BROADWIND, INC. 8-K

What Happened

• Broadwind, Inc. (BWEN) filed an 8-K reporting that on February 4, 2026 it entered into Amendment No. 4 to its Credit Agreement with Wells Fargo Bank, N.A. (the Credit Agreement dates to August 4, 2022). The amendment changes how the lender measures the company’s Fixed Charge Coverage Ratio and adjusts what capital expenditures are excluded from “Unfinanced Capital Expenditures” for covenant calculations. On February 5, 2026 Broadwind also issued a press release with preliminary financial results for the fiscal year ended December 31, 2025 (attached as Exhibit 99.1).

Key Details

• Amendment effective February 4, 2026 to the Credit Agreement among Broadwind, certain subsidiaries and Wells Fargo Bank, N.A.
• Changes Fixed Charge Coverage Ratio measurement periods: previously covering each 12-month period ending Jan 31, 2025 through Dec 31, 2025 now applies through Oct 31, 2025, and a new 12-month period ending Nov 30, 2025 was added.
• Adjusts required Fixed Charge Coverage Ratio ranges: adds a 0.75 to 1.0 range for the 12 months ending Nov 30, 2025 and changes the Jan 31, 2026–Dec 31, 2026 requirement to a 0.75 to 1.0 range (per the amendment text).
• Designated capital expenditures are excluded from Unfinanced Capital Expenditures and those amounts are subtracted from EBITDA when calculating the Fixed Charge Coverage Ratio (improves the calculated covenant metric).

Why It Matters

• These covenant amendments relax and recalibrate how Broadwind’s key leverage/coverage covenant (Fixed Charge Coverage Ratio) is measured in late 2025 and through 2026, which can reduce the risk of technical covenant breaches in the near term. Excluding certain capital expenditures and subtracting them from EBITDA can improve the company’s covenant ratios without changing underlying operations.
• Investors should read the attached press release (Exhibit 99.1) for the company’s preliminary FY2025 financial results to see the operational and financial context for these covenant changes and assess whether liquidity and leverage trends appear improved.