CompoSecure reported third‑quarter 2025 revenue of $120.9 million, up 13% year‑over‑year from $107.1 million in Q3 2024, and non‑GAAP net sales of $120.9 million, surpassing the consensus estimate of $117.23 million. Earnings per share were $0.29, beating the forecast of $0.2505 and representing a 15.8% increase over the prior year’s $0.25 EPS. Pro‑forma adjusted EBITDA rose 30% to $47.7 million from $36.6 million in Q3 2024, while gross margin improved to 59.0% from 51.7% year‑ago, driven by cost efficiencies from the CompoSecure Operating System.
Domestic net sales grew 31% to $105.1 million, whereas international sales fell 42% to $15.8 million, reflecting sector‑specific challenges abroad and the timing of large customer orders. Management cited strong demand from data‑center and cloud‑service customers as a key driver of domestic growth, while noting that international headwinds were largely temporary and linked to regional supply‑chain disruptions.
CompoSecure raised its full‑year 2025 guidance to non‑GAAP net sales of approximately $463 million and pro‑forma adjusted EBITDA of $165‑$170 million. The company also introduced a 2026 outlook, projecting non‑GAAP net sales of $510 million and pro‑forma adjusted EBITDA of $190 million, both figures excluding the impact of the Husky acquisition.
The company announced a planned business combination with Husky Technologies, a global manufacturer of engineered equipment and aftermarket services. The transaction is valued at approximately $7.4 billion enterprise value, with an expected closing in the first quarter of 2026. The deal is projected to be accretive to earnings per share by over 20% in the first full year post‑closing and is being financed through a $2 billion private placement and a $1 billion equity rollover from Platinum Equity, the former owner of Husky.
Strategic rationale for the combination centers on creating a diversified compounder that leverages Husky’s manufacturing expertise in injection‑molding equipment for packaging, medical, and consumer‑goods markets with CompoSecure’s fintech and security solutions. Management highlighted that the merger will expand the company’s product portfolio, broaden its geographic reach, and unlock synergies in research and development, sales, and supply‑chain operations.
Mary Holt was appointed chief financial officer, succeeding Timothy Fitzsimmons who will retire. The leadership change is expected to support the company’s expanded capital‑raising and integration efforts following the acquisition.
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