UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)


☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended ~~October~~April 3130, ~~2025~~2026


☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to __________

Commission file number 0-13200

AstroNova, Inc.

(Exact name of registrant as specified in its charter)


Rhode Island	05-0318215
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

600 East Greenwich Avenue, West Warwick, Rhode Island	02893
(Address of principal executive offices)	(Zip Code)

(401) 828-4000

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

      Title of each class

      Trading
Symbol

      Name of each exchange
on which registered

      Common Stock, $0.05 Par Value

      ALOT

      NASDAQ Global Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	☐	Accelerated filer	☒

Non-accelerated filer	☐	Smaller reporting company	☒

		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act) Yes ☐ No ☒

The number of shares of the registrant’s common stock, $0.05 par value per share, outstanding as of ~~December~~June 54, ~~2025~~2026 was 7,~~638~~747,~~423~~772.

ASTRONOVA, INC.

INDEX

			Page No.
Part I.		Financial Information
	Item 1.	Financial Statements
		Unaudited Condensed Consolidated Balance Sheets – October 31, 2025 and January 31, 2025	1
		Unaudited Condensed Consolidated Balance Sheets – April 30, 2026 and January 31, 2026	1
		Unaudited Condensed Consolidated Statements of Income (Loss) – Three and Nine Months Ended October 31, 2025 and November 2 2024	2
		Unaudited Condensed Consolidated Statements of Income (Loss) – Three Months Ended April 30, 2026 and April 30, 2025	2
		Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) – Three and Nine Months Ended October 31, 2025 and November 2, 2024	3
		Unaudited Condensed Consolidated Statements of Comprehensive Income – Three Months Ended April 30, 2026 and April 30, 2025	3
		Unaudited Condensed Consolidated Statements of Changes in Shareholders’ Equity – Three and Nine Months Ended October 31, 2025 and November 2, 2024	4
		Unaudited Condensed Consolidated Statements of Changes in Shareholders’ Equity – Three Months Ended April 30, 2026 and April 30, 2025	4
		Unaudited Condensed Consolidated Statements of Cash Flows – Nine Months Ended October 31, 2025 and November 2, 2024	5
		Unaudited Condensed Consolidated Statements of Cash Flows – Three Months Ended April 30, 2026 and April 30, 2025	5
		Notes to the Condensed Consolidated Financial Statements (unaudited)	6
	Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	2522
	Item 3.	Quantitative and Qualitative Disclosures about Market Risk	3530
	Item 4.	Controls and Procedures	3630
	Part II.	Other Information	3631
	Item 1.	Legal Proceedings	3631
	Item 1A.	Risk Factors	3631
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	3732
	Item 6.	Exhibits	3933
		Signatures	4034

Part I. FINANCIAL INFORMATION

Item 1. Financial Statements

ASTRONOVA, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In Thousands, Except Share Data)

	October 31, 2025			January 31, 2025
	Unaudited
	(Unaudited)
	April 30, 2026			January 31, 2026
ASSETS
CURRENT ASSETS
Cash and Cash Equivalents	$	34,~~606~~675		$	54,~~050~~072
Accounts Receivable, net		2021,~~396~~627			2118,~~218~~985
Inventories, net		45,124			47,894
Inventories, net of reserves		43,926			43,252
Prepaid Expenses and Other Current Assets		54,~~022~~425			34,~~855~~395
Total Current Assets		74,~~148~~653			7870,~~017~~704
Property, Plant and Equipment, net		1413,~~709~~646			1514,~~793~~128
Identifiable Intangibles, net		2220,~~070~~684			2321,~~519~~496
Goodwill		17,~~121~~244			1617,~~361~~376
Deferred Tax Assets, net		89,~~565~~780			89,~~431~~831
Right of Use Asset		2,~~573~~307			12,~~781~~466
Other Assets		1,~~647~~542			1,~~693~~565
TOTAL ASSETS	$	~~140~~139,~~833~~856		$	~~145~~137,~~595~~566
LIABILITIES AND SHAREHOLDERS’ EQUITY
CURRENT LIABILITIES
Accounts Payable	$	7,~~402~~601		$	76,~~928~~806
Accrued Compensation		4,~~036~~673			34,~~745~~390
Other Accrued Expenses		47,~~857~~564			4,~~461~~702
Revolving Line of Credit		18,146			20,929
Revolving Credit Facility		15,398			16,273
Current Portion of Long-Term Debt		34,~~152~~272			63,~~110~~033
Short-Term Debt		—			581
Current Liability—Royalty Obligation		1,233			1,656
Current Liability—Royalty Obligation		1,600			1,358
Current Liability—Excess Royalty Payment Due		194			331
Current Liability—Excess Royalty Payment Due		592			691
Income Taxes Payable		1,036			691
Deferred Revenue		~~846~~393			~~543~~489
Total Current Liabilities		4042,~~631~~364			4638,~~346~~371
NON-CURRENT LIABILITIES
Long-Term Debt, net of current portion		1816,~~978~~234			1918,~~044~~295
Lease Liabilities, net of current portion		21,~~107~~784			1,~~535~~953
Grant Deferred Revenue		~~1,061~~926			~~1,090~~899
Royalty Obligation, net of current portion		354			1,106
Income Taxes Payable, net of current portion		800			800
Income Taxes Payable		684			684
Royalty Obligation, net of current portion		160			145
Deferred Tax Liabilities		—			40
Other Long-Term Liabilities		66			241
Other Long-Term Liability		138			—
TOTAL LIABILITIES		62,334			60,704
TOTAL LIABILITIES		63,953			69,845
SHAREHOLDERS’ EQUITY
Preferred Stock, $10 Par Value, Authorized 100,000 shares, None Issued		—			—
Common Stock, $0.05 Par Value, Authorized 13,000,000 shares; Issued 11,053,490 and 10,936,220 shares at October 31, 2025 and January 31, 2025, respectively		553			547
Common Stock, $0.05 Par Value, Authorized 13,000,000 shares; Issued 11,156,635 and 11,077,051 shares at April 30, 2026 and January 31, 2026, respectively		558			554
Additional Paid-in Capital		6566,~~681~~889			6466,~~215~~329
Retained Earnings		4847,~~139~~657			4947,~~380~~004
Treasury Stock, at Cost, 3,415,067 and 3,394,942 shares at October 31, 2025 and January 31, 2025, respectively		(35,226	)		(35,043	)
Treasury Stock, at Cost, 3,433,213 and 3,415,144 shares in April 30, 2026 and January 31, 2026, respectively		(35,418	)		(35,227	)
Accumulated Other Comprehensive Loss, net of tax		(2,~~267~~164	)		(31,~~349~~798	)
TOTAL SHAREHOLDERS’ EQUITY		7677,~~880~~522			7576,~~750~~862
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	~~140~~139,~~833~~856		$	~~145~~137,~~595~~566

See Notes to condensed consolidated financial statements (unaudited).

ASTRONOVA, INC.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS)

(In Thousands, Except Per Share Data)

(Unaudited)

	Three Months Ended						~~Nine Months Ended~~
	October 31, 2025			November 2, 2024			October 31, 2025			November 2, 2024
	April 30, 2026			April 30, 2025
Revenue	$	39,~~169~~364		$	4037,~~422~~708		$	~~112,979~~		$	~~113,922~~
Cost of Revenue		24,~~972~~939			2625,~~708~~757			~~74,496~~			~~73,909~~
Gross Profit		14,~~197~~425			1311,~~714~~951			~~38,483~~			~~40,013~~
Operating Expenses:
Selling and Marketing		5,~~593~~692			65,~~752~~605			~~16,877~~			~~19,140~~
Research and Development		1,~~898~~809			1,~~843~~529			~~5,017~~			~~4,859~~
General and Administrative		5,~~122~~362			34,~~855~~246			~~15,140~~			~~12,343~~
Goodwill Impairment		297			—			297			—
Operating Expenses		12,863			11,380
Operating Expenses		12,910			12,450			37,331			36,342
Operating Income		1,562			571
Operating Income		1,287			1,264			1,152			3,671
Other Income (Expense):
Other Income (Expense):
Interest Expense		(675	)		(897	)
Interest Expense		(827	)		(944	)		(2,609	)		(2,363	)
Gain (Loss) on Foreign Currency Transactions		(77	)		5
Loss on Foreign Currency Transactions		(119	)		(67	)		(144	)		(390	)
Other Income (Expense), net		39			20
Other Income/(Expense), net		(91	)		21			(147	)		53
Total Other Income (Expense)		(713	)		(872	)
Total Other Income (Expense)		(1,037	)		(990	)		(2,900	)		(2,700	)
Income (Loss) Before Income Taxes		849			(301	)
Income (Loss) Before Income Taxes		250			274			(1,748	)		971
Income Tax Provision		196			75
Income Tax Provision (Benefit)		(128	)		34			(506	)		(139	)
Net Income (Loss)	$	653		$	(376	)
Net Income (Loss)	$	378		$	240		$	(1,242	)	$	1,110
Net Income (Loss) per Common Share—Basic	$	0.09		$	(0.05	)
Net Income (Loss) per Common Share—Basic	$	0.05		$	0.03		$	(0.16	)	$	0.15
Net Income (Loss) per Common Share—Diluted	$	0.08		$	(0.05	)
Net Income (Loss) per Common Share—Diluted	$	0.05		$	0.03		$	(0.16	)	$	0.15
Weighted Average Number of Common Shares Outstanding:
Weighted Average Number of Common Shares Outstanding:
Basic		7,678			7,560
Basic		7,633			7,524			7,601			7,501
Diluted		7,774			7,560
Diluted		7,698			7,580			7,601			7,605

See Notes to condensed consolidated financial statements (unaudited).

ASTRONOVA, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME ~~(LOSS)~~

(In Thousands)

(Unaudited)

	Three Months Ended						~~Nine Months Ended~~
	October 31, 2025			November 2, 2024			October 31, 2025			November 2, 2024
	April 30, 2026			April 30, 2025
Net Income (Loss)	$	~~378~~653		$	~~240~~(376	)	$	~~(1,242~~	)	$	~~1,110~~
Other Comprehensive Income (Loss), net of taxes:
Foreign Currency Translation Adjustments		60(366	)		~~(203~~975	)		~~1,082~~			~~(57~~	)
Other Comprehensive Income (Loss)		60(366	)		~~(203~~975	)		~~1,082~~			~~(57~~	)
Comprehensive Income (Loss)	$	438		$	37		$	(160	)	$	1,053
Comprehensive Income	$	287		$	599

See Notes to condensed consolidated financial statements (unaudited).

ASTRONOVA, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY

($ In Thousands, Except Share Data)

(Unaudited)

	Common Stock				AdditionalPaid-in			Retained			Treasury			AccumulatedOtherComprehensive			TotalShareholders’
	Shares		Amount		Capital			Earnings			Stock			Income (Loss)			Equity
Balance January 31, 2026		11,077,051	$	554	$	66,329		$	47,004		$	(35,227	)	$	(1,798	)	$	76,862
Share-Based Compensation		—		—		564			—			—			—			564
Employee Option Exercises		650		—		—			—			—			—			—
Restricted Stock Awards Vested		78,934		4		(4	)		—			(191	)		—			(191	)
Net Income		—		—		—			653			—			—			653
Foreign Currency Translation Adjustment		—		—		—			—			—			(366	)		(366	)
Balance April 30, 2026		11,156,635	$	558	$	66,889		$	47,657		$	(35,418	)	$	(2,164	)	$	77,522
Balance January 31, 2025		10,936,220	$	547	$	64,215		$	49,380		$	(35,043	)	$	(3,349	)	$	75,750
Share-Based Compensation		—		—		306			—			—			—			306
Employee Stock Purchase Plan		6,463		—		51			—			—			—			51
Restricted Stock Awards Vested		65,550		3		(3	)		—			(155	)		—			(155	)
Net Loss		—		—		—			(376	)		—			—			(376	)
Foreign Currency Translation Adjustments		—		—		—			—			—			975			975
Balance April 30, 2025		11,008,233	$	550	$	64,569		$	49,004		$	(35,198	)	$	(2,374	)	$	76,551
Share-Based Compensation		—		—		456			—			—			—			456
Restricted Stock Awards Vested		27,423		2		(2	)		—			(25	)		—			(25	)
Net Loss		—		—		—			(1,243	)		—			—			(1,243	)
Foreign Currency Translation Adjustment		—		—		—			—			—			47			47
Balance July 31, 2025		11,035,656	$	552	$	65,023		$	47,761		$	(35,223	)	$	(2,327	)	$	75,786
Share-Based Compensation		—		—		659			—			—			—			659
Restricted Stock Awards Vested		17,834		1		(1	)		—			(3	)		—			(3	)
Net Income		—		—		—			378			—			—			378
Foreign Currency Translation Adjustment		—		—		—			—			—			60			60
Balance October 31, 2025		11,053,490	$	553	$	65,681		$	48,139		$	(35,226	)	$	(2,267	)	$	76,880
Balance January 31, 2024		10,812,137	$	541	$	62,684		$	63,869		$	(34,593	)	$	(2,219	)	$	90,282
Share-Based Compensation		—		—		325			—			—			—			325
Employee Option Exercises		5,055		—		48			—			—			—			48
Restricted Stock Awards Vested		78,077		4		(4	)		—			(432	)		—			(432	)
Net Income		—		—		—			1,181			—			—			1,181
Foreign Currency Translation Adjustment		—		—		—			—			—			(197	)		(197	)
Balance April 27, 2024		10,895,269	$	545	$	63,053		$	65,050		$	(35,025	)	$	(2,416	)	$	91,207
Share-Based Compensation		—		—		481			—			—			—			481
Employee Option Exercises		14,433		1		29			—			—			—			30
Restricted Stock Awards Vested		4,312		—		—			—			—			—			—
Net Loss		—		—		—			(311	)		—			—			(311	)
Foreign Currency Translation Adjustment		—		—		—			—			—			343			343
Balance August 3, 2024		10,914,014	$	546	$	63,563		$	64,739		$	(35,025	)	$	(2,073	)	$	91,750
Share-Based Compensation		—		—		353			—			—			—			353
Employee Option Exercises		2,846				33			—			—			—			33
Restricted Stock Awards Vested		4,920		—		—			—			—			—			—
Net Income		—		—		—			240			—			—			240
Foreign Currency Translation Adjustment		—		—		—			—			—			(203	)		(203	)
Balance November 2, 2024		10,921,780	$	546	$	63,949		$	64,979		$	(35,025	)	$	(2,276	)	$	92,173

See Notes to condensed consolidated financial statements (unaudited).

ASTRONOVA, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Thousands)

(Unaudited)

	Nine Months Ended
	Three Months Ended
	October 31, 2025			November 2, 2024
	April 30, 2026			April 30, 2025
Cash Flows from Operating Activities:
Net Income (Loss)	$	~~(1,242~~653	)	$	~~1,110~~(376	)
Adjustments to Reconcile Net Income (Loss) to Net Cash Provided by Operating Activities:
Depreciation and Amortization		31,~~425~~182			31,~~514~~290
Grant Income included in Depreciation		~~175~~69			~~108~~56
Goodwill Impairment		297			—
Amortization of Debt Issuance Costs		10			8
Amortization of Debt Issuance Costs		33			22
Share-Based Compensation		389			306
Share-Based Compensation		1,559			1,159
Deferred Income Tax Provision (Benefit)		37			(52	)
Deferred Income Tax Benefit		(74	)		—
Changes in Assets and Liabilities:
Loss on Disposal of Fixed Assets		112			—
Accounts Receivable		(2,691	)		210
Changes in Assets and Liabilities, net of impact of acquisition:
Inventories		(766	)		(2,704	)
Accounts Receivable		1,220			1,619
Income Taxes		146			172
Inventories		3,780			1,380
Accounts Payable and Accrued Expenses		3,902			3,622
Income Taxes		(1,101	)		(1,534	)
Deferred Revenue		(73	)		1,041
Accounts Payable and Accrued Expenses		(367	)		(2,371	)
Other		163			822
Deferred Revenue		99			(1,080	)
Net Cash Provided by Operating Activities		3,021			4,395
Other		149			(1,603	)
Net Cash Provided by Operating Activities		8,065			2,324
Cash Flows from Investing Activities:
Proceeds from Sale of Equipment		100			—
Purchases of Property, Plant and Equipment		(36	)		(60	)
Purchases of Property, Plant and Equipment		(193	)		(1,086	)
Net Cash Used for Investing Activities		(36	)		(60	)
Cash Paid for MTEX Acquisition, net of cash acquired		—			(19,109	)
Net Cash Used for Investing Activities		(93	)		(20,195	)
Cash Flows from Financing Activities:
Net Cash Proceeds from Employee Stock Option Plans		—			13
Net Cash Proceeds from Share Purchases under Employee Stock Purchase Plan		—			51
Net Cash Proceeds from Share Purchases under Employee Stock Purchase Plan		51			98
Net Cash Used for Payment of Taxes Related to Vested Restricted Stock		(191	)		(155	)
Net Cash Used for Payment of Taxes Related to Vested Restricted Stock		(183	)		(432	)
Net Payments under Revolving Credit Facility		(824	)		(2,872	)
Net Borrowings under Revolving Credit Facility		—			10,774
Payment of Minimum Guarantee Royalty Obligation		(423	)		(428	)
Repayment under Revolving Credit Facility, net		(3,177	)		—
Principal Payments of Long-Term Debt		(809	)		(826	)
Proceeds from Long-Term Debt Borrowings		19,720			15,078
Net Cash Provided by Financing Activities		(2,247	)		(4,230	)
Payment of Minimum Guarantee Royalty Obligation		(959	)		(1,247	)
Effect of Exchange Rate Changes on Cash and Cash Equivalents		(135	)		198
Principal Payments of Long-Term Debt		(25,118	)		(6,706	)
Net Increase in Cash and Cash Equivalents		603			303
Payments of Debt Issuance Costs		(66	)		(37	)
Cash and Cash Equivalents, Beginning of Period		4,072			5,050
Net Cash Provided by (Used for) Financing Activities		(9,732	)		17,541
Cash and Cash Equivalents, End of Period	$	4,675		$	5,353
Effect of Exchange Rate Changes on Cash and Cash Equivalents		316			235
Net Decrease in Cash and Cash Equivalents		(1,444	)		(95	)
Cash and Cash Equivalents, Beginning of Period		5,050			4,527
Cash and Cash Equivalents, End of Period	$	3,606		$	4,432
Supplemental Disclosures of Cash Flow Information:
Cash Paid During the Period for:
Cash Paid During the Period for Interest	$	2,292		$	1,891
Interest	$	652		$	770
Cash Paid During the Period for Income Taxes, net of refunds	$	621		$	1,503
Income Taxes, net of refunds	$	50		$	(100	)
Non-Cash Transactions:
Operating Lease Obtained in Exchange for Operating Lease Liabilities	$	~~986~~—		$	~~1,581~~936

See Notes to condensed consolidated financial statements (unaudited).

ASTRONOVA, INC.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Note 1 – Business and Basis of Presentation

Overview

AstroNova, Inc., headquartered in West Warwick, Rhode Island, ~~uses~~is ~~its~~a ~~proprietary~~global provider of printing technologies serving regulated and ~~expertise~~industrial tomarkets. The ~~design~~Company designs, ~~manufacture~~manufactures, distributes, and ~~distribute~~services ~~specialty~~solutions ~~printers~~ that ~~present~~enable ~~data~~customers ~~visually~~to identify, track, and communicate essential product and safety information across ~~various~~a wide range of applications and media. AstroNova ~~Our~~supports customers by enabling safety, accuracy and durability for flight deck communications, medical device and healthcare products, ~~are~~essential ~~used~~chemical ~~worldwide~~products, inand ~~diverse~~mission-critical ~~applications~~industrial components, while ensuring compliance with local and regional regulatory requirements.

Our business consists of two segments, Product Identification (“Product ID”) and Aerospace ~~(formerly known as Test & Measurement)~~.

~~Effective~~Product ~~February~~ID 1, 2025, we changed the name of our Test & Measurement segment to “Aerospace” to better reflect the end markets we serve in that segment. The segment name change did not result in any change to the composition of our reportable segments and, therefore, did not result in any changes to our historical segment results.Segment

~~Our~~The Product ID segment ~~includes~~designs ~~tabletop~~and ~~printers,~~manufacturers professional product branding solutions including digital label printers, and presses as well as direct-to-package printers. We expanded our product offerings with our May 2024 acquisition of Portugal-based MTEX New Solution, S.A. (“MTEX”) to include mid-to-high volume direct-to-package~~/overprint~~ printers, ~~mail~~flexible packaging printers, and ~~sheet/flat~~label ~~pack~~printers primarily targeting the industrial and commercial printing segments. Label printers are specialized equipment used to print on different types of media, such as sticky labels, tags, and stickers. Product labels printed by our ~~most~~customers ~~recently~~provide ~~launched~~their consumers with essential details such as ingredients, usage instructions, safety warnings, and branding elements using text, barcodes, logos and graphics. Our direct-to-package digital printers print on a broad variety of media including paper bags, corrugated cardboard boxes, sheets, cardboard, envelopes, postcards, wooden planks and other rigid to semi-flexible materials and streamline the packaging ~~printers~~process. ~~The~~We ~~Aerospace~~provide ~~segment~~these ~~consists~~solutions ofto ~~our~~original ~~line~~equipment manufacturers (“OEMs”), commercial printers, and brand owners across a variety of ~~Aerospace~~industries. ~~products~~In particular, ~~including~~we ~~flight~~are ~~deck~~focused ~~printers~~on the life sciences, ~~networking~~chemical ~~hardware~~and industrial markets where our label and packaging solutions are directly embedded in customers’ products and workflows, making reliability, durability and ~~related~~regulatory ~~accessories~~compliance ascritical ~~well~~to astheir ~~data~~outcomes. Labels ~~acquisition~~and ~~systems~~packaging ~~sold~~must ~~under~~be durable to withstand heavy handling and harsh environments, and both the ~~AstroNova®~~label and the ink must meet regulatory standards. ~~brand~~In ~~name~~addition, label content can change frequently to address regulatory updates.

OnOur ~~May~~Product 4,ID ~~2024,~~products weare ~~entered~~sold ~~into~~by andirect ~~agreement~~field tosalespersons ~~acquire~~and ~~MTEX~~independent ~~New~~dealers ~~Solution,~~and Srepresentatives.~~A.,~~ In ~~(“MTEX”),~~the aUnited ~~Portugal-based~~States, ~~manufacturer~~we ofhave ~~digital~~factory-trained ~~printing~~direct ~~equipment~~field ~~that~~salespeople ~~addresses~~located athroughout ~~broad~~the ~~variety~~country ofspecializing ~~markets~~in ~~and~~Product ~~applications~~ID ~~including wide format high-volume package printing, labeling, flexible package printing and more~~products. We ~~report~~also ~~MTEX~~have ~~results~~direct asfield asales ~~part~~or ofservice ~~our~~centers ~~Product~~in IDCanada, ~~segment~~China, asDenmark, ofFrance, ~~May~~Germany, 6Malaysia, ~~2024~~Portugal, ~~the~~and ~~closing~~Singapore, ~~date~~staffed ofby ~~this~~our ~~acquisition.~~own ~~Refer~~employees toand ~~Note~~dedicated 3,third ~~“Acquisition”~~party ~~for further details~~contractors. ~~Subsequent to the acquisition~~ Additionally, ~~MTEX~~we ~~has~~utilize ~~been~~over ~~fully~~145 ~~integrated~~independent ~~into~~dealers ~~the~~and ~~Product~~representatives IDselling ~~segment~~ and nomarketing ~~longer~~our ~~operates~~products asin anapproximately ~~independent~~60 ~~business entity~~countries.

~~Customers~~Aerospace of our Product ID segment include brand owners, professional printing houses and small print shops, corrugated box and paper bag makers, paper packaging converters and co-packers, original equipment manufacturers (“OEMs”) and channels active in direct mail and transactional print. Product ID products sold under the QuickLabel, TrojanLabel, GetLabels and AstroJet brands are used in brand owner and commercial applications to provide product packaging, marketing, tracking, branding, and labeling solutions to a wide array of industries. The Product ID segment offers a variety of digital color label tabletop printers and light commercial label printers, direct-to-package printers, high-volume presses, and specialty OEMs printing systems. We expanded our product offerings with the May 2024 MTEX acquisition to include mid-to-high volume direct-to-package printers, flexible packaging printers, and label printers primarily targeting the industrial and commercial printing segments. Products manufactured by our Astro Machine facility also include a variety of label printers, mail and flat-pack printers and packaging printing, and related processing and handling equipment. Hardware sales are approximately 20% of Product ID segment revenue. The Product ID segment also offers a wide range of printer supplies, repair parts and service. The supplies include labels, tags, ink and toner, allowing customers to mark, track, protect and enhance the appearance of their products. Recurring supplies, parts and service revenue is approximately 80% of segment revenue. Segment

~~Our~~The ~~Product~~Aerospace IDsegment consists of our line of Aerospace products, ~~are~~including ~~sold~~our bybranded ~~direct~~ToughWriter® ~~field~~flight ~~salespersons~~deck ~~and~~printers, ~~independent~~as ~~dealers~~well as licensed flight deck printers, networking hardware, and ~~representatives~~related accessories. InWe have a long history of serving the ~~United~~commercial ~~States,~~and wedefense ~~have~~markets ~~factory-trained~~where ~~direct~~our ~~field~~flight ~~salespeople~~deck ~~located~~printers ~~throughout~~are ~~the~~an ~~country~~important ~~specializing~~safety inelement ~~Product~~within IDthe ~~products~~cockpit. We also ~~have~~provide ~~direct~~parts, ~~field~~service, ~~sales~~specialty orpaper ~~service~~and ~~centers~~other insupplies ~~Canada,~~for ~~China,~~our ~~Denmark~~aerospace customers. In addition, ~~France~~we design and manufacture test and measurement data acquisition systems sold under the AstroNova® brand name that enable our customers to acquire and record visual and electronic signal data from local and networked data streams and sensors. The recorded data is processed, ~~Germany~~analyzed, ~~Malaysia~~stored and presented in various visual output formats. Hardware comprises approximately 68% of segment revenue and the remaining 32% is recurring sales of supplies, ~~Portugal~~parts and service. Customers include aircraft OEMs, ~~Singapore~~commercial airlines, and defense industry prime contractors. Customers for these solutions include the United ~~Kingdom~~States ~~staffed~~Navy, bythe ~~our~~United ~~own~~States ~~employees~~Air Force, and ~~dedicated~~defense ~~third~~industry ~~party~~prime contractors~~. Additionally~~, weas well as other entities that utilize ~~over~~these ~~125~~solutions ~~independent~~in ~~dealers~~high ~~and~~precision ~~representatives~~applications ~~selling~~for power, rail, and ~~marketing~~industrial ~~our~~applications. Our Aerospace products inare ~~approximately~~predominantly ~~100~~sold ~~countries~~directly and through a limited number of independent representatives.

In the Aerospace segment, we have a long history of using our technologies to provide high-resolution flight deck and cabin printers and, networking hardware for the aerospace market. We also provide parts, service, specialty paper and other supplies for our aerospace customers. Hardware comprises approximately 57% of segment revenue and the remaining 43% is recurring sales of supplies, parts and service. Customers include aircraft OEMs, commercial airlines, and defense industry prime contractors. In addition, the Aerospace segment includes data acquisition recorders, sold under the AstroNova brand, that enable our customers to acquire and record visual and electronic signal data from local and networked data streams and sensors. The recorded data is processed, analyzed, stored and presented in various visual output formats. Customers for these solutions include the United States Navy, the United States Air Force, and defense industry prime contractors, as well as other entities that utilize these solutions in high

precision applications for power, rail, and industrial applications. Our Aerospace products are predominantly sold directly and through a limited number of independent representatives.

Unless otherwise indicated, references to “AstroNova,” the “Company,” “we,” “our,” and “us” in this Quarterly Report on Form 10-Q refer to AstroNova, Inc. and its consolidated subsidiaries.

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("GAAP") and reflect all adjustments consisting of normal recurring adjustments which, in the opinion of management, are necessary for a fair presentation of the results of the interim periods included herein. These financial statements do not include all disclosures associated with annual financial statements and, accordingly, should be read in conjunction with our Annual Report on Form 10-K for the fiscal year ended January 31, ~~2025~~2026.

The presentation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the condensed consolidated financial statements and accompanying notes, including those that require consideration of forecasted financial information using information that is reasonably available to us at this time. Some of the more significant estimates relate to revenue recognition, allowances for doubtful accounts, inventory valuation, income taxes, valuation of long-lived assets, intangible assets and goodwill, share-based compensation, and warranty reserves. Management’s estimates are based on the facts and circumstances available at the time estimates are made, historical experience, risk of loss, general economic conditions and trends, and management’s assessments of the probable future outcome of these matters. Consequently, actual results could differ from those estimates.

Beginning with the first quarter of our fiscal year ending January 31, 2026, we have adjusted our fiscal quarters to end on April 30, July 31, October 31, and January 31. Prior year periods have not been recast to reflect this change.

Results of operations for the interim periods presented herein are not necessarily indicative of the results that may be expected for the full year.

Certain amounts in ~~the~~ prior year’s financial statements have been reclassified to conform to the current year’s presentation. In the fourth quarter of fiscal 2026, we revised our methodology for allocating certain costs between cost of revenue and operating expenses. As a result of this change, prior period cost of goods sold and operating expenses have been recast in the accompanying condensed consolidated statements of income (loss) for the period ended April 30, 2025. Also, in the fourth quarter of fiscal 2026, we refined our reporting to better reflect segment performance by allocating certain costs previously included in corporate general and administrative expenses to the operating expenses of the applicable reporting segments. See Note 16, “Segment Reporting” for further details on the impact of these changes to prior year segment reporting.

Principles of Consolidation

The accompanying condensed consolidated financial statements include the accounts of AstroNova, Inc. and its wholly-owned subsidiaries. All significant intercompany accounts and transactions are eliminated in consolidation.

~~Correction~~Tariff ofMatters ~~Immaterial~~and ~~Error~~Potential inIEEPA ~~Prior Period Financial Statements~~Refunds

~~During~~In ~~the~~February ~~third quarter of fiscal~~ 2026, ~~we identified an error related to~~ the ~~accounting~~United ~~for~~States ~~the~~Supreme ~~MTEX~~Court ~~acquisition.~~ruled ~~The~~that ~~error~~tariffs ~~involved~~imposed under the ~~recognition~~International ofEmergency ~~Euro~~Economic ~~1.8~~Powers ~~million~~Act (~~approximately $2.1 million at October 31, 2025) in net book value of property, plant and equipment (~~“~~PP&E~~IEEPA”) ~~that~~were ~~was~~not ~~included in the opening balance sheet~~authorized. In ~~September~~Subsequent ~~2025~~rulings weby ~~determined that these assets were either non-existent or obsolete at~~ the ~~acquisition date~~U. ~~Accordingly,~~S. ~~the~~Court ~~net book value~~ of ~~these~~International ~~assets~~Trade ~~was~~directed ~~written~~U.S. ~~off~~Customs inand ~~the~~Border ~~third~~Protection ~~quarter~~(“CBP”) ~~of fiscal 2026, with a corresponding increase~~ to ~~goodwill~~establish ~~acquired~~an inadministrative ~~the~~process ~~acquisition. This~~for ~~error~~refunding ~~correction~~previously ~~had~~collected noIEEPA ~~impact on net assets in the MTEX opening balance sheet~~tariffs. ~~Refer~~ toIn ~~Note~~April 32026, ~~“Acquisition”~~CBP ~~for~~initiated ~~further~~a ~~details~~phased onprocess ~~the~~for ~~correction~~importers to ~~the~~submit ~~opening~~refund ~~balance sheet~~claims.

~~The~~We ~~net~~paid ~~impact~~tariffs ~~of this error correction~~ on ~~our~~certain ~~consolidated~~imported ~~statement~~components ofand ~~income~~products ~~(loss)~~during in fiscal ~~2025 and~~ 2026 isthat ~~immaterial. In~~may ~~fiscal~~be ~~2025,~~eligible ~~$0.2~~for ~~million~~refunds ofunder ~~depreciation~~this ~~expense~~process. ~~related~~We toare ~~the~~evaluating ~~written-off~~our ~~assets~~eligibility ~~was recorded~~ and ~~reversed in the third quarter of fiscal 2026. Following the write-off~~, ~~the~~where ~~goodwill valuation model was updated~~applicable, ~~resulting~~intend into ansubmit ~~additional~~claims ~~goodwill~~for ~~impairment~~recovery of $0such amounts.3 ~~million~~However, ~~for~~ the ~~period~~timing, ~~ended January 31~~amount, ~~2025. The~~and ~~combined~~ultimate ~~impact~~realization of ~~these~~any ~~adjustments~~such isrefunds aremain ~~net~~uncertain ~~charge~~due ofto ~~$0.1~~the ~~million~~evolving ~~which~~administrative ~~has~~procedures, ~~been~~potential ~~recorded~~legal inchallenges, and the ~~third~~review ~~quarter~~process ofundertaken ~~fiscal~~by ~~2026~~CBP.

WeIn ~~assessed~~accordance ~~the~~with ~~materiality~~ASC of450‑30, ~~these~~Gain ~~errors~~Contingencies, ~~using~~we ~~both~~account ~~quantitative~~for ~~and~~potential ~~qualitative~~recoveries ~~factors,~~of inpreviously ~~accordance~~paid ~~with~~tariffs ~~the~~as ~~SEC~~a ~~Staff~~gain ~~Accounting Bulletin (“SAB”) No~~contingency. 99Under ~~“Materiality”~~this ~~and~~guidance, ~~SAB~~gain ~~108~~contingencies ~~“Considering~~are ~~the~~not ~~Effects~~recognized ~~of Prior Year Misstatements when Quantifying Misstatements~~ in ~~Current Year Financial Statements” codified in ASC 250 “Accounting Changes and Error Corrections” and concluded these errors were immaterial to all of~~ the ~~previously issued consolidated~~ financial statements. ~~Under~~until ~~ASC~~realized ~~250,~~or ~~correcting~~realizable. ~~prior‑year~~Accordingly, ~~financial~~as ~~statements~~of ~~for~~April ~~such~~30, ~~immaterial errors does not require previously filed reports to be amended. For comparative purposes~~2026, we have ~~made~~not recorded a ~~correction~~receivable toor ~~the~~other ~~consolidated~~asset ~~balance sheet and~~ related ~~footnotes~~to ~~for~~potential ~~the~~IEEPA ~~prior~~tariff ~~period presented of Euro 1~~refunds.~~8 million (approximately $1.8 million at January 31, 2025) in this Form 10-Q for the quarter ended October 31, 2025, as follows:~~

7To the extent we receive refunds in future periods, such amounts will be recognized when realized. Any recoveries would be recorded as a reduction of cost of revenues or inventory, depending on whether the underlying inventory remains on hand at the time of receipt.

~~Balance~~Additionally, ~~Sheet:~~certain customer arrangements may require us to refund a portion of any tariff recoveries to customers where tariff-related charges were previously passed through or incorporated into pricing. The Company is evaluating these arrangements; however, given the uncertainty regarding the realization and measurement of any tariff recoveries, no liability has been recorded as of April 30, 2026 related to potential customer reimbursements.

	For the Year ended January 31, 2025
(In thousands)	As Previously Reported		Adjustments			As Revised
Property, Plant and Equipment	$	17,639	$	(1,846	)	$	15,793
Goodwill	$	14,515	$	1,846		$	16,361

Note 2 – Summary of Significant Accounting Policies Update

The accounting policies used in preparing the condensed consolidated financial statements in this Form 10-Q are the same as those used in preparing our consolidated financial statements included in our Annual Report on Form 10-K for the fiscal year ended January 31, ~~2025~~2026.

Recent Accounting Pronouncements Not Yet Adopted

In December 2025, the FASB issued ASU 2025-10, “Government Grants (Topic 832): Accounting for Government Grants Received by Business Entities.” ASU 2025-10 leverages guidance in International Accounting Standard (“IAS”) 20, “Accounting for Government Grants and Disclosure of Government Assistance,” which is largely followed in the absence of current GAAP guidance. The guidance classifies government grants into two groups: (1) grants related to an asset, which are conditioned on the purchase, construction, or acquisition of an asset, and (2) grants related to income, for all other grants not related to an asset. Further, for

asset-related government grants, companies may elect to recognize under the deferred income approach or cost accumulation approach, while government grants related to income are recognized under the deferred income approach. When the deferred income approach is used, entities present the grants as part of earnings by either (1) disclosing separately under a general heading, such as other income, or (2) deducting from the related expense. ASU 2025-10 is effective for fiscal years beginning after December 15, 2028, with early adoption permitted and may be adopted using a modified prospective, modified retrospective or full retrospective approach. We are currently evaluating the potential impact of this guidance and believe the adoption of this guidance will not have a significant impact on our consolidated financial statements.

In November 2024, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2024-03, “Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.” ASU 2024-03 enhances expense disclosures on both an annual and interim basis by requiring public entities to disclose additional information about specific expense categories in the notes to the consolidated financial statements. This ASU requires disclosure in tabular format of purchases of inventory, employee compensation, depreciation, intangible asset amortization and depletion, as applicable, for each income statement line item that contains those expenses. Specific expenses, gains and losses that are already disclosed under existing US GAAP are also required to be included in the disaggregated income statement expense line-item disclosures, and any remaining amounts will need to be described quantitatively. Additionally, ASU 2024-03 requires disclosure of the total amount of selling expenses and the entity’s definition of selling expenses. ASU 2024-03 is effective for the first annual disclosure period beginning after December 15, 2026, and for the interim periods subsequent to that, with early adoption permitted. The amendment should be applied prospectively; however, retrospective application is permitted. We are currently evaluating the new disclosure requirements of ASU 2024-03 and do not expect the adoption of this guidance to have a material impact on our consolidated financial statements or disclosures.

InNo ~~December~~other ~~2023,~~new ~~the~~accounting ~~FASB~~pronouncements, issued ~~ASU~~or ~~2023-09,~~effective ~~“Income~~during ~~Taxes (Topic 740): Improvements to Income Tax Disclosures” to enhance~~ the ~~transparency~~first ~~and~~three ~~decision~~months ~~usefulness~~ of ~~income tax disclosures primarily related to~~ the ~~rate~~current ~~reconciliation and income taxes paid information. ASU 2023-09 modifies the requirement for income tax disclosures to include (1) specific categories in the rate reconciliation~~year, ~~(2)~~have ~~the~~had ~~income~~ or ~~loss~~are ~~from~~expected continuing operations before income tax expense or benefit (separated between domestic and foreign) and (3) income tax expense or benefit from continuing operations (separated by federal, state and foreign). ASU 2023-09 also requires entities to ~~disclose~~have ~~their income tax payments to international, federal, state and local jurisdictions. The guidance is effective for annual periods beginning after December 15, 2024. ASU 2023-09 should be applied on~~ a ~~prospective~~material ~~basis, but retrospective application is permitted. We are currently evaluating the potential~~ impact ~~and~~on ~~related disclosures required as a result of adopting this new guidance within~~ our ~~Annual~~consolidated ~~Report~~financial ~~on Form 10-K for the year ended January 31, 2026, and subsequent annual reports~~statements.

NoNote ~~other~~3 ~~new~~– ~~accounting~~Revenue ~~pronouncements,~~Recognition ~~issued or effective during the first nine months of the current year, have had or are expected to have a material impact on our consolidated financial statements.~~

Note 3 – Acquisition

MTEX

Background

On May 4, 2024, AstroNova, along with its wholly-owned Portuguese subsidiary AstroNova Portugal, Unipessoal, Lda (the “Purchaser”) entered into a Share Purchase Agreement (the “Purchase Agreement”) with Effort Premier Solutions Lda., a private limited company incorporated under the laws of Portugal (the “Seller”), and Elói Serafim Alves Ferreira, as the “Guarantor.”

In accordance with the terms and subject to the conditions set forth in the Purchase Agreement, the Purchaser acquired from the Seller, 100% of the issued and outstanding share capital of MTEX. The closing date for the acquisition was May 6, 2024. This transaction was a business combination and accounted for using the acquisition method as prescribed by ASC 805, “Business Combinations.”

The purchase price for this acquisition consisted of EUR 17,268,345 (approximately $18.7 million) paid by the Purchaser to the Seller on the closing date, and up to an additional EUR 731,655 (approximately $0.8 million) retained by the Purchaser to secure certain indemnification obligations of the Seller to be released by the Purchaser subject to resolution of such obligations.

Purchase Price Allocation

A summary of the fair value of the consideration transferred as of the acquisition closing date is presented in the table below:

(In thousands)	Preliminary Estimate		Measurement Period Adjustment			Final
Cash Paid at Closing	$	18,732	$	(1	)	$	18,731
Holdback Amount		742		—			742
Fair Value of the Earnout		1,619		(1,619	)		—
Total Purchase Price	$	21,093	$	(1,620	)	$	19,473

In accordance with the terms of the Purchase Agreement, the Seller may have been entitled to additional contingent consideration of potential earn-out payments if specified revenue targets were achieved by MTEX for the three calendar year periods ending after the closing date. The approach to valuing the initial contingent consideration relating to the earn-out requires the use of unobservable factors such as projected revenues over the term of the earn-out periods, discounted for the period over which the initial contingent consideration is measured, and relevant volatility rates. Based upon these assumptions, the earn-out contingent consideration was valued using an option pricing model, which resulted in the estimated fair value being reduced to zero as of the acquisition closing date.

Since the initial preliminary estimates, we have adjusted certain amounts for the fair value of the assets acquired and liabilities assumed as a result of obtaining additional information that allowed us to determine the final purchase price allocation. Measurement period adjustments were recognized in the reporting period in which the adjustments were determined and calculated as if the accounting had been completed at the acquisition date. As of the end of the first quarter of fiscal 2026, we completed our final fair value determination of the assets acquired and liabilities assumed.

The following table sets forth the final purchase price allocation of the MTEX acquisition for the estimated fair value of the net assets acquired and liabilities assumed as of May 6, 2024:

(In thousands)	Preliminary Estimate			Measurement Period Adjustment			Adjustment*			Final
Cash	$	364		$	—		$	—		$	364
Accounts Receivable		3,989			(2,777	)		—			1,212
Inventory		3,807			(200	)		—			3,607
Prepaid Expenses and Other Current Assets		301			—			—			301
Property, Plant and Equipment		4,802			—			(1,928	)		2,874
Other Long-Term Assets		5,154			1,054			—			6,208
Identifiable Intangible Assets		9,556			(2,017	)		—			7,539
Goodwill		10,629			3,650			1,928			16,207
Accounts Payable and Other Current Liabilities		(4,225	)		(1,870	)		—			(6,095	)
Debt Assumed		(7,918	)		—			—			(7,918	)
Other Long-Term Liabilities		(5,366	)		540			—			(4,826	)
Total Purchase Price	$	21,093		$	(1,620	)	$	—		$	19,473

*During the third quarter of fiscal 2026, we identified an error related to the MTEX acquisition. In September 2025 we determined that Euro 1.8 million (approximately $1.9 million as of the opening balance sheet date of May 6, 2024) in assets recorded at acquisition were either non-existent or obsolete at the acquisition date. Accordingly, the net book value of these assets was written off in the third quarter of fiscal 2026, with a corresponding increase to goodwill acquired in the acquisition. This error correction had no impact on net assets in the MTEX opening balance sheet and the correction is reflected in this table. Refer to Note 1, “Business and Basis of Presentation” under the section “Correction of Immaterial Error in Prior Period Financial Statements” for additional details.

The following table reflects the preliminary fair value of the acquired identifiable intangible assets and related estimated useful lives:

(In thousands)	FairValue		Measurement Period Adjustment			Final		Useful Life(years)
Customer Relations	$	8,786	$	(6,183	)	$	2,603		10
Internally Developed Technology		488		4,231			4,719		6
Trademarks/Tradenames		282		(65	)		217		3
Total	$	9,556	$	(2,017	)	$	7,539

The customer relations intangible asset represents the relationships that will be maintained with certain historical customers of MTEX. The trademark/tradename intangible assets reflect the industry reputation of the MTEX name, and the registered trademarks held by MTEX for the use of several marks and logos. The internally developed technology intangible asset represents software used to collect a wide range of data on each piece of equipment and the ability to monitor customer ink usage and troubleshoot issues with customers.

The fair value of the customer relations intangible asset acquired was estimated by applying the income approach using the Multi-Period Excess Earning Method. This fair value measurement is based on significant inputs that are not observable in the market and therefore represents a Level 3 measurement as defined in ASC 820, “Fair Value Measurement.” The fair value determined under this approach is a function of (i) future revenues expected to be generated by these assets and the profitability of the assets, (ii) identification of the contribution of other tangible and intangible assets to the cash flows generated by these asset to apply an appropriate capital charge against the cash flow, and (iii) a discount rate of 15.5% used to calculate the present value of the stream of anticipated cash flows. The fair value of the trademark intangible asset acquired was estimated by applying the income approach using the “relief-from-royalty” method. The value under the relief-from-royalty method is a function of (i) the concluded royalty rate of 0.75%, (ii) projected revenues generated by product sales under the asset being valued, and (iii) a discount rate of 15.5%. The fair value of the internally developed technology intangible asset acquired was estimated by applying the cost approach, which takes into consideration the internal development costs of the technology and a hypothetical developer’s profit margin to build the software, the opportunity costs the buyer avoids by not having to reproduce this asset and any duplicative or unproductive efforts, as well as functional obsolescence of the technology.

The purchased goodwill of $16.2 million, which is not deductible for tax purposes, represents the excess of the purchase price over the estimated fair value assigned to the tangible and identifiable intangible assets acquired and liabilities assumed from MTEX. The goodwill recognized under ASC 805 was attributable to the expected earnings potential of the business synergies which were expected to enhance and expand our overall product portfolio, opportunities in new and existing markets, and MTEX's assembled workforce. The carrying amount of the goodwill was allocated to the Product ID segment. In the fourth quarter of fiscal 2025, we recognized a $13.4 million impairment charge related to the MTEX goodwill. The valuation model was updated as of January 31, 2025 to incorporate the impact of the write-off of PP&E identified in the third quarter of the current year and resulted in the recognition of an additional $0.3 million impairment charge in the third quarter of the current year. Refer to Note 1, “Business and Basis of Presentation” under the section “Correction of Immaterial Error in Prior Period Financial Statements” for additional details.

During the first nine months of the current year, we incurred an additional $0.3 million of acquisition-related costs which were included in general and administrative expenses in our condensed consolidated statements of income for the nine months ended October 31, 2025. Total acquisition-related costs through October 31, 2025 were $1.5 million, including $1.2 million recognized in fiscal 2025.

The amounts of revenue and earnings before taxes attributable to MTEX and included in our consolidated statements of income (loss) for the three and nine months ended October 31, 2025 and November 2, 2024 were as follows:

	Three Months Ended							Nine Months Ended
(In thousands)	October 31, 2025				November 2, 2024			October 31, 2025				November 2, 2024
Revenue	$	1,328		(1)	$	1,738		$	3,442		(2)	$	2,506
Gross Profit (Loss)		(102	)			234			(506	)			166
Operating Expenses:
Selling Expenses		634				840			2,093				1,755
Research and Development Expenses		354				209			872				111
General and Administrative Expenses		299				272			716				783
Total Operating Expenses	$	1,287			$	1,321		$	3,681			$	2,649
Operating Loss		(1,389	)			(1,087	)		(4,187	)			(2,483	)
Other Income (Expense)		1,170				(193	)		2,864				(261	)
Earnings (Loss) before Taxes	$	(219	)		$	(1,280	)	$	(1,323	)		$	(2,744	)

(1) Includes $785,000 of MTEX revenue related to sales to third parties via intercompany sales at cost plus mark-up.

(2) Includes $1,663,000 of MTEX revenue related to sales to third parties via intercompany sales at cost plus mark-up.

MTEX no longer operates as an independent business, but rather our manufacturing operation in Portugal is treated as a cost center. The majority of MTEX sales are through intercompany operations. MTEX financial results are reported as part of the Product ID segment. Pro forma results as if the acquisition was closed on February 1, 2024 are not provided, as such amounts were difficult to determine and disclosure of such amounts was impractical.

Note 4 – Revenue Recognition

We derive revenue from (i) the sale of hardware, including digital color label printers and specialty OEM printing systems, portable data acquisition systems, and airborne printers and networking hardware used in the flight deck and cabin of military, commercial and business aircraft, (ii) the sale of related supplies required in the operation of the hardware, (iii) repairs and maintenance of hardware and (iv) service agreements.

Revenues disaggregated by primary geographic markets and major product types are as follows:

Primary geographical markets:

Three Months Ended

~~Nine Months Ended~~

(In thousands)

~~October~~April 3130, ~~2025~~2026

~~November 2, 2024~~

April 30, 2025

~~October 31, 2025~~

~~November 2, 2024~~

United States

24,~~057~~078

(1)

~~23,493~~$

22,671

~~68,668~~

~~66,834~~

Europe

910,~~415~~208

~~10,330~~

9,886

~~28,965~~

~~29,522~~

Canada

21,~~086~~559

~~2,118~~

1,506

~~5,380~~

~~6,617~~

Asia

21,~~048~~685

~~2,601~~

1,960

~~5,343~~

~~5,867~~

Central and South America

1,~~285~~307

~~1,454~~

1,343

~~3,645~~

~~3,988~~

Other

~~278~~527

~~426~~

342

~~978~~

~~1,094~~

Total Revenue

39,~~169~~364

~~40,422~~$

37,708

~~112,979~~

~~113,922~~

(1)

Includes $707,000 of revenue for tariff-related pass-through charges to customers.

Major product types:

Three Months Ended

~~Nine Months Ended~~

(In thousands)

~~October~~April 3130, ~~2025~~2026

~~November 2, 2024~~

April 30, 2025

~~October 31, 2025~~

~~November 2, 2024~~

Hardware

1213,~~717~~775

~~11,622~~$

11,295

~~34,948~~

~~32,856~~

Supplies

2019,~~573~~848

~~20,908~~

21,080

~~61,148~~

~~61,885~~

Service and Other

5,~~879~~741

(1)

~~7,892~~

5,333

~~16,883~~

~~19,181~~

Total Revenue

39,~~169~~364

~~40,422~~$

37,708

~~112,979~~

~~113,922~~

(1)

Includes $707,000 of revenue for tariff-related pass-through charges to customers.

Contract Assets and Liabilities

We normally do not have contract assets, which are primarily unbilled accounts receivable that are conditional on something other than the passage of time.

Our contract liabilities, which represent billings in excess of revenue recognized, are primarily related to advanced billings for purchased service agreements and extended warranties. Contract liabilities were $489,000 and $543,000 at October 31, 2025 and January 31, 2025, respectively, and are recorded as deferred revenue in the accompanying condensed consolidated balance sheet. The decrease in the deferred revenue balance during the nine months ended October 31, 2025 is due to revenue recognized during the current period, including $482,000 of revenue recognized that was included in the deferred revenue balance at January 31, 2025, in excess of cash payments received in advance of satisfying performance obligation. 8

InOur ~~March~~contract ~~2025~~liabilities, wewhich ~~entered~~represent ~~into~~billings anin ~~agreement~~excess ~~with~~of arevenue ~~customer~~recognized, toare ~~support~~primarily ~~the~~related ~~production~~to ~~ramp-up~~advanced billings for ~~one~~purchased ofservice ~~our~~agreements ~~Aerospace~~and ~~product~~extended ~~lines~~warranties. ~~Under~~Contract ~~the~~liabilities ~~terms~~were of$393,000 ~~the~~and ~~agreement~~$489,000 ~~the~~at ~~customer~~April ~~made~~30, an2026 ~~advance~~and ~~payment~~January of31, ~~$1.1~~2026, ~~million~~respectively, ~~representing~~and ~~50%~~are ofrecorded ~~the~~as ~~contractual~~deferred ~~unit~~revenue ~~selling~~in ~~price for~~ the ~~units~~accompanying ~~delivered~~condensed ~~beginning~~consolidated inbalance ~~June 2025~~sheets. ~~This~~The ~~advance~~decrease ~~payment~~in ~~was~~the ~~recorded as~~ deferred revenue ~~and~~balance ~~will~~during bethe ~~recognized~~three asmonths ~~revenue~~ended ~~upon~~April ~~delivery~~30, of2026 ~~the~~is ~~related~~due ~~units.~~to Werevenue ~~have~~ recognized aduring ~~total~~the ofcurrent ~~$0.5~~period, ~~million~~including in$219,000 of revenue ~~related~~recognized tothat ~~this~~was ~~transaction~~included ~~for~~in the ~~nine~~deferred ~~months~~revenue ~~ended~~balance ~~October~~at January 31, ~~2025~~2026, ~~and~~in ~~$0.4~~excess ~~million~~of ~~continues~~cash topayments ~~remain~~received in ~~deferred~~advance ~~revenue~~of insatisfying ~~our~~performance ~~condensed consolidated balance sheet at October 31, 2025~~obligation.

Contract Costs

We recognize an asset for the incremental costs of obtaining a contract with a customer if we expect the benefit of those costs to be longer than one year. We have determined that certain costs related to obtaining sales contracts for our aerospace printer products meet the requirement to be capitalized. These costs are deferred and amortized over the remaining useful life of these contracts, which we currently estimate to be approximately 1615 years as of ~~October~~April 3130, ~~2025~~2026. We also recognize an asset for the costs to fulfill a contract with a customer if the costs are specifically identifiable, generate or enhance resources used to satisfy future performance obligations, and are expected to be recovered. The balance of these contract assets at January 31, ~~2025~~2026 was $1.54 million. ~~During~~We ~~the~~amortized ~~three~~contract ~~and~~costs ~~nine~~of ~~months~~$23,000, ~~ended~~during ~~October~~each ~~31,~~of ~~2025,~~the wethree ~~amortized~~months ~~contract~~ended ~~costs~~April ~~of $23~~30,~~000~~ 2026 and ~~$70,000, respectively~~2025. The balance of deferred incremental direct costs net of accumulated amortization at ~~October~~April 3130, ~~2025~~2026 was $1.4 million, of which $0.1 million is reported in other current assets, and $1.3 million is reported in other assets in the accompanying condensed consolidated balance sheet.

Note 54 – Net Income (Loss) Per Common Share

Basic net income (loss) per share is calculated by dividing net income (loss) by the weighted average number of shares outstanding during the period. Diluted net income (loss) per share is calculated by dividing net income (loss) by the weighted average number of shares and, if dilutive, common equivalent shares, determined using the treasury stock method for stock options, restricted stock awards and restricted stock units outstanding during the period. A reconciliation of the shares used in calculating basic and diluted net income (loss) per share is as follows:

Three Months Ended

~~Nine Months Ended~~

October 31, 2025

November 2, 2024

October 31, 2025

November 2, 2024

April 30, 2026

April 30, 2025

Weighted Average Common Shares Outstanding – Basic

7,~~632~~677,~~714~~974

7,~~524~~559,~~468~~704

~~7,601,240~~

~~7,500,844~~

Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units

6596,~~783~~341

~~55,415~~—

(1)

—

~~(1)~~

~~103,927~~

Weighted Average Common Shares Outstanding – Diluted

7,~~698~~774,~~497~~315

7,~~579~~559,~~883~~704

~~7,601,240~~

~~7,604,771~~

(1) For the ~~nine~~three months ended ~~October~~April 3130, 2025 we had weighted average common stock equivalent shares outstanding of 5467,~~522~~066 that could potentially dilute earnings per share in future periods. These shares were excluded from the computation of diluted earnings per share because their effect would have been anti-dilutive given the net loss during the period.

For the three ~~and nine~~ months ended ~~October~~April 3130, ~~2025,~~2026 ~~the diluted per share amounts do not reflect weighted average common equivalent shares outstanding of 617,686~~ and ~~486~~2025,~~875,~~ ~~respectively. For~~ the ~~three and nine months ended November 2, 2024, the~~ diluted per share amounts do not reflect weighted average common equivalent shares outstanding of ~~312~~303,~~819~~873 and ~~232~~451,~~748~~199, respectively. These outstanding common equivalent shares were not included due to their anti-dilutive effect.

129

Note 65 – Intangible Assets

Intangible assets are as follows:

	October 31, 2025												January 31, 2025
	April 30, 2026						January 31, 2026
(In thousands)	GrossCarryingAmount		AccumulatedAmortization	~~AccumulatedAmortization~~CurrencyTranslationAdjustment		NetCarryingAmount	~~CurrencyTranslationAdjustment~~GrossCarryingAmount		AccumulatedAmortization	~~NetCarryingAmount~~CurrencyTranslationAdjustment		NetCarryingAmount	~~GrossCarryingAmount~~		~~AccumulatedAmortization~~			~~CurrencyTranslationAdjustment~~			~~NetCarryingAmount~~
RITEC:
Customer Contract Relationships	$2,830	~~2,830~~	$(1,838)	$—	~~(1,805~~	)$992	$2,830	—	$(1,821)	$—	~~1,025~~	$1,009	$	~~2,830~~	$	~~(1,755~~	)	$	—		$	~~1,075~~
TrojanLabel:
Distributor Relations	937		(899)	38	~~(849~~	)76	937	36	(874)	39	~~124~~	102	~~937~~			~~(774~~	)		16			~~179~~
Honeywell:
Customer Contract Relationships	27,773	~~27,773~~	(14,745)	—	~~(14,311~~	)13,028	27,773	—	(14,528)	—	~~13,462~~	13,245		~~27,773~~		~~(13,661~~	)		—			~~14,112~~
Astro Machine:
Customer Contract Relationships	3,060	~~3,060~~	(2,295)	—	~~(1,989~~	)765	3,060	—	(2,142)	—	~~1,071~~	918		~~3,060~~		~~(1,530~~	)		—			~~1,530~~
Trademarks	420		(315)	—	~~(273~~	)105	420	—	(294)	—	~~147~~	126	~~420~~			~~(210~~	)		—			~~210~~
MTEX:
Customer Contract Relationships	2,603	~~2,603~~	(538)	181	~~(398~~	)2,246	2,603	~~151~~	(468)	211	~~2,356~~	2,346		~~2,603~~		~~(194~~	)		~~(104~~	)		~~2,305~~
Internally Developed Technology	4,719	~~4,719~~	(1,625)	300	~~(1,202~~	)3,394	4,719	~~252~~	(1,413)	345	~~3,769~~	3,651		~~4,719~~		~~(586~~	)		~~(181~~	)		~~3,952~~
Trademarks	217	~~217~~	(149)	10	~~(110~~	)78	217	9	(130)	12	~~116~~	99		~~217~~		~~(54~~	)		(7	)		~~156~~
Intangible Assets, net	$42,559	~~42,559~~	$(22,404)	$529	~~(20,937~~	)$20,684	$42,559	~~448~~	$(21,670)	$607	~~22,070~~	$21,496	$	~~42,559~~	$	~~(18,764~~	)	$	~~(276~~	)	$	~~23,519~~

There were no impairments to our finite-lived intangible assets during the ~~nine~~three months ended ~~October~~April 3130, ~~2025~~2026 or ~~November 2, 2024~~2025.

With respect to the acquired intangible assets included in the table above, amortization expense of $0.7 million has been included in the condensed consolidated statements of income (loss) for ~~both~~each of the three months ended ~~October~~April 3130, ~~2025~~2026 and November 2, 2024. Amortization expense of $2.2 million and $1.9 million related to the above-acquired intangible assets has been included in the accompanying condensed consolidated statements of income (loss) for the nine months ended October 31, 2025 ~~and November 2, 2024, respectively~~.

Estimated amortization expense for the next five fiscal years is as follows:

(In thousands)

~~Remaining2026~~Remaining2027

~~2027~~2028

~~2028~~2029

~~2029~~2030

~~2030~~2031

Estimated amortization expense

~~724~~2,200

2,~~897~~428

2,~~393~~061

2,~~026~~061

21,~~026~~425

Note 76 – Inventories

Inventories are stated at the lower of cost (standard and average methods) or net realizable value and include material, labor and manufacturing overhead. The components of inventories are as follows:

(In thousands)	~~October~~April 3130, ~~2025~~2026			January 31, ~~2025~~2026
Materials and Supplies	$	31,~~432~~466		$	3529,~~181~~929
Work-In-Process		21,~~376~~647			2,~~559~~549
Finished Goods		2119,~~624~~575			19,~~879~~493
		55,432			57,619
		52,688			51,971
Inventory Reserve		(108,~~308~~762	)		(98,~~725~~719	)
	$	4543,~~124~~926		$	4743,~~894~~252

1310

Note 87 – Property, Plant and Equipment

Property, plant and equipment consist of the following:

(In thousands)	~~October~~April 3130, ~~2025~~2026			January 31, 2025*2026
Land and Land Improvements	$	2,~~304~~324		$	2,~~304~~324
Buildings and Leasehold Improvements		15,~~350~~272			15,~~224~~278
Machinery and Equipment		2814,~~942~~852			2614,~~547~~916
Computer Equipment and Software		147,~~587~~916			147,~~538~~882
Gross Property, Plant and Equipment		6140,~~183~~364			5840,~~613~~400
Accumulated Depreciation		(4626,~~474~~718	)		(4226,~~820~~272	)
Net Property Plant and Equipment	$	1413,~~709~~646		$	1514,~~793~~128

*Depreciation ~~The~~expense ~~prior~~on ~~year balance sheet has been restated to reflect the write-off of Euro 1.8 million (approximately $1.8 million as of January 31, 2025) in net book value of~~ property, plant and equipment ~~that~~ was ~~included in the MTEX opening balance sheet~~$0.4 ~~Refer~~million ~~to Note 1, “Business~~ and ~~Basis~~$0.6 ofmillion ~~Presentation”~~for ~~under~~ the ~~section~~three ~~“Correction~~months ofended ~~Immaterial~~April ~~Error~~30, in2026 ~~Prior~~and ~~Period~~2025, ~~Financial Statements” for additional details~~respectively.

~~Depreciation~~Note ~~expense~~8 on– ~~property,~~Credit ~~plant~~Agreement and ~~equipment~~Debt was $0.2 million and $1.4 million for the three and nine months ended October 31, 2025, respectively. Depreciation expense on property, plant and equipment was $0.6 million and $1.6 million for the three and nine months ended November 2, 2024, respectively. Facilities

Note 9 – Credit Agreement and Long-Term Debt

On October 31, 2025, we entered into a Sixth Amendment to Amended and Restated Credit Agreement (the “Amendment”) with Bank of America, N.A., as lender (the “Lender”). The Amendment amended and otherwise modified the Amended and Restated Credit Agreement dated as of July 30, 2020, as previously amended and otherwise modified, including, but not limited to, by the Fifth Amendment to Amended and Restated Credit Agreement and Waiver Agreement dated as of September 8, 2025 (such Amended and Restated Credit Agreement, as so previously amended and otherwise modified, the “Existing Credit Agreement”; the Existing Credit Agreement, as amended and otherwise modified by the Amendment, the “Amended Credit Agreement”), among the Company as borrower, Astro Machine Corporation (“Astro Machine”) as guarantor, and the Lender.

The Amended Credit Agreement provides for, among other modifications of the Existing Credit Agreement, (i) an increase in the aggregate principal amount of the revolving credit facility commitment thereunder from $25,000,000 to $27,500,000 until July 31, 2026, after which the aggregate principal amount of the revolving credit facility will reduce to $25,000,000; (ii) an extension of the maturity date of the revolving credit facility thereunder from August 4, 2027 to August 4, 2028; and (iii) the refinancing of the existing term loans under the Existing Credit Agreement into a new term loan in the principal amount of $10,000,000 (the “Term Loan”) and a new term A-2 loan in the principal amount of $9,720,000 (the “Term A-2 Loan”). At the closing of the Amendment, we borrowed the entire $10,000,000 Term Loan, the entire $9,720,000 Term A-2 Loan and an additional $1,500,000 under the revolving credit facility. The proceeds of such borrowings were used primarily to repay and refinance in full the existing term loans under the Existing Credit Agreement and to pay certain related transaction costs. The revolving credit facility may otherwise be used for general corporate purposes.

Under the Amended Credit Agreement, revolving credit loans may continue to be borrowed, at the Company’s option, in U.S. Dollars or, subject to certain conditions, Euros, British Pounds, Canadian Dollars or Danish Kroner.

The Amended Credit Agreement requires that the Term Loan be paid in quarterly installments on the last day of each fiscal quarter of the Company (commencing with the fiscal quarter ending January 31, 2026) through July 31, 2028, in the principal amount of $500,000 each, and the entire then-remaining principal balance of the Term Loan is required to be paid on August 4, 2028. The Amended Credit Agreement requires that the Term A-2 Loan be paid in monthly installments on the last day of each calendar month of the Company (commencing with November 2025) through July 31, 2035, in the principal amount of $40,500 each, and the entire then-remaining principal balance of the Term A-2 Loan is required to be paid on August 4, 2035. We may voluntarily prepay the Term Loan or the Term A-2 Loan, in whole or in part, from time to time without premium or penalty (other than customary breakage costs, if applicable). We may repay borrowings under the revolving credit facility at any time without premium or penalty (other than customary breakage costs, if applicable), but in any event no later than August 4, 2028, and any outstanding revolving loans thereunder will be due and payable in full, and the ~~remainder of the~~ revolving credit facility will terminate, on such date. We may reduce or terminate the revolving credit facility at any time, subject to certain thresholds and conditions, without premium or penalty.

As under the Existing Credit Agreement, the loans under the Amended Credit Agreement are subject to certain mandatory prepayments, subject to various exceptions, from (a) net cash proceeds from certain dispositions of property, (b) net cash proceeds from certain issuances of equity, (c) net cash proceeds from certain issuances of additional debt and (d) net cash proceeds from certain extraordinary receipts. If the revolving credit facility commitment is terminated in full for any reason (whether by scheduled maturity, required prepayment, acceleration, demand, optional termination, or otherwise), we are required to prepay the Term A-2 Loan in full concurrently with such termination.

extraordinary receipts. If the revolving credit facility commitment is terminated in full for any reason (whether by scheduled maturity, required prepayment, acceleration, demand, optional termination, or otherwise), we are required to prepay the Term A-2 Loan in full concurrently with such termination.

Amounts repaid under the revolving credit facility may be reborrowed, subject to continued compliance with the Amended Credit Agreement. No amount of the Term Loan or the Term A-2 Loan that is repaid may be reborrowed.

The Term Loan, the Term A-2 Loan and revolving credit loans bear interest at a rate per annum equal to, at our option, (a) the Term SOFR rate as defined in the Amended Credit Agreement (or, in the case of revolving credit loans denominated in Euros or another currency other than U.S. Dollars, the applicable quoted rate), plus a margin that varies within a range of 1.60% to 3.25% based on our consolidated leverage ratio, (b) the Daily Floating Term SOFR rate as defined in the Amended Credit Agreement (or, in the case of revolving credit loans denominated in Euros or another currency other than U.S. Dollars, the applicable quoted rate), plus a margin that varies within a range of 1.60% to 3.25% based on our consolidated leverage ratio or (c) a fluctuating reference rate equal to the highest of (i) the federal fund rate plus 0.50%, (ii) Bank of America’s publicly announced prime rate, (iii) the Term SOFR Rate plus 1.00%, or (iv) 0.50%, plus a margin that varies within a range of 0.60% to 2.25% based on our consolidated leverage ratio. In addition to certain other fees and expenses that are required to be paid by us to the Lender, we are required to pay a commitment fee on the undrawn portion of the revolving credit facility that varies within a range of 0.15% and 0.40% based on our consolidated leverage ratio. 11

WeThe ~~must~~Term ~~comply~~Loan, ~~with~~the ~~various~~Term ~~customary~~A-2 ~~financial~~Loan and ~~non-financial~~revolving ~~covenants~~credit ~~under~~loans ~~the~~bear ~~Amended~~interest ~~Credit~~at ~~Agreement,~~a ~~certain~~rate ~~provisions~~per ofannum ~~which~~equal ~~covenants~~to ~~were modified by~~ the ~~Amendment.~~Term ~~The~~SOFR ~~financial~~rate ~~covenants~~as ~~under~~defined in the Amended Credit Agreement ~~consist~~(or, ofin ~~a maximum consolidated leverage ratio that is tested on~~ the ~~last~~case ~~day~~ of ~~each~~revolving ~~fiscal~~credit ~~quarter~~loans ofdenominated ~~the~~in ~~Company~~Euros ~~and~~or aanother ~~minimum~~currency ~~consolidated~~other ~~fixed~~than ~~charge~~U.S. ~~coverage~~Dollars, ~~ratio that is tested on~~ the applicable ~~last~~relevant ~~day~~rate ofper ~~each fiscal quarter of~~ the ~~Company;~~Amended ~~the minimum consolidated interim fixed charge coverage ratio under the Existing~~ Credit Agreement), ~~was~~plus ~~eliminated~~a bymargin ~~the~~that ~~Amendment.~~varies ~~The~~within ~~primary~~a ~~non-financial~~range ~~covenants~~of ~~limit~~1.60% ~~our and our subsidiaries’ ability~~ to ~~incur~~3.25% ~~future~~based ~~indebtedness, to place liens~~ on ~~assets, to pay dividends or distributions on~~ our orconsolidated ~~their~~leverage ~~capital~~ratio. ~~stock,~~In addition to ~~repurchase~~certain orother ~~acquire~~fees ~~our~~and orexpenses ~~their~~that ~~capital~~are ~~stock,~~required to ~~conduct~~be ~~mergers~~paid orby ~~acquisitions,~~us to ~~sell~~the ~~assets~~Lender, towe ~~alter~~are ~~our~~required ~~or their capital structure,~~ to ~~make~~pay ~~investments~~a ~~and~~commitment ~~loans,~~fee toon ~~change~~ the ~~nature~~undrawn portion of ~~our~~the orrevolving ~~their~~credit ~~business,~~facility ~~and~~that tovaries ~~prepay~~within ~~subordinated~~a ~~indebtedness,~~range inof ~~each~~0.15% ~~case subject to certain exceptions~~ and ~~thresholds as set forth in the Amended Credit Agreement~~0.40% Asbased ofon ~~October 31, 2025, we believe we are in compliance with all of~~ our ~~covenants~~consolidated inleverage ~~the Amended Credit Agreement~~ratio.

We must comply with various customary financial and non-financial covenants under the Amended Credit Agreement, certain provisions of which covenants were modified by the Amendment. The financial covenants under the Amended Credit Agreement consist of a maximum consolidated leverage ratio that is tested on the last day of each fiscal quarter of the Company and a minimum consolidated fixed charge coverage ratio that is tested on the last day of each fiscal quarter of the Company; the minimum consolidated interim fixed charge coverage ratio under the Existing Credit Agreement was eliminated by the Amendment. The primary non-financial covenants limit our and our subsidiaries’ ability to incur future indebtedness, to place liens on assets, to pay dividends or distributions on our or their capital stock, to repurchase or acquire our or their capital stock, to conduct mergers or acquisitions, to sell assets, to alter our or their capital structure, to make investments and loans, to change the nature of our or their business, and to prepay subordinated indebtedness, in each case subject to certain exceptions and thresholds as set forth in the Amended Credit Agreement. As of April 30, 2026, we believe we are in compliance with all of our covenants in the Amended Credit Agreement.

The Lender is entitled to accelerate repayment of the loans and to terminate its revolving credit commitment under the Amended Credit Agreement upon the occurrence of any of various customary events of default, which include, among other events, the following (which are subject, in some cases, to certain grace periods): failure to pay when due any principal, interest or other amounts in respect of the loans, breach of any of our covenants or representations under the loan documents, default under any other of our or our subsidiaries’ significant indebtedness agreements, a bankruptcy, insolvency or similar event with respect to us or any of our subsidiaries, a significant unsatisfied judgment against us or any of our subsidiaries, or a change of control with respect to us.

Our obligations under the Amended Credit Agreement continue to be secured by substantially all of the personal property assets of the Company (including a pledge of the equity interests held by the Company in its subsidiaries ANI ApS, AstroNova GmbH, AstroNova SAS and AstroNova Portugal, Unipessoal, Lda), subject to certain exceptions, and are guaranteed by, and secured by substantially all of the personal property assets of, Astro Machine. Our obligations under the Amended Credit Agreement also continue to be secured by a mortgage on the Company’s owned real property in West Warwick, Rhode Island, and are also secured by a mortgage on Astro Machine’s owned real property in Elk Grove Village, Illinois, which mortgage was entered into in connection with the closing of the Amendment.

Equipment Financing

In January 2024, we entered into a secured equipment loan facility agreement with Banc of America Leasing & Capital, LLC and borrowed a principal amount of $0.8 million thereunder for the purpose of financing our purchase of production equipment. This loan matures on January 23, 2029 and bears interest at a fixed rate of 7.06%. Under this loan agreement, equal monthly payments including principal and interest of $16,296 commenced on February 23, 2024, and will continue through the maturity of the equipment loan facility on January 23, 2029.

Assumed Financing Obligations of MTEX

In connection with ~~our acquisition of MTEX, on~~ the our May 6, 2024 ~~closing~~acquisition ~~date~~ of ~~this~~MTEX, ~~acquisition~~ we assumed certain ~~existing~~ financing obligations ~~of MTEX~~ that ~~remain~~remainoutstanding ~~outstanding~~ as of ~~October~~April 3130, ~~2025~~2026. ~~The~~These ~~long-term debt~~ obligations ~~of MTEX that remain outstanding~~ include a term loan (the “MTEX Term Loan”) ~~pursuant~~persuant to an agreement dated December 22, 2023 ~~(the “MTEX Term Loan Agreement”)~~ between MTEX and Caixa Central de Crédito ~~Agricola~~Agrícola ~~Mutuo~~Mútuo. ~~The current remaining balance for the MTEX Term Loan as of October 31, 2025, is EUR 1.4 million ($1.6 million). The MTEX Term Loan bears interest at a rate per annum equal to the~~

15As of April 30, 2026, the MTEX Term Loan had an outstanding balance of €1.3 million ($1.5 million). The loan bears interest at the 12-month EURIBOR plus 2% and requires monthly principal and interest payments of approximately €17,000 ($20,000). The loan is scheduled to be repaid in full in May 2026.

~~EURIBOR~~MTEX 12also has interest-~~month~~free ~~rate~~loans ~~plus~~from aPortuguese 2%government ~~margin~~agencies ~~and~~(the ~~requires~~“MTEX ~~monthly~~Government ~~principal~~Grant ~~and~~Term ~~interest~~Loans”), ~~payments~~which are required to be repaid. As of ~~approximately~~April ~~EUR~~30, 172026,~~000~~ the outstanding balance of the MTEX Government Grant Term Loans was €0.1 million ($~~20,000~~0.1 million), ~~commencing~~substantially inall ~~October~~of ~~2024~~which is classified as short-term debt. These loans remain interest-free provided scheduled principal payments are made. If payment terms are renegotiated, interest is applied at a rate established by the applicable government agency at the renegotiation date and ~~continuing~~added ~~through~~to the outstanding balance. The loans have varying maturity ondates ~~December~~through ~~21,~~January ~~2033~~2027.

MTEX has also received government assistance in the form of interest-free loans from government agencies located in Portugal (the “MTEX Government Grant Term Loans”). The MTEX Government Grant Term Loans are to be repaid to the applicable government agencies. The balance of the MTEX Government Grant Term Loans as of October 31, 2025 is EUR 0.3 million ($0.4 million), of which EUR 0.2 million ($0.3 million) is classified as short-term debt and the remainder as long-term debt in the condensed consolidated balance sheet as of October 31, 2025. The MTEX Government Grant Term Loans provide interest-free financing so long as monthly principal payments are made. In the event that MTEX and the applicable government agency renegotiate the payment dates, interest will be calculated according to a rate determined by the government agency as of the date of renegotiation and added to the outstanding principal payments. The MTEX Government Grant Term Loans mature at different dates through January 2027.12

Additionally, we assumed short-term financing obligations of MTEX including letters of credit, maturing term loans, and financing arrangements for working capital classified as debt. As of October 31, 2025, all of these short-termed obligations assumed have been paid and none remain outstanding.

Summary of Outstanding Debt

Revolving Credit Facility

At ~~October~~April 3130, ~~2025~~202, we had an outstanding balance of $1715.90 million under our revolving credit facility under the Amended Credit Agreement. The balance outstanding under the revolving credit facility bore interest at a weighted average rate of 76.0363% and 7.1011%, respectively, for the three ~~and nine~~ months ended ~~October~~April 3130, 2026 and 2025, and we incurred $0.32 million and $10.14 million, respectively, for interest on this obligation during the three ~~and nine~~ months ended ~~October~~April 3130, ~~2025.~~2026 ~~Additionally, during the three~~ and ~~nine months ended October 31,~~ 2025~~, we incurred $6,000 and $18,000, respectively, of commitment fees on the undrawn portion of our revolving credit facility~~. ~~During the three and nine months ended November 2~~Additionally, 2024, the balance outstanding under the revolving credit facility bore interest at a weighted average annual rate of 7.30% and 8.38%, and we incurred $327,000 and $713,000 for interest on this obligation, during the three ~~and nine~~ months ended ~~November~~April 230, ~~2024,~~2026 ~~respectively. Additionally, during the three~~ and ~~nine months ended November 2~~2025, ~~2024,~~ we incurred $911,000 and $348,000, respectively, of commitment fees on the undrawn portion of our revolving credit facility. ~~Both the interest expense and commitment fees are included as interest expense in the accompanying condensed consolidated statements of income (loss) for all periods presented.~~ At ~~October~~April 3130, ~~2025~~2026, $912.65 million remained available for borrowing under our revolving credit facility under the Amended Credit Agreement. Additionally, our MTEX business has a ~~EUR~~ €0.5 million ($0.6 million) available line of credit with Caixa Central de Crédito Agricola Mutuo. ~~This~~which ~~credit line~~ was established in December 2023 ~~and is renewable every six months~~. There was ~~EUR~~ €0.23 million ($0.34 million) outstanding on this line of credit at ~~October~~April 3130, ~~2025~~2026. This line of credit will terminate in June 2026.

Long-Term Debt

Long-term debt in the accompanying condensed consolidated balance sheets is as follows:

(In thousands)	~~October~~April 3130, ~~2025~~2026		January 31, ~~2025~~2026
USD Term Loan (7.12% as of October 31, 2025); maturity date August 4, 2028	$	10,000	$	—
USD Term Loan (7.002% as of April 30, 2026 and 7.024% as of January 31, 2026); maturity date August 4, 2028	$	9,000	$	9,500
A-2 Term Loan USD (7.12% as of October 31, 2025); maturity date August 4, 2035		9,720		—
USD Term A-2 Loan (7.002% as of April 30, 2026 and 7.024% as of January 31, 2026); maturity date August 4, 2035		9,477		9,599
USD Term Loan (6.90% as of January 31, 2025); cancelled October 31, 2025		—		9,450
MTEX Euro Term Loan (4.848% as of April 30, 2026 and 4.226% as of January 31, 2026); maturity date of December 21, 2033		1,506		1,567
Euro Term Loan (5.38% as of January 31, 2025); cancelled October 31, 2025		—		12,719
MTEX Euro Government Grant Term Loan (0% as of April 30, 2026 and January 31, 2026); maturity dates through January 2027		134		243
MTEX Euro Term Loan (4.20% as of October 31, 2025 and 4.52% as of January 31, 2025); maturity date of December 21, 2033		1,568		1,514
Equipment Loan (7.06% Fixed Rate); maturity date of January 23, 2029		487		527
MTEX Euro Government Grant Term Loan (0% as of October 31, 2025 and January 31, 2025); maturity dates through January 2027		394		876
Total Debt	$	20,604	$	21,436
Equipment Loan (7.06% Fixed Rate); maturity date of January 23, 2029		566		680
Less: Debt Issuance Costs, net of accumulated amortization		98		108
Total Debt	$	22,248	$	25,239
Current Portion of Debt		4,272		3,033
Less: Debt Issuance Costs, net of accumulated amortization		118		85
Long-Term Debt	$	16,234	$	18,295
Current Portion of Debt		3,152		6,110
Long-Term Debt	$	18,978	$	19,044

During the ~~three~~each ~~and nine months ended October 31, 2025, we recognized interest expense on term debt~~ of ~~$0.3 million and $1.1 million, respectively, and during~~ the three ~~and nine~~ months ended ~~November~~April 230, ~~2024~~2026 and 2025, we recognized interest expense on term debt of $0.54 million ~~and $1.2 million~~, ~~respectively,~~ which is recognized in the accompanying condensed consolidated statements of income (loss) ~~for all periods presented~~.

16The schedule of required principal payments remaining during the next five years on long-term debt outstanding as of April 30, 2026 is as follows:

The schedule of required principal payments remaining during the next five years on long-term debt outstanding as of October 31, 2025 is as follows:


(In thousands)
Fiscal 2027, remainder	$	3,598
Fiscal 2028		2,692
Fiscal 2029		6,174
Fiscal 2030		486
Fiscal 2031		486
Thereafter		7,168
	$	20,604

(In thousands)
Fiscal 2026, remainder	$	857
Fiscal 2027		3,023
Fiscal 2028		8,365
Fiscal 2029		855
Fiscal 2030 and thereafter		9,148
	$	22,248

Note 9 – Financial Instruments and Risk Management

~~Note~~We 10use –foreign ~~Financial~~currency-denominated ~~Instruments~~debt to partially hedge our net investment in our operations in Europe against adverse movements in exchange rates. A portion of the Euro-denominated debt is currently designated and ~~Risk~~is ~~Management~~effective as an economic hedge of part of our net investment in our German operation..

We use foreign currency-denominated debt to partially hedge our net investment in our operations in Europe against adverse movements in exchange rates. Commencing on August 3, 2024, a portion of the Euro-denominated debt was designated and effective as an economic hedge of part of the net investment in our Portuguese operation. On January 31, 2025, we assessed the effectiveness of this net investment hedge and determined that it was no longer highly effective~~. To address this situation~~, ~~effective~~and ~~January 31~~accordingly, ~~2025,~~future ~~the~~changes ~~Euro-denominated debt has been designated as an economic hedge of part of our net investment~~ in ~~our~~the ~~German~~carrying ~~operation~~value ~~to replace part~~ of ~~our~~this ~~net~~non-derivative ~~investment~~hedging ininstrument ~~our~~would ~~Portuguese~~have ~~operation. As a result, foreign currency transaction gains or losses due~~ to ~~spot~~be ~~rate~~recorded ~~fluctuations on the Euro-denominated debt are included~~ in ~~the~~“other ~~foreign~~expenses” ~~currency translation adjustments~~ in the ~~condensed~~ consolidated ~~statement~~statements of ~~comprehensive~~ income (loss). ~~for~~To ~~the~~address ~~three~~this ~~and nine months ended October 31~~situation, ~~2025, and within~~ the ~~accumulated~~Euro-denominated ~~other~~debt ~~comprehensive~~has ~~items~~been ~~in the shareholder’s equity section of the condensed consolidated balance sheet as of October 31, 2025 as follows:~~

	Amount of Foreign Currency Translation Gain (Loss) Recognized in Other Comprehensive Income (Loss) on Derivative
(In thousands)	Three Months Ended						Nine Months Ended
Financial Instruments Designated as Net Investment Hedge	October 31, 2025			November 2, 2024			October 31, 2025			November 2, 2024
Euro Denominated Debt	$	(112	)	$	(67	)	$	(589	)	$	(67	)

~~Note~~designated 11as –an ~~Royalty~~economic ~~Obligation~~hedge of part of our net investment in our German operation in place of part of our net investment in our Portuguese operation effective January 31, 2025.

InForeign ~~fiscal~~currency ~~2018,~~transaction wegains ~~entered~~or ~~into~~losses andue ~~Asset Purchase and License Agreement with Honeywell International, Inc. (“Honeywell”)~~ to ~~acquire~~spot anrate ~~exclusive,~~fluctuations ~~perpetual,~~on ~~world-wide~~the ~~license to manufacture Honeywell’s narrow~~Euro-~~format~~denominated ~~flight~~debt ~~deck~~are ~~printers~~included ~~for~~in ~~two~~the ~~aircraft~~foreign ~~families~~currency ~~along~~translation ~~with~~adjustments ~~certain inventory used~~ in the ~~manufacturing~~condensed ofconsolidated ~~the~~statements ~~licensed~~of ~~printers.~~comprehensive ~~The~~income ~~purchase~~for ~~price~~each ~~included~~of athe ~~guaranteed~~three ~~minimum~~months ~~royalty~~ended ~~payment~~April of30, ~~$15.0 million~~2026, ~~based~~and ~~on gross revenues from the sales of the printers~~2025, ~~paper~~ and ~~repair~~within ~~services of~~ the ~~licensed~~accumulated ~~products~~other tocomprehensive beitems ~~paid over a ten year period which ends~~ in ~~September~~the ~~2026.~~shareholders' ~~The~~equity ~~royalty~~section ~~rates~~of ~~vary based on~~ the ~~year~~condensed inconsolidated ~~which~~balance ~~they~~sheet ~~are~~as ~~paid~~of orApril ~~earned~~30, ~~the~~2026 ~~product~~as ~~sold~~follows: ~~or service provided and range from single-digit to mid-double-digit percentages of gross revenue.~~

The guaranteed minimum royalty payment obligation was recorded at the present value of the minimum annual royalty payments. As of October 31, 2025, we had paid an aggregate of $13.5 million of the guaranteed minimum royalty obligation. At October 31, 2025, the current portion of the outstanding guaranteed minimum royalty obligation of $1.4 million is to be paid over the next twelve months and is reported as a current liability on our condensed consolidated balance sheet. For the three and nine months ended October 31, 2025, we incurred $0.6 million and $1.7 million, respectively, in excess royalty expense which is included in cost of revenue in our consolidated statements of income (loss) for all periods presented. A total of $1.8 million in excess royalties was paid through the third quarter of the current fiscal year, and there are $0.6 million in excess royalty payables due as a result of this agreement for the quarter ended October 31, 2025.


	Amount of Foreign Currency Translation Gain (Loss) Recognized in Other Comprehensive Income (Loss) on Derivative
(In thousands)
Financial Instruments Designated as Net Investment Hedge	April 30, 2026			April 30, 2025
Euro Denominated Debt	$	(599	)	$	(472	)

InNote ~~fiscal~~10 ~~2023,~~– weRoyalty ~~entered~~Obligation into an Asset Purchase and License Agreement with Honeywell International Inc. (the “New HW Agreement”) to acquire an exclusive, perpetual, world-wide license to manufacture Honeywell’s flight deck printers for the Boeing 787 aircraft. The New HW Agreement provides for royalty payments to Honeywell based on gross revenues from the sales of the printers, paper and repair services of the licensed products in perpetuity. The royalty rates vary based on the year in which they are paid or earned and as products are sold or as services are provided and range from single-digit to mid-double-digit percentages of gross revenue. The New HW Agreement includes a provision for guaranteed minimum royalty payments to be paid in the event that the royalties earned by Honeywell do not meet the minimum for the preceding calendar year as follows: $100,000 in 2024, $200,000 in 2025, $233,000 in each of 2026 and 2027, and $234,000 in 2028.

17In fiscal 2018, we entered into an Asset Purchase and License Agreement with Honeywell International, Inc. (“Honeywell”) to acquire an exclusive, perpetual, world-wide license to manufacture Honeywell’s narrow-format flight deck printers for two aircraft families along with certain inventory used in the manufacturing of the licensed printers. The purchase price included a guaranteed minimum royalty payment of $15.0 million, based on gross revenues from the sales of the printers, paper and repair services of the licensed products to be paid over a ten-year period which ends in September 2026. The royalty rates vary based on the year in which they are paid or earned, and on the product sold or service provided. Royalty rates can range from single-digit to mid-double-digit percentages of gross revenue.

The guaranteed minimum royalty payment obligation was initially recorded at the present value of the minimum annual royalty payments. As of ~~October~~April 3130, ~~2025~~2026, ~~the~~we ~~total~~had ~~outstanding~~paid ~~royalty~~an ~~obligation~~aggregate ~~under~~of ~~the~~$14.0 ~~New~~million HWtoward ~~Agreement~~this ~~was~~obligation, with $0.53 million, ~~including~~having been paid in the current quarter. The remaining balance of $01.20 million ~~recorded~~is payable in full by September 2026 and is classified as a current liability inon ~~the~~our ~~accompanying~~ condensed consolidated balance sheet.

~~Note~~For 12the –three ~~Leases~~months ended April 30, 2026, we incurred $0.2 million of excess royalty expense, which is included in cost of revenue in our consolidated statements of income (loss). As of April 30, 2026, excess royalty payables totaling $0.2 million were outstanding under this agreement.

In fiscal 2023, we entered into an Asset Purchase and License Agreement with Honeywell International Inc. (the “New HW Agreement”) to acquire an exclusive, perpetual, world-wide license to manufacture Honeywell’s flight deck printers for the Boeing 787 aircraft. The New HW Agreement provides for royalty payments to Honeywell based on gross revenues from the sales of the printers, paper and repair services of the licensed products in perpetuity. The royalty rates vary based on the year in which they are paid or earned and as products are sold or as services are provided. The rates range from single-digit to mid-double-digit percentages of gross revenue. The New HW Agreement includes a provision for guaranteed minimum royalty payments to be paid in the event that the royalties earned by Honeywell do not meet the minimum for the preceding calendar year as follows: $100,000 in 2024, $200,000 in 2025, $233,000 in each of 2026 and 2027, and $234,000 in 2028.

As of April 30, 2026, the total outstanding royalty obligation under the New HW Agreement was $0.4 million, including $0.2 million recorded as a current liability in the accompanying condensed consolidated balance sheet.

Note 11 – Leases

We enter into lease contracts for certain of our facilities at various locations worldwide. Our leases have remaining lease terms of one to ten years, some of which include options to extend the lease term for periods of up to five years when it is reasonably certain that we will exercise such options.

Balance sheet and other information related to our leases are as follows:

Operating Leases (In thousands)	Balance Sheet Classification	~~October~~April 3130, ~~2025~~2026		January 31,~~2025~~2026
Lease Assets	Right of Use Assets	$	2,~~573~~307	$	12,~~781~~466
Lease Liabilities – Current	Other Accrued Expenses	$	~~552~~585	$	~~320~~584
Lease Liabilities – Long Term	Lease Liabilities	$	21,~~107~~784	$	1,~~535~~953

Lease cost information is as follows:

		Three MonthsEnded
Operating Leases (In thousands)	Statement of Income Classification	~~October~~April 3130,~~2025~~2026		~~November~~April 230,~~2024~~2025
Operating Lease Costs	General and Administrative Expense	$	~~180~~171	$	~~116~~158
		Nine Months Ended
Operating Leases (In thousands)	Statement of Income Classification	October 31,2025		November 2,2024
Operating Lease Costs	General and Administrative Expense	$	521	$	293

Maturities of operating lease liabilities are as follows:

(In thousands)	~~October~~April 3130,~~2025~~ 2026
Fiscal 2026, remaining	$	182
Fiscal 2027, remaining	$	534
Fiscal 2027		710
Fiscal 2028		629
Fiscal 2028		635
Fiscal 2029		445
Fiscal 2029		450
Fiscal 2030		361
Fiscal 2030		357
Fiscal 2031		253
Thereafter		~~844~~570
Total Lease Payments		32,~~178~~792
Less: Imputed Interest		(~~519~~423	)
Total Lease Liabilities	$	2,~~659~~369

As of ~~October~~April 3130, ~~2025~~2026, the weighted-average remaining lease term and weighted-average discount rate for our operating leases are 65.0 years and 6.1122%, respectively. We calculated the weighted-average discount rate using incremental borrowing rates, which equal the rates of interest that we would pay to borrow funds on a fully collateralized basis over a similar term.

1815

Supplemental cash flow information related to leases is as follows:

	Three MonthsEnded
(In thousands)	~~October~~April 3130,~~2025~~ 2026		~~November~~April 230,~~2024~~2025
Cash paid for operating lease liabilities	$	~~181~~176	$	81144
	Nine MonthsEnded
(In thousands)	October 31,2025		November 2,2024
Cash paid for operating lease liabilities	$	490	$	255

Note 1312 – Government Grants

Our MTEX operation receives grants from its local government in Portugal to support its operations and various capital projects. We account for these government grants by analogy to International Accounting Standards 20, “Accounting for Government Grants and Disclosure of Government Assistance”, which follows a grant accounting model. Under this accounting framework, government assistance is recognized when it is probable we will receive assistance and comply with the conditions attached to the assistance. Operational related assistance is recorded on a systematic basis over the periods in which the related costs or expenditures have occurred and is presented as a reduction in the expense for which it is intended to defray. Capital related assistance is recorded as long-term deferred revenue and is recognized in cost of revenue as an offset against depreciation expense over the applicable asset's useful life.

The grant programs have various execution periods, ~~some ended in May 2025 and others are~~ continuing through November 2026. The government agencies may verify compliance with the conditions established in the contracts during the investment phase and upon completion and are entitled to propose adjustments and require reimbursement if the contracts do not meet the specifications. Historically, no significant corrections or returns have occurred. As of ~~October~~April 3130, ~~2025~~2026, there are no known contingencies associated with the government grants.

The capital related government contracts between the Portuguese government and MTEX are defined on a grant-by-grant basis, with partial reimbursement of the assets acquired in connection with these grants. We have $10.39 million of short and long-term deferred revenue for capital related government grants which is included in the accompanying condensed consolidated balance sheet as of ~~October~~April 3130, ~~2025~~2026, and we have recognized $0.21 million of grant revenue which is included in cost of revenue as an offset to depreciation expense in the accompanying condensed consolidated statement of income (loss) for each of the ~~nine~~three months ended ~~October~~April, 312026 and April 30, 2025.

Under the operational related assistance grants, MTEX commits to research and development projects that the Portuguese government partially reimburses. We have recognized $0.31 million of grant revenue for our operational related assistance grants which is offset against the expenditures recognized for those grants and is included in selling and marketing expense in the accompanying condensed consolidated statement of income (loss) for the ~~nine~~three months ended ~~October~~April 3130, ~~2025~~2026.

Note 1413 – Accumulated Other Comprehensive Loss

The changes in the balance of accumulated other comprehensive loss by component are as follows:

(In thousands)	ForeignCurrencyTranslationAdjustments
Balance at January 31, 2025	$	(3,349	)
Balance at January 31, 2026	$	(1,798	)
Other Comprehensive Loss		1,082
Other Comprehensive Income (Loss) before reclassification		(366	)
Balance at October 31, 2025	$	(2,267	)
Balance at April 30, 2026	$	(2,164	)

The amounts presented above are net of taxes except for translation adjustments associated with our German, Danish and ~~Danish~~Chinese subsidiaries. The foreign cumulative translation adjustment includes translation adjustments and net investment hedges. See Note 109, “Financial Instruments and Risk Management” for additional disclosures about the net investment hedge.

Note 1514 – Share-Based Compensation

We have one equity incentive plan from which we are authorized to grant equity awards, the AstroNova, Inc. 2018 Equity Incentive Plan (the “2018 Plan”). The 2018 Plan provides for, among other things, the issuance of awards, including incentive stock options, non-qualified stock options, stock appreciation rights, time-based restricted stock units (“RSUs”), or performance-based restricted stock units (“PSUs”) and restricted stock awards (“RSAs”). The 2018 Plan authorizes the issuance of up to 1,550,000 shares of common stock, plus an additional number of shares equal to the number of shares subject to awards granted under our prior 2015 Equity Incentive Plan that are forfeited, canceled, satisfied without the issuance of stock, otherwise terminated (other than by exercise), or, for shares of stock issued pursuant to any unvested award, that are reacquired by us at not more than the grantee’s purchase price (other than by exercise). Under the 2018 Plan, all awards to employees generally have a minimum vesting period of

1916

options, non-qualified stock options, stock appreciation rights, time-based restricted stock units (“RSUs”), or performance-based restricted stock units (“PSUs”) and restricted stock awards (“RSAs”). The 2018 Plan authorizes the issuance of up to 1,550,000 shares of common stock, plus an additional number of shares equal to the number of shares subject to awards granted under our prior 2015 Equity Incentive Plan that are forfeited, canceled, satisfied without the issuance of stock, otherwise terminated (other than by exercise), or, for shares of stock issued pursuant to any unvested award, that are reacquired by us at not more than the grantee’s purchase price (other than by exercise). Under the 2018 Plan, all awards to employees generally have a minimum vesting period of one year. Options granted under the 2018 Plan must be issued at an exercise price of not less than the fair market value of our common stock on the date of grant and expire after ten years. Under the 2018 Plan, there were ~~475~~452,~~316~~361 unvested RSUs; ~~16,474~~103 unvested PSUs; and options to purchase an aggregate of 146,500 shares outstanding as of ~~October~~April 3130, ~~2025~~2026.

In addition to the 2018 Plan, we previously granted equity awards under our 2015 Equity Incentive Plan (the “2015 Plan”) and our 2007 Equity Incentive Plan (the “2007 Plan”). No new awards may be issued under either the 2007 Plan or 2015 Plan, but outstanding awards will continue to be governed by those plans. As of ~~July~~April 3130, ~~2025~~2026, options to purchase an aggregate of ~~117~~65,349 shares were outstanding under the 2007 Plan and options to purchase an aggregate of 5552,~~200~~000 shares were outstanding under the 2015 Plan.

We also have a Non-Employee Director Annual Compensation Program (the “Program”) under which each non-employee director receives an automatic grant of RSAs on the date of the regular full meeting of the Board of Directors held each fiscal quarter. Under the Program, the number of whole shares to be granted each quarter is equal to 25% of the number calculated by dividing the director’s annual compensation amount by the fair market value of our stock on such day. The director’s annual compensation amount for RSAs is $72,800. Beginning in the second quarter of fiscal 2026, the Board of Directors elected to receive their annual cash compensation entirely in stock, issued as RSAs based on the closing stock price at each quarterly meeting. The amount of annual cash compensation varies by director based on the positions held on the Board. All RSAs granted under the Program vest immediately.

Share-based compensation expense was recognized as follows:

	Three Months Ended					~~Nine Months Ended~~
(In thousands)	~~October~~April 3130,~~2025~~ 2026			~~November~~April 230,~~2024~~ 2025		~~October 31,2025~~		~~November 2,2024~~
Stock Options	$	92		$	—	$	127	$	—
Restricted Stock Awards and Restricted Stock Units		564			281
Restricted Stock Awards and Restricted Stock Units		568			344		1,270		1,133
Stock-Settled Performance Awards		(175	)		—
Stock-Settled Performance Awards		94			—		137		—
Employee Stock Purchase Plan		—			25
Employee Stock Purchase Plan		—			9		25		26
Total	$	389		$	306
Total	$	754		$	353	$	1,559	$	1,159

Stock Options

~~The~~Aggregated ~~fair~~information ~~value~~regarding of stock ~~options~~option ~~granted~~activity ~~during~~for the ~~nine~~three months ended ~~October~~April 3130, ~~2025~~2026, ~~was~~is ~~estimated~~summarized ~~using the following assumptions~~below:

Risk Free Rate			4.2	%
	Number ofOptions				Weighted AverageExercise Price
Expected Volatility			45.7	%
Outstanding at January 31, 2026		319,049			$	15.57
Expected Life (in years)			7.60
Granted		—				—
Exercised		(650	)			12.85
Forfeited		—				—
Cancelled		(54,550	)			15.10
Outstanding at April 30, 2026		263,849			$	15.68

~~The~~Below ~~weighted~~is ~~average~~a ~~fair~~summary ~~value~~of ~~per share for~~ options ~~granted~~outstanding ~~was~~at ~~$6.15~~April ~~during the three and nine month periods ended October 31~~30, ~~2025.~~2026: ~~There were no stock options granted in fiscal 2025.~~

Aggregated information regarding stock option activity for the nine months ended October 31, 2025, is summarized below:


Outstanding							Exercisable
Range of Exercise prices	Number of Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life		Number of Shares		Weighted- Average Exercise Price		Weighted- Average Remaining Contractual Life
$10.01-15.00		124,974	$	12.90		2.5		124,974	$	12.90		2.5
$15.01-20.00		138,875	$	18.18		1.2		138,875	$	18.18		1.2
		263,849	$	15.68		1.8		263,849	$	15.68		1.8

	Number ofOptions			Weighted AverageExercise Price
Outstanding at January 31, 2025		421,699		$	15.52
Granted		30,000			11.10
Exercised		—			—
Forfeited		—			—
Canceled		(132,650	)		14.40
Outstanding at October 31, 2025		319,049		$	15.57

There were no stock options granted during the first three months of fiscal 2026 or 2027, and as of April 30, 2026, there was no unrecognized compensation expense related to stock options.

2017

Below is a summary of options outstanding at October 31, 2025:

Outstanding							Exercisable
Range ofExercise prices	NumberofShares		Weighted-AverageExercisePrice		Weighted-AverageRemainingContractual Life		NumberofShares		Weighted-AverageExercisePrice		Weighted-AverageRemainingContractual Life
$10.01-15.00		127,974	$	12.92		3.0		117,974	$	13.07		2.4
$15.01-20.00		191,075	$	17.35		1.3		191,075	$	17.35		1.3
		319,049	$	15.57		2.0		309,049	$	15.72		1.8

As of October 31, 2025, there was approximately $32,000 of unrecognized compensation expense related to stock options which is expected to be recognized over a weighted average period of approximately 0.1 years.

Restricted Stock Units (RSUs), Performance-Based Stock Units (PSUs) and Restricted Stock Awards (RSAs)

Aggregated information regarding RSU, PSU and RSA activity for the ~~nine~~three months ended ~~October~~April 3130, ~~2025~~2026, is summarized below:

	RSUs, PSUs & RSAs			Weighted AverageGrant Date Fair Value
Outstanding at January 31, 2025		253,777		$	14.07
Outstanding at January 31, 2026		491,532		$	11.19
Granted		~~494~~61,~~773~~993			109.4772
Vested		(~~110~~78,~~807~~934	)		1210.5061
Forfeited		(~~145~~22,~~953~~127	)		1311.7664
Outstanding at October 31, 2025		491,790		$	11.19
Outstanding at April 30, 2026		452,464		$	11.06

As of ~~October~~April 3130, ~~2025~~2026, there was approximately $43.49 million of unrecognized compensation expense related to RSUs, PSUs and RSAs, which is expected to be recognized over a weighted average period of 2.73 years.

Long-Term Incentive Program

In June 2025 and February 2026, the Human Capital and Compensation Committee of our Board of Directors approved the 2026 and 2027 Senior Executive Long-Term Incentive ~~Program~~Programs (the “2026 LTIP”). ~~The~~and ~~2026~~“2027 LTIP,” respectively, and collectively, the “2026 and 2027 LTIPs”). Each program provides for the ~~issuance~~grant of ~~Stock~~stock-~~Settled~~settled ~~Performance~~performance ~~Awards~~awards (“~~SSPA~~SSPAs”) to senior executives. ~~Each~~with ~~senior executive’s SSPA has~~ a ~~set~~fixed ~~dollar~~grant-date value. atThe ~~the~~SSPAs ~~grant date and~~ will be settled in a variable number of shares of common stock ~~subsequent~~or toin ~~fiscal~~cash, ~~2028~~at the Company's election, based on the achievement of ~~certain~~specified ~~fiscal 2028~~ Company performance goals. ~~Shares~~for ~~issued~~fiscal 2028 under the 2026 LTIP and fiscal 2029 under the 2027 LTIP, with settlement occurring subsequent to the respective performance periods. Any shares issued under these programs will be issued ~~from~~pursuant ~~our~~to the Company’s 2018 Equity Incentive Plan.

~~Awards~~We ~~issued~~record ~~under~~share-based ~~our~~compensation ~~2026~~expense ~~LTIP~~related ~~are~~to ~~accounted~~the ~~for~~2026 asand ~~liability-classified~~2027 ~~awards,~~LTIPs ~~because~~over the ~~obligations~~service ~~are~~period ~~based~~of ~~predominantly~~eligible employees based on ~~fixed~~forecasted ~~monetary~~performance ~~amounts~~relative to the Company metrics. To the extent that ~~are~~updated ~~generally~~estimates ~~known~~differ atfrom ~~inception~~original ofestimates, the ~~obligation,~~cumulative effect on current and ~~are~~prior ~~settled~~periods ~~with~~of athose ~~variable~~changes ~~number~~is ofrecorded ~~shares~~in ofthe ~~our~~period ~~common~~those ~~stock.~~estimates are revised.

WeAt ~~record~~January ~~share-based~~31, ~~compensation~~2026, ~~expense~~we ~~related~~recognized toa $241,000 accrued liability for the 2026 LTIP. ~~over~~For the ~~service~~three ~~period~~months ofended ~~eligible~~April ~~employees~~30, 2026, we recorded a $175,000 share-based compensation benefit under the 2026 and 2027 LTIPs, based on ~~forecasted~~adjustments to expected performance relative to the Company’s target metrics. ToAn ~~the~~accrued ~~extent~~liability ~~that~~for ~~updated~~the ~~estimates~~2026 ~~differ~~and ~~from~~2027 ~~original~~LITPs ~~estimates~~of $66,000 ~~the~~is ~~cumulative~~reported ~~effect~~as onother ~~current~~long-term ~~and~~liabilities ~~prior~~in ~~periods~~the ofaccompanying ~~those~~condensed ~~changes~~consolidated isbalance ~~recorded~~sheet infor the period ~~those~~ended ~~estimates~~April ~~are~~30, ~~revised~~2026.

~~For~~Note ~~the~~15 ~~three~~– ~~and~~Income ~~nine~~Taxes months ended October 31, 2025, we recorded $94,000 and $137,000 of share-based compensation expense under the 2026 LTIP, respectively, and the accrued liability for this program was $137,000 at October 31, 2025.

Employee Stock Purchase Plan (ESPP)

Our ESPP allowed eligible employees to purchase shares of common stock at a 15% discount from fair value on the first or last day of an offering period, whichever is less. A total of 40,000 shares were initially reserved for issuance under the ESPP. Effective April 22, 2025, the Board of Directors terminated the ESPP. There were 6,463 shares purchased in fiscal 2026 through the April 22, 2025, termination date.

Note 16– Income Taxes

Our effective tax rates are as follows:

	Three Months Ended			Nine Months Ended
	First Quarter
Fiscal 2026		(51.2	)%		28.9	%
Fiscal 2027		23.1	%
Fiscal 2025		12.4	%		(14.3	)%
Fiscal 2026		(24.9	)%

We determine our estimated annual effective tax rate at the end of each interim period based on full-year forecasted pre-tax income and facts known at that time. The estimated annual effective tax rate is applied to the year-to-date pre-tax income at the end of each interim period with the cumulative effect of any changes in the estimated annual effective tax rate being recorded in the fiscal quarter in which the change is determined. The tax effect of significant unusual items is reflected in the period in which they occur.

During the three months ended ~~October~~April 3130, ~~2025~~2026, we recognized an income tax ~~benefit~~provision of $~~128~~196,000. The effective tax rate in this period was directly impacted by a $226,000 tax ~~expense~~benefit ~~arising from shortfall tax expense~~ related to ~~our~~the ~~stock~~expiration ~~and~~of athe ~~$22,000~~statute ~~tax~~of ~~expense~~limitations ~~related~~on toa ~~federal~~previously ~~return~~uncertain totax ~~provision differences~~position. During the three months ended ~~November~~April 230, ~~2024~~2025, we recognized an income tax expense of $3475,000. The effective tax rate in this period was directly impacted by a $109,000 tax expense related to the return to provision associated with our fiscal ~~2024~~2023 ~~federal~~amended state tax ~~return~~returns. Additional ~~which~~impacts ~~resulted~~on inthe effective tax rate included a $~~157~~62,000 ~~decrease~~tax toexpense arising from shortfall tax expense ~~and~~related ato ~~tax~~our ~~benefit~~stock ofand a $5626,000 tax benefit related to the ~~foreign~~expiration ~~return~~of tothe ~~provision~~statute ~~differences~~of limitations on a previously uncertain tax position.

~~During~~Note ~~the~~16 ~~nine~~– ~~months~~Segment ~~ended~~Information October 31, 2025, we recognized an income tax benefit of $506,000. The effective tax rate in this period was directly impacted by a $109,000 tax expense related to the return to provision associated with our fiscal 2023 amended state tax returns. Additional impacts on the effective tax rate included an $81,000 tax expense arising from shortfall tax expense related to our stock, a $26,000 tax benefit related to the expiration of the statute of limitations on a previously uncertain tax position and a $43,000 tax benefit related to foreign return to provision differences. During the nine months ended November 2, 2024, we recognized an income tax benefit of $139,000. The effective tax rate in this period was directly impacted by a $281,000 tax benefit related to a previous unrecorded reduction in our future income tax payable balance that should have been discretely recognized in the fourth quarter of fiscal year 2024, netted with the tax expense related to amending our fiscal year 2023 federal tax return and the current quarter tax benefit related to the return to provision associated with our fiscal year 2024 federal tax return. Additional impacts on the effective tax rate include a $218,000 tax benefit related to foreign return to provision differences and an $88,000 tax benefit arising from windfall tax benefits related to our stock

Our Onoperations ~~July~~consist 4,of ~~2025,~~ the ~~“One Big Beautiful Bill Act” (“OBBBA”) was signed into law in the United States. The OBBBA includes a broad range of tax reform provisions for businesses~~design, ~~including extensions of key Tax Cuts and Jobs Act provisions~~development, ~~modifications~~manufacture ~~to the international tax framework,~~ and ~~restoration~~sale of ~~favorable~~specialty ~~tax~~printers ~~treatment~~and ~~for~~data ~~certain~~acquisition ~~business~~and ~~provisions.~~analysis ~~Certain provisions of the legislation will become effective in 2025~~systems, ~~while~~including ~~others~~both ~~are~~hardware ~~effective~~and insoftware ~~2026. The OBBBA was enacted during our second fiscal quarter of 2026,~~ and werelated ~~have~~consumable ~~considered~~supplies. ~~its~~We ~~potential~~organize ~~effects~~ and ~~reflected~~manage ~~the impact of the OBBBA on~~ our ~~financial~~business ~~position,~~as ~~results~~a portfolio of ~~operations,~~products and ~~cash~~services ~~flows.~~designed Wearound ~~are~~a incommon ~~the~~theme ~~process~~ of ~~evaluating~~transferring ~~the~~information ~~impact~~via ofa ~~these~~printing ~~provisions~~solution ononto ~~future periods, but we do not expect the OBBBA to have~~ a ~~material~~variety ~~impact~~of ~~on our consolidated financial statements~~media.

~~Note~~We 17have –two ~~Segment~~reporting ~~Information~~segments consistent with our revenue product groups: Product ID and Aerospace.

Our operations consist of the design, development, manufacture and sale of specialty printers and data acquisition and analysis systems, including both hardware and software and related consumable supplies. We organize and manage our business as a portfolio of products and services designed around a common theme of data acquisition and information output. 18

WeOur ~~have~~Product ~~two~~ID ~~reporting~~segment ~~segments~~produces ~~consistent~~an ~~with~~array ~~our~~of ~~revenue~~high-technology ~~product~~digital ~~groups:~~color ~~Product ID~~ and ~~Aerospace.~~monochrome ~~Effective~~label ~~February 1~~printers, ~~2025~~commercial presses, wedirect ~~changed~~to ~~the~~package/overprint ~~name~~printers, ofmail ~~our~~and ~~Test~~sheet/flatpack &printers ~~Measurement~~and ~~segment~~flexible topackaging ~~“Aerospace”~~printers toas ~~better~~well ~~reflect~~as ~~the~~supplies ~~end~~for ~~markets~~a wevariety ~~serve~~of inindustries ~~that segment~~worldwide. ~~The~~ ~~segment~~Our ~~name~~Aerospace ~~change~~segment ~~did~~produces ~~not~~our ~~result~~line inof ~~any~~aerospace ~~change~~flight todeck ~~the~~and ~~composition~~cabin ofprinters, ~~our~~as ~~reportable~~well ~~segments~~as ~~and,~~specialty ~~therefore,~~airborne ~~did~~certified ~~not~~networking ~~result~~hardware inand ~~any~~related ~~changes~~supplies toand ~~our~~services. ~~historical~~The Aerospace segment ~~results~~also orincludes ~~the~~data ~~way~~acquisition ~~our~~systems ~~chief~~used ~~operating~~worldwide ~~decision~~for ~~maker~~a ~~(“CODM”)~~variety ~~allocates~~of ~~resources~~recording, ormonitoring ~~makes~~and ~~decisions~~troubleshooting.

Our ~~Product~~chief IDoperating ~~segment~~decision ~~produces~~maker an(“CODM”) ~~array~~has ofbeen ~~high-technology~~identified ~~digital~~as ~~color~~our President and ~~monochrome~~Chief ~~label~~Executive ~~printers,~~Officer. The ~~commercial~~CODM ~~presses,~~regularly ~~direct~~receives toand ~~package/overprint~~uses ~~printers,~~discrete ~~mail~~financial ~~and~~information ~~sheet/flatpack~~about ~~printers~~each ~~and~~reporting ~~flexible~~segment ~~packaging~~which ~~printers~~is asused ~~well~~for asperformance ~~supplies~~assessments ~~for~~and aresource ~~variety~~allocation ofdecisions. ~~industries~~The ~~worldwide.~~CODM ~~Our~~evaluates ~~Aerospace~~the ~~segment~~performance ~~produces~~of ~~our~~and ~~line~~allocates ofresources ~~aerospace~~to ~~flight~~the ~~deck~~reporting ~~and~~segments ~~cabin~~based ~~printers,~~on assegment ~~well~~profit asor ~~specialty~~loss, ~~airborne~~which ~~certified~~represents ~~networking~~the ~~hardware~~segments’ ~~and~~income ~~related~~(loss) ~~supplies~~before income taxes and ~~services~~excludes corporate expenses. The ~~Aerospace~~accounting ~~segment~~policies ~~also~~of ~~includes~~the ~~data~~reporting ~~acquisition~~segments ~~systems~~are ~~used~~the ~~worldwide~~same ~~for~~as athose ~~variety~~described in the summary of ~~recording,~~significant ~~monitoring~~accounting ~~and~~policies ~~troubleshooting~~included ~~applications~~in ~~for~~our ~~many~~Annual ~~industries~~Report ~~including~~on ~~aerospace,~~Form ~~defense,~~10-K ~~rail,~~for ~~energy,~~the ~~industrial~~fiscal ~~and~~year ~~general~~ended ~~manufacturing~~January 31, 2026.

~~Our~~In ~~CODM~~the ~~has~~fourth ~~been~~quarter ~~identified~~of asfiscal 2026, we refined our ~~President~~segment reporting to better reflect how the CODM evaluates segment performance by allocating certain costs previously included in corporate general and ~~Chief~~administrative ~~Executive~~expense ~~Officer~~to the applicable reporting segments. ~~The~~ ~~CODM~~These ~~regularly~~allocations ~~receives~~were made to enhance the accuracy and ~~uses~~comparability ~~discrete~~of ~~financial~~segment ~~information~~profit ~~about~~or ~~each~~loss and are consistent with our organizational alignment and internal management reporting. ~~segment~~At ~~which~~the issame ~~used~~time, we also revised our methodology for ~~performance~~allocating ~~assessments~~certain costs between cost of goods sold and ~~resource~~operating ~~allocation~~expense ~~decisions~~at the segment level. As ~~The~~a result, segment cost of revenue, operating expenses and segment profit or loss have been recast to conform to these changes for the period ended April 30, 2025.

CODM evaluates the performance of and allocates resources to the reporting segments based on segment profit or loss, which represents the segments’ income (loss) before income taxes and excludes corporate expenses. The accounting policies of the reporting segments are the same as those described in the summary of significant accounting policies included in our Annual Report on Form 10-K for the fiscal year ended January 31, 2025.

The CODM does not evaluate reportable segment asset or liability information, and as such, assets are reported on a consolidated basis only.

Summarized below are the Revenue and Segment Operating Profit for each reporting segment:

Three MonthsEnded

~~Nine MonthsEnded~~

($ in thousands)

~~October~~April 3130,~~2025~~2026

~~November~~April 230,~~2024~~2025

~~October 31,2025~~

~~November 2,2024~~

Revenue:

Product ID

26,~~849~~089

26,~~317~~289

~~77,891~~

~~76,667~~

Aerospace

1213,~~320~~275

1411,~~105~~419

~~35,088~~

~~37,255~~

Total Revenue

39,~~169~~364

4037,~~422~~708

~~112,979~~

~~113,922~~

Cost of Revenue:

Product ID

1917,~~043~~686

1718,~~910~~056

~~53,680~~

~~51,312~~

Aerospace

57,~~929~~253

87,~~798~~701

~~20,816~~

~~22,597~~

Total Cost of Revenue

24,~~972~~939

2625,~~708~~757

~~74,496~~

~~73,909~~

Operating Expenses:

Product ID (1)

57,~~928~~837

67,~~539~~973

~~17,626~~

~~18,147~~

Aerospace(1)

12,~~860~~144

21,~~056~~739

~~4,565~~

~~5,852~~

Total Operating Expenses

79,~~788~~981

89,~~595~~712

~~22,191~~

~~23,999~~

Segment Operating Income:

Product ID

~~1,878~~566

~~1,868~~260

~~6,585~~

~~7,208~~

Aerospace

43,~~531~~878

31,~~251~~979

~~9,707~~

~~8,806~~

Total Segment Operating Income

64,~~409~~444

52,~~119~~239

~~16,292~~

~~16,014~~

Corporate Expense (2)

(52,~~122~~882

)

(31,~~855~~668

)

~~(15,140~~

)

~~(12,343~~

)

Operating Income

1,~~287~~562

~~1,264~~571

~~1,152~~

~~3,671~~

Interest Expense

(~~827~~675

)

(~~944~~897

)

~~(2,609~~

)

~~(2,363~~

)

Other Income (Expense) (3)

(~~210~~38

)

~~(46~~25

)

~~(291~~

)

~~(337~~

)

Income (Loss) Before Income Taxes

~~250~~849

~~274~~(301

)

~~(1,748~~

)

~~971~~

Income Tax Provision (Benefit)

~~(128~~196

)

3475

~~(506~~

)

~~(139~~

)

Net Income (Loss)

~~378~~653

~~240~~(376

)

~~(1,242~~

)

~~1,110~~

(1) Product ID and Aerospace segment operating expenses include Selling and Marketing and Research and Development.

(2) The amounts included in Corporate Expenses consist of executive and finance compensation, ~~acquisition and integration costs,~~ restructuring costs, professional fees as well as certain other non-recurring costs not allocated to the reporting segments.

(3) Includes gain/(loss) on foreign exchange and other miscellaneous income/(expense) not allocated to the reporting segments.

Revenue by product type for each reporting segment:

Three MonthsEnded

~~Nine MonthsEnded~~

($ in thousands)

~~October~~April 3130,~~2025~~2026

~~November~~April 230,~~2024~~2025

~~October 31,2025~~

~~November 2,2024~~

Product ID:

Hardware

54,~~357~~783

4,~~590~~776

~~14,645~~

~~12,703~~

Supplies

1918,~~494~~956

19,~~921~~877

~~57,905~~

~~58,395~~

Other

12,~~998~~350

(1)

1,~~806~~636

~~5,341~~

~~5,569~~

Total Product ID Revenue

26,~~849~~089

26,~~317~~289

~~77,891~~

~~76,667~~

Aerospace:

Hardware

78,~~360~~992

76,~~032~~519

~~20,303~~

~~20,153~~

Supplies

~~1,079~~892

~~987~~1,204

~~3,243~~

~~3,490~~

Other

3,~~881~~391

63,~~086~~696

~~11,542~~

~~13,612~~

Total Aerospace Revenue

1213,~~320~~275

1411,~~105~~419

~~35,088~~

~~37,255~~

Total Revenue

39,~~169~~364

4037,~~422~~708

~~112,979~~

~~113,922~~

23 (1) Includes $707,000 of revenue for tariff-related pass-through charges to customers.

Other information by segment is presented below:

Depreciation and Amortization

Capital Expenditures

Nine Months Ended

Three Months Ended

(In thousands)

~~October~~April 3130,~~2025~~2026

~~November~~April 230,~~2024~~2025

~~October~~April 3130,~~2025~~2026

~~November~~April 230,~~2024~~2025

Product ID

~~2,527~~578

~~2,567~~973

~~178~~36

~~1,062~~60

Aerospace

~~898~~604

~~947~~317

15—

24—

Total

31,~~425~~182

31,~~514~~290

~~193~~36

~~1,086~~60

Note 1817 – Fair Value

Assets and Liabilities Not Recorded at Fair Value

Our long-term debt, including the current portion of long-term debt not reflected in the financial statements at fair value, is reflected in the table below:

October 31, 2025

April 30, 2026

Fair Value Measurement

(In thousands)

Level 1

Level 2

Level 3

Total

Carrying Value

Long-Term debt and related current maturities

—

2320,~~176~~723

2220,~~248~~605

January 31, 2025

January 31, 2026

Fair Value Measurement

(In thousands)

Level 1

Level 2

Level 3

Total

Carrying Value

Long-Term debt and related current maturities

—

2521,~~202~~565

2521,~~239~~436

The fair value of our long-term debt, including the current portion, is estimated by discounting the future cash flows using current interest rates at which similar loans with the same maturities would be made to borrowers with similar credit ratings and is classified as Level 3.

Note 1918 - Restructuring

On March 20, 2025, we announced our restructuring actions for fiscal 2026, which include the reduction of approximately 10% of the Company’s global workforce, primarily in the Product ID segment, and the realignment of our underperforming MTEX operation in Portugal. As part of this initiative, we have cut approximately 70% of the MTEX product portfolio, phasing out low-volume, low-profit and developmental models in the nascent fabric printing market to focus more resources on much higher-margin products that capitalize on our supplies business. In addition, all MTEX sales, marketing and customer support functions have been integrated into our global teams to improve accountability and performance. We anticipate our restructuring actions to generate $3.0 million in annualized savings and expect to complete the planned actions by the ~~end~~second quarter of fiscal ~~2026~~2027.

As a result of the adoption and implementation of the above restructuring actions, as of ~~October~~January 31, ~~2025~~2026, we ~~have~~ recognized total pre-tax restructuring charges of $1.3 million,. Additional ~~comprised~~charges ~~primarily~~ of ~~cash charges related to severance-related costs~~$0. ~~Below~~4 ismillion awere ~~summary~~recognized ofin the ~~restructuring~~first ~~costs~~quarter ~~and liabilities by type as~~ of ~~October~~fiscal 312027, ~~2025.~~

(in thousands)	Restructuring Costs		Amounts paid in quarter ended April 30, 2025			Amounts paid in quarter ended July 31, 2025			Amounts paid in quarter ended October 31, 2025			Restructuring Liability
Severance and Employee Related Costs	$	1,215	$	(99	)	$	(310	)	$	(508	)	$	298
Other Restructuring Costs		90		—			—			—			90
Total	$	1,305	$	(99	)	$	(310	)	$	(508	)	$	388

24reflecting the continued execution of the plan. The restructuring charges are comprised primarily of cash expenditures related to severance-related costs. Below is a summary of the restructuring costs and liabilities by type as of April 30, 2026:

The following table summarizes restructuring costs included in the accompanying condensed consolidated statement of income (loss) for the three and nine months ended October 31, 2025:


(in thousands)	Severance and Employee Related Costs			Other			Total
Balance at February 1, 2025	$	—		$	—		$	—
Charges recognized in fiscal 2026		1,267			90			1,357
Cash payments in fiscal 2026		(1,023	)		(90	)		(1,113	)
Balance at January 31, 2026	$	244		$	—		$	244
Charges recognized in fiscal 2026		360			—			360
Cash payments in fiscal 2026		(484	)		—			(484	)
Balance at April 30, 2026	$	120		$	—		$	120

	Three MonthsEnded		Nine MonthsEnded
	October 31,2025		October 31,2025
(in thousands)
Cost of Revenue	$	—	$	337
Operating Expenses:
Selling & Marketing		7		216
General & Administrative		51		752
Total	$	58	$	1,305

The following table summarizes restructuring costs included in the accompanying condensed consolidated statement of income (loss):


	Three Months Ended
(in thousands)	April 30, 2026		April 30, 2025
Cost of Revenue	$	360	$	340
Operating Expenses:
Selling & Marketing		—		98
General & Administrative		—		120
Total	$	360	$	558

Note 19 – Subsequent Event

Settlement Agreement (MTEX Acquisition‑Related Matters)

On May 15, 2026, we, together with our subsidiaries AstroNova Portugal, Unipessoal, Lda. (“AstroNova Portugal”) and MTEX, entered into a settlement agreement (the “Settlement”) with Eloi Serafim Alves Ferreira, Effort Premier Solutions, Lda.(“Effort”) and Atlantiprestigio – Imobiliaria, S.A. (“Atlantiprestigio”) to resolve and release any and all claims among the parties arising out of and relating to AstroNova Portugal’s May 2024 acquisition of MTEX.

Under the terms of the Settlement, Atlantiprestigio transferred to AstroNova Portugal an industrial property located in Porto, Portugal that is currently leased by MTEX (the “Property”), and Atlantiprestigio waived its right to receive any amounts from MTEX under the lease agreement relating to the Property. For purposes of the Settlement, the parties agreed that the value of the Property is €2.5 million, ($2.9 million) at the May 15, 2026 settlement date.

Simultaneously with execution of the Settlement, we and AstroNova Portugal agreed to cause Mr. Ferreira and his spouse to be released from certain personal guarantees for loans extended to MTEX. The parties also agreed to terminate the pending arbitration proceedings in Oporto, Portugal upon completion of the definitive registration of the Property in the name of AstroNova Portugal with the applicable governmental authorities.

The Settlement includes mutual releases of claims between the parties and an agreement regarding the allocation of arbitration costs.

We are currently evaluating the accounting impact of the Settlement, including the timing of recognition and measurement of any related amounts to be included in the condensed consolidated financial statements.

Item 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Business Overview

This section should be read in conjunction with our condensed consolidated financial statements included elsewhere herein and our Annual Report on Form 10-K for the fiscal year ended January 31, ~~2025~~2026.

We are a multinational enterprise that leverages our proprietary printing technologies to design, develop, manufacture, distribute and service a broad range of products that acquire, store, analyze and enable data to be visualized in multiple formats and on a variety of materials. We market and sell our products and services through the following two segments:

•

Product Identification (“Product ID”) – offers color and monochromatic digital label printers, direct-to-package printers, industrial wide-format printers for both flexible and rigid materials and custom OEM printers. Product ID also provides proprietary software to design, manage, and store print images as well as to fully control the workflow of its printers. The software enables both local and network control of the printers. As a full solution supplier, Product ID offers a wide variety of carefully application-matched printing supplies such as pressure-sensitive labels, tags, inks, toners, and thermal transfer ribbons used by digital printers. In addition, Product ID also provides on-site and remote service, spare parts, and various service contracts.

•

Aerospace (formerly - Test & Measurement)* – The Aerospace segment is a leading supplier of aerospace flight deck printers for commercial, military transport, business, and regional aircraft. The printers are used to print hard copies of data required for the safe and efficient operation of aircraft, including navigation maps, clearances, arrival and departure information, NOTAMs (“Notice to Airmen”), flight itineraries, weather maps, performance data, passenger data, and various air traffic control data. Aerospace products also include aircraft networking hardware for high-speed onboard data transfer. The Aerospace segment also provides repairs, service and spare parts. Additionally, Aerospace ~~also~~ offers a suite of products and services that acquire data from local and networked data streams and sensors as well as wired and wireless networks from its Test & Measurement product group.

*Effective February 1, 2025, we changed the name of our Test & Measurement segment to “Aerospace” to better reflect the end markets we serve in that segment. The segment name change did not result in any change to the composition of our reportable segments and, therefore, did not result in any changes to our historical segment results or the way our chief operating decision maker (“CODM”) allocates resources or makes decisions.

We market and sell our products and services globally through a diverse distribution structure of direct sales personnel, manufacturers’ representatives and authorized dealers that deliver a full complement of branded products and services to customers in our respective markets. Our growth strategy centers on driving organic growth through product innovation and through a robust go-to-market strategy that is customer-centric.

On ~~May~~March 420, ~~2024~~2025, we ~~entered~~announced ~~into~~our anrestructuring ~~agreement~~actions tofor ~~acquire~~fiscal ~~MTEX~~2026, ~~New~~which ~~Solution~~included reducing approximately 10% of the Company’s global workforce, ~~S.A.~~primarily ~~(“MTEX”)~~in the Product ID segment, aand ~~Portugal-based~~the ~~manufacturer~~realignment of ~~digital~~our ~~printing~~underperforming ~~equipment~~MTEX ~~that~~operation ~~addresses~~in aPortugal. As ~~wide~~part ~~variety~~of this initiative, we have eliminated approximately 70% of ~~markets~~the ~~and~~MTEX ~~applications~~product ~~including~~portfolio, ~~wide~~phasing ~~format~~out ~~high~~low-volume, ~~package~~low-margin ~~printing,~~and ~~labeling,~~developmental ~~flexible~~models ~~package~~in the emerging fabric printing ~~and~~market to focus more resources on higher-margin products that provide recurring revenue. We ~~reported~~In addition, all MTEX assales, amarketing ~~part~~and ofcustomer ~~our~~support ~~Product~~functions IDwere ~~segment~~integrated asinto the AstroNova sales structure. As of ~~the~~April ~~May~~30, 62026, ~~2024~~we ~~closing~~have ~~date~~incurred $1.7 million in total restructuring charges including $0.4 million and $0.6 million in the first quarter of fiscal 2027 ~~Refer~~and 2026, respectively. These restructuring charges are primarily related to ~~Note~~severance. We expect our restructuring actions to result in $3,.0 ~~“Acquisition”~~million in ~~our~~annualized ~~condensed~~savings, ~~consolidated~~and ~~financial~~we ~~statements~~anticipate ~~located~~completing ~~elsewhere~~the inplan ~~this~~by ~~report~~the ~~for~~second ~~further~~quarter ~~details~~of fiscal 2027.

OnIn ~~March~~the ~~20,~~fourth ~~2025~~quarter of fiscal 2026, we ~~announced~~refined our ~~restructuring~~segment ~~actions~~reporting ~~for~~to ~~fiscal~~better ~~2026,~~reflect ~~which~~how our Chief Operating Decision Maker (“CODM”) evaluates segment performance by allocating certain costs previously included ~~reducing~~in ~~approximately~~corporate ~~10%~~general ofand administrative ("G&A") expense to the ~~Company’s~~appropriate ~~global~~reporting ~~workforce,~~segments. ~~primarily~~These inallocations were made to enhance the ~~Product~~accuracy IDand comparability of segment profit or loss and are consistent with our organizational alignment and internal management reporting. Additionally, we revised our methodology for allocating certain costs between cost of goods sold and operating expenses both for consolidated and segment reporting. As a result, the allocation of corporate G&A and realignment of ~~our~~cost ~~underperforming~~of ~~MTEX~~revenue ~~operation~~and inoperating expenses, prior period segment operating expenses and segment profit or loss have been retrospectively adjusted to reflect these changes.

25On April 7, 2026, we announced a review and evaluation of strategic alternatives to maximize shareholder value. The Board’s review will consider potential strategic, business and financial alternatives, which may include, among other things, a sale of all or part of the Company, a merger or other business combination, or other strategic transactions, as well as continuing to execute on our strategic plan.

~~Portugal. As~~Tariffs ~~part of this initiative, we have eliminated approximately 70% of the MTEX product portfolio, phasing out low-volume, low-margin~~ and ~~developmental~~Trade models in the emerging fabric printing market to focus more resources on higher-margin products that provide recurring revenue. In addition, all MTEX sales, marketing and customer support functions were integrated into the AstroNova sales structure. As of October 31, 2025, we have incurred $1.3 million in restructuring charges, primarily related to severance. We expect our restructuring actions to result in $3.0 million in annualized savings, and we anticipate completing the plan by the end of fiscal 2026. Environment

The Company continues to operate in a dynamic global trade environment. During calendar year 2025, the U.S. government- imposed tariffs under the International Emergency Economic Powers Act (“IEEPA”) on a broad range of imports. On February 20, 2026, the United States Supreme Court ruled that such tariffs were not authorized, and subsequent regulatory actions have enabled importers to pursue refunds of previously paid amounts.

We paid tariffs during fiscal 2026 that may be eligible for refunds. We are evaluating and, where appropriate, intend to pursue recovery through the administrative process established by U.S. Customs and Border Protection. However, the amount and timing of any refunds remain uncertain, and no amounts have been recognized in our financial results as of April 30, 2026.

In addition, we may be required to pass through all or a portion of any tariff refunds to customers, depending on contractual terms and historical pricing practices. As a result, any potential recoveries may not be fully retained by us and could reduce the net financial benefit of such refunds.

Following the Supreme Court’s decision, the tariff landscape continues to evolve, including the potential imposition of alternative tariffs under other statutory authorities. Changes in tariff policy, including the availability and outcome of refund claims and the introduction of new tariffs, could impact our cost structure, pricing strategies, and operating results.

We continue to monitor developments closely and is implementing mitigation strategies where appropriate. However, there can be no assurance regarding the ultimate outcome of tariff-related developments or their impact on future results of operations, financial condition, or cash flows.

Results of Operations

Three Months Ended ~~October~~April 3130, ~~2025~~2026 vs. Three Months Ended ~~November~~April 230, ~~2024~~2025

Revenue by segment and current quarter percentage change over the prior year for the three months ended ~~October~~April 3130, ~~2025~~2026 and ~~November~~2025 ~~2, 2024~~ were:

(Dollars in thousands)	~~October~~April 3130,~~2025~~2026		As a% ofRevenue			~~November~~April 230,~~2024~~2025		As a% ofRevenue			% ChangeComparedtoPrior Year
Product ID	$	26,~~849~~089		6866.53	%	$	26,~~317~~289		6569.17	%		2.(0.8	)%
Aerospace		1213,~~320~~275		3133.57	%		1411,~~105~~419		3430.93	%		~~(12~~16.73	)%
Total	$	39,~~169~~364		100.0	%	$	4037,~~422~~708		100.0	%		(34.14	)%

Revenue for the ~~third~~first quarter of the current year was $39.24 million, representing a 34.14% ~~decrease~~increase compared to the previous year's ~~third~~first quarter. The ~~decrease~~increase in current quarter ~~sales~~revenue is primarily due to ~~lower~~higher hardware sales in the Aerospace segment. The ~~due~~increase ~~primarily~~in torevenue was partially offset by a decrease in supplies revenue in both the Product ID and Aerospace segments and a decline in parts and other revenue in the Aerospace segment. Revenue through domestic channels for the ~~third~~first quarter of the current year was $24.1 million, representing approximately 60% of our ~~third~~first quarter revenue and reflecting an increase of 26.42% from the prior year’s ~~third~~first quarter domestic revenue of $2322.57 million. International revenue for the ~~third~~first quarter of the current year was $15.13 million, representing approximately 40% of our ~~third~~first quarter revenue and reflecting a 101.7% ~~decrease~~increase from the previous year's ~~third~~first quarter international revenue. In the ~~third~~first quarter of the current year, tariff mitigation contributed $0.47 million in revenue and international revenue reflected a favorable foreign exchange rate impact of $0.36 million.

Hardware revenue in the ~~third~~first quarter of the current year was $1213.78 million, aan increase of $12.15 million, or 922.40%, ~~increase~~ compared to ~~the~~$11.3 ~~prior~~million ~~year’s~~in ~~third~~the ~~quarter~~same ~~hardware~~period ~~revenue~~ of ~~$11.6~~the ~~million~~prior year. The ~~current quarter’s~~ increase iswas primarily ~~attributable~~driven toby athe ~~$0.9~~Aerospace ~~million~~segment, orreflecting ~~65.5%~~higher ~~increase~~commercial inaircraft hardware sales, ~~from~~which ~~our~~increased ~~Astro~~$2.3 ~~Machine~~million ~~subsidiary~~ in the ~~Product~~current IDquarter ~~segment due~~ to a$7.2 ~~large~~million, ~~overdue~~as ~~backlog~~well ~~that~~as ~~was~~modest ~~delivered~~growth in ~~the~~regional ~~current~~and ~~quarter.~~business ~~Also~~jet ~~contributing~~hardware tosales, ~~the~~which ~~current~~increased ~~quarter~~$0.2 ~~increase~~million ~~was~~to a $0.46 million. orAlso ~~6.1%~~contributing to the overall current quarter increase inwere ~~aerospace~~higher ~~printer~~hardware sales in the ~~Aerospace~~Product ID segment’s ~~compared~~mail toand ~~the~~sheet/flat ~~same~~pack ~~period~~printer inmarkets, ~~the~~which ~~prior~~increased ~~year~~$0.9 ~~The~~million ~~overall~~to ~~increase~~$2.3 inmillion. ~~hardware~~These ~~sales~~increases ~~was~~were partially offset by alower ~~decline~~current inquarter ~~hardware~~ sales ~~from~~of ~~our~~direct-to-package/overprint ~~MTEX~~printers, ~~location~~which indeclined ~~the~~$0.6 ~~Product~~million IDto ~~segment and a~~ $0.18 million, ~~decline~~and indesktop ~~data~~label ~~recorder~~printers, ~~sales~~which indeclined ~~our~~$0.4 ~~Aerospace~~million ~~segment~~to $1. 3 million.

Supplies revenue in the ~~third~~first quarter of the current year was $2019.68 million, a $01.32 million or 15.69% decrease compared to the prior year’s ~~third~~first quarter supplies revenue of $2021.91 million. The ~~modest~~ decrease in the current quarter supplies revenue is ~~primarily~~ attributable to both segments with a $0.49 million or 24.16% decrease in sales of supplies in the Product ID segment. ~~The~~and ~~total~~a ~~decline~~$0.3 inmillion ~~supplies~~or ~~revenue~~25.9% ~~for~~decrease ~~the current quarter was partially offset by an increase~~ in sales of ~~paper~~ supplies ~~for the aerospace printer product line~~ in the Aerospace segment.

Service and other ~~revenues~~revenue of $5.97 million in the current quarter ~~decreased~~increased $2.0.4 million or 257.57% compared to service and other revenues of $75.93 million in the ~~third~~first quarter of the prior year. The ~~decrease~~increase in current quarter service and other revenue was primarily attributable to a $20.27 million orin ~~36.7%~~tariff ~~sales~~revenue ~~decline~~ in the ~~service~~Product ~~and~~ID ~~other~~segment. A ~~revenue~~$0.3 ~~from~~million ~~the~~or ~~aerospace~~14.5% ~~printer~~increase ~~product~~in ~~line~~repair revenue in the Aerospace segment, asalso ~~prior~~contributed ~~year~~to ~~sales~~the ~~included~~current ayear ~~large~~growth ~~backlog~~in ofservice ~~printheads~~and ~~that~~other ~~was fulfilled during third quarter of the prior year~~revenue. The ~~Product~~overall ~~ID segment also contributed to the~~ current quarter ~~decline~~increase asin ~~current quarter~~ service and other revenue ~~declined~~was partially offset by a $0.26 million or 929.80% ~~compared~~decrease toin ~~the~~parts ~~same~~and ~~period~~other revenue in the ~~prior~~Aerospace ~~year~~segment.

The current year's ~~third~~first quarter gross profit was $14.24 million, a 320.57% increase compared to the prior year’s ~~third~~first quarter gross profit of $1312.70 million. Current quarter gross profit margin of 36.26% reflected a ~~230~~ 500-basis point increase from the prior year’s ~~third~~first quarter gross profit margin of 3331.97%. ~~Despite~~Current aquarter ~~$0.4 million provision for inventory in the current year, the higher~~ gross profit ~~margin~~was ~~compared~~impacted toby ~~the~~a ~~comparable~~net ~~prior~~inventory ~~year~~reserve ~~period~~reversal isof ~~primarily~~$0.3 ~~attributable~~million ~~to favorable product mix~~ and ~~lower manufacturing expenses in the current quarter.~~

Operating expenses for the current quarter of $12.9 million, included $0.3 million of goodwill impairment charges and increased $0.5 million or 3.7% compared to the prior year’s third quarter operating expenses of $12.5 million. Current quarter selling and marketing expenses were $5.6 million, a $1.2 million or 17.2% decrease compared to the third quarter of the prior year. The decrease in selling and marketing expenses for the current quarter was primarily due to decreases in employee wages and benefits, travel and 23

26a restructuring charge of $0.4 million, compared to an inventory step-up charge of $0.1 million and a restructuring charge of $0.3 million in the first quarter of the prior year. The higher gross profit margin compared to same period in the prior year is primarily attributable to higher sales, favorable product mix and lower manufacturing expenses in the current quarter.

~~entertainment~~Operating expenses for the current quarter were $12.9 million, ~~advertising~~compared with $11.4 million in the prior year first quarter, ~~trade~~an ~~shows~~increase of $1.5 million, or 13.0%. Selling and ~~commission~~marketing expenses in the current quarter were $5.7 ~~Current~~million, up $0.1 million, or 1.6%, from the prior year first quarter, ~~general~~primarily due to higher employee wages and benefits, demo provision, and selling and distribution costs, partially offset by lower shared services allocations. General and administrative (“G&A”) expenses were $5.14 million, ain ~~32.9%~~the ~~increase~~current ~~compared~~quarter, toan ~~prior~~increase ~~year~~of ~~third~~$1.1 ~~quarter~~million, ~~G&A~~or ~~expenses~~26.3%, offrom $34.92 million in the prior year first quarter. Current quarter G&A ~~expenses~~ included non-recurring charges of $0.17 million for ~~restructuring,~~legal ~~$0.4~~and ~~million~~professional ~~for legal~~fees, and $0.2 million ~~related~~for todiscretionary ~~our~~bonuses, ~~contested~~while ~~proxy~~the ~~solicitation.~~prior ~~Prior~~ year ~~third~~first quarter ~~G&A~~ included non-recurring charges of $0.3 million ~~for~~related ~~our~~to the MTEX acquisition and $0. 1 million for restructuring. Excluding these non-recurring ~~charges~~items, ~~current year~~ G&A ~~expenses~~ increased by $0.87 million, ~~compared~~primarily due to ~~the~~higher ~~prior~~shared ~~year~~services ~~primarily~~costs, ~~due~~professional toservice ~~current~~fees, ~~quarter~~and ~~increases~~insurance inexpenses, partially offset by lower employee wages and benefits and subscription fees. Research and development (“R&D”) expenses were $1.98 million, inan ~~the~~increase ~~current~~of ~~quarter~~$0.3 million, aor 318.03%, ~~increase~~from ~~compared to the third quarter prior year R&D expenses of~~ $1.85 million. ~~The modest increase~~ in ~~R&D expenses from~~ the prior -year ~~was~~first quarter, primarily due to ~~increases~~higher in employee wages and benefits, partially offset by ~~decreases~~lower in product testing and consulting expenses. R&D ~~spending~~ as a percentage of revenue was 4.6% for the current quarter, ~~was 4.8% as~~ compared towith 4.61% ~~for~~in the ~~same~~first ~~period~~quarter inof the prior year.

We recognized a federal, state and foreign income tax ~~benefit~~expense for the ~~third~~first quarter of the current year of $0.12 million resulting in an effective tax rate of 5123.21%. The effective tax rate in this period was directly impacted by a $226,000 ~~tax~~benefit ~~expense arising from shortfall tax expense~~ related to ~~our~~the ~~stock~~expiration ~~and~~of athe ~~$22,000~~statute ~~tax~~of ~~expense~~limitations ~~related~~on toa ~~federal~~previously ~~return~~uncertain totax ~~provision differences~~position. . During the three months ended ~~November~~April 230, ~~2024~~2025, we recognized an income tax expense of $3475,000. The effective tax rate in this period was directly impacted by a $109,000 tax expense related to the return to provision associated with our fiscal ~~2024~~2023 ~~federal~~amended state tax ~~return~~returns. Additional ~~which~~impacts ~~resulted~~on inthe effective tax rate for that period included a $~~157~~62,000 ~~decrease~~tax toexpense arising from shortfall tax expense, ~~and~~related ato ~~tax~~our ~~benefit~~stock ofand a $5626,000 tax benefit related to the ~~foreign~~expiration ~~return~~of tothe ~~provision~~statute ~~differences~~of limitations on a previously uncertain tax position.

We reported a net income of $0.47 million, or $(0.~~05)~~08 per diluted share for the ~~third~~first quarter of the current year. Current quarter net income and net income per diluted share were impacted by restructuring charges of $0.14 million ($0.03 million net of tax or $0.0004 per diluted share), nonrecurring legal ~~fees~~and ~~related~~professional tofees ~~the MTEX litigation~~ of $0.48 million ($0.36 million net of tax or $0.0407 per diluted share), non-recurring ~~costs related to our contested proxy solicitation of $0.2 million ($0.1 million~~ net ofinventory ~~tax~~reserve orreversal ~~$0.02 per diluted share), goodwill impairment charge~~ of $0.3 million ($0.2 million net of tax or $0.0302 per diluted share), and ~~non-recurring~~nonrecurring discretionary ~~other~~bonus ~~expenses~~charges of $0.2 million ($0.21 million net of tax or $0.02 per diluted share). Net ~~income~~loss for the prior year’s ~~third~~first quarter was $0.24 million or $0.0305 per diluted share. Net ~~income~~loss and net ~~income~~loss per diluted share for the quarter ended ~~November~~April 230, ~~2024~~2025 were impacted by ~~transaction~~an ~~costs~~inventory step up of $0.31 million ($0.31 million net of tax or $0.0301 per diluted share), transaction costs related to the MTEX acquisition of $0.3 million ($0.3 million net of tax or $0.03 per diluted share), and restructuring charges of $0.6 million ($0.4 million net of tax or $0.06 per diluted share).

Nine Months Ended October 31, 2025 vs. Nine Months Ended November 2, 2024

Revenue by segment and current period percentage change over the prior year for the nine months ended October 31, 2025 and November 2, 2024 were:

(Dollars in thousands)	October 31,2025		As a% ofRevenue			November 2,2024		As a% ofRevenue			% ChangeComparedtoPrior Year
Product ID	$	77,891		68.9	%	$	76,667		67.3	%		1.6	%
Aerospace		35,088		31.1	%		37,255		32.7	%		(5.8	)%
Total	$	112,979		100.0	%	$	113,922		100.0	%		(0.8	)%

Revenue for the first nine months of the current year was $113.0 million, representing a 0.8% decrease compared to the previous year’s first nine months’ revenue. Revenue through domestic channels for the first nine months of the current year was $68.7 million, an increase of 2.7% from the prior year’s domestic revenue of $66.8 million. International revenue for the first nine months of the current year was $44.3 million, a 5.9% decrease from the previous year’s international revenue of $47.1 million. In the first nine months of the current year, tariff mitigation contributed $0.4 million in revenue and international revenue international revenue reflected a favorable foreign exchange rate impact of $0.7 million.

Hardware revenue for the first nine months of the current year was $34.9 million, representing a 6.4% increase compared to $32.9 million in the same period of the prior year. This growth was driven primarily by the Product ID segment, where hardware sales totaled $14.6 million, an increase of 15.3% or $1.9 million over the prior year’s $12.7 million in hardware sales. This increase was primarily attributable to our Astro Machine subsidiary, where a large overdue backlog order was delivered in the current year. Aerospace segment hardware sales contributed $20.3 million, a slight increase of 0.7% from $20.2 million in the prior year, reflecting higher sales of aerospace printers, partially offset by a decline in data recorder product line sales.

Supplies revenue in the first nine months of the current year was $61.1 million, representing a 1.2% decrease compared to the prior year’s nine months’ supplies revenue of $61.9 million, as supplies revenue decreased slightly in both the Product ID and Aerospace segments in the current year. The Product ID supply sales decrease relates primarily to a decline in sales of our ink jet supply products in our QuickLabel and Trojan Label product groups, which was slightly offset by an increase in ink jet sales in our Astro Machine product group. Also contributing to the decrease in the current year’s supplies revenue was a decline in paper revenue for the airborne printer product line in the Aerospace segment.

Service and other revenues were $16.9 million in the first nine months of the current year, a 12.0% decrease compared to the prior year’s first nine months of service and other revenues of $19.2 million. Both Product ID and Aerospace segments experienced lower services and other revenue in the current period, however, the decrease is primarily due to a $2.0 million or 15.3% decline in parts revenue in the Aerospace segment as prior year sales included a large backlog of printheads that was fulfilled during third quarter of the prior year.

Gross profit for the first nine months of the current year was $38.5 million, a 3.8% decrease compared to the prior year’s gross profit of $40.0 million. Our gross profit margin of 34.1% in the current year reflects a 110 basis point decrease from the prior year’s first nine months’ gross profit margin of 35.1%. The decrease in gross profit and related profit margin for the current year is primarily attributable to lower sales, product mix and $0.8 million in total non-recurring expenses related to inventory step-up, inventory provision and restructuring costs in the current year.

Operating expenses for the first nine months of the current fiscal year of $37.3 million included $0.3 million of goodwill impairment charges and increased 2.7% compared to the prior year’s first nine months’ operating expenses of $36.3 million. Selling and marketing expenses for the current year were $16.9 million, a decrease of 11.8% compared to the previous year’s $19.1 million. Excluding the increase of $0.3 million for the full nine months of MTEX expenses recognized in the current year and the $0.2 million increase related to restructuring expenses, current year selling and marketing expenses decreased 14.7%, or $2.8 million compared to the prior year. The decrease for the current year was primarily due to a decline in employee wages and benefits, and travel and entertainment expenses. G&A expenses increased 22.7% to $15.1 million in the first nine months of the current year compared to $12.3 million in the first nine months of the prior year. Excluding current year total non-recurring costs of $2.0 million for legal fees, contested proxy solicitation, restructuring and MTEX acquisition costs, G&A expenses increased $0.7 million or 6.1% compared to the prior year primarily due to increased employee benefits, and insurance expenses. Prior year G&A included non-recurring charges of $1.1 million for our MTEX acquisition and CFO transition. R&D spending in the first nine months of the current year was $5.0 million, a 3.3% increase compared to the prior year’s first nine months R&D spend of $4.9 million. Excluding the $0.8 million increase in R&D related to the inclusion of MTEX for the full year in fiscal 2026, the current year R&D expense decreased $0.6 million from the same period in the prior year primarily as a result of declines in product testing and consulting expenses and a decrease in employee benefits. Current year’s spending on R&D represents 4.4% of revenue compared to the prior year’s first nine months’ level of 4.3%.

We recognized a $0.5 million income tax benefit for the first nine months of the current fiscal year, resulting in an effective tax rate of 28.9%. The effective tax rate in this period was directly impacted by a $109,000 tax expense related to the return to provision associated with our fiscal 2023 amended state tax returns. Additional impacts on the effective tax rate included an $81,000 tax expense arising from a shortfall tax expense related to our stock, a $26,000 tax benefit related to the expiration of the statute of limitations on a previously uncertain tax position and a $43,000 tax benefit related to foreign return to provision differences. We recognized a $0.1 million income tax benefit for the first nine months of the prior fiscal year, resulting in an effective tax rate of (14.3)%. The effective tax rate in this period was directly impacted by a $281,000 tax benefit related to a previously unrecorded reduction in our future income tax payable balance that should have been discretely recognized in the fourth quarter of fiscal year 2024, netted against the tax expense related to amending our fiscal year 2023 federal tax return, and the current quarter tax benefit related to the return to provision associated with our fiscal year 2024 federal tax return. Additional impacts on the effective tax rate include a $218,000 tax benefit related to foreign return to provision differences and an $88,000 tax benefit arising from windfall tax benefits related to our stock.

We reported net loss of $1.2 million, or $0.16 per diluted share, for the first nine months of the current year. Net loss and net loss per diluted share for the nine months ended October 31, 2025, were impacted by an inventory provision of $0.4 million ($0.3 million net of tax or $0.04 per diluted share), inventory step up cost of $0.1 million ($0.1 million net of tax or $0.01 per diluted share) and transaction costs of $0.3 million ($0.2 million net of tax or $0.03 per diluted share), both related to the MTEX acquisition, restructuring charges of $1.3 million ($1.0 million net of tax or $0.13 per diluted share), legal fees related to the MTEX litigation of $0.5 million ($0.4 million net of tax or $0.05 per diluted share), non-recurring proxy costs of $0.5 million ($0.4 million net of tax or $0.05 per diluted share) and $0.2 million in non-recurring other expenses ($0.1 million net of tax or $0.01 per diluted share). We reported net income of $1.1 million, or $0.15 per diluted share, for the first nine months of the prior year. Net income and net income per diluted share for the nine months ended November 2, 2024 were impacted by an inventory step up cost of $0.2 million ($0.1 million net of tax or $0.01 per diluted share) and transaction costs of $0.9 million ($0.7 million net of tax or $0.09 per diluted share), both related to the MTEX acquisition and CFO transition charges of $0.4 million ($0.3 million net of tax or $0.05 per diluted share).

Segment Analysis

We report two segments: Product ID and Aerospace and evaluate segment performance based on the segment profit before ~~G&A~~Corporate expenses. Summarized below are the revenue and segment operating profit for each reporting segment:

Three Months Ended

~~Nine Months Ended~~

Revenue

Segment Operating Profit

~~Revenue~~

~~Segment Operating Profit~~

(In thousands)

~~October~~April 3130,~~2025~~2026

~~November~~April 230,~~2024~~2025

~~October~~April 3130,~~2025~~2026

~~November~~April 230,~~2024~~2025

~~October 31,2025~~

~~November 2,2024~~

~~October 31,2025~~

~~November 2,2024~~

Product ID

26,~~849~~089

26,~~317~~289

~~1,878~~566

~~1,868~~260

~~77,891~~

~~76,667~~

~~6,585~~

~~7,208~~

Aerospace

1213,~~320~~275

1411,~~105~~419

43,~~531~~878

31,~~251~~979

~~35,088~~

~~37,255~~

~~9,707~~

~~8,806~~

Total

39,~~169~~364

4037,~~422~~708

64,~~409~~444

52,~~119~~239

~~112,979~~

~~113,922~~

~~16,292~~

~~16,014~~

General and Administrative Expenses

5,122

3,855

15,140

12,343

Corporate Expenses

2,882

1,668

Operating Income

1,~~287~~562

~~1,264~~571

~~1,152~~

~~3,671~~

Interest Expense

~~827~~675

~~944~~897

~~2,609~~

~~2,363~~

Other (Income)/Expense, net

~~210~~38

46(25

)

~~291~~

~~337~~

Income (Loss) Before Income Taxes

~~250~~849

~~274~~(301

)

~~(1,748~~

)

~~971~~

Income Tax Provision (Benefit)

(128

)

(506

)

(139

)

Income Tax Provision

196

Net Income (Loss)

~~378~~653

~~240~~(376

)

~~(1,242~~

)

~~1,110~~

Product ID

~~During~~The ~~the~~Product ~~second~~Identification ~~quarter~~segment ofdelivers ~~fiscal 2025 we acquired MTEX, a Portugal~~end-~~based manufacturer of digital printing equipment that brought us new technology, a low~~to-~~cost~~end ~~manufacturing~~marking ~~facility~~ and aidentification ~~larger~~solutions, ~~addressable~~including ~~market. Since the closing of that transaction on May 6~~hardware, ~~2024~~software, ~~MTEX~~and ~~has~~consumables ~~been~~for ~~reported~~OEMs, ascommercial aprinters, ~~part~~and ofbrand ~~our Product ID segment~~owners. These ~~Although~~solutions weare ~~remain~~used optimistic about the opportunities created by MTEX’s complementary product portfolio and anticipate improved overall business and enhanced customer service as we integrate MTEX’s advanced technology across ~~other~~labels, ~~areas~~flexible ofpackaging, ~~our product portfolio~~corrugated, ~~the integration of MTEX has been more time-consuming~~ and ~~resource-intensive~~industrial ~~than~~substrates, wewhere ~~originally anticipated. Additionally~~durability, ~~in the course of integrating MTEX into our operations~~traceability, ~~we have discovered certain facts that we believe may constitute breaches of the representations~~ and ~~warranties~~compliance ~~included~~are ~~in the definitive agreements governing our acquisition of MTEX~~essential. Product Wecategories are ~~continuing to investigate these matters and are seeking remedies from the seller under those agreements.~~ :

~~We define the primary markets we serve through our Product ID segment as follows:~~24

•

Desktop Label Printers:

Target Customers: Brand owners requiring label printing in-house (typically short to medium runs)

Representative Printers: QuickLabel desktop printers, QL120/125, QL300, QL900

•

Mail and Sheet /Flat Pack Printers:

Target Customers: OEMs and channels active in direct mail and transactional print

Representative Printers: AJ-180, AJ-500P, AJ-SP2

•

Professional Label Printers: Expanded market with MTEX acquisition:

Target Customers: Higher volume brand owners and professional printing houses (label converters) looking to provide digitally printed labels

Representative Printers: T2C printers and the new Next-Generation QL 425, and QL-435

•

Direct to Package Printers: Expanded market with MTEX acquisition:

Target Customers: Corrugated box, wood box and paper bag makers (packaging converters or resellers) looking for high-mix medium to high volume post-printing

29Representative Printers: T3-OPX printers and the new next-generation AJ-800 wide format and AJ-1300 ultra-wide format

•

Representative Printers: T3-OPX printers and the new Next-Generation AJ-800 wide format and AJ-1300 ultra-wide format

Flexible Packaging Printers: New market with MTEX acquisition:

Target Customers: Paper and film packaging converters and co-packers looking for high volume digital pre-printing solutions for flexible packaging materials

Representative Printers: new next-generation AJ-800R, AJ-1200R dye and pigment models

The table below provides Product ID revenue by the markets in which products and services are sold for the three ~~and nine~~ months ended ~~October~~April 3130, ~~2025~~2026 and ~~November 2, 2024~~2025:

	Three MonthsEnded				Nine MonthsEnded
(In thousands)	April 30, 2026		April 30, 2025*
(In thousands)	October 31,2025		November 2,2024		October 31,2025		November 2,2024
Desktop Label Printers	$	15,466	$	15,478
Desktop Label Printers	$	16,115	$	15,408	$	46,783	$	45,977
Mail & Sheet/Flat Pack Printers		4,095		4,050
Mail & Sheet/Flat Pack Printers		4,280		3,679		12,070		11,080
Professional Label Printers		3,503		3,247
Professional Label Printers		3,636		3,423		10,389		10,900
Direct to Package/Overprint Printers		2,248		3,396
Direct to Package/Overprint Printers		2,371		3,627		7,996		8,339
Flexible Packaging Printers		47		30
Flexible Packaging Printers		79		15		179		15
Other		730		88
Other		368		165		474		356
TOTAL	$	26,089	$	26,289
TOTAL	$	26,849	$	26,317	$	77,891	$	76,667

~~Revenue~~*Prior ~~from the Product ID segment increased $0.5 million or 2.0%, in the third quarter of the current~~ year, ~~with~~amounts ~~revenue~~have ofbeen ~~$26.8~~reclassified ~~million~~from ~~compared~~amounts topreviously ~~$26.3~~reported ~~million in the same period of the prior year. The current quarter increase is primarily attributable~~ to anconform ~~increase~~classification ~~in sales of both desktop label printers and mail & sheet /flat pack printers. The increase in current quarter sales were partially offset by a $1.3 million or 34.6% decline in sales of direct~~ to ~~package/overprint printers compared to the same period in the prior year. The Product ID segment recognized~~ current ~~quarter segment operating income of $1.9 million, reflecting a profit margin of 7.0% which was flat as compared to the prior~~ year’s ~~third quarter segment profit of $1~~presentation.9 million and related margin of 7.1%. The current year third quarter segment operating margin was negatively impacted by slightly lower sales, product mix and higher costs in the current period, in part associated with non-recurring inventory and restructuring costs.

Revenue from the Product ID segment ~~increased~~decreased $10.2 million, or 10.68%, in the first ~~nine~~quarter ~~months~~ of the current year, ~~with~~to ~~revenue of~~ $7726.91 million ~~compared~~from to $7626.73 million in the ~~same~~comparable ~~period of the~~ prior year period. ~~This~~The ~~increase~~decrease ~~was~~ primarily ~~attributable~~reflected toa ~~increased~~$1.1 ~~sales~~million ofor ~~both~~33.8% ~~mail~~decrease &in ~~sheet~~the direct to package/~~flat~~overprint ~~pack~~printer ~~printers~~market sales, ~~which~~partially ~~increased~~offset by a $1.0.3 million, or 87.9%, ~~and~~increase ~~desktop~~in sales of professional label printers,. Product ~~which~~ID ~~increased~~current year first quarter sales also included a $0.87 million orcontribution ~~1.8%~~due ~~compared~~ to ~~the~~tariff ~~prior year~~mitigation. Product ~~The~~ID ~~increase~~segment inoperating ~~revenue~~income ~~for~~was ~~the~~$0.6 ~~nine~~million, ~~months~~or 2.2% of revenue, for the current -year ~~was~~first ~~partially~~quarter, ~~offset~~compared bywith ~~the~~ $0.53 million, ~~decrease~~or in1.0% ~~professional~~of ~~label~~revenue, ~~printer~~in ~~sales~~the prior-year period and ~~the~~includes non-recurring charges of $0.32 million ~~decrease~~related ~~in direct~~ to ~~package/overprint~~an ~~printer~~inventory ~~sales~~provision, $0.1 ~~The~~million ~~Product~~related IDto ~~segment~~discretionary ~~recognized~~bonus ~~current~~expense ~~year~~and ~~operating income of~~ $60.64 million, ~~reflecting~~of arestructuring ~~profit~~charges ~~margin~~in ofthe 8current-year period.~~5%.~~ Prior ~~This~~year ~~compares~~first toquarter segment operating ~~profit~~income ofwas $70.23 million and aincluded nonrecurring ~~related~~charges ~~profit margin~~ of 9$0.4%1 ~~for~~million ~~the~~related ~~first~~to ~~nine~~inventory ~~months~~step-up ofand ~~the~~$0.3 ~~prior~~million ~~year~~of restructuring charges. The ~~decrease~~current inyear ~~Product~~first IDquarter ~~segment operating~~ margin inreflected the ~~current~~effects ~~period~~of issales ~~primarily~~volume, ~~due~~product tomix ~~higher period~~ and ~~manufacturing~~cost ~~costs~~changes, ~~along~~including ~~with~~the ~~unfavorable~~impact ~~product~~of ~~mix~~the nonrecurring inventory and restructuring charges.

Aerospace

We define the primary markets we serve through our Aerospace segment as follows:

•

Aftermarket - Includes - parts, paper and repairs for the hardware we provide to the commercial, defense, regional and business jet markets

Commercial Aircraft - Customers include aircraft OEMs, Tier 1 suppliers and operators of commercial transport aircraft

•

Aftermarket - Includes parts, paper and repairs for the hardware we provide to the commercial, defense, regional and business jet markets

•

Defense - Customers include manufacturers and operators of military transport aircraft (flight deck printers and networking systems); test and launch facilities related to rockets and missiles and specialty munitions (data acquisition products)

•

Regional and Business Jet Aircraft - Customers include aircraft OEMs, and operators of regional transport aircraft and business jets

The table below provides Aerospace revenue by the markets in which products and services are sold for the three months ended April 30, 2026 and 2025:

The table below provides Aerospace revenue by the markets in which products and services are sold for the three and nine months ended October 31, 2025 and November 2, 2024:


(In thousands)	April 30, 2026		April 30, 2025*
Commercial Aircraft	$	7,247	$	4,953
Aftermarket		4,275		4,911
Defense		754		811
Regional and Business Jet Aircraft		564		396
Other		435		348
TOTAL	$	13,275	$	11,419

	Three MonthsEnded				Nine Months Ended
(In thousands)	October 31,2025		November 2,2024		October 31,2025		November 2,2024
Aftermarket	$	4,955	$	7,058	$	14,819	$	17,078
Commercial Aircraft		5,764		5,221		15,431		15,333
Defense		766		734		2,624		1,671
Regional and Business Jet Aircraft		634		993		1,461		2,294
Other		201		99		753		879
TOTAL	$	12,320	$	14,105	$	35,088	$	37,255

*Prior year amounts have been reclassified from amounts previously reported to conform classification to current year presentation.

Revenue from the Aerospace segment was $1213.3 million for the ~~third~~first quarter of the current fiscal year, ~~representing~~an aincrease of $1.89 million, or 1216.73%, ~~decrease~~from ~~compared to revenue of~~ $1411.14 million ~~for~~in the same period inof the prior year. The ~~decrease~~increase inwas ~~revenue for the current quarter is~~ primarily ~~attributable~~driven toby a $2.13 million, or 2946.83%, ~~decrease~~increase in ~~aftermarket~~commercial ~~sales~~aircraft ~~compared to the same period in the prior year as prior year~~ sales, ~~included~~reflecting ahigher ~~large~~demand ~~backlog of printheads that was fulfilled~~ during ~~third quarter of~~ the ~~prior~~current year. ~~Also~~The ~~contributing~~increase towas ~~the~~also ~~current~~supported ~~quarter~~by ~~decrease in revenue was~~ a $0.42 million, or 3642.24%, ~~decline~~increase in regional and business jet aircraft sales ~~compared to the prior year’s third quarter~~. ~~The~~These ~~current~~increases ~~quarter~~were ~~decrease was~~ partially offset by ana ~~increase in commercial aircraft sales of~~ $0.56 million, or 1013.40%, decline in aftermarket sales compared towith the prior year ~~third~~first quarter ~~sales~~. Aerospace’s ~~third quarter~~ segment operating profit for the first quarter was $43.59 million, ~~reflecting~~or a29.2% ~~profit~~of ~~margin~~revenue ofand 36included a non-recurring $0.~~8%,~~5 ~~compared~~million benefit related to ~~the~~an ~~prior~~inventory provision. Prior year ~~third~~first quarter segment operating ~~profit~~income ofwas $32.30 million, or 17.3% of revenue, and ~~operating~~included ~~profit~~non-recurring ~~margin~~restructuring charges of ~~23.~~$0%.2 ~~Despite~~million. ~~lower~~The ~~sales, the~~ increase in ~~Aerospace’s current year third quarter~~ segment operating profit and margin iswas ~~due~~primarily attributable to higher sales, favorable product mix, and lower manufacturing and operating costs.

Revenue from the Aerospace segment was $35.1 million for the first nine months of the current fiscal year, representing a $2.2 million or 5.8% decrease compared to revenue of $37.3 million for the same period as the prior year. The decrease in revenue for the first nine months of the current fiscal year is primarily attributable to a decline in sales in our aftermarket, regional and business jet aircraft, and other markets totaling $3.2 million compared to the same period in the prior year primarily due to a large backlog of printheads that was fulfilled during the third quarter of the prior year. The decrease in Aerospace revenue in the first nine months of the current fiscal year was partially offset by a $1.0 million or 57.0% increase in defense market sales. Aerospace’s segment operating profit for the first nine months of the current year was $9.7 million, reflecting a profit margin of 27.7%, compared to the first nine months of the prior fiscal year’s segment operating profit of $8.8 million and operating profit margin of 23.6%. Despite lower sales, the increase in Aerospace’s current year segment operating profit and related margin is due to product mix and lower manufacturing and operating costs. 26

Liquidity and Capital Resources

Overview

Our primary sources of liquidity have been cash generated from operating activities and borrowings under our revolving credit facility. These sources have also usually funded the majority of our capital expenditures and contractual contingent consideration obligations. We have funded acquisitions by borrowing under bank term loan and revolving credit facilities.

We believe cash flow generation from operations and available unused credit capacity under our revolving credit facility will support our anticipated needs. Additionally, as discussed below, on October 31, 2025, we amended our credit agreement with Bank of America to, among other things, extend the maturity date of the revolving credit facility thereunder and the amortization schedule and final maturity dates of the term loans thereunder.

At ~~October~~April 3130, ~~2025~~2026, our cash and cash equivalents were $34.67 million. We have borrowed $1715.90 million on our revolving line of credit with Bank of America and have $912.65 million available for borrowing under that facility as of ~~October~~April 3130, ~~2025~~2026. Additionally, MTEX has a ~~EUR~~ €0.5 million ($0.6 million) available line of credit with Caixa Central de Crédito Agricola Mutuo. ~~This~~which ~~credit~~will ~~line~~terminate ~~was established~~ in ~~December~~June ~~2023 and is renewable every six months~~2026. There is $0.34 million outstanding on this line of credit as of ~~October~~April ~~31, 2025~~2026.

Indebtedness

Term Loans and Revolving Credit Loans

The Amended Credit Agreement requires that the Term Loan be paid in quarterly installments on the last day of each fiscal quarter of the Company (commencing with the fiscal quarter ending January 31, 2026) through July 31, 2028, in the principal amount of $500,000 each, and the entire then-remaining principal balance of the Term Loan is required to be paid on August 4, 2028. The Amended Credit Agreement requires that the Term A-2 Loan be paid in monthly installments on the last day of each calendar month of the Company (commencing with November 2025) through July 31, 2035, in the principal amount of $40,500 each, and the entire then-remaining principal balance of the Term A-2 Loan is required to be paid on August 4, 2035. We may voluntarily prepay the Term Loan or the Term A-2 Loan, in whole or in part, from time to time without premium or penalty (other than customary breakage costs, if applicable). We may repay borrowings under the revolving credit facility at any time without premium or penalty (other than customary breakage costs, if applicable), but in any event no later than August 4, 2028, and any outstanding revolving loans thereunder will be due and payable in full, and the remainder of the revolving credit facility will terminate, on such date. We may reduce or terminate the revolving credit facility at any time, subject to certain thresholds and conditions, without premium or penalty.

32As under the Existing Credit Agreement, the loans under the Amended Credit Agreement are subject to certain mandatory prepayments, subject to various exceptions, from (a) net cash proceeds from certain dispositions of property, (b) net cash proceeds from certain issuances of equity, (c) net cash proceeds from certain issuances of additional debt and (d) net cash proceeds from certain extraordinary receipts. If the revolving credit facility commitment is terminated in full for any reason (whether by scheduled maturity, required prepayment, acceleration, demand, optional termination, or otherwise), we are required to prepay the Term A-2 Loan in full concurrently with such termination.

~~required~~Amounts ~~prepayment,~~repaid ~~acceleration,~~under ~~demand,~~the ~~optional~~revolving ~~termination,~~credit orfacility ~~otherwise),~~may webe ~~are~~reborrowed, ~~required~~subject to ~~prepay~~our continued compliance with the Amended Credit Agreement. No amount of the Term Loan or the Term A-2 Loan inthat ~~full~~is ~~concurrently~~repaid ~~with~~may ~~such~~be ~~termination~~reborrowed.

~~Amounts~~The ~~repaid~~Term ~~under~~Loan, the Term A-2 Loan and revolving credit ~~facility~~loans ~~may~~bear beinterest ~~reborrowed,~~at ~~subject~~a rate per annum equal to ~~continued~~the ~~compliance~~Term ~~with~~SOFR rate as defined in the Amended Credit Agreement. No(or, ~~amount~~in the case of ~~the~~revolving ~~Term~~credit ~~Loan~~loans denominated in Euros or another currency other than U.S. Dollars, the ~~Term~~applicable ~~A-2~~quoted ~~Loan~~rate), plus a margin that isvaries ~~repaid~~within ~~may~~a range of 1.60% to 3.25% based on our consolidated leverage ratio, In addition to certain other fees and expenses that are required to be ~~reborrowed~~paid by us to the Lender, we are required to pay a commitment fee on the undrawn portion of the revolving credit facility that varies within a range of 0.15% and 0.40% based on our consolidated leverage ratio.

~~The~~We ~~Term~~must ~~Loan,~~comply ~~the~~with ~~Term~~various ~~A-2~~customary ~~Loan~~financial and ~~revolving~~non-financial ~~credit~~covenants ~~loans~~under ~~bear~~the ~~interest~~Amended atCredit aAgreement, ~~rate~~certain ~~per~~provisions ~~annum~~of ~~equal~~which ~~to,~~covenants atwere ~~our~~modified ~~option,~~by ~~(a)~~ the ~~Term~~Amendment. ~~SOFR~~The ~~rate~~financial ascovenants ~~defined~~under in the Amended Credit Agreement ~~(or,~~consist inof ~~the~~a ~~case~~maximum ofconsolidated ~~revolving~~leverage ~~credit~~ratio ~~loans~~that ~~denominated~~is intested ~~Euros~~on orthe ~~another~~last ~~currency~~day ~~other~~of ~~than~~each ~~U.S.~~fiscal ~~Dollars,~~quarter of the ~~applicable~~Company ~~quoted~~and ~~rate),~~a ~~plus~~minimum aconsolidated ~~margin~~fixed ~~that~~charge ~~varies~~coverage ~~within~~ratio athat ~~range~~is oftested ~~1.60%~~on tothe ~~3.25%~~last ~~based~~day onof ~~our~~each ~~consolidated~~fiscal ~~leverage~~quarter ~~ratio,~~of ~~(b)~~the Company; the ~~Daily~~minimum ~~Floating~~consolidated ~~Term~~interim ~~SOFR~~fixed ~~rate~~charge ascoverage ~~defined~~ratio inunder the ~~Amended~~Existing Credit Agreement ~~(or,~~was ineliminated by the ~~case~~Amendment. ofThe ~~revolving~~primary ~~credit~~non-financial ~~loans~~covenants ~~denominated~~limit inour ~~Euros~~and orour ~~another~~subsidiaries’ ~~currency~~ability ~~other~~to ~~than~~incur ~~U.S.~~future ~~Dollars~~indebtedness, ~~the~~to ~~applicable~~place ~~quoted~~liens ~~rate)~~on assets, ~~plus~~to apay ~~margin~~dividends ~~that~~or ~~varies~~distributions ~~within~~on aour ~~range~~or oftheir ~~1.60%~~capital stock, to ~~3.25%~~repurchase ~~based~~or onacquire our ~~consolidated~~or ~~leverage~~their ~~ratio~~capital orstock, ~~(c)~~to aconduct ~~fluctuating~~mergers ~~reference~~or ~~rate~~acquisitions, ~~equal~~ to ~~the~~sell ~~highest~~assets, ofto ~~(i)~~alter ~~the~~our ~~federal~~or ~~fund~~their ~~rate~~capital ~~plus 0.50%~~structure, ~~(ii)~~to ~~Bank~~make ofinvestments ~~America’s~~and ~~publicly announced prime rate~~loans, ~~(iii)~~to change the ~~Term~~nature ~~SOFR~~of ~~Rate~~our ~~plus 1.00%,~~ or ~~(iv)~~their ~~0.50%~~business, ~~plus~~and ~~a margin that varies within a range of 0.60%~~ to ~~2.25%~~prepay ~~based~~subordinated onindebtedness, ~~our~~in ~~consolidated~~each ~~leverage~~case ~~ratio.~~subject ~~In addition~~ to certain ~~other~~exceptions ~~fees~~ and ~~expenses~~thresholds ~~that~~as ~~are~~set ~~required~~forth toin bethe ~~paid~~Amended byCredit usAgreement. As toof ~~the~~April ~~Lender~~30, 2026, we ~~are~~believe ~~required~~we toare ~~pay~~in acompliance ~~commitment~~with ~~fee~~all onof ~~the~~our ~~undrawn~~covenants ~~portion~~in of the ~~revolving~~Amended ~~credit~~Credit ~~facility that varies within a range of 0~~Agreement.~~15%~~ ~~and 0.40% based on our consolidated leverage ratio.~~

We must comply with various customary financial and non-financial covenants under the Amended Credit Agreement, certain provisions of which covenants were modified by the Amendment. The financial covenants under the Amended Credit Agreement consist of a maximum consolidated leverage ratio that is tested on the last day of each fiscal quarter of the Company and a minimum consolidated fixed charge coverage ratio that is tested on the last day of each fiscal quarter of the Company; the minimum consolidated interim fixed charge coverage ratio under the Existing Credit Agreement was eliminated by the Amendment. The primary non-financial covenants limit our and our subsidiaries’ ability to incur future indebtedness, to place liens on assets, to pay dividends or distributions on our or their capital stock, to repurchase or acquire our or their capital stock, to conduct mergers or acquisitions, to sell assets, to alter our or their capital structure, to make investments and loans, to change the nature of our or their business, and to prepay subordinated indebtedness, in each case subject to certain exceptions and thresholds as set forth in the Amended Credit Agreement. As of October 31, 2025, we believe we are in compliance with all of our covenants in the Amended Credit Agreement.

In connection with our May 6, 2024 acquisition of MTEX, we assumed certain financing obligations that remain outstanding as of April 30, 2026. These obligations include a term loan (the “MTEX Term Loan”) under an agreement dated December 22, 2023 between MTEX and Caixa Central de Crédito Agrícola Mútuo.

As of April 30, 2026, the MTEX Term Loan had an outstanding balance of €1.3 million ($1.5 million). The loan bears interest at the 12-month EURIBOR plus 2% and requires monthly principal and interest payments of approximately €17,000 ($20,000). The loan is scheduled to be repaid in full in May 2026.

MTEX also has interest-free loans from Portuguese government agencies (the “MTEX Government Grant Term Loans”), which are required to be repaid. As of April 30, 2026, the outstanding balance of the MTEX Government Grant Term Loans was €0.1 million ($0.1 million), substantially all of which is classified as short-term debt. These loans remain interest-free provided scheduled principal payments are made. If payment terms are renegotiated, interest is applied at a rate established by the applicable government agency at the renegotiation date and added to the outstanding balance. The loans have varying maturity dates through January 2027.

Equipment Financing

In January 2024, we entered into a secured equipment loan facility agreement with Banc of America Leasing & Capital, LLC and borrowed the principal amount of $0.8 million thereunder for the financing of our purchase of production equipment. The loan matures on January 23, 2029, and bears interest at a fixed rate of 7.06%.

~~Assumed Financing Obligations of MTEX~~28

In connection with the purchase of MTEX, we assumed certain existing financing obligations of MTEX that remain outstanding as of October 31, 2025. The long-term debt obligations of MTEX that remain outstanding include a term loan (the “MTEX Term Loan”) pursuant to the agreement dated December 22, 2023 (the “MTEX Term Loan Agreement”) between MTEX and Caixa Central de Crédito Agricola Mutuo. The remaining balance for the MTEX Term Loan is EUR 1.4 million ($1.6 million) at October 31, 2025. The MTEX Term Loan requires monthly principal and interest payments approximately EUR 17,000 ($20,000) continuing through maturity on December 21, 2033, and bears interest at a rate per annum equal to the EURIBOR 12-month rate plus a 2% margin.

MTEX has also received government assistance in the form of interest-free loans from government agencies located in Portugal (the “MTEX Government Grant Term Loans”). The MTEX Government Grant Term Loans are to be repaid to the applicable government agencies and are classified as long-term debt. The current balance of the MTEX Government Grants Term Loans as of October 31, 2025 is EUR 0.3 million ($0.4 million). The MTEX Government Grant Term Loans provide interest-free financing so long as monthly principal payments are made. In the event that MTEX and the applicable government agency renegotiate the payment dates, interest will be calculated according to a rate determined by the government agency as of the date of renegotiation and added to the outstanding principal payments. The MTEX Government Grant Term Loans outstanding as of October 31, 2025 mature at different dates through January 2027.

Additionally, we assumed short-term financing obligations of MTEX including letters of credit, maturing term loans, and financing arrangements for working capital classified as debt. As of October 31, 2025, all of these short-term financing obligations assumed have been paid and none remain outstanding.

Cash Flow

Our statements of cash flows for the ~~nine~~three months ended ~~October~~April 3130, ~~2025~~2026 and ~~November 2~~2025, ~~2024,~~ are included in Part I, Item 1 of this Quarterly Report on Form 10-Q. Net cash provided by operating activities was $83.10 million for the first ~~nine~~three months of fiscal ~~2026~~2027 compared to $24.34 million for the same period of the previous year. ~~Despite~~While ~~the~~we ~~shift~~shifted from a net ~~income~~loss to a net ~~loss~~income position, ~~the increase in~~ net cash provided by operations for the first ~~nine~~three months of the current year isdecreased as compared to the prior year first quarter primarily due to the ~~increased~~decreased cash ~~provided~~required byfor working capital. The combination of changes in accounts receivable, inventory, income taxes payable, accounts payable, accrued expenses and deferred revenue increased cash by $30.67 million for the first ~~nine~~three months of fiscal ~~2026~~2027, compared to aan ~~decrease~~increase of $23.02 million for the same period in fiscal ~~2025~~2026.

Our accounts receivable balance ~~decreased~~increased to $2021.46 million at the end of the ~~third~~first quarter of fiscal ~~2026~~2027 compared to $2119.20 million at year end. Days sales outstanding for the ~~third~~first quarter of the current year ~~decreased~~increased to 4849 days compared to 5146 days at year end. Our inventory balance ~~decreased~~of to $4543.19 million at the end of the ~~third~~first quarter of fiscal ~~2026,~~2027 increased slightly compared to $4743.93 million at year end~~, reflecting our strategic decision to reduce advance purchasing intended to mitigate lead-time and availability risks while focusing on utilizing and managing existing inventory~~. Inventory days on hand ~~decreased~~increased to ~~174~~159 days at the end of the current quarter from ~~175~~153 days at year end.

Our cash position at ~~October~~April 3130, ~~2025~~2026 was $34.67 million compared to $54.1 million at year end. The ~~decrease~~increase in cash during the current quarter was primarily a result of cash provided by operations, which was partially offset by cash outflows during the current year, which primarily included net payments on our long-term debt and revolving credit facility of $81.6 million, and payment of our guaranteed royalty obligation of $1.0 ~~million, and cash used for capital expenditures of $0~~.24 million. ~~This decrease in cash was offset by cash provided by operations.~~

Contractual Obligations, Commitments and Contingencies

There have been no material changes to our contractual obligations as disclosed in our Annual Report on Form 10-K for the fiscal year ended January 31, ~~2025~~2026, other than those occurring in the ordinary course of business.

Critical Accounting Policies, Estimates and Certain Other Matters

The preparation of our condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and disclosure of commitments and contingencies at the date of the condensed consolidated financial statements and reported amounts of revenue and expenses during the reporting period. We base these estimates and judgments on factors we believe to be relevant, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources.

The process of determining significant estimates is fact-specific and takes into account factors such as historical experience, current and expected economic conditions, product mix, and in some cases, actuarial and appraisal techniques. We constantly re-evaluate these significant factors and make adjustments where facts and circumstances dictate.

While we believe that the factors considered provide a meaningful basis for the accounting policies applied in the preparation of the condensed consolidated financial statements, we cannot guarantee that our estimates and assumptions will be accurate. As the determination of these estimates requires the exercise of judgment, actual results may differ from those estimates, and such differences may be material to our condensed consolidated financial statements. There have been no material changes to the application of critical accounting policies as disclosed in our Annual Report on Form 10-K for the fiscal year ended January 31, ~~2025~~2026.

Cautionary Note Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact but rather reflect our current expectations concerning future events and results. We generally use the words “believes,” “expects,” “intends,” “plans,” “anticipates,” “likely,” “continues,” “may,” “will,” and similar expressions to identify forward-looking statements. Such forward-looking statements, including those concerning our expectations, involve risks, uncertainties and other factors, some of which are beyond our control, which may cause our actual results, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. Factors which could cause actual results to differ materially from those anticipated include, but are not limited to (a) general economic, financial, industry and business conditions; (b) declining demand in the test and measurement markets, especially defense and aerospace; (c) our ability to develop and introduce new products and achieve market acceptance of these products; (d) our dependance on contract manufacturers and/or single or limited source suppliers; (e) competition in the specialty printer or data acquisition industries; (f) our ability to control our cost structure; (g) our ability to adequately enforce and protect our intellectual property, defend against assertions of infringement or loss of certain licenses; (h) the risk of incurring liabilities as a result of installed product failures due to design or manufacturing defects; (i) the risk of a material security breach of our information technology system or cybersecurity attack impacting our business and our relationship with customers; (j) our ability to attract, develop and retain key employees and manage human capital resources; (k) we may be required to record additional charges to future earnings if our goodwill or intangible assets become further impaired; (l) changes to United States tariff and import/export regulations and potential countermeasures; (m) economic, political and other risks associated with international sales and operations and the impact of changes in foreign currency exchange rates on the results of operations; (n) changes in tax rates or exposure to additional income tax liabilities; (o) our ability to comply with our current credit agreement or secure alternative financing and to otherwise manage our indebtedness; (p) our substantial indebtedness may limit the cash flow available for our operations and exposes us to risks; (q) our ability to successfully integrate and realize the expected benefits from MTEX, Astro Machine and other acquisitions and realize benefits from divestitures; (r) our ability to maintain adequate self-insurance accruals or insurance coverage for employee health care benefits; (s) our compliance with customer or regulators certifications and our compliance with certain governmental laws and regulations; (t) our ability to achieve and maintain effective internal controls and procedures over financial reporting; (u) the risk that we may not successfully execute or achieve the expected benefits of our restructuring plan for our Product Identification segment; and (v) all other risks included under “Item 1A-Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended January 31, 2025. We assume no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.

develop and retain key employees and manage human capital resources; (k) we may be required to record additional charges to future earnings if our goodwill or intangible assets become further impaired; (l) changes to United States tariff and import/export regulations and potential countermeasures; (m) economic, political and other risks associated with international sales and operations and the impact of changes in foreign currency exchange rates on the results of operations; (n) changes in tax rates or exposure to additional income tax liabilities; (o) our ability to comply with our current credit agreement or secure alternative financing and to otherwise manage our indebtedness; (p) our substantial indebtedness may limit the cash flow available for our operations and exposes us to risks; (q) our ability to successfully integrate and realize the expected benefits from MTEX and other acquisitions and realize benefits from divestitures; (r) our ability to maintain adequate self-insurance accruals or insurance coverage for employee health care benefits; (s) our compliance with customer or regulators certifications and our compliance with certain governmental laws and regulations; (t) our ability to achieve and maintain effective internal controls and procedures over financial reporting; (u) the risk that we may not successfully execute or achieve the expected benefits of our restructuring plan for our Product Identification segment; and (v) all other risks included under “Item 1A-Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended January 31, 2026. We assume no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

Our primary financial market risks consist of foreign currency exchange rates risk and the impact of changes in interest rates that fluctuate with the market on our variable rate credit borrowings under our existing credit agreement.

Foreign Currency Exchange Risk

The functional currencies of our foreign subsidiaries and branches are the local currencies—the British Pound in the U.K., the Canadian Dollar in Canada, the Danish Kroner in Denmark, the Chinese Yuan in China, and the Euro in France, Germany and Portugal. We are exposed to foreign currency exchange risk as the functional currency financial statements of foreign subsidiaries are translated to U.S. dollars. The assets and liabilities of our foreign subsidiaries having a functional currency other than the U.S. dollar are translated into U.S. dollars at the exchange rate prevailing at the balance sheet date, and at an average exchange rate for the reporting period for revenue and expense accounts. The cumulative foreign currency translation adjustment is recorded as a component of accumulated other comprehensive income (loss) in shareholders’ equity. The reported results of our foreign subsidiaries will be influenced by their translation into U.S. dollars by currency movements against the U.S. dollar. Our primary currency translation exposure is related to our subsidiaries that have functional currencies denominated in Danish Kroner and the Euro. A hypothetical 10% change in the rates used to translate the results of our foreign subsidiaries would result in an increase or decrease in our consolidated net income of less than $0.51 million for the quarter ended ~~October~~April 3130, ~~2025~~2026.

Transactional exposure arises where transactions occur in currencies other than the functional currency. Transactions in foreign currencies are recorded at the exchange rate prevailing at the date of the transaction. The resulting monetary assets and liabilities are translated into the appropriate functional currency at exchange rates prevailing at the balance sheet date and the resulting gains and losses are reported as foreign exchange gain (loss) in the consolidated statements of income. Foreign exchange losses resulting from transactional exposure were less than $0.1 million for the ~~nine~~three months ended ~~October~~April 3130, ~~2025~~2026.

~~During~~Interest ~~the~~Rate ~~nine months ended October 31, 2025, there were no material changes to our interest rate risk disclosures as set forth in Part II, Item 7A “Quantitative and Qualitative Disclosures About Market~~ Risk~~” in our Annual Report on Form 10-K for the year ended January 31, 2025.~~

35During the three months ended April 30, 2026, there were no material changes to our interest rate risk disclosures as set forth in Part II, Item 7A “Quantitative and Qualitative Disclosures About Market Risk” in our Annual Report on Form 10-K for the year ended January 31, 2026.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Our management has evaluated, under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, the effectiveness of our disclosure controls and procedures as of the end of the period covered by this report pursuant to Rule 13a-15(b) under the Securities Exchange Act of 1934, as amended (“Exchange Act”). Based on that evaluation, our Chief Executive Officer and our Chief Financial Officer have concluded that, as of the end of the period covered by this report, our disclosure controls and procedures are effective in ensuring that information required to be disclosed in our Exchange Act reports is (1) recorded, processed, summarized and reported in a timely manner, and (2) accumulated and communicated to our management, including our Chief Executive Officer and our Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

Changes in Internal Control over Financial Reporting

There were no changes in our internal control over financial reporting identified in connection with the evaluation required by Rules 13a-15(d) and 15d-15(d) of the Exchange Act that occurred during the fiscal quarter ended ~~October~~April 3130, ~~2025,~~ 2026 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

PART II. OTHER INFORMATION

Item 1. Legal Proceedings

On March 11, 2025, Effort Premier Solutions LDA (“Effort”) and Elói Serafim Alves Ferreira initiated arbitration proceedings against us and our subsidiary AstroNova Portugal, Unipessoal, Lda. ~~before~~(“AstroNova Portugal”) in the Arbitration Center located in Oporto, Portugal (the “Arbitration Court”). The claim alleges, among other things, breaches of the MTEX acquisition agreement and damage to Mr. Ferreira’s professional reputation.

On ~~March~~May 3115, ~~2025~~2026, we, ~~filed~~together awith ~~preliminary~~AstroNova ~~response~~Portugal ~~rejecting these claims~~ and ~~formally~~MTEX., ~~notified~~entered ~~the~~into ~~Arbitration~~a ~~Center~~settlement ofagreement ~~our~~with ~~intention to file counterclaims for~~Effort, ~~among~~Mr. ~~other~~Ferreira ~~things,~~and ~~breaches~~Atlantiprestígio ofto ~~the~~resolve ~~MTEX~~all ~~acquisition~~claims ~~agreement.~~arising ~~The~~out ~~Arbitration~~of ~~Court has been constituted,~~ and ~~procedural~~relating ~~rules~~to ~~were agreed upon at~~ the ~~initial~~MTEX ~~meeting on May 28, 2025~~acquisition.

~~Effort~~Under and Mr. Ferreira submitted their formal claim against us and our subsidiary, AstroNova Portugal, Unipessoal, Lda. on June 30, 2025. We filed our response and counterclaim on September 15, 2025. Effort and Mr. Ferreira have asserted claims against us for damages in the ~~amount~~terms of ~~Euro 5.2 million ($6.0 million as of October 31, 2025) in respect of alleged breaches of~~ the MTEX acquisition agreement, as well damages in an unspecified amount in respect of alleged damage to Mr. Ferreira’s professional reputation. Mr. Ferreira also requested that the Arbitration Court order us to release him and his spouse as guarantors of certain of MTEX’s indebtedness or, in the alternative, to pay damages in an unspecified amount in relation thereto. Pursuant to our counterclaims, we asserted claims for damages against Effort and Mr. Ferreira in the amounts of Euro 22.3 million ($25.8 million as of October 31, 2025) in respect of breaches by Effort and Mr. Ferreira of the MTEX acquisition agreement, as well as additional damages, which cannot be quantified at this time, related to certain claims asserted against MTEX by its customers. Subsequent replies were exchanged through October 31, 2025. Both parties have requested evidence production, and a preliminary hearing will follow to address disputed facts and evidentiary matters. We believe that the claims asserted against us by Effort and Mr. Ferreira are without merit and we intend to continue vigorously to defend those claims and to prosecute our counterclaims. The evidentiary process and hearings are planned over the next six months, and any ruling is not expected until the first half of calendar year 2026.settlement:

•

~~Other~~Atlantiprestígio ~~than~~will ~~the~~transfer ~~above,~~to ~~there~~AstroNova ~~are~~Portugal noan ~~other~~industrial ~~pending~~property orlocated ~~threatened~~in ~~legal~~Porto, ~~proceedings~~Portugal, ~~against~~currently usleased ~~that~~by ~~we believe to be material to our financial position or results of operations.~~ MTEX:

•

The parties agreed to a value of €2.5 million for the property;

•

Atlantiprestígio will waive amounts due under the related lease:

•

We will cause the release of certain personal guarantees provided by Mr. Ferreira and spouse;

•

The parties agreed to mutual releases of claims and allocation of arbitration costs; and

•

The arbitration proceeding and related legal actions will be terminated upon final registration of the property in the name of AstroNova Portugal.

As a result of the settlement, we no longer expect the arbitration or related proceedings to proceed to adjudication, subject to completion of the required property registration.

There are no other pending or threatened legal proceedings against us that we believe to be material to our financial position or results of operations.

Item 1A. Risk Factors

In addition to the other information set forth in this Quarterly Report on Form 10-Q, one should carefully consider the factors discussed in Part I, Item 1A “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended January 31, ~~2025~~2026, which could materially affect our business, financial condition or future operating results. The risks described in our Annual Report on Form 10-K are not the only risks that could affect our business, as additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial condition and/or operating results as well as adversely affect the value of our common stock.

IfThere wehave ~~are~~been ~~unable~~no tomaterial ~~comply~~updates ~~with~~to ~~our~~the ~~credit~~risk ~~agreement~~factors ~~with~~previously ~~Bank~~disclosed ofin ~~America~~our orAnnual ~~secure~~Report ~~alternative~~on ~~financing,~~Form ~~our~~10-K ~~business~~for ~~and~~the ~~financial~~fiscal ~~condition~~year ~~could~~ended beJanuary ~~materially~~31, ~~adversely affected~~2026.

~~Our credit agreement with Bank of America, N.A. (as amended through October~~ 31~~, 2025, the “Amended Credit Agreement”) requires us, among other things, to satisfy certain financial ratios on an ongoing basis, consisting of a maximum consolidated leverage~~

ratio and a minimum consolidated fixed charge coverage ratio. We are also required to comply with other covenants and conditions set forth in our Amended Credit Agreement, including, among others, limitations on our and our subsidiaries’ ability to incur future indebtedness, to place liens on assets, to pay dividends or distributions on our or their capital stock, to repurchase or acquire our or their capital stock, to conduct mergers or acquisitions, to sell assets, to alter our or their capital structure, to make investments and loans, to change the nature of our or their business, and to prepay subordinated indebtedness, in each case subject to certain exceptions and thresholds as set forth in the Amended Credit Agreement. At October 31, 2025, we believe were in compliance with the Amended Credit Agreement, which governs our outstanding term loans and revolving credit facility. In prior quarters, when we were not in compliance with our credit agreement, we have been able to obtain from Bank of America waivers or amendments that addressed the associated events of default. However, there can be no assurance that we would be able to renegotiate the terms of our Amended Credit Agreement (or any successor credit agreement) in the event of further covenant violations or other events of default thereunder. If, in the future, we were to violate the terms of the Amended Credit Agreement (or any successor credit agreement) and we were unable to renegotiate its terms at that time or secure alternative financing, it could have a material adverse impact on us.

Tariffs and other trade restrictions may have an adverse impact on our business, operations and financial results.

We source materials from, manufacture products in, and sell products to foreign countries. As a result, the price and availability of our products is susceptible to international trade risks and other international conditions. Countries may impose, modify, and remove tariffs and other trade restrictions in response to a diverse array of factors, including global and national economic and political conditions, which make it impossible for us to predict future developments regarding tariffs and other trade restrictions. For example, the U.S. government has in recent years imposed increased tariffs on imports from certain foreign countries, such as China, and any imposition of additional tariffs by the United States could result in the adoption of tariffs by other countries, leading to a global trade war. Any such future tariffs by the United States or other countries could have a significant impact on our business, operating results and financial condition.

Tariffs have increased and may in the future continue to increase our cost of materials, which could require us to raise the prices we charge to our customers. Such price increases may reduce demand for our products and may not fully offset the impact of tariffs, potentially lowering our margins. If the United States government imposes additional tariffs or increases existing tariffs, or if additional tariffs or trade restrictions are implemented by other countries, these actions could significantly disrupt our supply chain, negatively affect customer demand, and adversely impact our business, financial condition, and results of operations.

There have been no other material updates to the risk factors previously disclosed in our Annual Report on Form 10-K for the fiscal year ended January 31, 2025.

Item 2. Unregistered Sales of Equity Securities, Use of Proceeds, and Issuer Purchases of Equity Securities

During the ~~third~~first quarter of fiscal ~~2026~~2027, we made the following repurchases of our common stock:

	Total Numberof SharesRepurchased			WeightedAveragePrice paidPer Share			Total Number ofShares Purchased asPart of PubliclyAnnounced Plans orPrograms		Maximum Numberof Shares ThatMay Be PurchasedUnder the Plansor Programs
August 1 - August 31		—		$	—			—		—
February 1 - February 28		—		$	—			—		—
September 1 - September 30		330	(a)	$	10.37	(a)		—		—
March 1 - March 31		6,441	(a)	$	8.29	(a)		—		—
October 1 - October 31		—		$	—			—		—
April 1 - April 30		11,628	(b)	$	11.87	(b)		—		—

(a)

Employees of the Company delivered ~~330~~6,441 shares of our common stock toward the satisfaction of taxes due in connection with the vesting of restricted shares. The shares delivered were valued at an average market value of $108.3729 per share and are included with treasury stock in our condensed consolidated balance sheet as of ~~October~~April 3130, ~~2025~~2026.

(b)

Employees of the Company delivered 11,628 shares of our common stock toward the satisfaction of taxes due in connection with the vesting of restricted shares. The shares delivered were valued at an average market value of $11.87 per share and are included with treasury stock in our condensed consolidated balance sheet as of April 30, 2026.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not Applicable.

Item 5. Other Information

During the three months ended ~~October~~April 3130, ~~2025~~2026, no director or officer of the Company adopted or terminated a “Rule 10b5-1 trading arrangement” or “non-rule 10b5-1 trading arrangement,” as each term is defined in item 408(a) of Regulation S-K.

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Item 6. Exhibits

3A	Restated Articles of Incorporation of the Company and all amendments thereto, filed as Exhibit 3A to the Company’s Quarterly Report on Form 10-Q for the quarter ended July 30, 2016 and incorporated by reference herein.
3B	By-laws of the Company as amended to date, filed as Exhibit 3B to the Company’s Annual Report on Form 10-K/A for the fiscal year ended January 31, 2008 (File no. 000-13200) and incorporated by reference herein.
10.1	Letter Agreement dated August 2, 2025 between the Company and Jorik Ittmann, filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K, event date July 31, 2025, filed with the SEC on August 4, 2025 and incorporated by reference herein.
10.2	Letter Agreement dated August 2, 2025 between the Company and Thomas DeByle, filed as Exhibit 10.2 to the Company’s Current Report on Form 8-K, event date July 31, 2025, filed with the SEC on August 4, 2025 and incorporated by reference herein.
10.3	Letter Agreement dated August 2, 2025 between the Company and Tom Carll, filed as Exhibit 10.3 to the Company’s Current Report on Form 8-K, event date July 31, 2025, filed with the SEC on August 4, 2025 and incorporated by reference herein.
10.4	Letter Agreement dated August 2, 2025 between the Company and Michael Natalizia, filed as Exhibit 10.4 to the Company’s Current Report on Form 8-K, event date July 31, 2025, filed with the SEC on August 4, 2025 and incorporated by reference herein.
10.5	Cooperation Agreement dated August 21, 2025 by and among the Company, Samir Patel and Askeladden Capital Management LLC, filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K, event date August 21, 2025, filed with the SEC on August 21, 2025 and incorporated by reference herein.
10.6	Sixth Amendment to Amended and Restated Credit Agreement and Waiver Agreement dated as of October 31, 2025 among AstroNova, Inc., Astro Machine Corporation and Bank of America, N.A., filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K, event date October 31, 2025, filed with the SEC on November 6, 2025 and incorporated by reference herein.
10.7	Amendment to Employment Contract dated August 11, 2025 between the Company and Padraig Finn.
31.1	Certification of Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
32.2	Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
101.INS	XBRL Instance Document—the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document
101.SCH	Inline XBRL Taxonomy Extension Schema Document
104	Cover Page Interactive Data File (embedded within the Inline XBRL document)

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	ASTRONOVA, INC.(Registrant)
Date: December 10, 2025	By	/s/ Jorik E. Ittmann
Date: June 8, 2026	By	/s/ Jorik E. Ittmann
		Jorik E. Ittmann,
		President and Chief Executive Officer
		(Principal Executive Officer)
	By	/s/ Thomas D. DeByle
		Thomas D. DeByle,
		Vice President, Chief Financial Officer and Treasurer
		(Principal Accounting Officer and Principal Financial Officer)

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