Second Quarter and Full Year 2025 Outlook

In the second quarter of fiscal 2025, EnerSys expects:

• Net sales in the range of $880M to $920M
• Adjusted diluted earnings per share in the range of $2.05 to $2.15*

For the full year fiscal 2025, EnerSys expects:

• Net sales in the range of $3,735M to $3,885M, up from prior guidance of $3,675M to $3,825M
• Adjusted diluted earnings per share in the range of $8.80 to $9.20*, up from prior guidance of $8.55 to $8.95*
• Capital expenditures in the range of $100M to $120M

"We remain optimistic about our fiscal year 2025 financial targets. As a result, we are increasing the mid-point of our full year fiscal 2025 revenue guidance by $60 million and our full year fiscal 2025 adjusted diluted earnings per share guidance by $0.25 per share to include the incremental benefits of our acquisition of Bren-Tronics on top of the base business expectations that were in our previous guidance. While we are seeing encouraging demand trends in the majority of our end markets, we are managing our business prudently to navigate the spending pauses in the Class 8 truck OEM and Communications markets. We believe inventory de-stocking is complete and the deferred spending that is occurring is unsustainable to maintain network resiliency, resulting in pent-up demand that will materialize later this year. In the second quarter, we expect a modest sequential improvement in North America Communications spending in Energy Systems, modest Transportation aftermarket volume growth in Specialty, and incremental revenue from Bren-Tronics. We also expect to see continued cost improvements and benefits from operational efficiencies flowing through to our bottom line. The global concern over energy scarcity will persist as major trends drive a swift rise in the demand for reliable power. As a key provider of energy systems and storage solutions, EnerSys is well-positioned to take advantage of this growth opportunity. We remain focused on delivering long-term value to our stockholders," said Andrea Funk, EnerSys Chief Financial Officer.

*Inclusive of IRC 45X tax benefits created with the IRA. Note that the IRS has not yet finalized guidance related to section 45X, which could materially increase or decrease the quantity of our U.S. produced batteries that qualify for this credit.

Please refer to the section included herein under the heading "Reconciliations of GAAP to Non-GAAP Financial Measures" for a discussion of the Company's use of non-GAAP adjusted financial information.