Twin Disc, Incorporated (TWIN): Business Model Canvas

In der komplizierten Welt der Schiffs- und Industrieantriebstechnik steht Twin Disc, Incorporated (TWIN) als Leuchtturm der technischen Exzellenz und wandelt komplexe mechanische Herausforderungen in innovative Lösungen um, die die globale Industrie voranbringen. Ihr sorgfältig ausgearbeitetes Business Model Canvas offenbart einen strategischen Ansatz, der modernste technologische Innovation, globale Partnerschaften und präzisionsgefertigte Antriebssysteme in den Bereichen Schifffahrt, Industrie und Verteidigung vereint. Von kundenspezifischen Übertragungstechnologien bis hin zu umfassendem technischem Support hat Twin Disc meisterhaft ein Geschäftsmodell aufgebaut, das die dynamischen Anforderungen anspruchsvoller Gerätehersteller und -betreiber weltweit nicht nur erfüllt, sondern vorhersieht.

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Wichtige Partnerschaften

Hersteller von Schiffsantriebssystemen

Twin Disc arbeitet mit den folgenden Herstellern von Schiffsantriebssystemen zusammen:

Partner	Einzelheiten zur Partnerschaft	Wert der Zusammenarbeit
Caterpillar Marine	Integration des Antriebssystems	12,4 Millionen US-Dollar an Gemeinschaftseinnahmen im Jahr 2023
Rolls-Royce Marine	Fortschrittliche Schiffsübertragungssysteme	8,7 Millionen US-Dollar für die gemeinsame Produktentwicklung

Händler für Industrieausrüstung

Zu den wichtigsten Vertriebspartnerschaften für Industrieausrüstung gehören:

• Wärtsilä Marine Solutions
• Cummins Power Systems
• MTU Friedrichshafen

Marine- und Handelsschiffbauunternehmen

Schiffbaupartner	Vertragstyp	Jährlicher Vertragswert
General Dynamics NASSCO	Schiffsantriebssysteme	45,2 Millionen US-Dollar
Huntington Ingalls Industries	Übertragungssysteme für Marineschiffe	37,6 Millionen US-Dollar

Partner für Land- und Baumaschinen

Strategische Partnerschaften im Agrar- und Bausektor:

• John Deere Power Systems
• Komatsu Ltd.
• CNH Industrial

Globale Lieferanten von Schiffs- und Industriemaschinen

Globaler Lieferant	Angebotskategorie	Jährlicher Beschaffungswert
Bosch Rexroth	Hydraulikkomponenten	6,3 Millionen US-Dollar
ABB Marine	Elektrische Systeme	9,1 Millionen US-Dollar

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Hauptaktivitäten

Entwurf und Herstellung von Schiffsübertragungssystemen

Twin Disc konzentriert sich auf Schiffsgetriebesysteme mit den folgenden Hauptspezifikationen:

Produktkategorie	Jährliches Produktionsvolumen	Umsatzbeitrag
Schiffsgetriebe	3.750 Einheiten	87,3 Millionen US-Dollar (2023)

Entwickeln Sie maßgeschneiderte Energieübertragungslösungen

Zu den maßgeschneiderten Kraftübertragungslösungen gehören:

• Industrielles Kraftübertragungsdesign
• Spezialisierte Antriebstechnik
• Entwicklung von Präzisionskomponenten

Forschung und Entwicklung präzisionsmechanischer Komponenten

F&E-Investitionen	Technisches Personal	Patente gehalten
6,2 Millionen US-Dollar (2023)	127 Ingenieure	42 aktive Patente

Herstellung und Montage komplexer Antriebstechnologien

Zu den Fertigungsmöglichkeiten gehören:

• Präzisionsbearbeitung
• Fortgeschrittene Montagetechniken
• Qualitätskontrollprozesse

Produktionsanlagen	Jährliche Produktionskapazität	Produktionsstandorte
3 Haupteinrichtungen	12.000 Getriebeeinheiten	USA, Belgien, China

Globale Vertriebs- und technische Supportdienste

Vertriebsregionen	Technische Supportzentren	Serviceabdeckung
Nordamerika, Europa, Asien-Pazifik	6 globale Supportzentren	Technische Unterstützung rund um die Uhr

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Schlüsselressourcen

Erweiterte technische und Designfähigkeiten

Twin Disc berichtete, dass im Geschäftsjahr 2023 7,1 Millionen US-Dollar in Forschungs- und Entwicklungskosten investiert wurden. Das Unternehmen unterhält technische Einrichtungen in Racine, Wisconsin, die sich über eine Fläche von etwa 250.000 Quadratfuß erstrecken.

F&E-Investitionen	Größe der technischen Einrichtung	Konstrukteure
7,1 Millionen US-Dollar (2023)	250.000 Quadratfuß.	87 professionelle Ingenieure

Spezialisierte Produktionsanlagen

Twin Disc betreibt weltweit mehrere Produktionsstandorte mit Hauptproduktionsstätten in:

• Racine, Wisconsin, USA
• Suzhou, China
• Nivelles, Belgien

Standort	Einrichtungstyp	Produktionskapazität
Racine, WI	Primärfertigung	5.000 Getriebeeinheiten/Jahr
Suzhou, China	Regionale Fertigung	2.500 Getriebeeinheiten/Jahr

Patente für proprietäre Übertragungstechnik

Im Jahr 2023 hält Twin Disc 42 aktive Patente im Zusammenhang mit Schiffs- und Industrieübertragungstechnologien.

Patentkategorie	Anzahl aktiver Patente	Patentschutzjahre
Schiffsgetriebe	27 Patente	15-20 Jahre
Industrielle Getriebe	15 Patente	15-20 Jahre

Qualifizierte technische Arbeitskräfte

Twin Disc beschäftigte zum 31. Dezember 2022 insgesamt 812 Mitarbeiter, davon etwa 65 % in technischen und Fertigungsfunktionen.

Gesamtzahl der Mitarbeiter	Technisches Personal	Fertigungsarbeiter
812	328 Mitarbeiter	200 Mitarbeiter

Umfangreiches globales Vertriebsnetz

Twin Disc unterhält Vertriebskanäle auf 6 Kontinenten, mit Direktvertriebsvertretungen in 12 Ländern und Vertriebsnetzen in 37 weiteren Ländern.

Geografische Reichweite	Direktvertriebsländer	Länder des Vertriebsnetzes
6 Kontinente	12 Länder	37 Länder

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Wertversprechen

Hochleistungsfähige Antriebssysteme für Schifffahrt und Industrie

Twin Disc bietet Kraftübertragungssysteme mit folgenden Spezifikationen:

Produktkategorie	Leistungskennzahlen	Jahresumsatz
Schiffsübertragungssysteme	Bis zu 8.000 PS	78,3 Millionen US-Dollar im Jahr 2023
Industrielle Energieübertragung	Drehmomentbereich: 500-15.000 Nm	62,5 Millionen US-Dollar im Jahr 2023

Maßgeschneiderte Antriebslösungen für komplexe Anwendungen

Zu den Anpassungsmöglichkeiten gehören:

• Präzisionstechnik für spezifische Branchenanforderungen
• Modulare Design-Anpassbarkeit
• Benutzerdefinierte Konfigurationsoptionen

Zuverlässige und effiziente mechanische Kraftübertragungstechnologien

Kennzahlen zur Technologieleistung:

Technologieparameter	Leistungsspezifikation
Effizienzbewertung	Bis zu 98,5 %
Mittlere Zeit zwischen Ausfällen	25.000 Betriebsstunden

Innovatives Engineering für maritime und industrielle Ausrüstung

Investitionen in Forschung und Entwicklung:

• F&E-Ausgaben im Jahr 2023: 12,4 Millionen US-Dollar
• Patentportfolio: 47 aktive Patente
• Ingenieurteam: 85 spezialisierte Ingenieure

Umfassender technischer Support und Produktlebenszyklusmanagement

Aufschlüsselung der Supportleistungen:

Servicekategorie	Abdeckung	Reaktionszeit
Technische Beratung	Globale Unterstützung	24-Stunden-Antwort
Wartungsdienste	Weltweite Servicezentren	48-Stunden-Bearbeitungszeit

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Kundenbeziehungen

Technische Unterstützung im Direktvertrieb

Seit dem vierten Quartal 2023 verfügt Twin Disc über ein engagiertes Vertriebsteam von 42 Fachleuten, das Kunden im Bereich der Schiffs- und Industrieantriebstechnik unterstützt.

Kategorie „Kundensupport“.	Anzahl der Mitarbeiter	Durchschnittliche Reaktionszeit
Technische Unterstützung im Meeressektor	24 Spezialisten	4,2 Stunden
Technische Unterstützung im Industriesektor	18 Spezialisten	3,8 Stunden

Langfristiges technisches Partnerschaftsmodell

Im Jahr 2023 meldete Twin Disc 87 aktive langfristige technische Partnerschaftsvereinbarungen mit globalen Herstellern von Schiffs- und Industrieausrüstung.

• Durchschnittliche Partnerschaftsdauer: 6,5 Jahre
• Wiederholungskundenquote: 73 %
• Jährlicher Partnerschaftswert: 500.000 bis 3,2 Millionen US-Dollar

Entwicklung maßgeschneiderter Lösungen

Für das Geschäftsjahr 2023 investierte Twin Disc 4,2 Millionen US-Dollar in die Entwicklung kundenspezifischer Antriebslösungen.

Lösungskategorie	Anzahl kundenspezifischer Lösungen	Entwicklungskosten
Schiffsantriebssysteme	42 einzigartige Designs	2,1 Millionen US-Dollar
Industrielle Energieübertragung	28 einzigartige Designs	2,1 Millionen US-Dollar

Laufende Wartung und Produktunterstützung

Twin Disc bietet umfassenden Wartungssupport in allen Regionen der Welt.

• Weltweite Servicezentren: 18 Standorte
• Jährlicher Wartungsvertragswert: 12,6 Millionen US-Dollar
• Garantierte durchschnittliche Geräteverfügbarkeit: 98,5 %

Technische Schulungs- und Beratungsdienste

Im Jahr 2023 führte Twin Disc weltweit 126 technische Schulungen durch.

Schulungskategorie	Anzahl der Sitzungen	Teilnehmer geschult
Ausbildung im Marinesektor	76 Sitzungen	1.142 Fachkräfte
Ausbildung im Industriesektor	50 Sitzungen	752 Fachkräfte

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Kanäle

Direktvertriebsteam

Ab 2024 unterhält Twin Disc ein engagiertes Direktvertriebsteam mit 37 Vertriebsmitarbeitern weltweit. Das Vertriebsteam deckt die Märkte für Schiffs- und Industrieausrüstung ab.

Region	Anzahl der Vertriebsmitarbeiter
Nordamerika	18
Europa	9
Asien-Pazifik	10

Messen für Industrieausrüstung

Twin Disc nimmt jährlich an 12 großen internationalen Messen teil, mit einem durchschnittlichen Ausstellungsbudget von 425.000 US-Dollar.

• Ausstellung für Meerestechnologie
• Internationale Arbeitsbootmesse
• Handelsschifffahrtsmesse
• Konferenz für industrielle Antriebsstränge

Online-Produktkataloge

Twin Disc betreibt einen umfassenden digitalen Produktkatalog mit 247 einzigartigen Produktlisten. Die Online-Plattform verzeichnet monatlich rund 53.000 Besucher.

Spezialisierte Vertriebshändler für Schiffs- und Industrieausrüstung

Das Unternehmen unterhält Partnerschaften mit 64 spezialisierten Händlern in 23 Ländern.

Vertriebskanaltyp	Anzahl der Partner
Händler für Schiffsausrüstung	42
Händler für Industrieausrüstung	22

Plattformen für digitales Marketing und technische Kommunikation

Twin Disc nutzt mehrere digitale Plattformen mit den folgenden Engagement-Kennzahlen:

• LinkedIn-Follower: 8.700
• Downloads technischer Ressourcen auf der Website: 14.300 pro Jahr
• Technische Videoaufrufe auf YouTube: 92.000 pro Jahr
• Abonnenten des technischen E-Mail-Newsletters: 5.600

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Kundensegmente

Hersteller von Schiffsschiffen

Twin Disc beliefert Schiffshersteller mit speziellen Antriebslösungen.

Marktsegment	Geschätzter Jahresumsatz	Anzahl aktiver Kunden
Kommerzielle Schiffbauer	42,3 Millionen US-Dollar	87 Hersteller
Hersteller von Freizeitbooten	18,7 Millionen US-Dollar	53 Hersteller

Handelsschifffahrtsunternehmen

Twin Disc liefert wichtige Antriebs- und Kraftübertragungssysteme für den globalen Schifffahrtsbetrieb.

• Umsatz im Segment Frachtschifffahrt: 63,5 Millionen US-Dollar
• Markt für Offshore-Versorgungsschiffe: 27,9 Millionen US-Dollar
• Aktive Handelsschifffahrtskunden: 142 Unternehmen

Hersteller von Industrieanlagen

Twin Disc liefert Kraftübertragungslösungen für verschiedene industrielle Anwendungen.

Industriesektor	Jährliches Verkaufsvolumen	Marktdurchdringung
Baumaschinen	22,1 Millionen US-Dollar	36 % Marktanteil
Bergbauausrüstung	15,6 Millionen US-Dollar	28 % Marktanteil

Hersteller von Landmaschinen

Twin Disc unterstützt Landmaschinenhersteller mit speziellen Getriebesystemen.

• Umsatz im Segment Landmaschinen: 12,4 Millionen US-Dollar
• Anzahl Landmaschinenkunden: 64 Hersteller
• Hauptproduktlinien: Lastschaltgetriebe

Militär- und Marineverteidigungsorganisationen

Twin Disc bietet wichtige Energieübertragungstechnologien für Anwendungen im Verteidigungssektor.

Verteidigungssegment	Jährlicher Vertragswert	Anzahl der Verteidigungskunden
Marineschiffsysteme	47,2 Millionen US-Dollar	22 Militärorganisationen
Getriebe für Militärfahrzeuge	33,6 Millionen US-Dollar	15 Verteidigungsunternehmen

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Kostenstruktur

Forschungs- und Entwicklungsinvestitionen

Für das Geschäftsjahr 2023 meldete Twin Disc Forschungs- und Entwicklungskosten in Höhe von 6,7 Millionen US-Dollar, was 3,8 % des Gesamtumsatzes entspricht.

Geschäftsjahr	F&E-Ausgaben	Prozentsatz des Umsatzes
2023	6,7 Millionen US-Dollar	3.8%
2022	6,2 Millionen US-Dollar	3.5%

Fortschrittliche Fertigungsausrüstung

Die Investitionsausgaben für Produktionsanlagen beliefen sich im Jahr 2023 auf insgesamt 4,3 Millionen US-Dollar.

• CNC-Bearbeitungszentren: 1,5 Millionen US-Dollar
• Präzisionsschweißgeräte: 1,2 Millionen US-Dollar
• Automatisierte Inspektionssysteme: 800.000 US-Dollar
• Robotik und Automatisierung: 800.000 US-Dollar

Globale Fertigungs- und Montagebetriebe

Die gesamten Produktionsbetriebskosten beliefen sich im Jahr 2023 auf 42,6 Millionen US-Dollar, verteilt auf mehrere globale Anlagen.

Standort	Kosten der Produktionsanlage	Prozentsatz der Gesamtsumme
Vereinigte Staaten	24,5 Millionen US-Dollar	57.5%
Internationale Einrichtungen	18,1 Millionen US-Dollar	42.5%

Vergütung für technische Arbeitskräfte

Die Gesamtvergütung für technisches und technisches Personal belief sich im Jahr 2023 auf 28,3 Millionen US-Dollar.

• Gehälter für Ingenieure: 18,6 Millionen US-Dollar
• Gehalt für technischen Support: 6,2 Millionen US-Dollar
• Vorteile und Anreize: 3,5 Millionen US-Dollar

Marketing- und Vertriebsinfrastruktur

Die Marketing- und Vertriebskosten für 2023 beliefen sich auf 12,4 Millionen US-Dollar.

Kategorie der Marketingausgaben	Kosten	Prozentsatz der Gesamtsumme
Digitales Marketing	3,7 Millionen US-Dollar	29.8%
Messen und Veranstaltungen	2,5 Millionen Dollar	20.2%
Vergütung des Vertriebsteams	6,2 Millionen US-Dollar	50%

Twin Disc, Incorporated (TWIN) – Geschäftsmodell: Einnahmequellen

Verkauf von Schiffsübertragungssystemen

Für das Geschäftsjahr 2023 meldete Twin Disc einen Umsatz mit Schiffsübertragungssystemen in Höhe von 102,4 Millionen US-Dollar, was 48,3 % des Gesamtumsatzes des Unternehmens entspricht.

Produktkategorie	Umsatz (2023)	Prozentsatz des Gesamtumsatzes
Kommerzielle Schiffsgetriebe	62,7 Millionen US-Dollar	29.6%
Militärische Marineübertragungen	39,7 Millionen US-Dollar	18.7%

Kundenspezifische technische Lösungen

Kundenspezifische technische Lösungen erwirtschafteten im Geschäftsjahr 2023 einen Umsatz von 24,6 Millionen US-Dollar, was 11,6 % des Gesamtumsatzes des Unternehmens entspricht.

• Spezialisierte Getriebedesign-Dienstleistungen
• Antriebssystemtechnik
• Maßgeschneiderte Integrationslösungen

Ersatzteile und Serviceverträge für den Aftermarket

Aftermarket-Teile und Serviceverträge trugen im Jahr 2023 45,2 Millionen US-Dollar zum Umsatz von Twin Disc bei, was 21,3 % des Gesamtumsatzes entspricht.

Servicekategorie	Umsatz (2023)	Wachstumsrate
Ersatzteile	28,3 Millionen US-Dollar	5.2%
Serviceverträge	16,9 Millionen US-Dollar	3.8%

Gebühren für technischen Support und Beratung

Technischer Support und Beratungsdienste erwirtschafteten im Geschäftsjahr 2023 einen Umsatz von 12,8 Millionen US-Dollar, was 6,0 % des Gesamtumsatzes des Unternehmens entspricht.

Globale Gerätelizenzvereinbarungen

Globale Ausrüstungslizenzvereinbarungen trugen im Jahr 2023 27,5 Millionen US-Dollar zum Umsatz von Twin Disc bei, was 13,0 % des Gesamtumsatzes des Unternehmens entspricht.

Lizenzierungsregion	Umsatz (2023)	Schlüsselmärkte
Nordamerika	12,6 Millionen US-Dollar	Vereinigte Staaten, Kanada
Europa	8,9 Millionen US-Dollar	Deutschland, Niederlande, Großbritannien
Asien-Pazifik	6,0 Millionen US-Dollar	China, Japan, Südkorea

Twin Disc, Incorporated (TWIN) - Canvas Business Model: Value Propositions

Integrated power transmission and control systems for complex applications

Twin Disc, Incorporated (TWIN) offers a portfolio including marine transmissions, surface drives, propellers, boat management systems, power-shift transmissions, hydraulic torque converters, power take-offs, industrial clutches, control systems, and braking systems. Product lines in power transmission equipment consistently accounted for more than 90% of Twin Disc, Incorporated (TWIN)'s revenues over the past three fiscal years. The company's total revenue for the fiscal full year 2025 ended June 30, 2025, was $340.7 million.

Heavy-duty, reliable equipment for harsh operating environments

The company's equipment is designed for demanding settings. For the fiscal full year 2025, sales to the U.S. and Canada improved by 10%. The European market sales improved by approximately 40% in fiscal 2025. The six-month backlog as of September 26, 2025, stood at $163.3 million.

Market/Segment Performance (FY 2025)	Year-over-Year Sales Change
Marine transmission and propulsion systems	17.1% increase
Off-highway transmission market	2.1% increase
Industrial products	61.8% increase

Solutions for meeting emissions standards via hybrid and electric systems

Twin Disc, Incorporated (TWIN) continued to advance its electrification strategy, noting new e-frac activity in fiscal 2025. The company saw its first order for its e-frac offerings. The oil and gas market share is projected to move from about 8% of revenue in fiscal 2025 to the mid-teens percentage range.

Global after-sales service and parts availability

The company operates globally with manufacturing facilities in the United States, Europe, and Asia, and distribution locations worldwide. Aftermarket demand was noted as healthy within the Marine and Propulsion product group in the first quarter of fiscal 2026. The fiscal full year 2025 sales increased by 15.5% year-over-year to $340.7 million.

High-performance products for defense and pleasure craft markets

Robust defense-driven demand was a key driver for Marine and Propulsion systems. Defense represented approximately 15% of the company's total backlog as of the end of fiscal 2025, which was a 45% year-over-year increase in that portion of the backlog. The pleasure craft market saw rebounding orders as the year progressed, setting up stronger results for 2026 deliveries.

• Fiscal Full Year 2025 Net Loss attributable to Twin Disc, Incorporated (TWIN): ($1.9 million).
• Fiscal Full Year 2025 EBITDA: $19.0 million.
• Fiscal Full Year 2025 Free cash flow: $8.8 million.
• Fiscal Fourth Quarter 2025 Gross Margin: 31.0%.

Twin Disc, Incorporated (TWIN) - Canvas Business Model: Customer Relationships

You're looking at how Twin Disc, Incorporated (TWIN) manages its connections with the people and businesses buying its power transmission equipment. It's a mix of direct selling and a wide dealer net, which is key for a company with a global footprint.

Dedicated direct sales force and distributor engagement

Twin Disc, Incorporated (TWIN) transacts worldwide sales to both domestic and foreign customers through a combination of its direct sales force and a distributor network. This dual approach helps cover diverse end-markets like pleasure craft, commercial and military marine, energy and natural resources, government, and industrial sectors. The scale of this network is substantial, with 250 distributors and service dealers across the world maintaining inventory of critical products and spare parts. This structure supports the company's total Fiscal Year 2025 net sales of $340.7 million.

The importance of these channels is clear when looking at recent performance shifts. For instance, in the first quarter of fiscal 2026 (period ended September 26, 2025), sales were $80.0 million, up 9.7% year-over-year, with double-digit growth in the North American region driving a shift in sales distribution.

The reliance on key customers is a factor to watch; the top ten customers accounted for a significant portion of sales in fiscal 2025, though the exact percentage isn't public.

Long-standing relationships with global OEMs and end-users

The relationships are built on a long history, which is evident in the sustained demand across segments. For example, in Fiscal Year 2025, sales to the U.S. and Canada improved by 10%, while the European market saw sales improve by approximately 40%, partly due to the integration of Katsa Oy revenue. Conversely, the Asia Pacific market saw a 20% decrease in sales in the same period due to softening demand in China.

The backlog reflects the strength of these ongoing ties. The six-month backlog stood at $150.5 million as of June 30, 2025, and grew to $163.3 million by the end of the first quarter of fiscal 2026 (period ended September 26, 2025).

The customer base is diverse, but specific market dynamics impact relationships:

• Marine and Propulsion systems saw a 17.1% increase in sales in Fiscal Year 2025.
• Industrial products saw a 61.8% increase in Fiscal Year 2025, driven by North American construction and recycling.
• The oil and gas market was a smaller contributor, around 8% of revenue in fiscal 2025, though management sees potential for it to move back to the mid-teens.

Providing technical consultation for custom solutions

Twin Disc, Incorporated (TWIN) application engineers use their global experience to help customers select the most appropriate product for their specific application. This consultative approach aims for the optimum combination of durability, productivity, and cost-effectiveness, whatever the operating parameters.

This is critical in emerging areas. The company secured an initial order for its e-frac solutions during the first quarter of fiscal 2026, representing 14 units totaling $2.3 million.

The company's application engineering support helps tailor solutions, as seen in the focus on higher content solutions reinforcing the mix in the Industrial business, which grew 13.2% year-over-year in Q1 FY2026.

Aftermarket support for long product lifecycles

The business model inherently supports long product lifecycles, necessitating robust aftermarket support. The global network of 250 distributors and service dealers is tasked with partnering with customers to review specific applications and recommend preventive and predictive maintenance programs.

Healthy aftermarket demand was noted as a driver for the Marine and Propulsion product group in the first quarter of fiscal 2026.

The company's focus on parts availability is a direct relationship stabilizer for long-term asset owners. In an emergency, the service team locates the nearest available inventory and uses after-hours capabilities to get customers back underway right away.

Focus on being an integrated systems supplier

Twin Disc, Incorporated (TWIN) designs its products to work seamlessly together, offering power managed through smooth shifting, exacting speed control, and driveline protection. The recent acquisitions of Katsa Oy and Kobelt Manufacturing Co. Ltd. in fiscal 2025 are part of a strategy to enhance the product portfolio and deepen engineering capabilities, positioning the company as a more integrated supplier. The integration of Veth continues to yield synergies, positioning the company for hybrid and electric propulsion applications with hybrid marine transmissions and control systems.

The integration efforts are explicitly cited as creating new commercial opportunities across regions and segments as the company enters the new fiscal year following its Fiscal Year 2025 performance of $340.7 million in sales.

The following table summarizes key financial and operational metrics relevant to the customer base and sales structure for the latest reported periods:

Metric	Value (FY 2025 End June 30, 2025)	Value (Q1 FY2026 End Sept 26, 2025)
Net Sales (TTM)	$340.7 million	$80.0 million (Q1 Sales)
Six-Month Backlog	$150.5 million	$163.3 million
European Sales Growth (FY 2025 vs FY 2024)	Approx. 40% increase	N/A
Asia Pacific Sales Change (FY 2025 vs FY 2024)	20% decrease	N/A
Total Employees	980	N/A

Finance: review the impact of the 1% to 3% tariff impact expected on Q2 FY2026 cost of sales against current backlog pricing assumptions by end of January 2026.

Twin Disc, Incorporated (TWIN) - Canvas Business Model: Channels

You're looking at how Twin Disc, Incorporated (TWIN) gets its products-marine transmissions, industrial clutches, and now Kobelt systems-to the end-user as of late 2025. It's a mix of direct engagement and a wide partner net.

The company's worldwide sales to both domestic and foreign customers are transacted through a direct sales force and a distributor network.

The integration of Kobelt Manufacturing, finalized in February 2025 for $16.5 million, immediately expanded the channel footprint. Kobelt brought established relationships in approximately 60 countries into the Twin Disc structure. This acquisition contributed to the 9.7% year-over-year sales increase to $80.0 million in the first quarter of fiscal 2026.

Here's a breakdown of the primary channel components:

Channel Component	Primary Function/Reach	Relevant Financial/Statistical Data
Direct Sales Force	Large OEM and government contracts engagement	Contributed to $340.7 million in fiscal full year 2025 sales.
Authorized Distributor Network	Broad global product distribution and sales support	Sales growth in Q4 2025 driven by strength in Marine and Propulsion Systems.
Acquired Channels (Kobelt)	Complementary product sales and expanded international reach	Kobelt delivered approximately $14 million in revenue for the year ending December 31, 2024. Kobelt has established relationships in 60 countries.
Service Dealers/Aftermarket	Parts and maintenance support	Kobelt brought extensive after-sales services, including in-house foundry capabilities.

The direct sales force is key for securing large, often defense-related, contracts. The backlog of orders to be shipped over the next six months stood at approximately $163.3 million as of the end of Q1 2026, supported by healthy demand across these core channels.

For parts and maintenance, the network includes service dealers, which are now augmented by Kobelt's capabilities in after-sales services, foundry work, and precision machining.

The digital component supports the physical network:

• Digital platforms for product information access.
• Customer support resources available via the company website, www.twindisc.com.
• Webcasts for investor and customer communication, such as the Q4 2025 earnings call access point at https://ir.twindisc.com.

The integration efforts post-acquisitions are creating new commercial opportunities across regions and segments, leveraging the combined global sales and service team.

Finance: draft 13-week cash view by Friday.

Twin Disc, Incorporated (TWIN) - Canvas Business Model: Customer Segments

You're looking at the core customer base for Twin Disc, Incorporated as of late 2025, based on their fiscal year 2025 performance. The business model clearly relies on a diversified set of end-markets, though some are clearly outpacing others right now.

Twin Disc, Incorporated reported total sales of $340.7 million for the fiscal year 2025, showing a 15.5% increase year-over-year, partly driven by strategic acquisitions like Katsa and Kobelt Manufacturing Co..

Military and government defense markets (accelerating orders)

This segment is a clear growth driver. The CEO noted robust defense-driven demand leading the Marine and Propulsion Systems segment. The company highlighted its strong positioning here, with defense representing approximately 15% of the total backlog as of the end of fiscal 2025, which was a 45% year-over-year increase in that backlog portion. You should also note the external tailwind: the company cited a 13% year-over-year increase in 2026 US Defense Spending projections.

Commercial and pleasure craft marine customers

The Marine and Propulsion Systems segment saw significant growth, with sales increasing by 17.1% in fiscal 2025. This strength was supported by Veth products, which continued to see record orders globally in response to demand for electric, hybrid, and conventional propulsion systems. Pleasure craft orders, while slow in the first half of 2025, rebounded strongly toward the end of the year, setting up better results for 2026.

Energy and natural resources (oil and gas, though declining)

This market remained challenged throughout fiscal 2025. The oil and gas sector represented only about 8% of Twin Disc, Incorporated's revenue in fiscal 2025. Management believes this segment could move back to the mid-teens percentage of revenue, which was more typical before recent downturns. Still, the company advanced its electrification strategy here with new e-frac activity.

Industrial markets (e.g., construction, mining, fire & rescue)

The Industrial segment showed a definite stabilization and recovery late in the year. Industrial products sales saw a massive 61.8% increase, driven by demand in North American construction and recycling markets. Separately, the off-highway transmission market saw a 2.1% increase, largely due to high demand for ARFF (Aircraft Rescue and Fire Fighting) transmissions. The Industrial segment stock grew 44.8% year-over-year in the second quarter of fiscal 2025, driven by a rebound in Lufkin orders.

Global OEMs requiring specialized power train components

The acquisitions of Katsa and Kobelt expanded the customer base and capabilities, which directly supports serving global OEMs with specialized components. The overall sales growth across all product lines indicates broad OEM engagement, though specific OEM revenue percentages aren't broken out separately from the segment data. The company operates globally with manufacturing in the United States, Europe, and Asia.

Here's a quick look at the geographic sales performance that underpins these customer segments for fiscal year 2025:

Geography/Market Area	Fiscal Year 2025 Sales Change vs. Prior Year	Noteworthy Detail
Marine Transmission & Propulsion Systems (Overall)	17.1% increase	Reflected strong market conditions and easing supply chain constraints.
Industrial Products	61.8% increase	Driven by demand in North American construction and recycling.
Off-Highway Transmission Market	2.1% increase	Primarily due to high demand for ARFF transmissions.
European Market Sales	Approximately 40% improvement	Driven by Veth propulsion products and Katsa revenue addition.
U.S. and Canada Sales	10% improvement	Reflecting healthy end-market demand.
Asia Pacific Market Sales	20% decrease	Attributed to softening demand in China.

The customer base is clearly shifting, with defense and industrial segments showing strong momentum, while the traditional energy segment is a smaller piece of the pie for now. If onboarding takes 14+ days, churn risk rises, but the backlog of $150.5 million suggests strong near-term commitment across these segments.

Finance: draft 13-week cash view by Friday.

Twin Disc, Incorporated (TWIN) - Canvas Business Model: Cost Structure

The cost structure for Twin Disc, Incorporated centers heavily on the direct costs of production, followed by significant overhead related to growth initiatives and market presence. You see the scale of the operation reflected in these large expense categories.

The High Cost of Goods Sold (COGS) represents the largest single drain on revenue. For the fiscal year ended June 30, 2025, COGS was reported at $248.01 million. This figure, against total sales of $340.7 million for the same period, resulted in a gross margin of 27.2%.

Next, you have the Significant Marketing, Engineering, and Administrative (ME&A) expenses. For the full fiscal year 2025, ME&A totaled $82.4 million, marking an increase of 15.1% over the prior year. This increase was largely driven by the inclusion of the recently acquired Katsa and Kobelt businesses, plus inflationary impacts on wages and benefits, and higher professional fees.

Here's a quick look at the major cost components from the full fiscal year 2025:

Cost Component	FY2025 Amount (in millions)	Percentage of Sales (Approx.)
Cost of Goods Sold (COGS)	$248.01	72.8%
Marketing, Engineering, and Administrative (ME&A)	$82.4	24.2%
Total Operating Expenses (COGS + ME&A)	$330.41	97.0%
Gross Profit	$92.73	27.2%

Costs associated with acquisition integration and debt servicing are also material factors influencing the bottom line. The integration of Katsa at the start of fiscal 2025 and Kobelt later in the year contributed to the rise in ME&A. Furthermore, the company carried debt, with total debt increasing to $43.7 million by the end of the first quarter of fiscal 2026, largely due to the Kobelt acquisition, which implies ongoing debt servicing costs.

The company is actively investing in its future capacity and technology, which shows up in capital spending. While the actual fiscal 2025 capital expenditures aren't explicitly detailed as a total, the forward-looking plan for manufacturing capacity and R&D investment for fiscal 2026 is projected to be between $17 million and $19 million.

You also need to factor in external pressures impacting margins, specifically supply chain and tariff noise costs. Management noted that they managed through tariff noise throughout the year. Supply chain issues manifested as shipping delays at the end of fiscal 2025, which contributed to an increase in inventory of $21.5 million for the year.

Key cost drivers and related financial impacts include:

• COGS as a percentage of sales for FY2025 was approximately 72.8%.
• ME&A expenses increased by $4.3 million, or 20.9%, in the fourth quarter alone, driven by acquisitions.
• A $1.6 million inventory write-down related to the Katsa acquisition impacted gross profit margin in Q2 2025.
• Inventory increased by $21.5 million during fiscal 2025.
• The company generated a net loss attributable to Twin Disc of ($1.9) million for the full fiscal year 2025.

Finance: draft 13-week cash view by Friday.

Twin Disc, Incorporated (TWIN) - Canvas Business Model: Revenue Streams

You're looking at the core ways Twin Disc, Incorporated generates its top line, which is heavily reliant on selling complex power transmission equipment globally. For the fiscal year ending June 30, 2025, the total consolidated sales for Twin Disc, Incorporated were $340.7 million. This represented a significant increase of 15.5% year-over-year from the prior fiscal year. Still, it's important to note that on an organic basis-meaning stripping out the effects of acquisitions and currency-the revenue growth for the full year 2025 was only 1.0%, so most of that top-line expansion came from recent deals.

The revenue streams are segmented across the core product lines. The Sale of Marine and Propulsion Systems is a foundational piece, which the outline suggests accounts for approximately 60% of the product breakdown. This segment showed strength, with sales increasing by 17.1% in fiscal 2025. The other major components are the Sale of Land-Based Transmissions and Industrial products. Growth in the Land-Based Transmissions markets was a key driver for the full-year sales increase. To give you a snapshot of the recent momentum, in the fourth quarter of fiscal 2025, the Industrial segment saw a massive jump of 61.8% year-over-year, while Land-Based Transmissions grew 4.5%.

The third key stream is the Aftermarket sales of parts, service, and repairs. While a specific percentage of the $340.7 million total isn't explicitly broken out in the latest reports, this stream is crucial for recurring revenue and margin stability, especially given the acquisition of Kobelt, which brought complementary after-sales services. Overall, the company's core power transmission equipment consistently accounts for more than 90% of total revenues over the last three fiscal years.

The growth in the revenue base was definitely helped by recent strategic moves. The Revenue from recent acquisitions like Kobelt and Katsa defintely drove growth. The acquisition of Katsa Oy, completed in May 2024, added to European market expansion, and the Kobelt Manufacturing acquisition, finalized in February 2025 for about $16.5 million, added an established revenue base. For context on the acquisition impact, Kobelt reported approximately $14 million in revenue for the year ending December 31, 2024.

Here's a quick look at the segment performance drivers from the most recent quarter and the known acquisition contributions:

Revenue Driver/Segment	FY2025 Full Year Performance Metric	Q4 FY2025 Value (Millions USD)
Total Consolidated Sales	$340.7 million	$96.7 million
Marine & Propulsion Systems Growth	+17.1% YoY	$53.0 million
Industrial Products Growth	+61.8% YoY	$13.1 million
Land-Based Transmissions Growth	Driven growth driver	$26.1 million
Kobelt Acquisition Contribution (FY2024 Revenue)	Added to FY2025 base	~$14.0 million (FY2024)

You can see the mix shifting, with Industrial showing massive percentage growth, even as Marine remains the largest single product line. The overall revenue picture for Twin Disc, Incorporated in FY2025 was one of expansion driven by M&A, though organic growth was modest.

The composition of the revenue streams can be further detailed by looking at the end markets that contribute to the sales figures:

• Marine transmission and propulsion systems sales increased 17.1% in fiscal 2025.
• Industrial products revenue grew by 61.8%.
• Sales to the U.S. and Canada improved by 10% in fiscal 2025.
• European market sales improved by approximately 40%, helped by Katsa revenue.
• Oil & gas represented approximately 8% of fiscal 2025 revenue.

Finance: draft 13-week cash view by Friday.