CECO Environmental Reports Second Quarter Highlights
CECO Environmental Corp. (NASDAQ: CECO), a pioneering environmental solutions company, has recently announced impressive financial results for the second quarter of 2025. The latest report reveals a significant increase in orders and revenues, showcasing CECO's strong position in the industrial sector.
Performance Overview
In the second quarter, CECO recorded orders totaling $274.1 million, reflecting a staggering 95 percent increase compared to the prior year. This impressive uptick has propelled the backlog to $688.1 million, marking a 76 percent increase year-over-year. Revenues for the company reached $185.4 million, achieving a 35 percent growth. Gross profit margins also improved to 36.2 percent, amounting to $67.1 million.
Income and Earnings
CECO reported a net income of $9.5 million, which represents a $5 million rise from the same quarter in the previous year. The non-GAAP net income stood at $8.7 million. Furthermore, the adjusted EBITDA surged to $23.3 million, reflecting a 45 percent increase over the second quarter of 2024.
CEO Insights on Growth
Todd Gleason, CEO of CECO, expressed his excitement regarding the company's achievements. He stated, "Our sustained record bookings have led to our highest quarterly revenue ever and a record backlog. This success reflects our commitment to providing innovative solutions across various sectors, including industrial air, environmental water, and energy transition markets. Our considerable orders include our largest-ever contract for emissions management solutions in a major project involving power generation."
Future Outlook and Guidance
Looking ahead, CECO has raised its revenue forecast for the full year 2025 to between $725 million and $775 million, a 35 percent increase from the previous outlook. The adjusted EBITDA is expected to be between $90 to $100 million, and the company anticipates maintaining a free cash flow conversion of over 60 percent relative to adjusted EBITDA. Gleason noted confidence in CECO’s strategic position, emphasizing the importance of their solid backlog and extensive sales pipeline of $5.5 billion, indicating strong demand across multiple sectors.
Challenges and Resilience
Despite external market challenges, including supply chain disruptions, CECO remains focused on delivering value. Gleason highlighted that the team’s commitment to overcoming macro uncertainties showcases the company's resilience and adaptability.
Connections and Support
For those interested in learning more about CECO’s initiatives and progression, the company invites stakeholders to their upcoming earnings conference. A call is scheduled to discuss these exciting developments and the financial results in detail.
About CECO Environmental
CECO Environmental Corp. is a leader in providing industrial solutions that improve air and water quality globally. Since its inception in 1966, CECO has focused on delivering safe, efficient, and innovative solutions to its clients, helping them excel in protecting both people and the environment.
Frequently Asked Questions
What were CECO's total revenues for Q2 2025?
The total revenues for CECO in Q2 2025 were $185.4 million.
How much did CECO's ordering volume increase in Q2 2025?
CECO's orders increased by 95 percent in the second quarter of 2025.
What is CECO's forecast for full-year revenue in 2025?
The company has raised its revenue forecast for the full year 2025 to between $725 million and $775 million.
Who is the CEO of CECO Environmental?
The CEO of CECO Environmental is Todd Gleason.
What sectors does CECO focus on for its solutions?
CECO focuses on industrial air, industrial water, and energy transition markets.
