SIFCO Industries reported QQ2 2025 (quarter ended 2025-03-31) revenue of $19.03 million, down 28.0% year over year and down 8.9% quarter over quarter. The gross margin declined to 8.25% with gross profit of $1.57 million, while operating income was negative $1.32 million and net income came in at negative $1.39 million, or a loss of $0.23 per share. The quarter produced positive operating cash flow of $2.84 million and free cash flow of $2.69 million, underpinned by working capital movements, but the company remains structurally loss‑making at the operating line and carries meaningful leverage. Net debt stood at about $14.68 million, with cash at period end of roughly $1.92 million and total assets of $78.8 million versus liabilities of $46.5 million, yielding a debt to capitalization of ~44% and a debt to equity of ~0.79. Although liquidity is modest, the company generated cash from operations and has a path to deleveraging if gross margins and cost structure improve. Absent an explicit management forward‑looking guidance in the materials provided, the near‑term driver set appears to hinge on margin expansion, disciplined working capital management, and any favorable shifts in aerospace and defense demand that could lift aftermarket and production volumes.