pke20251130_10q.htm

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 November 30, 2025

☐	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 1-4415

PARK AEROSPACE CORP.

(Exact Name of Registrant as Specified in Its Charter)

	New York		11-1734643
	(State or Other Jurisdiction of Incorporation or Organization)		(I.R.S. Employer Identification No.)

	1400 Old Country Road, Westbury, N.Y.		11590
	(Address of Principal Executive Offices)		(Zip Code)

	(631) 465-3600
	(Registrant’s Telephone Number, Including Area Code)

	Not Applicable
	(Former Name, Former Address and Former Fiscal Year,
	if Changed Since Last Report)

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

Title of Each Class

Trading Symbol(s)

Name of Each Exchange on Which

Registered

Common Stock, par value $.10 per

PKE

New York Stock Exchange

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 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, a smaller reporting company or an emerging growth company. See 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 ☒

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: 19,925,798 as of January 7, 2026.

PARK AEROSPACE CORP. AND SUBSIDIARIES

TABLE OF CONTENTS

		Page Number
PART I.	FINANCIAL INFORMATION:

Item 1.	Financial Statements

	Condensed Consolidated Balance Sheets November 30, 2025 (Unaudited) and March 2, 2025	3

	Condensed Consolidated Statements of Operations 13 weeks and 39 weeks ended November 30, 2025 and December 1, 2024 (Unaudited)	4

	Condensed Consolidated Statements of Comprehensive Earnings 13 weeks and 39 weeks ended November 30, 2025 and December 1, 2024 (Unaudited)	5

	Condensed Consolidated Statements of Shareholders’ Equity November 30, 2025 and December 1, 2024 (Unaudited)	6

	Condensed Consolidated Statements of Cash Flows 39 weeks ended November 30, 2025 and December 1, 2024 (Unaudited)	8

	Notes to Condensed Consolidated Financial Statements (Unaudited)	9

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	19

	Factors That May Affect Future Results	27

Item 3.	Quantitative and Qualitative Disclosures About Market Risk	27

Item 4.	Controls and Procedures	27

PART II.	OTHER INFORMATION:

Item 1.	Legal Proceedings	28

Item 1A.	Risk Factors	28

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	28

Item 3.	Defaults Upon Senior Securities	28

Item 4.	Mine Safety Disclosures	28

Item 5.	Other Information	29

Item 6.	Exhibits	29

EXHIBIT INDEX		30

SIGNATURES		31

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements.

PARK AEROSPACE CORP. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Amounts in thousands)

	November 30, 2025 (unaudited)			March 2, 2025*

ASSETS
Current assets
Cash and cash equivalents	$	50,498		$	21,621
Marketable securities (Note 3)		13,060			47,213
Accounts receivable, less allowance for credit losses of $84 and $125, respectively		12,143			12,903
Inventories (Note 4)		7,636			7,213
Prepaid expenses and other current assets		1,287			1,344
Total current assets		84,624			90,294

Property, plant and equipment, net		21,764			21,650
Operating right-of-use assets (Note 5)		269			308
Goodwill and other intangible assets		9,776			9,776
Other assets		1,666			80
Total assets	$	118,099		$	122,108

LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable	$	3,259		$	2,513
Operating lease liability (Note 5)		43			40
Accrued liabilities		1,347			1,318
Income taxes payable		694			5,390
Total current liabilities		5,343			9,261

Long-term operating lease liability (Note 5)		285			318
Deferred income taxes (Note 9)		5,802			5,304
Other liabilities		77			71
Total liabilities		11,507			14,954

Commitments and contingencies (Note 12)

Shareholders' equity (Note 8)
Common stock		2,096			2,096
Additional paid-in capital		169,971			170,265
Accumulated deficit		(49,585	)		(49,550	)
Accumulated other comprehensive loss		(101	)		(665	)
		122,381			122,146
Less treasury stock, at cost		(15,789	)		(14,992	)
Total shareholders' equity		106,592			107,154
Total liabilities and shareholders' equity	$	118,099		$	122,108

* The Condensed Consolidated Balance Sheet at March 2, 2025 has been derived from the audited Consolidated Financial Statements at that date.

See Notes to Condensed Consolidated Financial Statements (Unaudited).

PARK AEROSPACE CORP. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Amounts in thousands, except per share amounts)

	13 Weeks Ended (Unaudited)				39 Weeks Ended (Unaudited)
	November 30,		December 1,		November 30,		December 1,
	2025		2024		2025		2024

Net sales	$	17,333	$	14,408	$	49,114	$	45,087
Cost of sales		11,430		10,580		33,377		32,403
Gross profit		5,903		3,828		15,737		12,684
Selling, general and administrative expenses		2,259		1,982		6,829		6,139
Earnings from operations		3,644		1,846		8,908		6,545
Storm damage charge (Note 11)		-		-		-		(1,098	)
Interest and other income		343		290		1,088		874
Earnings from operations before income taxes		3,987		2,136		9,996		6,321
Income tax provision (Note 9)		1,037		559		2,562		1,685
Net earnings	$	2,950	$	1,577	$	7,434	$	4,636

Earnings per share (Note 7)
Basic:
Basic earnings per share	$	0.15	$	0.08	$	0.37	$	0.23
Basic weighted average shares		19,911		19,982		19,902		20,150

Diluted:
Diluted earnings per share	$	0.15	$	0.08	$	0.37	$	0.23
Diluted weighted average shares		20,095		20,077		20,016		20,246

See Notes to Condensed Consolidated Financial Statements (Unaudited).

PARK AEROSPACE CORP. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE EARNINGS

(Amounts in thousands)

	13 Weeks Ended (Unaudited)						39 Weeks Ended (Unaudited)
	November 30,			December 1,			November 30,			December 1,
	2025			2024			2025			2024

Net earnings	$	2,950		$	1,577		$	7,434		$	4,636
Other comprehensive earnings, net of tax:
Unrealized gains on marketable securities:
Unrealized holding gains arising during the period		115			295			544			1,311
Unrealized losses on marketable securities:
Unrealized holding losses arising during the period		(1	)		(11	)		(16	)		(46	)
Less: reclassification adjustment for losses included in net earnings		-			1			36			41
Other comprehensive earnings		114			285			564			1,306
Total comprehensive earnings	$	3,064		$	1,862		$	7,998		$	5,942

See Notes to Condensed Consolidated Financial Statements (Unaudited).

PARK AEROSPACE CORP. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

(Amounts in thousands, except share and per share amounts)

											Accumulated
					Additional						Other
	Common Stock				Paid-in			Accumulated			Comprehensive			Treasury Stock
	Shares		Amount		Capital			Deficit			(Loss) Earnings			Shares			Amount

Balance, March 2, 2025		20,965,144	$	2,096	$	170,265		$	(49,550	)	$	(665	)		962,476		$	(14,992	)

Net earnings		-		-		-			2,080			-			-			-
Unrealized gain on marketable securities, net of tax		-		-		-			-			215			-			-
Stock options exercised		-		-		(150	)		-			-			(15,000	)		228
Stock-based compensation		-		-		88			-			-			-			-
Repurchase of treasury shares		-		-		-			-			-			166,955			(2,165	)
Cash dividends ($0.125 per share)		-		-		-			(2,499	)		-			-			-

Balance, June 1, 2025		20,965,144	$	2,096	$	170,203		$	(49,969	)	$	(450	)		1,114,431		$	(16,929	)

Net earnings		-		-		-			2,404			-			-			-
Unrealized gain on marketable securities, net of tax		-		-		-			-			235			-			-
Stock options exercised		-		-		(251	)		-			-			(55,110	)		837
Stock-based compensation		-		-		101			-			-			-			-
Cash dividends ($0.125 per share)		-		-		-			(2,482	)		-			-			-

Balance, August 31, 2025		20,965,144	$	2,096	$	170,053		$	(50,047	)	$	(215	)		1,059,321		$	(16,092	)

Net earnings		-		-		-			2,950			-			-			-
Unrealized gain on marketable securities, net of tax		-		-		-			-			114			-			-
Stock options exercised		-		-		(187	)		-			-			(19,975	)		303
Stock-based compensation		-		-		105			-			-			-			-
Cash dividends ($0.125 per share)		-		-		-			(2,488	)		-			-			-

Balance, November 30, 2025		20,965,144	$	2,096	$	169,971		$	(49,585	)	$	(101	)		1,039,346		$	(15,789	)

See Notes to Condensed Consolidated Financial Statements (Unaudited).

PARK AEROSPACE CORP. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY (continued)

(Amounts in thousands, except share and per share amounts)

										Accumulated
					Additional					Other
	Common Stock				Paid-in		Accumulated			Comprehensive			Treasury Stock
	Shares		Amount		Capital		Deficit			(Loss) Earnings			Shares		Amount

Balance, March 3, 2024		20,965,144	$	2,096	$	170,445	$	(45,374	)	$	(2,271	)		711,783	$	(11,982	)

Net earnings		-		-		-		993			-			-		-
Unrealized gain on marketable securities, net of tax		-		-		-		-			223			-		-
Stock-based compensation		-		-		89		-			-			-		-
Cash dividends ($0.125 per share)		-		-		-		(2,532	)		-			-		-

Balance, June 2, 2024		20,965,144	$	2,096	$	170,534	$	(46,913	)	$	(2,048	)		711,783

SEC Form 10-Q filed by Park Aerospace Corp.