Hamilton Beach Brands Holding Co
For the period ended Jun 30, 2026. Filed Aug 5, 2026.
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.
Jun 30, 2026 · Filed Aug 5, 2026
HBB$32.16-0.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-03-31; filed 2026-05-06.
0001709164-26-000067
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-06-30; filed 2026-08-05.
0001709164-26-000160
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 36 previous paragraphs and 44 current paragraphs.
24 unchanged; 9 reworded; 10 added; 3 removed; 0 previous and 1 current paragraphs rearranged.
Tables are not compared: 4 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 (10)
Current report
Revenue - Revenue increased $14.9 million, or 11.6%, compared to the prior year due to higher volumes in the Company’s U.S. Consumer business reflecting recovery from the second quarter of 2025 when retailers paused buying to assess inventory levels and price increases flowing from IEEPA tariffs implemented in April 2025.
Current report
Gross profit - Gross profit margin increased to 54.3% compared to 27.5% in the prior year. The significant improvement in gross profit margin included one-time benefits related to the IEEPA Tariff Ruling. These benefits consist of IEEPA Tariff Refunds of $36.5 million, as well as continued sell-through of inventory no longer subject to IEEPA tariffs. These benefits are non-recurring and will not persist beyond the sell-through of the affected inventory. Excluding these benefits, gross profit margin would have been 26.1%.
Current report
Interest (income) expense, net - Interest income, net was $1.3 million for the three months ended June 30, 2026, compared to interest expense, net of $0.1 million in the prior period due to interest income on IEEPA Tariff Refunds.
Current report
First Six Months of 2026 Compared with First Six Months of 2025
Current report
Revenue - Revenue increased $3.5 million, or 1.3%, compared to the prior year as pricing offset volume and mix pressure in the U.S. Consumer business, while growth in the Commercial and Health businesses and favorable foreign currency translation drove the overall increase.
Current report
Gross profit - Gross profit margin increased to 43.0% compared to 26.0% in the prior year. The significant improvement in gross margin included one-time benefits related to the IEEPA Tariff Ruling. These benefits consist of IEEPA Tariff Refunds of $36.5 million received in the second quarter, as well as continued sell-through of inventory no longer subject to IEEPA tariffs. These benefits are non-recurring and will not persist beyond the sell-through of the affected inventory. Excluding these benefits, gross profit margin would have been 26.9%.
Current report
Selling, general and administrative expenses (SG&A) - Selling, general and administrative expenses increased $5.9 million compared to the prior year. The increase was primarily due to higher incentive related personnel costs, as the prior year reflected lower expected performance. The current period also includes $2.8 million accelerated depreciation of the Company’s legacy ERP system.
Current report
Interest (income) expense, net - Interest income, net was $1.3 million for the six months ended June 30, 2026, compared to interest expense, net of $49 thousand for the six months ended June 30, 2025 due to interest income on the IEEPA Tariff Refunds in the second quarter of 2026.
Current report
Income tax expense (benefit) - The effective tax rate was 24.9% compared to 26.7% in the prior six month period. The effective tax rate was lower for the six months ended June 30, 2026 due to changes in the jurisdictional mix of earnings and a reduction in foreign losses subject to a valuation allowance.
Current report
Operating activities - Net cash provided by operating activities was $61.5 million, compared to cash used of $23.8 million in the prior year, representing an increase of $85.3 million. The increase was primarily driven by the aforementioned IEEPA refunds and lower working capital mainly due to reduced inventory levels as the prior year included accelerated purchases ahead of tariff uncertainty and lower sell through. The 2025 period also included higher incentive compensation and tax payments related to the prior year.
Removed paragraphs (3)
Previous report
Revenue - Revenue decreased $11.4 million, or 8.6%, compared to the prior year due to lower volumes in the Company’s U.S. Consumer business.
Previous report
Gross profit - Gross profit margin increased to 29.7% compared to 24.6% in the prior year due to favorable pricing and customer mix, partially offset by higher product costs. The margin improvement included a one-time benefit of 190 basis points related to the sell-through of inventory that was priced in anticipation of IEEPA tariffs that were eliminated following the Supreme Court’s ruling. This benefit is non-recurring and will not persist beyond the sell-through of the affected inventory.
Previous report
Operating activities - Net cash provided by operating activities was $3.3 million, compared to cash provided of $6.6 million in the prior year, representing a decline of $3.3 million. The decline was primarily driven by higher net working capital, including a planned increase in accounts receivable following the Company’s decision to transition away from our arrangement with a financial institution to sell certain U.S. trade receivables of a single customer on a non-recourse basis which shifted the timing of cash receipts. This was partially offset by lower incentive payout compared to 2025.
Reworded paragraphs (9)
Previous wording
First Quarter of 2026 Compared with First Quarter of 2025
Current wording
Second Quarter of 2026 Compared with Second Quarter of 2025
Previous wording
Selling, general and administrative expenses (SG&A) - Selling, general and administrative expenses increased by $0.8 million compared to the prior year. The increase was primarily due to accelerated depreciation of the Company’s legacy enterprise resource planning (ERP) system, partially offset by the benefit of restructuring actions taken by management during the second quarter of the prior year.
Current wording
Selling, general and administrative expenses (SG&A) - Selling, general and administrative expenses increased $5.1 million compared to the prior year. The increase was primarily due to higher incentive related personnel costs, as the prior year reflected lower expected performance. The current period also includes $1.4 million accelerated depreciation of the Company’s legacy enterprise resource planning (ERP) system.
Previous wording
Interest (income) expense, net - Interest income, net was $0.1 million for both the three months ended March 31, 2026 and 2025.
Current wording
Other (income) expense, net - Other income, net was $0.2 million for both the three months ended June 30, 2026 and 2025.
Previous wording
Income tax expense (benefit) - The effective tax rate was 28.5% and 28.8% for the three months ended March 31, 2026 and 2025, respectively. The Company’s effective tax rate remains consistent for the periods compared.
Current wording
Income tax expense (benefit) - The effective tax rate was 24.5% and 25.9% for the three months ended June 30, 2026 and 2025, respectively. The effective tax rate was lower for the three months ended June 30, 2026 due to changes in the jurisdictional mix of earnings and a reduction in foreign losses subject to a valuation allowance.
Previous wording
Other (income) expense, net - Other expense, net was $0.1 million for the three months ended March 31, 2026, compared to other income, net of $0.1 million for the three months ended March 31, 2025.
Current wording
Other (income) expense, net - Other income, net was $0.1 million for the six months ended June 30, 2026 compared to other income, net of $0.3 million for the six months ended June 30, 2025.
Previous wording
Investing activities - Net cash used for investing activities decreased $0.2 million compared to the prior year.
Current wording
Investing activities - Net cash used for investing activities decreased $0.6 million compared to the prior year.
Previous wording
Financing activities - Net cash used for financing activities decreased $2.1 million compared to the prior year due to lower share repurchases during the first three months of 2026.
Current wording
Financing activities - Net cash used for financing activities decreased $4.1 million compared to the prior year due to lower share repurchases during the first six months of 2026.
Previous wording
HBB does not expect to make voluntary repayments within the next twelve months under the HBB Facility as the rate of return to invest excess cash exceeds the average interest rate of the HBB Facility. A material decrease in interest rates could cause HBB to re-evaluate. The obligations under the HBB Facility are secured by all of HBB’s U.S. assets. As of March 31, 2026, the borrowing base under the HBB Facility was $103.9 million and borrowings outstanding were $50.0 million. As of March 31, 2026, Excess Availability (as defined in the HBB Facility) was $53.9 million.
Current wording
The obligations under the HBB Facility are secured by all of HBB’s U.S. assets. As of June 30, 2026, the borrowing base under the HBB Facility was $104.3 million and borrowings outstanding were $50.0 million. As of June 30, 2026, Excess Availability (as defined in the HBB Facility) was $54.3 million. The Company may repay outstanding debt from time to time depending on market conditions, cash flow generation, and other factors.
Previous wording
The maximum availability under the HBB Facility is governed by a borrowing base derived from advance rates against eligible trade receivables and inventory of HBB. As of March 31, 2026, interest on outstanding loans under the HBB Facility accrues at a per annum rate equal to, at HBB’s option, either Term Secured Overnight Financing Rate (SOFR) (as defined in the HBB Facility) plus 1.65% or the Base Rate(as defined in the HBB Facility) plus 0.00%. As of March 31, 2026, the HBB Facility requires a fee of 0.20% per annum on the unused commitment there under. The weighted average interest rate applicable to the HBB Facility for thethree months ended March 31, 2026 was 3.24% (after giving effect to the interest rate swap agreements described below).
Current wording
The maximum availability under the HBB Facility is governed by a borrowing base derived from advance rates against eligible trade receivables and inventory of HBB. As of June 30, 2026, interest on outstanding loans under the HBB Facility accrues at a per annum rate equal to, at HBB’s option, either Term Secured Overnight Financing Rate (SOFR) (as defined in the HBB Facility) plus 1.65% or the Base Rate(as defined in the HBB Facility) plus 0.00%. As of June 30, 2026, the HBB Facility requires a fee of 0.20% per annum on the unused commitment there under. The weighted average interest rate applicable to the HBB Facility for thesix months ended June 30, 2026 was 3.26% (after giving effect to the interest rate swap agreements described below).
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
The following table identifies the components of the change in revenue: