Company: SIF
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0000090168-25-000032
Chunk: 10

Company: SIFCO INDUSTRIES INC
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 10
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ating circumstances beyond the Company's control. Until a final determination is made by the City of Cleveland, the Company has not made payments on the VPI Loan, which may become payable in full if forgiveness is not approved. The Company will continue efforts to resolve this obligation in the near future. While we expect to meet the standards for full forgiveness of the VPI Loan, there is no assurance that we will be granted such forgiveness.

7. Income Taxes

For each interim reporting period, the Company makes an estimate of the effective tax rate it expects to be applicable for the full fiscal year for its operations. This estimated effective rate is used in providing for income taxes on a year-to-date basis. The Company’s effective tax rate through the first nine months of fiscal 2025 was ( 37.2 0.2

The Company is subject to income taxes in the U. S. federal jurisdiction, Ireland, and various state and local jurisdictions.

8. Retirement Benefit Plans

The Company and certain of its subsidiaries sponsor defined benefit pension plans covering some of its employees. The components of the net periodic benefit cost of the Company’s defined benefit plans are as follows:

                                      Three Months Ended                           Nine Months Ended                                
                                      June 30,                                              June 30,                                
                                      2025                      2024                            2025                 2024           
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Service cost                        $                            $       45                      $      130           $      135  
  Interest cost                       236                        271                             708                  813           
  Expected return on plan assets      ( 264)                  ( 261)                          ( 793)               ( 782)           
  Amortization of net loss            23                          44                              68                  130           
  Settlement cost                     —                           60                               0                   60           
  Net periodic pension cost           $                            $      159                      $      113           $      356  

During the nine months ended June 30, 2025 and 2024, the Company made $ 175 32 zero 87 121

9. Stock-Based Compensation

The Company has outstanding equity awards under the Company’s 2007 Long-Term Incentive Plan (the “2007 Plan”) and the Company’s 2007 Long-Term Incentive Plan (Amended and Restated as of November 16, 2016) (as further amended