Question · Q3 2025
Linda O'Malley, on behalf of Mike Shlisky, asked about the broader impact of the federal government shutdown on MSA Safety's business beyond fire service, the ramp-up of MSA+ subscriptions, the reasons for negative international fire service growth, and future restructuring costs.
Answer
Steve Blanco, President and CEO, indicated minor additional impacts from the government shutdown in areas like detection, expecting demand to recover post-settlement. He reported strong performance for MSA+ subscriptions, contributing over half of portable instrument growth. For international fire service, he cited order timing delays in Asia-Pacific (especially mainland China) and a funding shift from fire to defense in Europe, which conversely boosted the industrial ballistic helmet business. Julie Beck, Senior Vice President and CFO, clarified expectations for Q4 sales growth and a slight margin uptick, and confirmed no major restructuring plans.