defined as revenue recorded subsequent to the twelve month period post-acquisition date. The increase in organic revenue is driven by execution and delivery on our record backlog within energy transition end markets, with notable growth in midstream. The remainder of the increase in net sales is attributable to the Company's recent acquisitions.
Previous report
For the six months ended June 30, 2025, $14.2 million was provided by financing activities compared with $16.6 million used in financing activities in the prior year period, for an increase of $30.8 million. For the six months ended June 30, 2025, cash provided by financing activities was driven by net borrowings of $19.7 million, primarily to fund the acquisition of Profire as discussed in Note 15, partially offset by $1.0 million of deferred consideration paid for acquisitions, representing the repayment of the remainder of the promissory note associated with the acquisition of Transcend Solutions in 2023. For the six months ended June 30, 2024, the primary uses of cash for financing activities were $6.7 million of net repayments on revolving credit lines and long-term debt, $5.0 million to repurchase common stock, and $2.1 million of deferred consideration paid for acquisitions..
Reworded paragraphs (41)
Previous wording
The Company’s Condensed Consolidated Statements of Income for the three and six months ended June 30, 2025 and 2024 reflect the consolidated operations of the Company and its subsidiaries.
Current wording
The Company’s Condensed Consolidated Statements of Income for the three and nine months ended September 30, 2025 and 2024 reflect the consolidated operations of the Company and its subsidiaries.
Previous wording
CECO Environmental Corp. (“CECO,” “we,” “us,” or the “Company”) is a leading environmentally focused, diversified industrial company, serving the broad landscape of industrial air, industrial water and energy transition markets globally providing innovative technology and application expertise through a collection of focused operating companies with niche leadership positions and well-established brands in fragmented markets with flexible business models and established supply chains. CECO helps companies grow their business with safe, clean, and more efficient solutions that help protect people, the environment and industrial equipment. CECO solutions improve air and water quality, optimize emissions management, and increase the energy and process efficiency for highly engineered applications in power generation, midstream and downstream hydrocarbon processing and transport, chemical processing, electric vehicle production, polysilicon fabrication, semiconductor and electronics production, battery production and recycling, specialty metals, aluminum and steel production, beverage can manufacturing, and industrial and produced water and wastewater treatment, and a wide range of other industrial end markets.
Current wording
CECO Environmental Corp. (“CECO,” “we,” “us,” "our," or the “Company”) is a leading environmentally focused, diversified industrial company, serving the broad landscape of industrial air, industrial water and energy transition markets globally providing innovative technology and application expertise through a collection of focused operating companies with niche leadership positions and well-established brands in fragmented markets with flexible business models and established supply chains. CECO helps companies grow their business with safe, clean, and more efficient solutions that help protect people, the environment and industrial equipment. CECO's solutions improve air and water quality, optimize emissions management, and increase the energy and process efficiency for highly engineered applications in power generation, midstream and downstream hydrocarbon processing and transport, chemical processing, electric vehicle production, polysilicon fabrication, semiconductor and electronics production, battery production and recycling, specialty metals, aluminum and steel production, beverage can manufacturing, and industrial and produced water and wastewater treatment, and a wide range of other industrial end markets.
Previous wording
Our Condensed Consolidated Statements of Income for the three and six months ended June 30, 2025 and 2024 are as follows:
Current wording
Our Condensed Consolidated Statements of Income for the three and nine months ended September 30, 2025 and 2024 are as follows:
Previous wording
To compare operating performance between the three and six months ended June 30, 2025 and 2024, the Company has adjusted GAAP operating income to exclude (1) amortization of intangible assets, (2) acquisition and integration expenses, which include legal, accounting, and other expenses, (3) gain on the sale of the Global Pump Solutions business as discussed in Note 16, and (4) other non-recurring expenses, including fair value adjustment of earn-out liabilities from the acquisitions of WK Group, restructuring expenses primarily relating to severance, facility exits, and associated legal expenses, asbestos litigation expenses relating to future settlement payments, and third party professional consulting fees associated with Enterprise Resource Planning system implementations.
Current wording
To compare operating performance between the three and nine months ended September 30, 2025 and 2024, the Company has adjusted GAAP operating income to exclude (1) amortization of intangible assets, (2) acquisition and integration expenses, which include legal, accounting, and other expenses, (3) gain on the sale of the Global Pump Solutions business as discussed in Note 16, and (4) other non-recurring expenses, including fair value adjustment of earn-out liabilities from the acquisitions of WK Group, restructuring expenses primarily relating to severance, facility exits, and associated legal expenses, asbestos litigation expenses relating to future settlement payments, and third party professional consulting fees associated with Enterprise Resource Planning system implementations.
Previous wording
Gross profit increased $18.1 million, or 36.9%, to $67.1 million in the three months ended June 30, 2025 compared with $49.0 million in the three months ended June 30, 2024. The increase in gross profit is primarily attributable to the increase in sales volume as described above. Gross profit as a percentage of sales slightly increased to 36.2% in the three months ended June 30, 2025 compared with 35.6% in the three months ended June 30, 2024. This increase is attributable to project mix.
Current wording
Gross profit increased $19.3 million, or 42.6%, to $64.6 million in the three months ended September 30, 2025 compared with $45.3 million in the three months ended September 30, 2024. The increase in gross profit is primarily attributable to the increase in sales volume as described above. Gross profit as a percentage of sales slightly decreased to 32.7% in the three months ended September 30, 2025 compared with 33.4% in the three months ended September 30, 2024. This decrease is attributable to project mix within industrial solutions end markets.
Previous wording
Gross profit increased $35.1 million, or 37.3%, to $129.3 million in the six months ended June 30, 2025 compared with $94.2 million in the six months ended June 30, 2024. The increase in gross profit is primarily attributable to the increase in sales volume as described above. Gross profit as a percentage of sales was flat at 35.7% in the six months ended June 30, 2025 and June 30, 2024.
Current wording
Gross profit increased $54.4 million, or 39.0%, to $193.9 million in the nine months ended September 30, 2025 compared with $139.5 million in the nine months ended September 30, 2024. The increase in gross profit is primarily attributable to the increase in sales volume as described above. Gross profit as a percentage of sales was flat at 34.6% in the nine months ended September 30, 2025 and 34.9% in the nine months ended September 30, 2024.
Previous wording
Selling and administrative expenses were $48.8 million for the three months ended June 30, 2025 compared with $36.4 million for the three months ended June 30, 2024. The increase is primarily attributable to increased headcount to support the Company’s backlog execution and growth initiatives. Additionally, acquisitions during the current and prior year drove increased selling and administrative expense.
Current wording
Selling and administrative expenses were $47.0 million for the three months ended September 30, 2025 compared with $34.3 million for the three months ended September 30, 2024. The increase is primarily attributable to increased headcount resources to support the Company’s growing pipeline of opportunities as well as additional capabilities to support backlog execution and functional support. Additionally, acquisitions during the current and prior year drove increased selling and administrative expense.
Previous wording
Selling and administrative expenses were $102.4 million for the six months ended June 30, 2025 compared with $71.4 million for the six months ended June 30, 2024. The increase is primarily attributable to increased headcount to support the Company’s backlog execution and growth initiatives. Additionally, acquisitions during the current and prior year drove increased selling and administrative expense.
Current wording
Selling and administrative expenses were $149.4 million for the nine months ended September 30, 2025 compared with $105.7 million for the nine months ended September 30, 2024. The increase is primarily attributable to increased headcount resources to support the Company’s growing pipeline of opportunities as well as additional capabilities to support backlog execution and functional support. Additionally, acquisitions during the current and prior year drove increased selling and administrative expense.
Previous wording
Amortization expense was $6.0 million for the three months ended June 30, 2025 compared with $2.2 million for the three months ended June 30, 2024. The increase in expense is attributable to increased intangible assets attributable to current and prior year acquisitions.
Current wording
Amortization expense was $6.1 million for the three months ended September 30, 2025 compared with $2.2 million for the three months ended September 30, 2024. The increase in expense is attributable to increased intangible assets attributable to current and prior year acquisitions.
Previous wording
Amortization expense was $6.0 million for the six months ended June 30, 2025 compared with $4.4 million for the six months ended June 30, 2024. The increase in expense is attributable to increased intangible assets attributable to current and prior year acquisitions.
Current wording
Amortization expense was $12.2 million for the nine months ended September 30, 2025 compared with $6.5 million for the nine months ended September 30, 2024. The increase in expense is attributable to increased intangible assets attributable to current and prior year acquisitions.
Previous wording
Operating income increased $8.8 million to $18.1 million for the three months ended June 30, 2025 compared with operating income of $9.3 million for the three months ended June 30, 2024. The increase in operating income is primarily attributable to the fair value adjustment to the earn-out liability associated with the acquisition of WK Group, as well as the increase in gross profit described above.
Current wording
Operating income increased $2.2 million to $9.4 million for the three months ended September 30, 2025 compared with operating income of $7.2 million for the three months ended September 30, 2024. The increase in operating income is primarily attributable to the fair value adjustment to the earn-out liability associated with the acquisition of WK Group, as well as the increase in gross profit described above.
Previous wording
Operating income increased $63.0 million to $79.9 million for the six months ended June 30, 2025 compared with operating income of $16.9 million for the six months ended June 30, 2024. The increase in operating income is primarily attributable to the gain on the sale of the Global Pump Solutions business and fair value adjustment to the earn-out liability associated with the acquisition of WK Group, partially offset by the increase in selling and administrative expenses described above.
Current wording
Operating income increased $65.2 million to $89.3 million for the nine months ended September 30, 2025 compared with operating income of $24.1 million for the nine months ended September 30, 2024. The increase in operating income is primarily attributable to the gain on the sale of the Global Pump Solutions business and fair value adjustment to the earn-out liability associated with the acquisition of WK Group, partially offset by the increase in selling and administrative expenses described above.
Previous wording
Non-GAAP operating income was $18.3 million for the three months ended June 30, 2025 compared with $12.6 million for the three months ended June 30, 2024. Non-GAAP operating income as a percentage of sales increased to 9.9% for the three months ended June 30, 2025 from 9.2% for the three months ended June 30, 2024.
Current wording
Non-GAAP operating income was $17.5 million for the three months ended September 30, 2025 compared with $11.0 million for the three months ended September 30, 2024. Non-GAAP operating income as a percentage of sales increased to 8.9% for the three months ended September 30, 2025 from 8.1% for the three months ended September 30, 2024.
Previous wording
Non-GAAP operating income was $26.9 million for the six months ended June 30, 2025 compared with $22.8 million for the six months ended June 30, 2024. Non-GAAP operating income as a percentage of sales decreased to 7% for the six months ended June 30, 2025 from 9% for the six months ended June 30, 2024.
Current wording
Non-GAAP operating income was $44.5 million for the nine months ended September 30, 2025 compared with $33.8 million for the nine months ended September 30, 2024. Non-GAAP operating income as a percentage of sales was flat at 8% for the both the nine months ended September 30, 2025 and 2024.
Previous wording
Interest expense increased to $4.9 million in the three months ended June 30, 2025 compared with interest expense of $3.3 million for the three months ended June 30, 2024. The increase in interest expense is primarily due to increased debt balances.
Current wording
Interest expense increased to $5.1 million in the three months ended September 30, 2025 compared with interest expense of $2.6 million for the three months ended September 30, 2024. The increase in interest expense is primarily due to increased debt balances.
Previous wording
Interest expense increased to $11.1 million in the six months ended June 30, 2025 compared with interest expense of $6.7 million for the six months ended June 30, 2024. The increase in interest expense is primarily due to increased debt balances.
Current wording
Interest expense increased to $16.2 million in the nine months ended September 30, 2025 compared with interest expense of $9.3 million for the nine months ended September 30, 2024. The increase in interest expense is primarily due to increased debt balances.
Previous wording
Income tax expense was $4.5 million for the three months ended June 30, 2025 compared with income tax expense of $1.0 million for the three months ended June 30, 2024. Income tax expense was $23.1 million for the six months ended June 30, 2025 compared with income tax expense of $1.0 million for the six months ended June 30, 2024. The effective income tax rate for the three months ended June 30, 2025 was 30.9% compared with 7.4% for the three months ended June 30, 2024. The effective income tax rate for the six months ended June 30, 2025 was 33.2% compared with 13.1% for the six months ended June 30, 2024. The effective income tax rates for the three and six months ended June 30, 2025 and June 30, 2024 differ from the United States federal statutory rate. Our effective tax rate is affected by certain other permanent differences, including the gain on the sale of the Global Pump Solutions business, state income taxes, non-deductible incentive stock-based compensation, and differences in tax rates among the jurisdictions in which we operate.
Current wording
Income tax expense was $0.5 million for the three months ended September 30, 2025 compared with income tax expense of $1.6 million for the three months ended September 30, 2024. Income tax expense was $23.6 million for the nine months ended September 30, 2025 compared with income tax expense of $2.7 million for the nine months ended September 30, 2024. The effective income tax rate for the three months ended September 30, 2025 was 21.1% compared with 38.7% for the three months ended September 30, 2024. The effective income tax rate for the nine months ended September 30, 2025 was 32.8% compared with 21.8% for the nine months ended September 30, 2024. The effective income tax rates for the three and nine months ended September 30, 2025 and September 30, 2024 differ from the United States federal statutory rate. Our effective tax rate is affected by other permanent differences, including the gain on the sale of the Global Pump Solutions business, state income taxes, non-deductible incentive stock-based compensation, and differences in tax rates among the jurisdictions in which we operate.
Previous wording
The Company’s operations are organized and reviewed by management along its product lines or end market that the segment serves and are presented in two reportable segments. The results of the segments are reviewed through “Income from operations” on the unaudited Condensed Consolidated Statements of Income.
Current wording
The Company’s operations are organized as groups of similar products and services, and are presented in two reportable segments. The results of the segments are reviewed through “Income from operations” on the unaudited Condensed Consolidated Statements of Income.
Previous wording
For the three and six months ended June 30, 2025, financial results by segment are as follows:
Current wording
Financial results by segment are as follows:
Previous wording
Our Engineered Systems segment orders booked increased $123.7 million, or 123%, to $224.2 million during the three months ended June 30, 2025 compared with $100.5 million in the three months ended June 30, 2024. The increase is primarily attributable to the Company's energy and power technologies. Investments in energy infrastructure and growth in midstream markets have resulted in increased demand for emissions, separation, and acoustics products. The Company’s acquisition of Profire, a niche-leader specializing in the design and manufacture of burner-management systems and other combustion-management technologies, is another driver of increased orders. Approximately 94%, or $210.1 million, of the orders for the three months ended June 30, 2025 is attributable to organic bookings, defined as orders recorded subsequent to the twelve month period post-acquisition date.
Current wording
Company’s acquisition of Profire, a niche-leader specializing in the design and manufacture of burner-management systems and other combustion-management technologies, is another driver of increased orders.
Previous wording
Our Engineered Systems segment orders booked increased $187.1 million, or 94%, to $387.1 million during the six months ended June 30, 2025 compared with $200.0 million in the six months ended June 30, 2024. The increase is primarily attributable to the Company's energy and power technologies. Investments in energy infrastructure and growth in midstream markets have resulted in increased demand for emissions, separation, and acoustics products. The Company’s acquisition of Profire also contributed to the increase in orders. Approximately 91%, or $353.0 million, of the orders for the six months ended June 30, 2025 is attributable to organic bookings, defined as orders recorded subsequent to the twelve month period post-acquisition date.
Current wording
Our Engineered Systems segment orders booked increased $239.9 million, or 74%, to $562.6 million during the nine months ended September 30, 2025 compared with $322.7 million in the nine months ended September 30, 2024, inclusive of organic growth of 73%. The increase is primarily attributable to the Company's energy and power technologies. Investments in energy infrastructure and growth in midstream and downstream markets have resulted in increased demand for emissions, separation, and acoustics products. The Company’s acquisition of Profire also contributed to the increase in orders.
Previous wording
Our Engineered Systems segment net sales increased $31.1 million to $128.5 million for the three months ended June 30, 2025 compared with $97.4 million for the three months ended June 30, 2024. The increase is led by backlog execution on large scale power projects and inorganic sales growth attributable to Profire. Approximately 87%, or $111.6 million, of the net sales for the three months ended June 30, 2025 is attributable to organic revenue.
Current wording
Our Engineered Systems segment net sales increased $52.4 million to $143.7 million for the three months ended September 30, 2025 compared with $91.3 million for the three months ended September 30, 2024, inclusive of organic growth of 47%. The increase is led by backlog execution on large scale power projects and inorganic sales growth attributable to Profire.
Previous wording
Our Engineered Systems segment net sales increased $62.2 million to $248.9 million for the six months ended June 30, 2025 compared with $186.7 million for the six months ended June 30, 2024. The increase is led by backlog execution on large scale power projects and inorganic sales growth attributable to Profire. Approximately 87%, or $217.6 million, of the net sales for the six months ended June 30, 2025 is attributable to organic revenue.
Current wording
Our Engineered Systems segment net sales increased $114.6 million to $392.6 million for the nine months ended September 30, 2025 compared with $278.0 million for the nine months ended September 30, 2024, inclusive of organic growth of 33%. The increase is led by backlog execution on large scale power projects and inorganic sales growth attributable to Profire.
Previous wording
Operating income for the Engineered Systems segment increased $5.9 million to $25.2 million for the three months ended June 30, 2025 compared with $19.3 million for the three months ended June 30, 2024. The operating income increase is attributable to higher gross profit related to increased net sales, partially offset by an increase in selling and administrative expense.
Current wording
Operating income for the Engineered Systems segment increased $9.2 million to $25.0 million for the three months ended September 30, 2025 compared with $15.8 million for the three months ended September 30, 2024. The operating income increase is attributable to higher gross profit related to increased net sales, partially offset by an increase in selling and administrative expense.
Previous wording
Operating income for the Engineered Systems segment increased $8.3 million to $43.9 million for the six months ended June 30, 2025 compared with $35.6 million for the six months ended June 30, 2024. The operating income increase is attributable to higher gross profit related to increased net sales, partially offset by an increase in selling and administrative expense.
Current wording
Operating income for the Engineered Systems segment increased $17.6 million to $69.0 million for the nine months ended September 30, 2025 compared with $51.4 million for the nine months ended September 30, 2024. The operating income increase is attributable to higher gross profit related to increased net sales, partially offset by an increase in selling and administrative expense.
Previous wording
Our Industrial Process Solutions segment orders booked increased $9.7 million, or 24%, to $49.9 million during the three months ended June 30, 2025 compared with $40.2 million in the three months ended June 30, 2024. The increase is primarily attributable to the Company’s most recent acquisitions in industrial air treatment applications and increase in demand for the Company's scrubber technologies. Approximately 70%, or $35.1 million, of the orders for the three months ended June 30, 2025 is attributable to organic bookings, defined as orders recorded subsequent to the twelve month period post-acquisition date.
Current wording
Our Industrial Process Solutions segment orders booked increased $17.3 million, or 43%, to $57.4 million during the three months ended September 30, 2025 compared with $40.1 million in the three months ended September 30, 2024, inclusive of organic growth of 23%. The increase is primarily attributable to the Company’s most recent acquisitions in industrial air treatment applications and increase in demand for the Company's scrubber technologies.
Previous wording
Our Industrial Process Solutions segment orders booked increased $29.4 million, or 34%, to $114.9 million during the six months ended June 30, 2025 compared with $85.5 million in the six months ended June 30, 2024. The increase is primarily attributable to Company’s most recent acquisitions in industrial air treatment applications and increase in demand for the Company's scrubber technologies. Approximately 67% or $77.0 million, of the orders for the six months ended June 30, 2025 is attributable to organic bookings, defined as orders recorded subsequent to the twelve month period post-acquisition date.
Current wording
Our Industrial Process Solutions segment orders booked increased $46.7 million, or 37%, to $172.3 million during the nine months ended September 30, 2025 compared with $125.6 million in the nine months ended September 30, 2024, inclusive of organic growth of 7%. The increase is primarily attributable to Company’s most recent acquisitions in industrial air treatment applications and increase in demand for the Company's scrubber technologies.
Previous wording
Our Industrial Process Solutions segment net sales increased $16.8 million to $56.9 million for the three months ended June 30, 2025 compared with $40.1 million for the three months ended June 30, 2024. The increase is primarily attributable to Company’s most recent acquisitions in industrial air treatment applications, partially offset by the loss of net sales due to the divestiture of the Global Pump Solutions business. Approximately 59%, or $33.5 million, of the net sales for the three months ended June 30, 2025 is attributable to organic revenue.
Current wording
Our Industrial Process Solutions segment net sales increased $9.7 million to $53.9 million for the three months ended September 30, 2025 compared with $44.2 million for the three months ended September 30, 2024, inclusive of organic growth of 11%. The increase is primarily attributable to Company’s most recent acquisitions in industrial air treatment applications, partially offset by the loss of net sales due to the divestiture of the Global Pump Solutions business.
Previous wording
Our Industrial Process Solutions segment net sales increased $36.1 million to $113.2 million for the six months ended June 30, 2025 compared with $77.1 million for the six months ended June 30, 2024. The increase is primarily attributable to Company’s most recent acquisitions in industrial air treatment applications, partially offset by the loss of net sales due to the divestiture of the Global Pump Solutions business. Approximately 62%, or $70.0 million, of the net sales for the six months ended June 30, 2025 is attributable to organic revenue.
Current wording
Our Industrial Process Solutions segment net sales increased $45.8 million to $167.1 million for the nine months ended September 30, 2025 compared with $121.3 million for the nine months ended September 30, 2024, inclusive of organic growth of 5%. The increase is primarily attributable to Company’s most recent acquisitions in industrial air treatment applications, partially offset by the loss of net sales due to the divestiture of the Global Pump Solutions business.
Previous wording
Operating income for the Industrial Process Solutions segment increased $9.4 million to $15.1 million for the three months ended June 30, 2025 compared with $5.7 million for the three months ended June 30, 2024. The increase is primarily attributable to the fair value adjustment to the earn-out liability associated with the acquisition of WK Group, as well as the increase in gross profit driven by the net sales increase described above.
Current wording
Operating income for the Industrial Process Solutions segment decreased $3.9 million to $4.2 million for the three months ended September 30, 2025 compared with $8.1 million for the three months ended September 30, 2024. The decrease is primarily attributable to the fair value adjustment to the earn-out liability associated with the acquisition of WK Group, as well as the increase in gross profit driven by the net sales increase described above.
Previous wording
Operating income for the Industrial Process Solutions segment increased $72.0 million to $84.8 million for the six months ended June 30, 2025 compared with $12.8 million for the six months ended June 30, 2024. The increase is primarily attributable to the gain on the sale of the Global Pump Solutions business and fair value adjustment to the earn-out liability associated with the acquisition of WK Group.
Current wording
Operating income for the Industrial Process Solutions segment increased $68.2 million to $89.0 million for the nine months ended September 30, 2025 compared with $20.8 million for the nine months ended September 30, 2024. The increase is primarily attributable to the gain on the sale of the Global Pump Solutions business and fair value adjustment to the earn-out liability associated with the acquisition of WK Group.
Previous wording
Backlog (i.e., unfulfilled or remaining performance obligations) represents the sales we expect to recognize for our products and services for which control has not yet transferred to the customer. Backlog increased to $688.1 million as of June 30, 2025, from $540.9 million as of December 31, 2024. Our customers may have the right to cancel a given order. Historically, cancellations have not been significant. Backlog is adjusted on a quarterly basis for adjustments in foreign currency exchange rates. Substantially all backlog is expected to be delivered within 18 to 24 months. Backlog is not defined by GAAP and our methodology for calculating backlog may not be consistent with methodologies used by other companies.
Current wording
Backlog (i.e., unfulfilled or remaining performance obligations) represents the sales we expect to recognize for our products and services for which control has not yet transferred to the customer. Backlog increased to $719.6 million as of September 30, 2025, from $540.9 million as of December 31, 2024. Our customers may have the right to cancel a given order. Historically, cancellations have not been significant. Backlog is adjusted on a quarterly basis for adjustments in foreign currency exchange rates. Substantially all backlog is expected to be delivered within 12 to 30 months. Backlog is not defined by GAAP and our methodology for calculating backlog may not be consistent with methodologies used by other companies.
Previous wording
When we undertake large jobs, our working capital objective is to make these projects self-funding. We work to achieve this by obtaining customer down payments, progress billing contracts, when possible, utilizing extended payment terms from material suppliers, and paying sub-contractors after payment from our customers, which is an industry practice. Our investment in net working capital is funded by cash flow from operations and by our revolving line of credit under our Credit Facility (as defined below).
Current wording
When we undertake large jobs, our working capital objective is to make these projects self-funding. We work to achieve this by obtaining customer advanced payments, structuring our contracts with progress billing provisions, when possible, utilizing extended payment terms from material suppliers, and paying sub-contractors after payment from our customers, which is an industry practice. Our investment in working capital is funded by cash flows from operations and by our revolving line of credit under our Credit Facility (as defined below).
Previous wording
At June 30, 2025, the Company had working capital of $98.0 million, compared with $86.3 million at December 31, 2024. The ratio of current assets to current liabilities was 1.34 to 1.00 on June 30, 2025, as compared with a ratio of 1.35 to 1.00 on December 31, 2024.
Current wording
At September 30, 2025, the Company had working capital of $97.2 million, compared with $86.3 million at December 31, 2024. The ratio of current assets to current liabilities was 1.33 to 1.00 on September 30, 2025, as compared with a ratio of 1.35 to 1.00 on December 31, 2024.
Previous wording
At June 30, 2025 and December 31, 2024, cash and cash equivalents totaled $36.8 million and $37.8 million, respectively. As of June 30, 2025 and December 31, 2024, $26.2 million and $29.7 million, respectively, of our cash and cash equivalents were held by certain foreign subsidiaries, as well as being denominated in foreign currencies.
Current wording
At September 30, 2025 and December 31, 2024, cash and cash equivalents totaled $32.8 million and $37.8 million, respectively. As of September 30, 2025 and December 31, 2024, $25.4 million and $29.7 million, respectively, of our cash and cash equivalents were held by certain foreign subsidiaries, as well as being denominated in foreign currencies.
Previous wording
For the six months ended June 30, 2025, $19.4 million of cash was used in operating activities compared with $7.9 million provided by operations in the prior year period, representing a decrease of $27.3 million. Cash flow from operating activities in the first six months of 2025 had an unfavorable impact year-over-year primarily due to timing of project-related payments.
Current wording
For the nine months ended September 30, 2025, $4.1 million of cash was used in operating activities compared with $23.0 million provided by operations in the prior year period, representing a decrease of $27.1 million. Cash flows from operating activities in the first nine months of 2025 had an unfavorable impact year-over-year primarily due to timing of project-related payments.
Previous wording
For the six months ended June 30, 2025, net cash provided by investing activities was $3.8 million compared with $6.8 million used in investing activities in the prior year period. For the six months ended June 30, 2025, the Company received $105.8 million related to the sale of the Global Pump Solutions business as discussed in Note 16, offset by $97.6 million used in the acquisition of Profire as discussed in Note 15. In the prior year period, $6.8 million cash used in investing activities was primarily the result of acquisitions of property and equipment.
Current wording
For the nine months ended September 30, 2025, net cash provided by investing activities was $1.5 million compared with $26.2 million used in investing activities in the prior year period. For the nine months ended September 30, 2025, the Company received $107.8 million related to the sale of the Global Pump Solutions business as discussed in Note 16, offset by $97.6 million used in the acquisition of Profire as discussed in Note 15. In the prior year period, $26.2 million cash used in investing activities was primarily the result of the purchase of EnviroCare and acquisitions of property and equipment.
Previous wording
Management believes there have been no changes during the six months ended June 30, 2025 to the items that the Company disclosed as its critical accounting policies and estimates in Management’s Discussion and Analysis of Financial Condition and Results of Operations in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
Current wording
Management believes there have been no changes during the nine months ended September 30, 2025 to the items that the Company disclosed as its critical accounting policies and estimates in Management’s Discussion and Analysis of Financial Condition and Results of Operations in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
Previous wording
the effect of recent acquisitions and the divestiture of our Fluid Handling Business (together, the “transactions”) on business relationships, operating results, and business generally, disruption of current plans and operations and potential difficulties in employee retention as a result of the transactions, diversion of management’s attention from ongoing business operations in connection with the integration of recent acquisitions, the outcome of any legal proceedings that have been or may in the future be instituted related to the Profire transaction or other transactions, the amount of the costs, fees, expenses and other charges related to the transactions, the achievement of the anticipated benefits of transactions, our ability to successfully integrate acquired businesses and realize the synergies from acquisitions, as well as a number of factors related to our business, including the sensitivity of our business to economic and financial market conditions generally and economic conditions in CECO’s service areas;
Current wording
the effect of recent acquisitions and the divestiture of our Fluid Handling Business (together, the “transactions”) on business relationships, operating results, and business generally, disruption of current plans and operations and potential difficulties in employee retention as a result of the transactions, diversion of management’s attention from ongoing business operations in connection with the integration of recent acquisitions, the amount of the costs, fees, expenses and other charges related to the transactions, the achievement of the anticipated benefits of transactions, our ability to successfully integrate acquired businesses and realize the synergies from acquisitions, as well as a number of factors related to our business, including the sensitivity of our business to economic and financial market conditions generally and economic conditions in CECO’s service areas;
Previous wording
the impact of federal, state or local government regulations;
Current wording
the impact of federal, state or local government regulations, including with respect to tax policy;
Showing the first 40 of 41 pairs. Open the source sections for the rest.
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
(1) Other non-recurring expenses, including fair value adjustment of earn-out liabilities from the acquisitions of WK Group, restructuring expenses primarily relating to severance, facility exits, and associated legal expenses, asbestos litigation expenses relating to future settlement payments, and third party professional consulting fees associated with Enterprise Resource Planning system implementations.
Previous report — wording carried elsewhere
For the three and six months ended June 30, 2024, financial results by segment are as follows: