Tennant Reports Lower 2025 Sales and ERP-Related Production Disruption
Annual sales fell 6.5%, and Tennant identified its North American system transition as a major fourth-quarter operational issue.
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Tennant reported lower annual sales on February 23, 2026, after a difficult fourth quarter that included production disruption during the rollout of a new North American enterprise resource planning system. Full-year 2025 revenue was $1,203.5 million, down 6.5% from 2024.
The final quarter produced sales of $291.6 million, a decline of 11.3%, and a reported net loss of $4.4 million. Tennant had earned $6.6 million in the corresponding quarter a year earlier. Across the full year, reported net income fell to $43.8 million from $83.7 million.
In its results announcement, the company said the North American system went live during the first week of November. The transition disrupted production and affected the quarter's performance. Management described actions to stabilize operations, making factory execution and the flow of customer orders central issues for the recovery.
An ERP system connects activities such as order management, inventory and manufacturing. Problems during a transition can therefore affect the ability to turn demand into completed shipments. The February announcement described recovery work still under way; Tennant's subsequent first-quarter 2026 results provide the next dated update on operational progress and its financial effects.
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