Twin Disc Inc (TWIN)
NASDAQIndustrialsIndustrial - MachinerySnapshot 2026-09-04
$23.85+4.56%
Close 2026-09-04 · 1-day change
NASDAQIndustrialsIndustrial - MachinerySnapshot 2026-09-04
QuarterlyIQ Insights · TWIN
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
Focus on expanding sales and backlog in Marine and Propulsion Systems, Defense programs, and Land-Based Transmissions markets to achieve long-term growth.
Stated as a priority in 3 of last 3 quarters. Fiscal 2026-Q4 sales grew 18.3% year-over-year to $114.4 million, driven by Marine and Propulsion and Defense segments. The six-month backlog remained robust at $178.3 million at 2026-Q4, nearly flat from $179.5 million at 2026-Q3. Management is delivering on growth with strong demand and backlog momentum in key markets.
“Fourth quarter sales grew 18%, reflecting continued strength of Marine and Propulsion products and accelerating Defense activity.”
“Strong demand continues to support healthy order momentum and a growing, record backlog, including increased activity from defense-related programs.”
“Momentum in the markets we serve supports near-term outlook, including defense-related programs expansion.”
Enhance gross margins and profitability by leveraging volume growth and operational improvements while managing costs.
Stated in 3 of last 3 quarters. Gross margin improved to 28.1% in 2026-Q3 (+134 bps YoY) due to volume and margin initiatives but declined to 26.3% in 2026-Q4 (-600 bps) mainly from product mix and tariff dilution. Operating income increased from $5.8M in 2026-Q3 to $7.8M in 2026-Q4. Management shows mixed progress on profitability and margin improvement.
“Gross margin decreased 600 basis points to 26.3% primarily due to product mix and tariff dilution.”
“Gross margin expanded 134 basis points to 28.1% reflecting incremental volume and margin improvement initiatives.”
“Focused on disciplined operations and improving profitability through operational leverage.”
Focus on improving free cash flow generation and exercising disciplined capital spending to support growth and financial flexibility.
Stated in 3 of last 3 quarters. Free cash flow improved significantly from $1.8 million in 2026-Q3 to $17.2 million in 2026-Q4, supported by operating cash flow growth from $5.3 million to $20.6 million. Capital spending remained disciplined. Management is delivering improved cash flow generation and maintaining capital discipline.
“Operating cash flow of $20.6 million and free cash flow of $17.2 million in the quarter.”
“Delivered positive operating cash flow of $5.3 million and free cash flow of $1.8 million during the quarter.”
“Generated positive free cash flow reflecting improved operating performance and capital discipline.”
Grow defense segment through increased activity, facility expansion, and capacity additions to support long-term growth.
Stated in 2 of last 3 quarters. Management highlights increased defense program activity and facility expansion, including Finland. While specific revenue or backlog figures for defense are not separately disclosed, overall backlog remains strong at $178.3 million. Progress is consistent with stated growth focus in defense.
“Increased activity from our defense-related programs supports healthy order momentum and backlog.”
“Adding capacity to support our expanding defense business and relocating production to mitigate tariff exposure.”
Maintain disciplined operational execution and invest in innovation to support growth and profitability.
Stated in 2 of last 3 quarters. Management emphasizes disciplined operations and innovation as ongoing priorities. Financial results show revenue growth and improved profitability, but no specific innovation milestones disclosed. Progress is consistent with stated operational focus.
“Remain focused on executing growth strategy through disciplined operations, innovation, and customer engagement.”
“Focused on disciplined operations and innovation to drive growth and profitability.”
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 1 of the last 3 quarter-over-quarter moves. Historically, Industrials names rated neutral grew net income 51% of the time over the next year (vs 60% for the rest of the cohort, n=9249).
Over the trailing year it converted 6.02x of net income into operating cash flow. Historically, Industrials names rated robust grew net income 58% of the time over the next year (vs 54% for the rest of the cohort, n=4997).
Most sensitive to the broad stock market.
Not enough signal to read sensitivity to the US dollar, real (inflation-adjusted) rates, long-term interest rates, Fed net liquidity (low R² over the window).
13 material management or governance events in the past 24 months, led by legal/regulatory items. Historically, Industrials names rated neutral grew net income 58% of the time over the next year (vs 56% for the rest of the cohort, n=3431).
Not investment advice. As of 2026-09-04.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.