Hurco Companies Inc

Mr. Volovic continued, "We know this industry is cyclical, and we are not declaring the cycle over, but we believe the direction of our business has turned, and we intend to build on it. We will carry that momentum into IMTS in Chicago later this month, where we plan to introduce the next generation of our proprietary control technology to customers from around the world. With $52 million in cash, $167 million of working capital, and no debt, we have both the confidence and the financial strength to invest in that future to build long-term value for our shareholders."

The following table sets forth net sales and service fees by geographic region for the third fiscal quarter and nine months ended July 31, 2026, and 2025 (dollars in thousands):

European sales for the third quarter of fiscal year 2026 decreased by 12%, compared to the corresponding period in fiscal year 2025, and included a favorable currency impact of less than 1%, when translating foreign sales to U.S. dollars for financial reporting purposes. European sales for the first nine months of fiscal year 2026 decreased by 8%, compared to the corresponding period in fiscal year 2025, and included a favorable currency impact of 5%, when translating foreign sales to U.S. dollars for financial reporting purposes. The year-over-year decreases in European sales in both periods were primarily attributable to a decreased volume of shipments of Hurco machines and electro-mechanical components and accessories manufactured by our wholly-owned subsidiary in Italy, LCM Precision Technology S.r.l. (“LCM”), partially offset by an increased volume of shipments of Takumi vertical milling machines and increased sales of ProCobots automation solutions.

Asian Pacific sales for the third quarter and first nine months of fiscal year 2026 increased by 51% and 30%, respectively, compared to the corresponding prior year periods, and included an unfavorable currency impact of 3% for the third quarter and less than 1% for the nine month periods, when translating foreign sales to U.S. dollars for financial reporting purposes. The year-over-year increases in Asian Pacific sales in both periods were primarily due to increased shipments of Hurco vertical milling machines in China and Southeast Asia, as well as increased shipments of Takumi vertical milling machines and private labeled machine frames produced for third parties.

The following table sets forth new orders booked by geographic region for the third fiscal quarter and nine months ended July 31, 2026, and 2025 (dollars in thousands):

Three Months Ended