Tennant Q2 2026: Net income falls 62% to $7.6M

Filed August 6, 2026 · Period ending June 30, 2026 · Compared to 10-Q Aug 7, 2025 · ~2 min read

Key Changes

• high

  Net income fell 62.4% to $7.6M ($0.44 diluted EPS, down 59.3%) as operating income dropped 48% to $15.9M. Gross margin compressed 260 bps to 39.5%, driven by ERP-related recovery costs, supply constraints, elevated freight and tariff-related material costs, and competitive price concessions in EMEA.

  MD&A: Operating Results verify on EDGAR →
• high

  Operating cash flow swung from a $22.1M source in H1 2025 to a $26.2M use in H1 2026 ($48.3M deterioration), driven by lower operating performance and increased working capital requirements adversely affected by ERP-related operational inefficiencies.

  MD&A: Liquidity and Capital Resources verify on EDGAR →
• high

  Supreme Court struck down IEEPA tariffs in February 2026; new temporary tariffs imposed under different authority for 150 days starting February 24. Company submitted refund claims for previously paid IEEPA tariffs but has not recognized any benefit as of June 30, 2026, due to uncertainty around approval and amount.

  MD&A: Tariff Developments verify on EDGAR →