• John Deere for the specialized industrial machines that precisely cut metal.

• Caterpillar for sophisticated factory machines used to precisely cut and shape metals.

• Rockwell Automation, but they build the complete computerized machines for precision metal cutting.

• Computerized Machine Tools: General-purpose tools such as vertical and horizontal machining centers, turning centers, and toolroom machines used in metal cutting.
• Computer Control Systems & Software: Systems and software specifically designed for press brake applications.
• Machine Tool Components: Various parts that make up or are used with machine tools.
• Automation Integration Equipment & Solutions: Equipment and comprehensive solutions aimed at automating processes for job shops.
• Software Options, Upgrades & Parts: Enhancements, updated versions of software, and replacement components for their existing products.
• Customer Support & Training Services: Comprehensive services including customer support, product training, and applications support.

Hurco Companies (HURC) primarily sells its computerized machine tools, control systems, and related services to other companies in the metal cutting industry. Based on the provided information, the major customers fall into the following categories:

• Independent job shops
• Large manufacturing operations (specifically for specialized short-run production applications)
• Precision tool, die, and mold manufacturers across various industries, including aerospace, defense, medical equipment, energy, automotive/transportation, electronics, and computer industries.

The provided background information does not list specific customer company names or their public symbols.

Gregory S. Volovic President and Chief Executive Officer

Gregory S. Volovic was appointed President and Chief Executive Officer of Hurco Companies, Inc. in March 2021. He joined Hurco in 2005 as Executive Vice President of Software Development. Before becoming CEO, he held several key roles within the company, including Executive Vice President of Operations, and President and Chief Operating Officer. Mr. Volovic has a background that includes strategic planning, acquisitions, and research and development. Prior to joining Hurco, he worked at Thomson, Inc. His early career included work as a software developer for Unisys Corporation. He also serves on the boards of Manufacturing Technology, Inc., the Association for Manufacturing Technology, and French Oil Mill Machinery Company.

Sonja K. McClelland Executive Vice President, Treasurer, and Chief Financial Officer

Sonja K. McClelland has served as Executive Vice President, Treasurer, and Chief Financial Officer since March 2014, and has been an executive officer of Hurco Companies, Inc. since 2004. She began her tenure with Hurco in September 1996, holding various finance and accounting positions within the company. Ms. McClelland has experience in corporate accounting and finance, manufacturing operations, investor relations, strategic planning, and acquisitions and divestitures. Before joining Hurco, she was employed by Arthur Andersen LLP.

Michael Doar Executive Chairman

Michael Doar transitioned to the role of Executive Chairman in March 2021 as part of Hurco Companies, Inc.'s long-term succession planning. He previously served as the Chairman and Chief Executive Officer from November 2001 to March 2021. Under his leadership, Hurco experienced significant growth in annual revenues and stock price. Prior to joining Hurco, Mr. Doar held various management positions with Ingersoll Milling Machine Company from 1989 until 2001. He has been a member of Hurco's Board of Directors since 2000.

Jonathon Wright General Counsel and Corporate Secretary

Jonathon Wright serves as the General Counsel and Corporate Secretary for Hurco Companies, Inc.

HaiQuynh Jamison Corporate Controller and Principal Accounting Officer

HaiQuynh Jamison is the Corporate Controller and Principal Accounting Officer at Hurco Companies, Inc.

• Cyclical Nature of the Business and Sensitivity to Global Economic Conditions: Hurco operates in a highly cyclical industry, and its performance is significantly influenced by global economic conditions, capital expenditure trends among its customers, and overall business downturns. As global economic conditions experience stress and volatility, or if regional or global conflicts escalate, Hurco is likely to face reductions in customer numbers, decreases in capital expenditures, extended sales cycles, delayed purchase commitments for its products, and intensified price competition. The company has been navigating a "cyclical trough" with its financial performance reflecting this, including a net loss and declining gross margins in recent periods.
• Risks Associated with International Operations and Geopolitical Factors: Given Hurco's worldwide presence, it is exposed to risks stemming from global economic uncertainty, geopolitical tensions, military conflicts, and trade policies. Unfavorable currency impacts can also affect its financial results. Demand fluctuations in key international markets, such as Europe and Asia Pacific (including China and India), directly influence its sales performance. The company also faces supply-chain exposure in regions like Taiwan, which can affect its international manufacturing programs.
• Competition and Potential Technological Disruption: Hurco faces competitive pressures within the metal cutting industry. Furthermore, the company, which designs and sells computerized machine tools, is subject to the risk of technological disruption, including advancements in areas like additive manufacturing. The continuous need for innovation and research and development is a factor in this regard.

Hurco Companies, Inc. operates within the computerized machine tools and press brake systems markets. The addressable markets for their main products and services are sizable globally and across key regions.

Computerized Machine Tools (CNC Machine Tools)

The global market for computerized numerical control (CNC) machine tools, which includes products like vertical and horizontal machining centers, turning centers, and toolroom machines, is a significant addressable market for Hurco Companies.

• Globally, the CNC machine tools market was valued at approximately USD 97.1 billion in 2024, with projections to reach USD 196 billion by 2034, growing at a compound annual growth rate (CAGR) of 7.5% from 2025 to 2034. Other estimates place the global CNC machine market size at USD 101.22 billion in 2025, with a projected growth to USD 251.61 billion by 2034 at a CAGR of 11.10%. Similarly, the global machine tools market was estimated at USD 97,927.5 million in 2024 and is projected to reach USD 137,426.8 million by 2030, with CNC platforms accounting for 68.55% of the market share in 2025.
• In the Asia Pacific region, which dominated the global market, the CNC machine market was valued at USD 56.35 billion in 2025. This region accounted for 46.2% of the machine tools market share in 2024, generating approximately USD 44.8 billion in revenue.
• For Europe, the machine tools market reached USD 27.6 billion in 2025 and is anticipated to grow to USD 38.6 billion by 2034, at a CAGR of 3.69% from 2026 to 2034. Another report indicates the European machine tools market was worth USD 29.33 billion in 2025 and is anticipated to reach USD 50.74 billion by 2034, growing at a CAGR of 6.28% from 2026 to 2034. The Europe computer numerical control machine market specifically was valued at USD 24.09 billion in 2022 and is expected to reach USD 44.16 billion by 2030.
• In North America, the machine tools market was valued at USD 2.06 billion in 2024 and is expected to reach USD 2.96 billion by 2030, rising at a CAGR of 6.23%. The U.S. machine tools market alone generated USD 11,322.1 million in 2024 and is expected to reach USD 14,458.1 million by 2030.

Computer Control Systems and Related Software for Press Brake Applications

The market for press brakes, which includes the computer control systems and software that Hurco Companies provides, also represents a distinct addressable market.

• The global press brake market size was valued at approximately USD 2.1 billion in 2023 and is projected to exceed USD 2.68 billion by 2028, with a CAGR ranging from 4.5% to 5.5%. Other estimates for the global press brakes market size include USD 557.3 million in 2023, growing at a CAGR of 5.6% from 2024 to 2032, and USD 568.15 million in 2022, estimated to reach USD 995.3 million by 2032 at a CAGR of 5.9%. The global press brake machine market size is also expected to be valued at US$ 800.2 million in 2026 and projected to reach US$ 1,211.2 million by 2033, growing at a CAGR of 6.1%.

Hurco Companies (HURC) is expected to drive future revenue growth over the next two to three years through several key initiatives and market trends:

• Geographic Expansion and Market Penetration: Hurco is strategically expanding its presence in emerging markets, particularly India, Vietnam, and Southeast Asia. This involves shifting production, establishing localized technology and service centers, such as an expanded center in Bangalore in early 2025, to target mid-market customers and capitalize on growing segments like the aerospace industry in these regions. The company is also redirecting capacity away from Europe due to market contraction there.
• Advancements in AI-driven Automation and High-Margin Products: A significant driver is Hurco's pivot towards intelligent and autonomous machining solutions. This includes the launch of products like the VMX60Di in 2025, which incorporates machine learning vibration dampening and conversational controls. Management aims for automation to account for 20% of total sales by 2026. Furthermore, increased sales of high-margin 5-axis machining centers and the introduction of plug-and-play ProCobots automation cells are expected to bolster revenue and profitability.
• Anticipated Broader Market Recovery and Increased U.S. Orders: Hurco's CEO has noted a substantial increase in U.S. orders despite higher tariffs, with orders in the Americas increasing by 18% in the first quarter of fiscal year 2026. The company anticipates and hopes for this positive trend to expand on a broader scale, signaling a potential recovery in the global machine tool market by 2026.
• Growing Demand for High-Performance Hurco and Takumi Machines: There is an observable increase in customer demand for Hurco and Takumi higher-performance machines, particularly in the Americas and India. This favorable shift in sales mix contributes to improved gross profit margins and is expected to continue driving revenue growth.

Share Repurchases

• On January 6, 2023, Hurco Companies announced a share repurchase program for an aggregate amount of up to $25.0 million.
• This share repurchase program was subsequently extended through November 10, 2026.
• As of September 26, 2024, approximately $21.7 million remained available under the authorized repurchase program.

Share Issuance

• The number of common shares outstanding as of February 28, 2025, was 6,483,990.

Capital Expenditures

• Capital expenditures for fiscal year 2025 were primarily allocated to software development costs, purchases of factory equipment for production facilities, building and leasehold improvements, and general software and equipment for sales and service divisions.
• During the first three months of fiscal year 2025, capital expenditures totaled $0.6 million, primarily directed towards software development costs and capital improvements in existing facilities.
• In the last twelve months (prior to October 2025), capital expenditures were -$888,000, as part of a free cash flow calculation.