Company: SXI
Filing Date: 2025-08-04
Form Type: 10-K
Source: 0001437749-25-024450
Chunk: 633

Company: STANDEX INTERNATIONAL CORP/DE/
Filing Date: 2025-08-04
Form: 10-K
Item: Item 7
Chunk 633
---
 stockholders are entitled to vote in corporate governance matters, as well as participate in dividends, if declared by our board of directors.  From time to time, the Company
      may repurchase shares of common stock, which are held in treasury stock and reserved for future issuance.  As of
      June 30, 2025 and
     2024, there were
     15,992,162 and
     16,222,578 shares of treasury stock, respectively.  The Company uses shares acquired through treasury stock repurchases for the issuance of shares of common stock for the settlement of awards under its stock-based compensation plans, with the net effect of these transactions accounting for the change in common stock outstanding in each of the years ended
      June 30, 2024 and
     2023.  During the year ended
      June 30, 2025, the Company acquired
     31,308 shares of treasury stock and issued
     152,299 and
     109,425 shares of Standex common stock in connection with a business acquisition (refer to Note
     2) and for settlement of stock based compensation awards (refer to Note
     13), respectively.

   Foreign Currency Translation   The functional currency of our non-U.S. operations is the local currency. Assets and liabilities of non-U.S. operations are translated into U.S. Dollars on a monthly basis using period-end exchange rates. Revenues and expenses of these operations are translated using monthly average exchange rates. The resulting translation adjustment is reported as a component of comprehensive income (loss) in the consolidated statements of stockholders’ equity and comprehensive income. Gains and losses from foreign currency transactions are included in results of operations and were not material for any period presented.  

   Derivative Instruments and Hedging Activities   The Company recognizes all derivatives on its balance sheet at fair value.   Forward foreign currency exchange contracts are periodically used to limit the impact of currency fluctuations on certain anticipated foreign cash flows, such as foreign purchases of materials and loan payments from subsidiaries. The Company enters into such contracts for hedging purposes only. The Company has designated certain of these currency contracts as hedges, and changes in the fair value of these contracts are recognized in other comprehensive income until the hedged items are recognized in earnings. Hedge ineffectiveness, if any, associated with these contracts will be reported in net income.    The Company also uses interest rate swaps to manage exposure to interest rates on the Company’s variable