Brady (BRC) Financials

Here are key trends for Brady Corp (NYSE: BRC) drawn from the last four years of quarterly cash flow, income statement, and balance sheet data. The aim is to give retail investors a concise view of profitability, liquidity, and leverage trends.

• Consistent operating cash generation: Brady’s quarterly net cash from continuing operating activities has remained positive across the 4-year window, typically in the mid-to-high tens of millions (for example, about $53.3M in Q2 2026 and $58.3M in Q4 2025). This demonstrates ongoing cash flow strength to support operations and debt service.
• Ongoing profitability with steady net income: Consolidated net income / net income continuing operations has generally stayed in a solid range, with quarterly figures commonly between ~$40M and ~$60M in recent years (e.g., around $48.1M in Q2 2026 and $53.9M in Q1 2026).
• Healthy gross margins: Gross margin has hovered around the 50% level in many quarters (net revenue vs. gross profit), suggesting stable pricing and cost management. For example, gross profit around $194M on revenue of $384M in Q2 2026 (~50.6% gross margin).
• Solid liquidity in cash and equivalents: Brady maintains a healthy cash balance, with cash & equivalents in the low- to mid-$100M range (e.g., about $176.5M in Q2 2026 and $182.7M in Q1 2026), supporting short-term liquidity and flexibility.

• Capital expenditures are modest and steady: Purchases of property, plant & equipment are present but generally modest (roughly $7–$11M per quarter in recent periods), indicating maintenance capex rather than aggressive expansion.
• Working capital needs visible in AR and inventories: Accounts receivable and inventories remain sizable relative to quarterly revenue, signaling ongoing working capital requirements (e.g., AR around $240–$248M and inventories around $215–$226M in recent quarters).
• Large noncurrent asset base: Goodwill and intangible assets form a substantial portion of noncurrent assets (Goodwill typically in the hundreds of millions, with intangible assets also material). This reflects scale but can imply impairment risk if demand weakens.

• Financing activity often cash-using: Net cash from financing activities has been negative in several quarters due to debt repayments and dividend-related outlays, which reduces cash despite ongoing operating cash flow.
• Debt level fluctuations and leverage considerations: Long-term debt and related interest expense contribute to ongoing leverage; while Brady issues debt at times and repays it at others, total liabilities remain sizable relative to cash flow, warranting attention for debt-service burden.
• Occasional quarterly cash outflows and negative net cash change: There are quarters where net change in cash and equivalents is negative, reflecting the combined effect of investing and financing activities (for example, certain quarters show negative net cash changes despite positive operating cash flow).