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Here are 1-2 brief analogies for Kadant (KAI):

• Kadant is like a specialized Parker Hannifin (PH), providing engineered fluid handling and control systems for industrial processes.
• Kadant is like a focused Illinois Tool Works (ITW), offering specialized equipment for industrial efficiency and material recovery.

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• Fluid Handling Systems: Products such as rotary joints and siphons designed to efficiently transfer fluids and energy in industrial processes.
• Fiber Processing Systems: Equipment for screening, dewatering, and recycling fibers, primarily used in paper, packaging, and textile industries.
• Roll and Doctoring Systems: Engineered systems, including doctor blades and holders, used to clean and condition industrial rolls, especially in papermaking.
• Material Handling Systems: Custom-engineered products for handling and conveying bulk materials across various industrial applications.

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Kadant (symbol: KAI) primarily sells its engineered products and solutions to other companies (Business-to-Business, B2B).

Kadant serves a diverse global customer base across various process industries. The company's SEC filings indicate that no single customer accounts for a significant portion of its consolidated revenues, meaning there are no specific "major customer companies" that can be individually named. Instead, Kadant's customer base consists of companies operating in the following major industrial sectors:

• Pulp and Paper Industry: This includes pulp mills, paper mills, tissue mills, packaging plants, and corrugated box plants. These companies utilize Kadant's fluid handling, doctoring, cleaning, and fiber processing systems.
• Wood Products Industry: Companies such as sawmills, plywood plants, and composite panel plants that process wood. Kadant provides industrial wood processing systems and components for these operations.
• Metals Industry: Including steel mills and other metal processing facilities. Kadant supplies systems for processes within these industries.
• Plastics and Nonwovens Industries: Manufacturers of plastic products and nonwoven materials, which use Kadant's specialized processing equipment.
• Other Process Industries: This broad category includes customers involved in industries such as gypsum board production, textiles, recycling, and power generation, all of which rely on Kadant's mission-critical engineered products.

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Jeffrey L. Powell Chief Executive Officer, President and Director

Mr. Powell has served as Kadant's CEO and a director since July 2019 and as president since April 2019. Prior to these roles, he was an executive vice president and co-chief operating officer. Before joining Kadant in 2008, Mr. Powell was the chairman and chief executive officer of Castion Corporation, a provider of sustainable wastewater treatment and recovery solutions from April 2003 through December 2007. Prior to Castion, he held various management positions at Thermo Electron Corporation, including chief executive officer and president of one of its publicly traded subsidiaries.

Michael J. McKenney Executive Vice President and Chief Financial Officer

Mr. McKenney has been Kadant's executive vice president and chief financial officer since March 2018. He previously served as senior vice president and CFO from June 2015 to March 2018, and as vice president, finance and chief accounting officer from 2002 to 2015. He was also corporate controller from 1997 to 2007. Mr. McKenney joined Kadant in 1993 upon the acquisition of the AES water management business from Albany International Inc., where he had served as controller of AES. Prior to 1993, he held various financial positions at Albany International and Coopers & Lybrand LLP.

Dara F. Mitchell Senior Vice President, Corporate Development

Ms. Mitchell has served as Kadant's senior vice president, corporate development, since May 2019, having previously been vice president, corporate development from 2016 to 2019 and director of corporate development from 2013 to 2016. Before joining Kadant, Ms. Mitchell was a principal at NewDelta Partners, an investment banking and strategic advisory firm. She also served as an investment director at 3i, a global private equity firm, where her responsibilities included investing in technology companies.

Michael C. Colwell Senior Vice President, Industrial Processing

Mr. Colwell has been Kadant's senior vice president since December 2024, responsible for the Industrial Processing segment. He previously served as vice president from August 2022 to December 2024. Prior to that, he had supervisory responsibility for Kadant's wood processing and fiber-based products businesses. Mr. Colwell was the president of Kadant Carmanah Design, a division of Kadant Canada Corp., from 2013 to 2019. Before Kadant acquired Carmanah Design and Manufacturing Inc. in November 2013, Mr. Colwell served as its president and chief executive officer from April 2010.

Peter J. Flynn Senior Vice President

Mr. Flynn has been Kadant's senior vice president since August 2022, providing strategic management support and managing special projects. From July 2019 to July 2022, he served as vice president with supervisory responsibility for Kadant's stock-preparation business and baling product line. Prior to July 2019, Mr. Flynn was the president of Kadant Black Clawson LLC, a subsidiary that manufactures stock-preparation equipment for the pulp and paper industry, from 2003 to 2019.

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The public company Kadant (KAI) faces several key business risks, primarily revolving around market demand, global economic conditions, and competitive pressures.

• Slowing Demand and Revenue Growth: Kadant has experienced lackluster revenue growth and stalled earnings per share (EPS) over recent periods. Analysts forecast slim projected revenue growth, implying demand challenges for the company's products and services. This includes the significant risk of delayed capital equipment orders and the company's exposure to uneven global demand cycles.

• Geopolitical and Macroeconomic Instability: Kadant's business is susceptible to adverse changes in global and local economic conditions. The company's annual filings specifically highlight the risks associated with geopolitical events, such as the military conflicts in Ukraine and the Middle East. These conflicts can lead to trade restrictions, embargoes, export control limitations, logistical disruptions, and increased operating costs, all of which can negatively impact revenues and financial results.

• Intense Competition: Kadant operates in markets characterized by intense competition. The company competes with numerous large multinational corporations that may possess substantially greater financial, marketing, and other resources. This allows competitors to potentially adapt more quickly to new technologies and changing customer requirements, or to dedicate more resources to promoting and selling their products and services.

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Kadant (symbol: KAI) operates in several key segments, with addressable market sizes identified for some of its main products and services:

• Fluid Handling Systems: The global fluid handling systems market was valued at approximately USD 71.35 billion in 2024 and is projected to reach around USD 113.59 billion by 2034, growing at a compound annual growth rate (CAGR) of 4.76% from 2025 to 2034. The Asia Pacific region held the largest share in this market in 2024, with North America anticipated to experience notable growth.
• Doctor Blades (part of Doctoring, Cleaning, and Filtration Systems): The global market for doctor blades is projected to grow from an estimated US$ 204.3 million in 2024 to US$ 251.1 million by 2030, at a CAGR of 3.5% during this period.
• Fiber Processing Products: null
• Wood Processing Systems: null
• Fiber-based Granules: null

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1. Strategic Acquisitions: Kadant has actively pursued and completed acquisitions, such as Babbini and Clyde Industries, which have directly contributed to increased revenue guidance. These acquisitions are anticipated to continue to bolster the company's top line in the coming years. Additionally, the acquisition of KWS Manufacturing at the end of January 2024 has benefited the Material Handling segment.
2. Resilient Aftermarket Parts Business: The company's aftermarket parts segment consistently demonstrates strong performance and constitutes a significant portion of its total revenue. For instance, aftermarket parts revenue reached a record $188.4 million in Q3 2025, accounting for 69% of total revenue, and was up 13% to a record $171 million in Q1 2024. This consistent demand for parts and consumables is expected to be a stable and growing revenue driver.
3. Strengthening Industrial Demand and Capital Equipment Bookings: Despite some recent softness and delays in capital equipment shipments, Kadant's management anticipates strengthening industrial demand in certain regions and improved activity for capital orders entering Q4 2025 and into early 2026. The company also reported strong capital equipment bookings in the second quarter of 2025. This expected recovery in capital spending by customers is poised to drive future revenue.
4. Innovation and Growth in Engineered Wood Processing: Kadant continues to focus on and innovate within engineered wood processing technology. The company aims to capitalize on growth opportunities in the engineered wood sector, suggesting that new technologies, products, or expanded market penetration in this area will contribute to revenue growth.

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Share Repurchases

• Kadant's Board of Directors authorized a repurchase program of up to $50 million of its equity securities effective May 19, 2022, through May 19, 2023, under which no shares were repurchased.
• The company authorized another $50 million share repurchase program effective May 18, 2023, through May 18, 2024, with no shares repurchased under this authorization.
• A $50 million share repurchase authorization was effective from May 16, 2024, to May 16, 2025, with no shares repurchased as of the February 2025 filing. Additionally, a new $50 million program was authorized from May 15, 2025, through May 15, 2026, also with no shares repurchased under the expiring prior authorization.

Share Issuance

• Proceeds from the issuance of company common stock amounted to $1.6 million in 2024, $0 in 2023, and $1.376 million in 2022.
• Tax withholding payments related to stock-based compensation were $5.881 million in 2024, $3.915 million in 2023, and $4.607 million in 2022.

Outbound Investments

• In October 2025, Kadant completed the acquisition of Clyde Industries Holdings, Inc. for $175 million in cash. [cite: 21 (from previous search)]
• During 2024, Kadant made several acquisitions including Key Knife, Inc. for $153.4 million, KWS Manufacturing Company, Ltd. for $79.4 million, and Dynamic Sealing Technologies LLC for $53.6 million.
• In 2023, Kadant completed several smaller acquisitions, with net cash used for acquisitions (net of cash acquired) reported as $277 thousand for the first nine months. In 2022, net cash used for acquisitions (net of cash acquired) was $138 thousand for the first nine months, alongside other smaller acquisitions throughout the year.

Capital Expenditures

• Capital expenditures totaled $21.0 million in 2024, $31.9 million in 2023, and $28.2 million in 2022.
• A significant portion of capital expenditures in 2023 and 2022, specifically $7.4 million and $10.4 million respectively, was allocated to the construction of a new manufacturing facility in China.
• For 2025, capital expenditures were $3.8 million in the first quarter, compared to $6.3 million in the first quarter of 2024, reflecting some customer delays in large capital projects.