Helios Technologies, Inc. (HLIO) saw its stock price surge 8.83% in after-hours trading on Monday, following the release of its second-quarter 2025 financial results and the announcement of a strategic business sale. The company's performance exceeded analyst expectations, demonstrating resilience in a challenging market environment.

The hydraulic and electronic control solutions provider reported adjusted earnings per share of $0.59, surpassing the IBES estimate of $0.51. Quarterly sales reached $212.5 million, beating the expected $202.9 million. Despite a slight year-over-year decrease, these results showcased the company's ability to maintain profitability and market position. Helios Technologies also reported an adjusted EBITDA of $39.5 million, outperforming the estimated $36.9 million.

Adding to the positive sentiment, Helios announced a definitive agreement to sell its Australian-based hydraulic fluid power solutions business, Custom Fluidpower (CFP), to Questas Group for approximately $83 million AUD (~$54 million USD). This deal represents a significant return on investment, with the transaction value $48 million AUD higher than the acquisition price paid in 2018. Furthermore, the company provided an optimistic outlook for fiscal year 2025, projecting consolidated revenue between $810-830 million and adjusted EPS in the range of $2.3-2.5. These factors collectively contributed to the sharp after-hours stock price increase, as investors responded favorably to Helios Technologies' strong performance and strategic moves.