Kadant Reports Third Quarter 2021 Results and Record Bookings

Rhea-AI Summary

Kadant Inc. (NYSE: KAI) reported strong third-quarter results for 2021, with revenue increasing by 29% to a record $200 million. Bookings rose 71% to $245 million, contributing to a net income increase of 38% to $20 million. Operating cash flow grew by 56% to $38 million, while adjusted diluted earnings per share surged by 50% to $1.97. Despite robust performance, the company adjusted its 2021 revenue forecast down to $778-$783 million due to supply chain constraints and inflationary pressures. The backlog reached a record $299 million, signaling strong future demand.

Positive

• Revenue increased 29% to a record $200 million.
• Bookings rose 71% to $245 million.
• Net income increased 38% to $20 million.
• Operating cash flow grew 56% to $38 million.
• Adjusted diluted EPS surged 50% to $1.97.
• Backlog reached a record $299 million.

Negative

• Revenue forecast decreased to $778-$783 million due to supply chain constraints and inflation.

WESTFORD, Mass., Nov. 02, 2021 (GLOBE NEWSWIRE) -- Kadant Inc. (NYSE: KAI) reported its financial results for the third quarter ended October 2, 2021.

Third Quarter Financial Highlights

• Bookings increased 71% to a record $245 million.
• Revenue increased 29% to a record $200 million.
• Operating cash flow increased 56% to $38 million.
• Free cash flow increased 53% to $35 million.
• Net income increased 38% to $20 million.
• GAAP diluted EPS increased 37% to $1.75.
• Adjusted diluted EPS increased 50% to $1.97.
• Adjusted EBITDA increased 36% to $41 million and represented 20.5% of revenue.
• Backlog was a record $299 million.
  

Note: Percent changes above are based on comparison to the prior year period. Free cash flow, adjusted diluted EPS, adjusted EBITDA, adjusted EBITDA margin, and changes in organic revenue are non-GAAP financial measures that exclude certain items as detailed later in this press release under the heading “Use of Non-GAAP Financial Measures.”

Management Commentary
“Record revenue combined with excellent execution by our operations teams led to another quarter of strong performance,” said Jeffrey L. Powell, president and chief executive officer of Kadant Inc. “End-market demand was exceptional in the third quarter with record parts demand and robust capital order activity, particularly in our Industrial Processing segment. These results contributed to solid margin performance and improved operating leverage across all our segments.

“Despite an increasingly challenging operating environment resulting from supply chain constraints and inflationary pressures, our global workforce performed extremely well in fulfilling our customer commitments and delivering value. Our end markets continue to show signs of strength as we enter the final quarter of the year and we are well positioned for a strong finish to 2021.”

Third Quarter 2021 compared to 2020
Revenue increased 29 percent to a record $199.8 million compared to $154.6 million in 2020. Organic revenue increased 18 percent, which excludes an eight percent increase from acquisitions and a three percent increase from the favorable effect of foreign currency translation. Gross margin was 41.9 percent, which included a negative 110 basis point impact from the amortization of acquired profit in inventory, compared to 44.2 percent in 2020, which included a positive 110 basis point impact from the receipt of government assistance benefits related to the pandemic.

GAAP diluted earnings per share (EPS) increased 37 percent to a $1.75 compared to $1.28 in 2020. Adjusted diluted EPS increased 50 percent to $1.97 compared to $1.31 in 2020. Adjusted diluted EPS excludes $0.17 of amortization expense from acquired profit in inventory and backlog and $0.05 of acquisition costs in 2021 and $0.03 of restructuring costs, $0.03 of acquisition-related costs, and a $0.03 discrete tax benefit in 2020. Net income increased 38 percent to $20.5 million compared to $14.9 million in 2020. Adjusted EBITDA increased 36 percent to $40.9 million and 20.5 percent of revenue compared to $30.0 million and 19.4 percent of revenue in the prior year quarter. Operating cash flow increased 56 percent to $37.9 million compared to $24.4 million in 2020.

Bookings increased 71 percent to a record $244.7 million compared to $143.3 million in 2020. Organic bookings increased 57 percent, which excludes a ten percent increase from acquisitions and a four percent increase from the favorable effect of foreign currency translation.

Summary and Outlook
“The strong momentum built up during the first three quarters of 2021 has led to record backlog, and we expect a solid finish to the year," Mr. Powell continued. “While we continue to see strong demand for our products, supply chain constraints, delays in shipments, and the timing of capital orders are moderating our outlook for the fourth quarter. As a result, we are decreasing our revenue expectation to $778 to $783 million for 2021 from our previous range of $783 to $793 million.”

Conference Call
Kadant will hold a webcast with a slide presentation for investors on Wednesday, November 3, 2021, at 11:00 a.m. eastern time to discuss its third quarter performance, as well as future expectations. To access the webcast, including the slideshow and accompanying audio, go to www.kadant.com and click on “Investors.” To listen to the webcast via teleconference, call 888-326-8410 within the U.S., or +1-704-385-4884 outside the U.S. and reference participant passcode 9476904. Prior to the call, our earnings release and the slides used in the webcast presentation will be filed with the Securities and Exchange Commission and will be available at www.sec.gov. An archive of the webcast presentation will be available on our website until December 3, 2021.

Shortly after the webcast, Kadant will post its updated general investor presentation incorporating the third quarter results on its website at www.kadant.com under the “Investors” section.

Use of Non-GAAP Financial Measures
In addition to the financial measures prepared in accordance with generally accepted accounting principles (GAAP), we use certain non-GAAP financial measures, including increases or decreases in revenue excluding the effect of acquisitions and foreign currency translation (organic revenue), adjusted operating income, adjusted net income, adjusted diluted EPS, earnings before interest, taxes, depreciation, and amortization (EBITDA), adjusted EBITDA, adjusted EBITDA margin, and free cash flow.

We believe these non-GAAP financial measures, when taken together with the corresponding GAAP financial measures, provide meaningful supplemental information regarding our performance by excluding certain items that may not be indicative of our core business, operating results, or future outlook. We believe that the inclusion of such measures helps investors gain an understanding of our underlying operating performance and future prospects, consistent with how management measures and forecasts our performance, especially when comparing such results to previous periods or forecasts and to the performance of our competitors. Such measures are also used by us in our financial and operating decision-making and for compensation purposes. We also believe this information is responsive to investors' requests and gives them an additional measure of our performance.
        
The non-GAAP financial measures included in this press release are not meant to be considered superior to or a substitute for the results of operations prepared in accordance with GAAP. In addition, the non-GAAP financial measures included in this press release have limitations associated with their use as compared to the most directly comparable GAAP measures, in that they may be different from, and therefore not comparable to, similar measures used by other companies.

Revenue in the third quarter of 2021 included $12.8 million from acquisitions and a $4.6 million favorable foreign currency translation effect. Revenue in the first nine months of 2021 included a $22.2 million favorable foreign currency translation effect and $13.3 million from acquisitions. We present increases or decreases in organic revenue, which excludes the effect of acquisitions and foreign currency translation, to provide investors insight into underlying revenue trends.
                
Our non-GAAP financial measures exclude restructuring costs, acquisition costs, amortization expense related to acquired profit in inventory and backlog, and discrete tax items. These items are excluded as they are not indicative of our core operating results and are not comparable to other periods, which have differing levels of incremental costs or income, or none at all. Free cash flow presents cash flow from operations excluding capital expenditures.

Third Quarter

Adjusted operating income, adjusted EBITDA, and adjusted EBITDA margin exclude:

• Pre-tax expense related to amortization of acquired profit in inventory of $2.2 million in 2021.
• Pre-tax acquisition costs of $0.7 million in 2021 and $0.1 million in 2020.
• Pre-tax expense related to amortization of acquired backlog of $0.6 million in 2021 and $0.3 million in 2020.
• Pre-tax restructuring costs of $0.5 million in 2020.

Adjusted net income and adjusted diluted EPS exclude:

• After-tax expense related to amortization of acquired profit in inventory of $1.5 million ($2.2 million net of tax of $0.7 million) in 2021.
• After-tax acquisition costs of $0.6 million in 2021 ($0.7 million net of tax of $0.1 million) in 2021 and $0.1 million in 2020.
• After-tax expense related to amortization of acquired backlog of $0.4 million ($0.6 million net of tax of $0.2 million) in 2021 and $0.2 million ($0.3 million net of tax of $0.1 million) in 2020.
• After-tax restructuring costs of $0.3 million ($0.5 million net of tax of $0.2 million) in 2020.
• A discrete tax benefit of $0.3 million in 2020.
  

Free cash flow is calculated as cash flow from operations less:

• Capital expenditures of $3.4 million in 2021 and $1.8 million in 2020.
  

First Nine Months

Adjusted operating income, adjusted EBITDA, and adjusted EBITDA margin exclude:

• Pre-tax acquisition costs of $2.6 million in 2021 and $0.5 million in 2020.
• Pre-tax expense related to acquired profit in inventory of $2.2 million in 2021.
• Pre-tax expense related to amortization of acquired backlog of $0.7 million in 2021 and $0.4 million in 2020.
• Pre-tax restructuring costs of $0.9 million in 2020.

Adjusted net income and adjusted diluted EPS exclude:

• After-tax acquisition costs of $2.3 million ($2.6 million net of tax of $0.3 million) in 2021 and $0.4 million ($0.5 million net of tax of $0.1 million) in 2020.
• After-tax expense related to acquired profit in inventory of $1.5 million ($2.2 million net of tax of $0.7 million) in 2021.
• After-tax expense related to acquired backlog of $0.5 million ($0.7 million net of tax of $0.2 million) in 2021 and $0.3 million ($0.4 million net of tax of $0.1 million) in 2020.
• After-tax restructuring costs of $0.7 million ($0.9 million net of tax of $0.2 million) in 2020.
• A discrete tax benefit of $0.3 million in 2020.
  

Free cash flow is calculated as cash flow from operations less:

• Capital expenditures of $7.7 million in 2021 and $5.4 million in 2020.
  

Reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures are set forth in this press release.

 

Financial Highlights (unaudited)
(In thousands, except per share amounts and percentages)
	Three Months Ended																									Nine Months Ended
Consolidated Statement of Income	October 2, 2021														September 26, 2020											October 2, 2021									September 26, 2020
Revenue	$				199,789										$			154,610								$		568,063							$		466,597
Costs and Operating Expenses:
Cost of revenue	116,096														86,294											323,337									263,510
Selling, general, and administrative expenses	52,316														43,853											151,014									134,518
Research and development expenses	2,649														2,658											8,547									8,532
Restructuring costs	—														470											—									926
	171,061														133,275											482,898									407,486
Operating Income	28,728														21,335											85,165									59,111
Interest Income	55														52											176									140
Interest Expense	(1,320							)							(1,670						)					(3,497					)				(6,060				)
Other Expense, Net	(23							)							(32						)					(71					)				(95				)
Income Before Provision for Income Taxes	27,440														19,685											81,773									53,096
Provision for Income Taxes	6,742														4,705											21,252									13,738
Net Income	20,698														14,980											60,521									39,358
Net Income Attributable to Noncontrolling Interest	(237							)							(129						)					(635					)				(369				)
Net Income Attributable to Kadant	$				20,461										$			14,851								$		59,886							$		38,989
Earnings per Share Attributable to Kadant:
Basic	$				1.77										$			1.29								$		5.18							$		3.40
Diluted	$				1.75										$			1.28								$		5.14							$		3.38
Weighted Average Shares:
Basic	11,580														11,504											11,571									11,472
Diluted	11,668														11,589											11,644									11,550

	Three Months Ended																						Three Months Ended
Adjusted Net Income and Adjusted Diluted EPS (a)	October 2, 2021													October 2, 2021									September 26, 2020											September 26, 2020
Net Income and Diluted EPS Attributable to Kadant, as Reported	$			20,461										$			1.75						$		14,851									$		1.28
Adjustments for the Following:
Restructuring Costs, Net of Tax	—													—									335											0.03
Acquisition Costs, Net of Tax (b)	595													0.05									58											0.01
Acquired Backlog Amortization, Net of Tax (c)	429													0.04									249											0.02
Acquired Profit in Inventory, Net of Tax (d)	1,549													0.13									—											—
Discrete Tax Items	—													—									(338				)							(0.03			)
Adjusted Net Income and Adjusted Diluted EPS (a)	$			23,034										$			1.97						$		15,155									$		1.31

	Nine Months Ended																									Nine Months Ended
	October 2, 2021													October 2, 2021												September 26, 2020											September 26, 2020
Net Income and Diluted EPS Attributable to Kadant, as Reported	$				59,886									$				5.14								$		38,989									$		3.38
Adjustments for the Following:
Restructuring Costs, Net of Tax	—													—												667											0.06
Acquisition Costs, Net of Tax (b)	2,325													0.20												355											0.03
Acquired Backlog Amortization, Net of Tax (c)	494													0.04												275											0.02
Acquired Profit in Inventory, Net of Tax (d)	1,549													0.13												—											—
Discrete Tax Items	—													—												(338				)							(0.03			)
Adjusted Net Income and Adjusted Diluted EPS (a)	$				64,254									$				5.52								$		39,948									$		3.46

		Three Months Ended														Increase Excluding Acquisitions and FX (a,e)
Revenue by Segment		October 2, 2021					September 26, 2020					Increase
Flow Control		$	76,253				$	56,815				$	19,438			$	8,193
Industrial Processing		81,620					62,086					19,534				16,687
Material Handling		41,916					35,709					6,207				2,943
		$	199,789				$	154,610				$	45,179			$	27,823
Percentage of Parts and Consumables Revenue		66		%			66			%
		Nine Months Ended										Increase				Increase Excluding Acquisitions and FX (a,e)
		October 2, 2021					September 26, 2020
Flow Control		$	210,769				$	165,329				$	45,440			$	28,778
Industrial Processing		233,455					192,468					40,987				28,391
Material Handling		123,839					108,800					15,039				8,846
		$	568,063				$	466,597				$	101,466			$	66,015
Percentage of Parts and Consumables Revenue		66		%			65			%
		Three Months Ended										Increase				Increase Excluding Acquisitions and FX (e)
Bookings by Segment		October 2, 2021					September 26, 2020
Flow Control		$	76,661				$	49,608				$	27,053			$	15,721
Industrial Processing		118,896					59,903					58,993				55,681
Material Handling		49,137					33,838					15,299				9,793
		$	244,694				$	143,349				$	101,345			$	81,195
Percentage of Parts and Consumables Bookings		53			%		67			%
		Nine Months Ended										Increase				Increase Excluding Acquisitions and FX (e)
		October 2, 2021					September 26, 2020
Flow Control		$	224,479				$	166,713				$	57,766			$	40,454
Industrial Processing		307,401					178,885					128,516				112,345
Material Handling		130,468					106,344					24,124				15,361
		$	662,348				$	451,942				$	210,406			$	168,160
Percentage of Parts and Consumables Bookings		59			%		67			%

	Three Months Ended						Nine Months Ended
Business Segment Information	October 2, 2021			September 26, 2020			October 2, 2021			September 26, 2020
Gross Margin:
Flow Control	49.7	%		52.9	%		51.8	%		53.1	%
Industrial Processing	39.7	%		43.7	%		40.1	%		41.0	%
Material Handling	31.9	%		31.1	%		33.8	%		33.5	%
	41.9	%		44.2	%		43.1	%		43.5	%

Operating Income:
Flow Control	$	17,129			$	13,770			$	51,899			$	37,360
Industrial Processing	16,095				12,072				44,449				32,147
Material Handling	3,491				2,614				12,941				10,341
Corporate	(7,987		)		(7,121		)		(24,124		)		(20,737		)
	$	28,728			$	21,335			$	85,165			$	59,111
Adjusted Operating Income (a,f):
Flow Control	$	19,835			$	14,035			$	55,841			$	38,081
Industrial Processing	16,128				12,438				44,622				32,948
Material Handling	4,290				2,862				14,352				10,597
Corporate	(7,987		)		(7,121		)		(24,124		)		(20,737		)
	$	32,266			$	22,214			$	90,691			$	60,889
Capital Expenditures:
Flow Control	$	1,128			$	509			$	1,830			$	1,667
Industrial Processing	1,725				785				4,720				2,460
Material Handling	505				486				1,121				1,167
Corporate	12				42				17				125
	$	3,370			$	1,822			$	7,688			$	5,419
	Three Months Ended								Nine Months Ended
Cash Flow and Other Data	October 2, 2021				September 26, 2020				October 2, 2021				September 26, 2020
Operating Cash Flow	$	37,932			$	24,393			$	101,410			$	52,601
Less: Capital Expenditures	(3,370		)		(1,822		)		(7,688		)		(5,419		)
Free Cash Flow (a)	$	34,562			$	22,571			$	93,722			$	47,182
Depreciation and Amortization Expense	$	9,195			$	8,086			$	24,597			$	23,260

Balance Sheet Data	October 2, 2021				January 2, 2021
Assets
Cash, Cash Equivalents, and Restricted Cash	$	83,664			$	66,640
Accounts Receivable, net	120,496				91,540
Inventories	135,476				106,814
Unbilled Revenue	7,915				7,576
Property, Plant, and Equipment, net	110,088				84,642
Intangible Assets	205,328				160,965
Goodwill	398,907				351,753
Other Assets	71,254				57,641
	$	1,133,128			$	927,571
Liabilities and Stockholders' Equity
Accounts Payable	$	53,476			$	32,264
Debt Obligations	309,389				227,963
Other Borrowings	5,107				5,511
Other Liabilities	221,770				164,928
Total Liabilities	589,742				430,666
Stockholders' Equity	543,386				496,905
	$	1,133,128			$	927,571

			Three Months Ended										Nine Months Ended
Adjusted Operating Income and Adjusted EBITDA Reconciliation (a)			October 2, 2021					September 26, 2020					October 2, 2021					September 26, 2020
Consolidated
		Net Income Attributable to Kadant	$	20,461				$	14,851				$	59,886				$	38,989
		Net Income Attributable to Noncontrolling Interest	237					129					635					369
		Provision for Income Taxes	6,742					4,705					21,252					13,738
		Interest Expense, Net	1,265					1,618					3,321					5,920
		Other Expense, Net	23					32					71					95
		Operating Income	28,728					21,335					85,165					59,111
		Restructuring Costs	—					470					—					926
		Acquisition Costs (b)	718					78					2,619					485
		Acquired Backlog Amortization (c)	604					331					691					367
		Acquired Profit in Inventory (d)	2,216					—					2,216					—
		Adjusted Operating Income (a)	32,266					22,214					90,691					60,889
		Depreciation and Amortization	8,591					7,755					23,906					22,893
		Adjusted EBITDA (a)	$	40,857				$	29,969				$	114,597				$	83,782
		Adjusted EBITDA Margin (a,g)	20.5			%		19.4			%		20.2			%		18.0			%
Flow Control
		Operating Income	$	17,129				$	13,770				$	51,899				$	37,360
		Restructuring Costs	—					265					—					721
		Acquisition Costs (b)	507					—					1,743					—
		Acquired Backlog Amortization (c)	353					—					353					—
		Acquired Profit in Inventory (d)	1,846					—					1,846					—
		Adjusted Operating Income (a)	19,835					14,035					55,841					38,081
		Depreciation and Amortization	2,333					1,564					5,473					4,729
		Adjusted EBITDA (a)	$	22,168				$	15,599				$	61,314				$	42,810
		Adjusted EBITDA Margin (a,g)	29.1			%		27.5			%		29.1			%		25.9			%
Industrial Processing
		Operating Income	$	16,095				$	12,072				$	44,449				$	32,147
		Restructuring Costs	—					205					—					205
		Acquisition Costs (b)	33					78					113					485
		Acquired Backlog Amortization (c)	—					83					60					111
		Adjusted Operating Income (a)	16,128					12,438					44,622					32,948
		Depreciation and Amortization	3,341					3,311					10,082					9,598
		Adjusted EBITDA (a)	$	19,469				$	15,749				$	54,704				$	42,546
		Adjusted EBITDA Margin (a,g)	23.9			%		25.4			%		23.4			%		22.1			%
Material Handling
		Operating Income	$	3,491				$	2,614				$	12,941				$	10,341
		Acquisition Costs (b)	178					—					763					—
		Acquired Backlog Amortization (c)	251					248					278					256
		Acquired Profit in Inventory (d)	370					—					370					—
		Adjusted Operating Income (a)	4,290					2,862					14,352					10,597
		Depreciation and Amortization	2,885					2,824					8,253					8,416
		Adjusted EBITDA (a)	$	7,175				$	5,686				$	22,605				$	19,013
		Adjusted EBITDA Margin (a,g)	17.1			%		15.9			%		18.3			%		17.5			%
Corporate
		Operating Loss	$	(7,987	)			$	(7,121	)			$	(24,124	)			$	(20,737	)
		Depreciation and Amortization	32					56					98					150
		EBITDA (a)	$	(7,955	)			$	(7,065	)			$	(24,026	)			$	(20,587	)

(a)	Represents a non-GAAP financial measure.
(b)	Represents transaction costs associated with our acquisitions. Operating income by segment has been recast in the first six months of 2021 to include acquisition costs of $585 and $80 in our Material Handling and Industrial Processing segments, respectively, which were previously included in Corporate.
(c)	Represents intangible amortization expense associated with acquired backlog.
(d)	Represents expense within the cost of revenue associated with amortization of acquired profit in inventory.
(e)	Represents the increase resulting from the exclusion of acquisitions and from the conversion of current period amounts reported in local currencies into U.S. dollars at the exchange rate of the prior period compared to the U.S. dollar amount reported in the prior period.
(f)	See reconciliation to the most directly comparable GAAP financial measure under "Adjusted Operating Income and Adjusted EBITDA Reconciliation."
(g)	Calculated as adjusted EBITDA divided by revenue in each period.

About Kadant
Kadant Inc. is a global supplier of high-value, critical components and engineered systems used in process industries worldwide. The Company’s products, technologies, and services play an integral role in enhancing process efficiency, optimizing energy utilization, and maximizing productivity in resource-intensive industries. Kadant is based in Westford, Massachusetts, with approximately 2,900 employees in 21 countries worldwide. For more information, visit www.kadant.com.

Safe Harbor Statement
The following constitutes a “Safe Harbor” statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements that involve a number of risks and uncertainties, including forward-looking statements about our future financial and operating performance, demand for our products, and economic and industry outlook. These forward-looking statements represent our expectations as of the date of this press release. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise. These forward-looking statements are subject to known and unknown risks and uncertainties that may cause our actual results to differ materially from these forward-looking statements as a result of various important factors, including those set forth under the heading "Risk Factors" in Kadant’s annual report on Form 10-K for the fiscal year ended January 2, 2021 and subsequent filings with the Securities and Exchange Commission. These include risks and uncertainties relating to the impact of the COVID-19 pandemic on our operating and financial results; adverse changes in global and local economic conditions; the variability and difficulty in accurately predicting revenues from large capital equipment and systems projects; health epidemics; our acquisition strategy; levels of residential construction activity; reductions by our wood processing customers of their capital spending or production of oriented strand board; changes to the global timber supply; development and use of digital media; cyclical economic conditions affecting the global mining industry; demand for coal, including economic and environmental risks associated with coal; failure of our information systems or breaches of data security and cybertheft; implementation of our internal growth strategy; price increases or shortages of raw materials; competition; changes in our tax provision or exposure to additional tax liabilities; our ability to successfully manage our manufacturing operations; disruption in production; future restructurings; loss of key personnel and effective succession planning; protection of intellectual property; climate change; adequacy of our insurance coverage; global operations; policies of the Chinese government; the variability and uncertainties in sales of capital equipment in China; currency fluctuations; economic conditions and regulatory changes caused by the United Kingdom’s exit from the European Union; changes to government regulations and policies around the world; compliance with government regulations and policies and compliance with laws; environmental laws and regulations; environmental, health and safety laws and regulations impacting the mining industry; our debt obligations; restrictions in our credit agreement and note purchase agreement; substitution of an alternative index for LIBOR; soundness of financial institutions; fluctuations in our share price; and anti-takeover provisions.

Contacts
Investor Contact Information:
Michael McKenney, 978-776-2000
IR@kadant.com
or
Media Contact Information:
Wes Martz, 269-278-1715
media@kadant.com

FAQ

What are the third quarter financial results for Kadant Inc. (KAI) reported in 2021?

Kadant Inc. reported a 29% revenue increase to $200 million and a 38% rise in net income to $20 million for Q3 2021.

How did Kadant's bookings perform in the third quarter of 2021?

Bookings for Kadant rose 71% to a record $245 million in Q3 2021.

What is the adjusted diluted EPS of Kadant Inc. (KAI) for Q3 2021?

The adjusted diluted EPS for Kadant Inc. for Q3 2021 increased by 50% to $1.97.

What challenges did Kadant Inc. (KAI) face in the third quarter of 2021?

Kadant faced supply chain constraints and inflationary pressures that led to a decrease in their revenue outlook.

What is the current backlog for Kadant Inc. (KAI)?

Kadant reported a record backlog of $299 million in Q3 2021.