Latest news with #HammondPowerSolutionsInc
Yahoo
7 hours ago
- Business
- Yahoo
Hammond Power Solutions Declares Quarterly Dividend
GUELPH, Ontario, June 09, 2025 (GLOBE NEWSWIRE) -- (TSX: HPS.A) The Board of Directors of Hammond Power Solutions Inc. ('HPS') declared a quarterly cash dividend of twenty-seven and a half cents ($0.275) per Class A Subordinate Voting Share of HPS and a quarterly cash dividend of twenty-seven and a half cents ($0.275) per Class B Common Share of HPS payable on June 27, 2025, to shareholders of record at the close of business on June 20, 2025. The ex-dividend date is June 20, 2025. Important Income-Tax Information for Canadian Resident Shareholders HPS designates the entire amount of this taxable dividend to be an 'eligible dividend' for purposes of the Income Tax Act (Canada), as amended from time to time. This notice meets the requirements of the Income Tax Act (Canada). Please contact your tax advisor if you have any questions with regard to the designation of the eligible dividend. Caution Regarding Forward-Looking Information This press release contains forward-looking statements, which are not guarantees or assurances of future performance. Because forward-looking statements are related to the future, they are subject to inherent uncertainties, risks and changes in circumstances that may differ materially from those contemplated by the forward-looking statements. Forward-looking statements can generally be identified, but not limited to, the use of words such as 'may', 'will', 'could', 'should', 'would', 'likely', 'expect', 'intend', 'estimate', 'anticipate', 'believe', 'plan', 'objective' and 'continue' and words and expressions of similar import. Although HPS believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties, and undue reliance should not be placed on such statements. The declaration, timing, amount and payment of any future dividends remains at the discretion of HPS' Board of Directors. HPS undertakes no obligation to publicly update any forward-looking statement, except as required by applicable securities laws. ABOUT HAMMOND POWER SOLUTIONS INC. Hammond Power Solutions Inc. ('HPS' or the 'Company') enables electrification through its broad range of dry-type transformers, power quality products and related magnetics. HPS' standard and custom-designed products are essential and ubiquitous in electrical distribution networks through an extensive range of end-user applications. The Company has manufacturing plants in Canada, the United States (U.S.), Mexico and India and sells its products around the globe. HPS shares are listed on the Toronto Stock Exchange and trade under the symbol HPS.A. Hammond Power Solutions – Energizing Our World For further information, please contact: David FeickInvestor Relations(519) 822-2441 x453ir@ in to access your portfolio
Yahoo
08-05-2025
- Business
- Yahoo
Investors Shouldn't Be Too Comfortable With Hammond Power Solutions' (TSE:HPS.A) Earnings
Hammond Power Solutions Inc. (TSE:HPS.A) announced strong profits, but the stock was stagnant. Our analysis suggests that this might be because shareholders have noticed some concerning underlying factors. We've discovered 2 warning signs about Hammond Power Solutions. View them for free. Many investors haven't heard of the accrual ratio from cashflow, but it is actually a useful measure of how well a company's profit is backed up by free cash flow (FCF) during a given period. To get the accrual ratio we first subtract FCF from profit for a period, and then divide that number by the average operating assets for the period. This ratio tells us how much of a company's profit is not backed by free cashflow. Therefore, it's actually considered a good thing when a company has a negative accrual ratio, but a bad thing if its accrual ratio is positive. While it's not a problem to have a positive accrual ratio, indicating a certain level of non-cash profits, a high accrual ratio is arguably a bad thing, because it indicates paper profits are not matched by cash flow. That's because some academic studies have suggested that high accruals ratios tend to lead to lower profit or less profit growth. Hammond Power Solutions has an accrual ratio of 0.28 for the year to March 2025. Unfortunately, that means its free cash flow was a lot less than its statutory profit, which makes us doubt the utility of profit as a guide. Indeed, in the last twelve months it reported free cash flow of CA$14m, which is significantly less than its profit of CA$89.8m. Hammond Power Solutions' free cash flow actually declined over the last year, but it may bounce back next year, since free cash flow is often more volatile than accounting profits. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. Hammond Power Solutions didn't convert much of its profit to free cash flow in the last year, which some investors may consider rather suboptimal. Therefore, it seems possible to us that Hammond Power Solutions' true underlying earnings power is actually less than its statutory profit. But on the bright side, its earnings per share have grown at an extremely impressive rate over the last three years. At the end of the day, it's essential to consider more than just the factors above, if you want to understand the company properly. In light of this, if you'd like to do more analysis on the company, it's vital to be informed of the risks involved. For example - Hammond Power Solutions has 2 warning signs we think you should be aware of. Today we've zoomed in on a single data point to better understand the nature of Hammond Power Solutions' profit. But there are plenty of other ways to inform your opinion of a company. Some people consider a high return on equity to be a good sign of a quality business. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks with significant insider holdings to be useful. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
