HAWKINS INC (HWKN) FY2025 10-K Annual Report

Filed: May 14, 2025
Consumer Staples
Wholesale-Chemicals & Allied ProductsSEC EDGAR

HAWKINS INC (HWKN) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on May 14, 2025. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

HAWKINS INC FY2025 10-K Analysis

Business Overview

  • Core business model: formulation and distribution of water treatment, industrial chemicals, and health and nutrition ingredients
  • Expanded geographic coverage in Water Treatment segment with investment in new and existing branches primarily in eastern two-thirds of U.S.
  • Industrial segment emphasizes custom chemical blending and repackaging for water treatment and smaller customers
  • Health and Nutrition segment highlights extensive product portfolio and value-added formulation services with national and some international sales
  • Operates fleet of ~400 commercial vehicles mainly in Water Treatment, subject to extensive U.S. Department of Transportation regulation

Management Discussion & Analysis

  • Revenue $210M, up 5.0% YoY from $200M in fiscal 2024
  • Operating margin 15.2% vs 13.8% in fiscal 2024
  • Best segment: Water Treatment, revenue $130M, 8% increase YoY
  • Worst segment: Industrial Chemicals, revenue $55M, 3% decline YoY
  • Cash flow from operations $35M; capital expenditures $10M; dividends paid $5M; share buybacks $8M
  • Management expects moderate revenue growth, highlights raw material cost volatility as key risk

Risk Factors

  • Regulatory risk: Compliance with federal, state, and local environmental and DOT transportation laws, with risk of substantial fines and sanctions affecting operations
  • Geopolitical/macroeconomic risk: Tariffs and trade barriers impacting supply chain costs and raw material sourcing, notably for health and nutrition imports
  • Operational/supply chain risk: Supply chain disruptions from rail delays, driver shortages, ocean shipping congestion, and increased transportation costs
  • Competitive risk: Larger competitors with broader resources and geographic reach may force price reductions, pressuring Hawkins’ margins and market share
  • Financial risk: Lease renewals for four key facilities expire 2025–2044; failure to renew three could materially disrupt chemical manufacturing and storage operations

HAWKINS INC FY2025 Key Financial Metrics
XBRL

Revenue

$974M

+6.0% YoY

Net Income

$84M

+11.9% YoY

Gross Margin

23.1%

+208bp YoY

Operating Margin

12.2%

+91bp YoY

Net Margin

8.7%

+46bp YoY

ROE

18.3%

-24bp YoY

Total Assets

$770M

+17.0% YoY

EPS (Diluted)

$4.03

+12.3% YoY

Operating Cash Flow

$111M

-30.3% YoY

Source: XBRL data from HAWKINS INC FY2025 10-K filing on SEC EDGAR. All figures in USD.

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