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Acquisition (Tables)
 9 Months Ended
Oct. 31, 2025
Business Combination [Line Items]  
Schedule of Fair Value of the Consideration Transferred as of the Acquisition Closing Date

A summary of the fair value of the consideration transferred as of the acquisition closing date is presented in the table below:

(In thousands)

 

Preliminary Estimate

 

 

Measurement Period Adjustment

 

 

Final

 

Cash Paid at Closing

 

$

18,732

 

 

$

(1

)

 

$

18,731

 

Holdback Amount

 

 

742

 

 

 

—

 

 

 

742

 

Fair Value of the Earnout

 

 

1,619

 

 

 

(1,619

)

 

 

—

 

Total Purchase Price

 

$

21,093

 

 

$

(1,620

)

 

$

19,473

 
MTEX New Solutions, S.A. [Member]  
Business Combination [Line Items]  
Summary of Purchase Price of Acquisition Allocated on Basis of Fair Value

The following table sets forth the final purchase price allocation of the MTEX acquisition for the estimated fair value of the net assets acquired and liabilities assumed as of May 6, 2024:

 

(In thousands)

 

Preliminary Estimate

 

 

Measurement Period Adjustment

 

 

Adjustment*

 

 

Final

 

Cash

 

$

364

 

 

$

—

 

 

$

—

 

 

$

364

 

Accounts Receivable

 

 

3,989

 

 

 

(2,777

)

 

 

—

 

 

 

1,212

 

Inventory

 

 

3,807

 

 

 

(200

)

 

 

—

 

 

 

3,607

 

Prepaid Expenses and Other Current Assets

 

 

301

 

 

 

—

 

 

 

—

 

 

 

301

 

Property, Plant and Equipment

 

 

4,802

 

 

 

—

 

 

 

(1,928

)

 

 

2,874

 

Other Long-Term Assets

 

 

5,154

 

 

 

1,054

 

 

 

—

 

 

 

6,208

 

Identifiable Intangible Assets

 

 

9,556

 

 

 

(2,017

)

 

 

—

 

 

 

7,539

 

Goodwill

 

 

10,629

 

 

 

3,650

 

 

 

1,928

 

 

 

16,207

 

Accounts Payable and Other Current Liabilities

 

 

(4,225

)

 

 

(1,870

)

 

 

—

 

 

 

(6,095

)

Debt Assumed

 

 

(7,918

)

 

 

—

 

 

 

—

 

 

 

(7,918

)

Other Long-Term Liabilities

 

 

(5,366

)

 

 

540

 

 

 

—

 

 

 

(4,826

)

Total Purchase Price

 

$

21,093

 

 

$

(1,620

)

 

$

—

 

 

$

19,473

 

*During the third quarter of fiscal 2026, we identified an error related to the MTEX acquisition. In September 2025 we determined that Euro 1.8 million (approximately $1.9 million as of the opening balance sheet date of May 6, 2024) in assets recorded at acquisition were either non-existent or obsolete at the acquisition date. Accordingly, the net book value of these assets was written off in the third quarter of fiscal 2026, with a corresponding increase to goodwill acquired in the acquisition. This error correction had no impact on net assets in the MTEX opening balance sheet and the correction is reflected in this table. Refer to Note 1, “Business and Basis of Presentation” under the section “Correction of Immaterial Error in Prior Period Financial Statements” for additional details.
Summary of Fair Value of the Acquired Identifiable Intangible Assets and Related Estimated Useful Lives

The following table reflects the preliminary fair value of the acquired identifiable intangible assets and related estimated useful lives:

(In thousands)

 

Fair
Value

 

 

Measurement Period Adjustment

 

 

Final

 

 

Useful Life
(years)

 

Customer Relations

 

$

8,786

 

 

$

(6,183

)

 

$

2,603

 

 

 

10

 

Internally Developed Technology

 

 

488

 

 

 

4,231

 

 

 

4,719

 

 

 

6

 

Trademarks/Tradenames

 

 

282

 

 

 

(65

)

 

 

217

 

 

 

3

 

Total

 

$

9,556

 

 

$

(2,017

)

 

$

7,539

 

 

 

 
Summary of Revenue and Earnings Before Taxes

The amounts of revenue and earnings before taxes attributable to MTEX and included in our consolidated statements of income (loss) for the three and nine months ended October 31, 2025 and November 2, 2024 were as follows:

 

 

Three Months Ended

 

 

Nine Months Ended

 

(In thousands)

 

October 31, 2025

 

 

November 2, 2024

 

 

October 31, 2025

 

 

November 2, 2024

 

Revenue

 

$

1,328

 

(1)

$

1,738

 

 

$

3,442

 

(2)

$

2,506

 

Gross Profit (Loss)

 

 

(102

)

 

 

234

 

 

 

(506

)

 

 

166

 

Operating Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

   Selling Expenses

 

 

634

 

 

 

840

 

 

 

2,093

 

 

 

1,755

 

    Research and Development Expenses

 

 

354

 

 

 

209

 

 

 

872

 

 

 

111

 

   General and Administrative Expenses

 

 

299

 

 

 

272

 

 

 

716

 

 

 

783

 

      Total Operating Expenses

 

$

1,287

 

 

$

1,321

 

 

$

3,681

 

 

$

2,649

 

Operating Loss

 

 

(1,389

)

 

 

(1,087

)

 

 

(4,187

)

 

 

(2,483

)

 Other Income (Expense)

 

 

1,170

 

 

 

(193

)

 

 

2,864

 

 

 

(261

)

Earnings (Loss) before Taxes

 

$

(219

)

 

$

(1,280

)

 

$

(1,323

)

 

$

(2,744

)

(1) Includes $785,000 of MTEX revenue related to sales to third parties via intercompany sales at cost plus mark-up.

(2) Includes $1,663,000 of MTEX revenue related to sales to third parties via intercompany sales at cost plus mark-up.