v3.26.1
Note L - Shareholders' Equity
9 Months Ended
Mar. 27, 2026
Notes to Financial Statements  
Equity [Text Block]

L.

Shareholders Equity

 

The Company, from time to time, makes open market purchases of its common stock under authorizations given to it by the Board of Directors, of which 315.0 shares as of March 27, 2026 remain authorized for purchase.  The Company did not make any open market purchases of its shares during the quarters ended March 27, 2026 and March 28, 2025.

 

The following is a reconciliation of the Company’s equity balances for the first three fiscal quarters of 2026 and 2025:

 

  

Twin Disc, Inc. Shareholders’ Equity

 
          

Accumulated

             
          

Other

      

Non-

     
  

Common

  

Retained

  

Comprehensive

  

Treasury

  

Controlling

  

Total

 
  

Stock

  

Earnings

  

Income (Loss)

  

Stock

  

Interest

  

Equity

 

Balance, June 30, 2025

  42,269   125,414   3,730   (7,402)  380  $164,391 

Net income (loss)

      (518)          106   (412)

Dividends paid to shareholders

      (566)              (566)

Translation adjustments

          (2,516)      85   (2,431)

Benefit plan adjustments, net of tax

          632           632 

Unrealized gain (loss) on hedges, net of tax

          98           98 

Compensation expense

  862                   862 

Stock awards, net

  (5,318)          3,632       (1,686)

Balance, September 26, 2025

  37,813   124,330   1,944   (3,770)  571   160,888 

Net income (loss)

     22,371           107  $22,478 

Dividends paid to shareholders

      (571)              (571)

Translation adjustments

          1,056       (27)  1,029 

Benefit plan adjustments, net of tax

          640           640 

Unrealized gain (loss) on hedges, net of tax

          (131)          (131)

Compensation expense

  846                   846 

Stock awards, net

  (520)          520       0 

Balance, December 26, 2025

  38,139   146,130   3,509   (3,250)  651   185,179 

Net income (loss)

     3,325           231   3,556 

Dividends paid to shareholders

      (580)              (580)

Translation adjustments

          (3,140)     (20)  (3,160)

Benefit plan adjustments, net of tax

          477           477 

Unrealized gain (loss) on hedges, net of tax

          294           294 

Compensation expense

  760                   760 

Stock awards, net

  (13)          13       0 

Balance, March 27, 2026

 $38,886  $148,875  $1,140  $(3,237) $862  $186,526 

 

  

Twin Disc, Inc. Shareholders’ Equity

 
          

Accumulated

             
          

Other

      

Non-

     
  

Common

  

Retained

  

Comprehensive

  

Treasury

  

Controlling

  

Total

 
  

Stock

  

Earnings

  

Income (Loss)

  

Stock

  

Interest

  

Equity

 

Balance, June 30, 2024

  41,798   129,592   (6,905)  (9,783)  352  $155,054 

Net income (loss)

      (2,765)          (7)  (2,772)

Dividends paid to shareholders

      (570)              (570)

Translation adjustments

          7,148       143   7,291 

Benefit plan adjustments, net of tax

          221           221 

Unrealized gain (loss) on hedges, net of tax

          (853)          (853)

Compensation expense

  1,024                   1,024 

Stock awards, net

  (2,920)          1,671       (1,249)

Balance, September 27, 2024

  39,902   126,257   (389)  (8,112)  488   158,146 

Net income (loss)

      919           180   1,099 

Dividends paid to shareholders

      (566)              (566)

Translation adjustments

          (11,311)      (58)  (11,369)

Benefit plan adjustments, net of tax

          (1,668)          (1,668)

Unrealized gain (loss) on hedges, net of tax

          1,146           1,146 

Compensation expense

  853                   853 

Stock awards, net

  (644)          637       (7)

Balance, December 27, 2024

 $40,111  $126,610  $(12,222) $(7,475) $610  $147,634 

Net income (loss)

      (1,472)          50   (1,422)

Dividends paid to shareholders

      (566)              (566)

Translation adjustments

          4,120       32   4,152 

Benefit plan adjustments, net of tax

          201           201 

Unrealized gain (loss) on cash flow hedge, net of tax

          (653)          (653)

Compensation expense

  843                   843 

Stock awards, net

  (27)          27       - 

Balance, March 28, 2025

 $40,927  $124,572  $(8,554) $(7,448) $692  $150,189 

 

 

Reconciliations for the changes in accumulated other comprehensive income (loss), net of tax, by component for the three quarters ended March 27, 2026 and March 28, 2025 are as follows:

 

  

Translation

  

Benefit Plan

  

Cash Flow

  

Net Investment

 
  

Adjustment

  

Adjustment

  

Hedges

  

Hedges

 

Balance, June 30, 2025

 $15,036  $(11,461) $284  $(129)

Translation adjustment during the quarter

  (2,516)  -   -   - 

Amounts reclassified from accumulated other comprehensive income (loss)

     632   (31)  129 

Net current period other comprehensive income (loss)

  (2,516)  632   (31)  129 

Balance, September 26, 2025

  12,520   (10,829)  253   - 

Translation adjustment during the quarter

  1,056   -   -   - 

Amounts reclassified from accumulated other comprehensive income (loss)

  -   640   (28)  (103)

Net current period other comprehensive income (loss)

  1,056   640   (28)  (103)

Balance, December 26, 2025

  13,576   (10,189)  225   (103)

Translation adjustment during the quarter

  (3,140)  -   -   - 

Amounts reclassified from accumulated other comprehensive income (loss)

  -   477   (12)  306 

Net current period other comprehensive income (loss)

  (3,140)  477   (12)  306 

Balance, March 27, 2026

 $10,436  $(9,712) $213  $203 

 

  

Translation

  

Benefit Plan

  

Cash Flow

  

Net Investment

 
  

Adjustment

  

Adjustment

  

Hedges

  

Hedges

 

Balance, June 30, 2024

 $(849) $(8,062) $504  $1,502 

Translation adjustment during the quarter

  7,148   -   -   - 

Amounts reclassified from accumulated other comprehensive income (loss)

  -   221   (169)  (684)

Net current period other comprehensive (loss) income

  7,148   221   (169)  (684)

Balance, September 27, 2024

  6,299   (7,841)  335   818 

Translation adjustment during the quarter

  (11,311)  -   -   - 

Return on plan assets

  -   (1,808)  -   - 

Amounts reclassified from accumulated other comprehensive income (loss)

  -   140   24   1,122 

Net current period other comprehensive income (loss)

  (11,311)  (1,668)  24   1,122 

Balance, December 27, 2024

  (5,012)  (9,509)  359   1,940 

Translation adjustment during the quarter

  4,120      -   - 

Amounts reclassified from accumulated other comprehensive income (loss)

  -   201   (45)  (608)

Net current period other comprehensive income (loss)

  4,120   201   (45)  (608)

Balance, March 28, 2025

 $(892) $(9,308) $314  $1,332 

 

 

Reconciliation for the changes in benefit plan adjustments, net of tax for the quarter ended March 27, 2026 are as follows:

 

  

Quarter Ended

  

Three Quarters Ended

 
  

March 27, 2026

  

March 27, 2026

 

Changes in benefit plan items

        

Actuarial losses

 $615(a) 

 

$1,870(a) 

Transition asset and prior service cost (benefit)

  8(a) 

 

 25(a) 

Total amortization

  623   1,895 

Income taxes

  (146)  (146)

Total reclassification, net of tax

 $477  $1,749 

 

 

Reconciliation for the changes in benefit plan adjustments, net of tax for the quarter ended March 28, 2025 is as follows:         

 

  

Quarter Ended

  

Three Quarters Ended

 
  

March 28, 2025

  

March 28, 2025

 

Changes in benefit plan items

        

Actuarial losses (gains)

 $191(a)  $517(a) 

Transition asset and prior service cost (benefit)

  15(a)   48(a) 

Return of plan assets

  -   (1,808)

Total amortization

  206   (1,243)

Income taxes

  (5)  (3)

Total reclassification, net of tax

 $201  $(1,246)

 

 

(a)

These accumulated other comprehensive income (loss) components are included in the computation of net periodic pension benefit cost (gain) (see H, "Pension and Other Postretirement Benefit Plans" for further details).