What changed in ENNIS, INC.'s 2025 10-K compared to 2024?

Across the narrative sections we track, ENNIS, INC. (EBF) added 165 paragraphs, removed 151, and edited 125 between the 2024 and 2025 10-K filings. The biggest movers are Item 7. Management's Discussion & Analysis (+65/−65), Item 1A. Risk Factors (+43/−36), Item 1. Business (+31/−29).

Did ENNIS, INC. add new Risk Factors in the 2025 10-K?

Yes — Item 1A Risk Factors shows 43 new/edited paragraphs and 36 removed paragraphs versus the 2024 10-K.

What changed in ENNIS, INC.'s MD&A (Item 7) in 2025?

Item 7 Management's Discussion & Analysis shows 65 new/edited paragraphs and 65 removed paragraphs year-over-year. Read the side-by-side diff to see exactly which revenue, margin, and outlook commentary was rewritten.

Did ENNIS, INC. update its Cybersecurity disclosure (Item 1C) in 2025?

Item 1C Cybersecurity has 3 paragraph-level changes between the 2024 and 2025 filings.

Did ENNIS, INC.'s Legal Proceedings (Item 3) change in 2025?

Item 3 shows 5 added/edited paragraphs and 2 removed paragraphs — usually indicating new litigation disclosed or settled cases removed.

Where does this EBF 10-K diff come from?

The source filings are ENNIS, INC.'s official 2024 and 2025 Form 10-K annual reports from SEC EDGAR. 10q10k.net parses each filing, aligns paragraphs by section (Item 1, 1A, 1C, 2, 3, 7, 7A), and highlights every added, removed and edited sentence side-by-side.

What changed in ENNIS, INC.'s 10-K — 2024 vs 2025

Paragraph-level year-over-year comparison of ENNIS, INC.'s 2024 and 2025 10-K annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2025 report.

+165 added−151 removedSource: 10-K (2025-05-13) vs 10-K (2024-05-10)

Top changes in ENNIS, INC.'s 2025 10-K

165 paragraphs added · 151 removed · 125 edited across 8 sections

Item 7. Management's Discussion & Analysis+65 / −65 · 50 edited
Item 1A. Risk Factors+43 / −36 · 30 edited
Item 1. Business+31 / −29 · 25 edited
Item 5. Market for Registrant's Common Equity+9 / −9 · 8 edited
Item 2. Properties+7 / −5 · 5 edited

Item 1. Business

Business — how the company describes what it does

25 edited+6 added−4 removed25 unchanged

2024 filing

2025 filing

Biggest changeAdditionally, newer digital technology, which we have implemented in several of our locations, relies on less energy than older web-based presses due to shorter runs and ink jet technology. 6 Another aspect of our business model which reduces carbon emissions is the reduction in transportation costs for our employees, as well as our customers.

Biggest changeParticipation in these energy audits generally results in replacing old lighting with more efficient LED lighting. Additionally, newer digital technology, which we have implemented in several of our locations, relies on less energy than older web-based presses due to shorter runs and ink jet technology.

We also sell the Adams McClure® brand (which provides Point of Purchase advertising); the Admore®, Folder Express®, and Independent Folders® brands (which provide presentation folders and document folders); Ennis Tag & Label SM (which provides custom printed, high performance labels and custom and stock tags); Allen-Bailey Tag & Label SM , Atlas Tag & Label®, Kay Toledo Tag®, and Special Service Partners® (SSP) (which provides custom and stock tags and labels); Trade Envelopes®, Block Graphics®, Wisco®, and National Imprint Corporation® (which provide custom and imprinted envelopes) and Northstar® and General Financial Supply® (which provide financial and security documents); Infoseal SM and PrintXcel® (which provide custom and stock pressure seal documents).

We also sell the Adams McClure® brand (which provides Point of Purchase advertising); the Admore®, Folder Express®, and Independent Folders® brands (which provide presentation folders and document folders); Ennis Tag & Label SM (which provides custom printed, high performance labels and custom and stock tags); Allen-Bailey Tag & Label SM , Atlas Tag & Label®, Kay Toledo Tag®, and Special Service Partners® (SSP) (which provides custom and stock tags and labels); Trade Envelopes®, Block Graphics®, Wisco®, and National Imprint Corporation® (which provide custom and imprinted envelopes); Northstar® and General Financial Supply® (which provide financial and security documents); Infoseal SM and PrintXcel® (which provide custom and stock pressure seal documents).

Two of our largest facilities have solvent recovery systems which allows recovery of press plate washing solutions for re-use. These systems result in a substantial reduction of any hazardous waste. The Company ensures that we are in compliance with applicable state and federal environmental laws on hazardous materials including Proposition 65 in California and federal Conflict Minerals compliance.

Two of our largest facilities have solvent recovery systems which allows the recovery of press plate washing solutions for re-use. These systems result in a substantial reduction of any hazardous waste. The Company ensures that we are in compliance with applicable state and federal environmental laws on hazardous materials including Proposition 65 in California and federal Conflict Minerals compliance.

Research and Development While we seek new products to sell through our distribution channel, there have been no material amounts spent on research and development in fiscal years 2024, 2023 or 2022. Environment We are subject to various federal, state, and local environmental laws and regulations concerning, among other things, wastewater discharges, air emissions and solid waste disposal.

Research and Development While we seek new products to sell through our distribution channel, there have been no material amounts spent on research and development in fiscal years 2025, 2024 or 2023. Environment We are subject to various federal, state, and local environmental laws and regulations concerning, among other things, wastewater discharges, air emissions and solid waste disposal.

We have registered trademarks in the United States for Ennis®, EnnisOnline SM , B&D Litho of AZ®, B&D Litho®, Block Graphics®, Enfusion®, 360º Custom Labels SM , Admore®, CashManagementSupply.com SM , Securestar®, Northstar®, MICRLink®, MICR Connection TM , General Financial Supply®, Calibrated Forms®, PrintXcel®, Printegra®, Trade Envelopes®, Witt Printing®, Genforms®, Royal Business Forms®, Crabar/GBF SM , BF&S SM, Adams McClure®, Advertising Concepts TM , ColorWorx®, Allen-Bailey Tag & Label SM , Atlas Tag & Label®, Printgraphics SM , Uncompromised Check Solutions®, VersaSeal®, VersaSeal SecureX®, Folder Express®, Wisco®, National Imprint Corporation®, Star Award Ribbon®, Kay Toledo Tag®, Falcon Business Forms SM , Forms Manufacturers SM , Mutual Graphics®, TRI-C Business Forms SM , SSP®, EOSTouchpoint®, Printersmall®, Check Guard®, Envirofolder®, Independent®, Independent Checks®, Independent Folders®, Independent Large Format Solutions®, Wright Business Graphics SM , Wright 360 SM , Integrated Print & Graphics SM , the Flesh Company SM , Impressions Direct SM , Megaform SM , Safe®, Infoseal SM , Stylecraft SM , UMC Print SM , Eagle Graphics SM , Diamond Graphics SM and variations of these brands as well as other trademarks.

We have registered trademarks in the United States for Ennis®, EnnisOnline SM , Block Graphics®, Enfusion®, 360º Custom Labels SM , Admore®, CashManagementSupply.com SM , Securestar®, Northstar®, MICRLink®, MICR Connection TM , General Financial Supply®, Calibrated Forms®, PrintXcel®, Printegra®, Trade Envelopes®, Witt Printing®, Genforms®, Royal Business Forms®, Crabar/GBF SM , BF&S SM, Adams McClure®, Advertising Concepts TM , ColorWorx®, Allen-Bailey Tag & Label SM , Atlas Tag & Label®, Printgraphics SM , Uncompromised Check Solutions®, VersaSeal®, VersaSeal SecureX®, Folder Express®, Wisco®, National Imprint Corporation®, Star Award Ribbon®, Kay Toledo Tag®, Falcon Business Forms SM , Forms Manufacturers SM , Mutual Graphics®, TRI-C Business Forms SM , SSP®, EOSTouchpoint®, Printersmall®, Check Guard®, Envirofolder®, Independent®, Independent Checks®, Independent Folders®, Independent Large Format Solutions®, Wright Business Graphics SM , Wright 360 SM , Integrated Print & Graphics SM , the Flesh Company SM , Megaform SM , Safe®, Infoseal SM , Stylecraft SM , UMC Print SM , Eagle Graphics SM , Diamond Graphics SM , Printing Technologies and variations of these brands as well as other trademarks.

Approximately 96% of the business products we manufacture are custom and semi-custom products, constructed in a wide variety of sizes, colors, number of parts and quantities on an individual job basis, depending upon the customers’ specifications.

Approximately 94% of the business products we manufacture are custom and semi-custom products, constructed in a wide variety of sizes, colors, number of parts and quantities on an individual job basis, depending upon the customers’ specifications.

School Photo Marketing is a one-stop shop for over 1,400 school portrait photographers and professional photo labs nationwide, providing them with a complete array of products and services that reach over 15 million families and 30,000 schools, primarily in the K-8 market. We sell predominantly through independent distributors, as well as to many of our competitors.

School Photo Marketing and National School Forms are a one-stop shop for over 1,400 school portrait photographers and professional photo labs nationwide, providing them with a complete array of products and services that reach over 15 million families and 30,000 schools, primarily in the K-8 market. We sell predominantly through independent distributors, as well as to many of our competitors.

Attention to choice of material suppliers, transportation partners, energy usage and avoidance of hazardous wastes that might impact waste water disposal, are part of the business model that improves or avoids damage to the environment we live and work in.

Attention to choice of material suppliers, transportation partners, energy usage and avoidance of hazardous wastes that might impact wastewater disposal, are part of the business model that improves or avoids damage to the environment we live and work in.

The products we sell include snap sets, continuous forms, laser cut sheets, tags, labels, envelopes, integrated products, jumbo rolls and pressure sensitive products in short, medium and long runs under the following labels: Ennis®, Royal Business Forms®, Block Graphics®, 360º Custom Labels SM , ColorWorx®, Enfusion®, Uncompromised Check Solutions®, VersaSeal®, Ad Concepts SM , FormSource Limited SM , Star Award Ribbon Company®, Witt Printing®, B&D Litho®, Genforms®, PrintGraphics®, Calibrated Forms®, PrintXcel®, Printegra®, Forms Manufacturers SM , Mutual Graphics®, TRI-C Business Forms SM , Major Business Systems SM , Independent Printing SM , Hoosier Data Forms®, Hayes Graphics®, Wright Business Graphics SM , Wright 360 SM , Integrated Print & Graphics SM , the Flesh Company SM , Impressions Direct SM , AmeriPrint SM ; Stylecraft SM , UMC Print SM ; Eagle Graphics SM and Diamond Graphics SM .

The products we sell include snap sets, continuous forms, laser cut sheets, tags, labels, envelopes, integrated products, jumbo rolls and pressure sensitive products in short, medium and long runs under the following labels: Ennis®, Royal Business Forms®, Block Graphics®, ColorWorx®, Enfusion®, Uncompromised Check Solutions®, VersaSeal®, Ad Concepts SM , FormSource Limited SM , Star Award Ribbon Company®, Witt Printing®, Genforms®, PrintGraphics®, Calibrated Forms®, PrintXcel®, Printegra®, Forms Manufacturers SM , Mutual Graphics®, TRI-C Business Forms SM , Major Business Systems SM , Independent Printing SM , Hayes Graphics®, Wright Business Graphics SM , Wright 360 SM , Integrated Print & Graphics SM , the Flesh Company SM , AmeriPrint SM ; Stylecraft SM , UMC Print SM ; Eagle Graphics SM , Diamond Graphics SM and Printing Technologies SM .

Additionally, the use of soy based inks allows us to avoid cleaning solutions that may pose environmental hazards. We use environmentally friendly cleaning agents to insure that our waste water is not contaminated and does not require special disposal. Many of our plants engage with local energy suppliers to ask for recommendations on lowering energy usage.

Additionally, the use of soy-based inks allow us to avoid cleaning solutions that may pose environmental hazards. We use environmentally friendly cleaning agents to insure that our wastewater is not contaminated and does not require special disposal. 6 Many of our plants engage with local energy suppliers to ask for recommendations on lowering energy usage.

We are in the business of manufacturing, designing and selling business forms and other printed business products primarily to distributors located in the United States. We operate 59 manufacturing plants throughout the United States in 20 strategically located states as one reportable segment.

We are in the business of manufacturing, designing and selling business forms and other printed business products primarily to distributors located in the United States. We operate 56 manufacturing plants throughout the United States in 20 strategically located states as one reportable segment; printing services and manufacture of business forms.

They work to protect our forests by promoting sustainable forest management through certification. This means that all can benefit from the many products that forests provide now, while ensuring these forests will be around for generations to come.

PEFC cares for forests globally and locally. They work to protect our forests by promoting sustainable forest management through certification. This means that all can benefit from the many paper products that forests provide now, while ensuring these forests will be around for generations to come.

Raw materials principally consist of a wide variety of weights, widths, colors, sizes, and qualities of paper for business products purchased primarily from one major supplier at favorable prices based on the volume of business. Business products usage in the printing industry is generally not seasonal.

Raw materials principally consist of a wide variety of weights, widths, colors, sizes, and qualities of paper for business products purchased primarily from one major supplier at favorable prices based on our high volume of business with that supplier relative to our competitors. Business products usage in the printing industry is generally not seasonal.

Our goal of operating in an environmentally responsible manner aligns with our goals of operating a profitable and responsible business. For example, we recycle waste material generated in our printing processes to generate income from selling the scrap material. We recycled 20.9 million pounds of paper and 1.7 million pounds of cardboard and cores in 2024.

Our goal of operating in an environmentally responsible manner aligns with our goals of operating a profitable and responsible business. For example, we recycle waste material generated in our printing processes to generate income from selling the scrap material. We recycled 21.1 million pounds of paper and 1.1 million pounds of cardboard and cores in fiscal year 2025.

While it is not possible, because of the lack of adequate public statistical information, to determine the Company’s share of the total business products market, management believes the Company is the largest producer of business forms, pressure-seal forms, labels, tags, envelopes, and presentation folders in the United States distributing primarily through independent distributors.

Human Capital At February 29, 2024, we had 1,941 employees. 156 employees are represented by labor unions under collective bargaining agreements, which are subject to periodic negotiations. We believe we have a good working relationship with all of the unions that represent our employees.

Human Capital At February 28, 2025, we had 1,856 employees. 157 employees are represented by labor unions under collective bargaining agreements, which are subject to periodic negotiations. We believe we have a good working relationship with our employees and all of the unions that represent our employees.

Incidents are reviewed to determine measures that can be taken to prevent reoccurrence of claims at that facility or another facility. A monthly Facility Report is sent to all facilities reminding them about safety issues and certain claims that have occurred in other locations. Annually, facilities are required to submit an audit of compliance 7 with mandated OSHA safety programs.

A monthly Facility Report is sent to all facilities reminding them about safety issues and certain claims that have occurred in other locations. Annually, facilities are required to submit an audit of compliance with mandated OSHA safety programs.

The SFI Forest Management Standard covers key values such as protection of biodiversity, species at risk and wildlife habitat; sustainable harvest levels; protection of water quality; and prompt regeneration. FSC certification ensures that products come from responsibly-managed forests that provide environmental, social and economic benefits. PEFC cares for forests globally and locally.

Our primary supplier is SFI, FSC and PEFC certified. The SFI Forest Management Standard covers key values such as protection of biodiversity, species at risk and wildlife habitat; sustainable harvest levels; protection of water quality; and prompt regeneration. FSC certification ensures that that paper we buy from SFI comes from responsibly-managed forests that provide environmental, social and economic benefits.

General economic conditions and contraction of the traditional business forms industry are the predominant factors in quarterly volume fluctuations. Recent Acquisitions We have completed a number of acquisitions in recent years. On October 11, 2023, we acquired the assets and business of Eagle Graphics, Inc. (" Eagle ") in Annville, Pennsylvania, and Diamond Graphics, Inc.

General economic conditions and contraction of the traditional business forms industry are the predominant factors in quarterly volume fluctuations. Recent Acquisitions We have completed a number of acquisitions in recent years. On June 26, 2024, we acquired the assets and business of Printing Technologies, Inc. ("PTI") in Indianapolis, Indiana.

We have similar trademark registrations internationally for certain trademarks. Customers No single customer accounts for as much as five percent of our consolidated net sales or accounts receivable. Backlog At February 29, 2024, our backlog of firm orders was approximately $33.7 million, compared to approximately $46.7 million at February 28, 2023.

No single customer accounts for as much as five percent of our consolidated net sales or accounts receivables during fiscal years 2024 or 2023. Backlog At February 28, 2025, our backlog of firm orders was approximately $25.7 million, compared to approximately $33.7 million at February 29, 2024.

We are an Equal Opportunity Employer and we comply with all employment laws including Title VII of the Civil Rights Act of 1964, Immigration and Nationality Act, and the Immigration Reform and Control Act. We take allegations of harassment and unlawful discrimination seriously and address all such concerns that are raised regarding our Code of Conduct.

We believe our strategic locations and buying power permit us to compete on a favorable basis within the distributor market on competitive factors, such as service, quality, and price. 4 Distribution of business forms and other business products throughout the United States is primarily done through independent distributors, including business forms distributors, resellers, direct mail, commercial printers, software companies, and advertising agencies.

We believe our strategic locations and buying power permit us to compete on a favorable basis within the distributor market on competitive factors, such as service, quality, and price.

Likewise we use third party transportation and logistical companies to pick up and deliver our products. Partnering with larger shipping organizations that have the scale to be more resourceful and implement more energy efficient delivery methods enables us to ship our products in an efficient and effective manner.

Partnering with larger shipping organizations that have the scale to be more resourceful and implement more energy efficient delivery methods enables us to ship our products in an efficient and effective manner. Our primary supplier of paper is vital to our business as they supply raw materials that are minimally altered during the production process.

Safety and Health: A safe and clean work environment is important to the well-being of all Ennis employees. Ennis complies with applicable safety and health regulations and appropriate practices. Throughout the year facilities are reviewed monthly to determine if the accidents/injuries that occurred could have been avoided.

We take allegations of harassment and unlawful discrimination seriously and address all such concerns that are raised regarding our Code of Conduct. 7 Safety and Health: A safe and clean work environment is important to the well-being of all Ennis employees. Ennis complies with applicable safety and health regulations and appropriate practices.

Approximately 80% of our facilities are located in small towns where the employees are less than 10 miles from the plant, and travel time is minimal. Our geographical dispersion reduces the amount of transportation time and distance associated with delivering our products to our customers.

Our geographical dispersion reduces the amount of transportation time and distance associated with delivering our products to our customers. Likewise, we use third party transportation and logistical companies to pick up and deliver our products.

Removed

There are a number of competitors that operate in this segment.

Added

Distribution of business forms and other business products throughout the United States is primarily done through independent distributors, including business forms distributors, resellers, direct mail, commercial printers, software companies, and advertising agencies.

Removed

On November 30, 2022, we acquired the School Photo Marketing (“ SPM ”) assets from SPM Marketing, Inc. in, which had approximately $10 million in sales in the twelve-month period preceding the acquisition. SPM provides printing, yearbook publishing and marketing related services to over 1,400 school and sports photographers servicing schools around the country.

Added

In the last full year preceding the acquisition, PTI generated approximately $12.5 million in combined sales. The acquisition of PTI strengthens our production capabilities and diversifies our product offerings to serve our large and growing customer base. On October 11, 2023, we acquired the assets and business of Eagle Graphics, Inc. ("Eagle") in Annville, Pennsylvania, and Diamond Graphics, Inc.

Removed

Participation in these energy audits generally results in replacing old lighting with more efficient LED lighting.

Added

We have similar trademark registrations internationally for certain trademarks. Customers Our customer population includes one customer with 5.3% of our consolidated accounts receivables and no single customer account for as much as five percent of our consolidated net sales at fiscal year ended February 28, 2025.

Removed

Our primary supplier of paper is vital to our business as they supply raw materials that are minimally altered during the production process. Our primary supplier is SFI, FSC and PEFC certified.

Added

The reduction in backlog from fiscal 2024 to fiscal 2025 is due primarily to a combination of change in product mix requiring shorter lead times for ordering and reduction in sales volume.

Added

Another aspect of our business model which reduces carbon emissions is the reduction in transportation costs for our employees, as well as our customers. A number of our facilities are located in small towns where the employees have a short commute, and travel time is minimal.

Added

Throughout the year facilities are reviewed monthly to determine if the accidents/injuries that occurred could have been avoided. Incidents are reviewed to determine measures that can be taken to prevent reoccurrence of claims at that facility or another facility.

Item 1A. Risk Factors

Risk Factors — what could go wrong, per management

30 edited+13 added−6 removed37 unchanged

2024 filing

2025 filing

Biggest changeWe currently purchase a large majority of our paper products from one major supplier at favorable costs based on the volume of business, and traditionally we have purchased our paper products from a limited number of suppliers, all of which must meet stringent quality and on-time delivery standards under long-term contracts.

Biggest changeTraditionally we have purchased our paper products from a limited number of suppliers, all of which must meet stringent quality and on-time delivery standards under long-term contracts. The closing of paper mills as recently announced would reduce capacity, potentially increasing prices and require us to seek alternative suppliers.

These factors will tend to reduce the industry-wide demand for printed documents and require us to gain market share to maintain or increase our current level of print-based revenue which could place pressure on our operating margins. In response to the gradual obsolescence of our standardized forms business, we continue to develop our capability to provide custom and full-color products.

These factors will tend to reduce the industry-wide demand for printed documents and require us to gain market share to maintain or increase our current level of print-based revenue which could place pressure on our operating margins. In response to the gradual obsolescence of our standardized business forms, we continue to develop our capability to provide custom and full-color products.

Fluctuations in the quality of our paper, unexpected price changes, decline in overall distribution channels or other factors that relate to our suppliers could have a material adverse effect on our operating results. Paper is a commodity that is subject to frequent increases or decreases in price, and these fluctuations are sometimes significant.

Fluctuations in the quality of our paper commodity, unexpected price changes, decline in overall distribution channels or other factors that relate to our suppliers could have a material adverse effect on our operating results. Paper is a commodity that is subject to frequent increases or decreases in price, and these fluctuations are sometimes significant.

Additionally, as we experienced in recent years, the number of participants 9 taking lump sum distributions at retirement could be sufficiently high as to cause a settlement charge, which would impact current earnings of the Pension Plan. We may be unable to identify or to complete acquisitions or to successfully integrate the businesses we acquire.

Additionally, as we experienced in recent years, the number of participants taking lump sum distributions at retirement could be sufficiently high as to cause a settlement charge, which would impact current earnings of the Pension Plan. We may be unable to identify or to complete acquisitions or to successfully integrate the businesses we acquire.

Certain macroeconomic events, such as crises in the financial markets, inflation, high interest rates and recessionary concerns, cost and labor pressures, distribution challenges and the availability of paper could have a more wide-ranging and prolonged impact on the general business environment, which could also adversely affect us.

Certain macroeconomic events, such as crises in the financial markets, inflation, high interest rates, tariffs, recessionary concerns, cost and labor pressures, distribution challenges and the availability of paper could have a more wide-ranging and prolonged impact on the general business environment, which could also adversely affect us.

Although we maintain third party 11 insurance against various liability risks and risks of property loss for items we believe are economically reasonable to insure, we could incur uninsured losses and liabilities arising from such events which would adversely affect our results of operations and financial condition.

Although we maintain third party insurance against various liability risks and risks of property loss for items we believe are economically reasonable to insure, we could incur uninsured losses and liabilities arising from such events which would adversely affect our results of operations and financial condition.

We face the risk of our competition following a strategy of selling its products at or below cost in order to cover some amount of fixed costs, especially in stressed economic times. 10 Environmental regulations may impact our future operating results.

We face the risk of our competition following a strategy of selling its products at or below cost in order to cover some amount of fixed costs, especially in stressed economic times. Environmental regulations may impact our future operating results.

Challenging financial market conditions and changes in long-term interest rates could adversely impact the funded status of our pension plan. We maintain a noncontributory defined benefit retirement plan (the “ Pension Plan ”) covering approximately 12% of our employees.

Challenging financial market conditions and changes in long-term interest rates could adversely impact the funded status of our pension plan. 9 We maintain a noncontributory defined benefit retirement plan (the “ Pension Plan ”) covering approximately 12% of our employees.

Many of our clients provide us with information they consider confidential or sensitive, and many of our client’s industries have established standards for safeguarding the confidentiality, integrity and availability of information relating to their businesses and customers.

Many of our clients provide us with information they consider confidential or sensitive, and many of our clients' industries have established standards for safeguarding the confidentiality, integrity and availability of information relating to their businesses and customers.

Most recently, on August 16, 2022, legislation commonly known as the Inflation Reduction Act (the " IRA ") was signed into law. Among other things, the IRA includes a 1% excise tax on certain corporate stock repurchases, applicable to repurchases after December 31, 2022, and also a new minimum tax based on book income.

Whether we can manage these risks effectively depends on several factors, including (i) our ability to manage movements in commodity prices and the impact of government actions to manage national economic conditions such as consumer spending, inflation rates and unemployment levels, particularly given the past volatility in the global financial markets, (ii) the impact on our margins of labor costs given our labor-intensive business model, the trend toward higher wages in both mature and developing markets and the potential impact of union organizing efforts on day-to-day operations of our manufacturing facilities and (iii) other factors, which may be beyond our control. 8 Digital technologies will continue to erode the demand for our printed business documents.

Whether we can manage these risks effectively depends on several factors, including (i) our ability to manage movements in commodity prices and the impact of government actions to manage national economic conditions such as consumer spending, inflation rates and 8 unemployment levels, particularly given the past volatility in the global financial markets, (ii) the impact on our margins of labor costs given our labor-intensive business model, the trend toward higher wages in both mature and developing markets and the potential impact of union organizing efforts on day-to-day operations of our manufacturing facilities and (iii) other factors, which may be beyond our control.

Each 10 basis point change in the discount rate impacts our computed pension liability by approximately $505,000. Similar to fluctuations in market values, a drop in the discount rate can negatively impact our funded status, recorded pension liability and future contribution levels. Also, continued changes in the mortality assumptions can impact our funded status.

Each 10-basis point change in the discount rate impacts our computed pension liability by approximately $0.5 million. Similar to fluctuations in market values, a drop in the discount rate can negatively impact our funded status, recorded pension liability and future contribution levels. Also, continued changes in the mortality assumptions can impact our funded status.

A natural disaster, catastrophe, pandemic or other unexpected events could adversely affect our operations. The occurrence of one or more unexpected events, including war, acts of terrorism or violence, civil unrest, epidemics or pandemics, fires, tornadoes, hurricanes, earthquakes, floods and other forms of severe weather in the United States could adversely affect our operations and financial performance.

The occurrence of one or more unexpected events, including war, acts of terrorism or violence, civil unrest, epidemics or pandemics, fires, tornadoes, hurricanes, earthquakes, floods and other forms of severe weather in the United States could adversely affect our operations and financial performance.

As of February 29, 2024, approximately 8% of our employees are represented by labor unions under collective bargaining agreements, which are subject to periodic negotiations.

As of February 28, 2025, approximately 8% of our employees are represented by labor unions under collective bargaining agreements, which are subject to periodic negotiations.

As of February 29, 2024, the Pension Plan was 100% funded on a projected benefit obligation ("PBO") basis and 107% on an accumulated benefit obligation ("ABO") basis. Included in our financial results are Pension Plan costs that are measured using actuarial valuations. The actuarial assumptions used may differ from actual results.

As of February 28, 2025, the Pension Plan was 103% funded on a projected benefit obligation ("PBO") basis and 109% on an accumulated benefit obligation ("ABO") basis. Included in our financial results are Pension Plan costs that are measured using actuarial valuations. The actuarial assumptions used may differ from actual results.

As their customers become more accepting of internet communications, our clients may increasingly opt for what is perceived to be a less costly electronic option, which would reduce our revenue. The pace of these trends is difficult to predict.

The predominant method of our customers’ communication with their customers is by printed information. As their customers become more accepting of internet communications, our customers may increasingly opt for what is perceived to be a less costly electronic option, which would reduce our revenue. The pace of these trends is difficult to predict.

Our results of operations can be affected by local, national and worldwide market conditions. The consequences of domestic and international economic uncertainty or instability, volatility in commodity markets, and domestic or international policy uncertainty, all of which we have seen in the past, can all impact economic activity.

The consequences of domestic and international economic uncertainty or instability, volatility in commodity markets, and domestic or international policy uncertainty, all of which we have seen in the past, can all impact economic activity.

While the Company has various cost control measures in place and employs an outside oversight review on larger claims, employee health benefits have been and are expected to continue to be a significant cost to us and may increase due to factors outside the Company’s control. 12 Risks related to our securities Because of the volatility in the stock market in general, the market price of our Common Stock will also likely be volatile.

Our business incurs significant freight and transportation costs. We incur transportation expenses to ship our products to our customers. Significant increases in the costs of freight and transportation could have a material adverse effect on our results of operations, as there can be no assurance that we could pass on these increased costs to our customers.

Significant increases in the costs of freight and transportation could have a material adverse effect on our results of operations, as there can be no assurance that we could pass on these increased costs to our customers. Government regulations can and have impacted the availability of drivers, which will be a significant challenge to the transportation industry.

All of these factors and uncertainties may adversely affect our results of operations, financial position and cash flows. We are exposed to the risk of non-payment by our customers on a significant amount of our sales. Our extension of credit involves considerable judgment and is based on an evaluation of each customer’s financial condition and payment history.

We are exposed to the risk of non-payment by our customers on a significant amount of our sales. Our extension of credit involves considerable judgment and is based on an evaluation of each customer’s financial condition and payment history. We monitor our credit risk exposure by periodically obtaining credit reports and updated financials on our customers.

Government regulations can and have impacted the availability of drivers, which will be a significant challenge to the transportation industry. Costs to employ drivers have increased and transportation shortages have become more prevalent. Additionally, the challenge of employing new drivers for the increasingly larger web-based economy could create shortages in trucks and drivers which could impact our sales.

Costs to employ drivers have increased and transportation shortages have become more prevalent. Additionally, the challenge of employing new drivers for the increasingly larger web-based economy could create shortages in trucks and drivers which could impact our sales. A natural disaster, catastrophe, pandemic or other unexpected events could adversely affect our operations.

While we maintain an allowance for credit losses based upon our historical trends and other available information, in times of economic turmoil, there is heightened risk that our historical indicators may prove to be inaccurate. The inability to collect on sales to significant customers or a group of customers could have a material adverse effect on our results of operations.

We generally see a heightened amount of bankruptcies by our customers during 11 economic downturns. While we maintain an allowance for credit losses based upon our historical trends and other available information, in times of economic turmoil, there is heightened risk that our historical indicators may prove to be inaccurate.

In the past, companies that have experienced volatility in the market price of their securities have been subject to securities class action litigation. We may be the target of this type of litigation in the future, which could result in substantial costs and divert our management's attention.

We may be the target of this type of litigation in the future, which could result in substantial costs and divert our management's attention.

Many of our custom-printed documents help companies control their internal business processes and facilitate the flow of information. These applications will increasingly be conducted over the internet or through other electronic payment systems. The predominant method of our customers’ communication to their customers is by printed information.

Increasing postal rates make direct mail campaigns more expensive, potentially leading our customers to reduce their demand for our products and shift to alternative marketing channels. Many of our custom-printed documents help companies control their internal business processes and facilitate the flow of information. These applications will increasingly be conducted over the internet or through other electronic payment systems.

In such an event, our common stock could decline in price and you may lose all or part of your investment. Risks related to our business and operations Our results and financial condition are affected by global and local market conditions, and competitors’ pricing strategies, which can adversely affect our sales, margins, and net income.

Risks related to our business and operations Our results and financial condition are affected by global and local market conditions, competitors’ pricing strategies, and risks due to new or increased tariffs, which can adversely affect our sales, margins, and net income. Our results of operations can be affected by local, national and worldwide market conditions.

The stock markets have historically experienced price and volume fluctuations that at times have been extreme and have affected, and continue to affect, the market prices of equity securities of many companies. These fluctuations have often been unrelated or disproportionate to the operating performance of those companies.

Risks related to our securities Because of the volatility in the stock market in general, the market price of our Common Stock will also likely be volatile. The stock markets have historically experienced price and volume fluctuations that at times have been extreme and have affected, and continue to affect, the market prices of equity securities of many companies.

Economic factors have contributed to tightening and increased competitiveness in the labor market, increasing labor costs. A prolonged labor shortage could potentially adversely affect our business operations and further increase labor costs. We face intense competition to gain market share, which may lead some competitors to sell substantial amounts of goods at prices against which we cannot profitably compete.

We have faced a tight labor market due to competitive wage increases, labor shortages and turnover. Labor shortages and rising labor-related costs could adversely impact our earnings. 10 We face intense competition to gain market share, which may lead some competitors to sell substantial amounts of goods at prices against which we cannot profitably compete.

In addition, we may have liabilities or obligations in the future if we discover any environmental contamination or liability at any of our facilities, or at facilities we may acquire. We are subject to taxation related risks. We are subject to U.S. federal income tax as well as income tax of multiple state jurisdictions.

In addition, we may have liabilities or obligations in the future if we discover any environmental contamination or liability at any of our facilities, or at the facilities we may acquire. Changes in U.S. tariff and trade policy could adversely affect our business.

Broad market and industry fluctuations, as well as general economic, political, regulatory and market conditions, may negatively impact the market price of our common stock. If the market price of our Class A common stock falls below your investment price, you may lose some or all of your investment.

These fluctuations have often been unrelated or disproportionate to the operating performance of those companies. Broad market and industry fluctuations, as well as general economic, political, regulatory and market conditions, may negatively impact the market price of our common stock.

As previously disclosed, the Company was targeted with an encryption ransomware attack on November 30, 2022. The attack was discovered while it was in process and immediate action was taken to isolate our network to limit the scope of any damage.

As previously disclosed, the Company was targeted with an encryption ransomware attack on November 30, 2022. The Company eliminated the ransomware and restored its systems.

Removed

The Tax Cuts and Jobs Act enacted on December 22, 2017 resulted in changes in our federal corporate tax rate, our deferred income taxes and limitations on the deductibility of interest expense and executive compensation and the transition of U.S. international taxation from a worldwide tax system to a modified territorial tax system.

Added

In such an event, our common stock could decline in price and you may lose all or part of your investment.

Removed

There may be changes in tax legislation, including a repeal or modification of the Tax Cuts and Jobs Act of 2017, changes in tax rates and tax base such as limiting, phasing-out or eliminating deductions, revising tax law interpretations in jurisdictions, and changes in other tax laws. The U.S. government has proposed changes to increase the tax rates on corporations.

Added

Digital technologies will continue to erode the demand for our printed business documents. The printing industry continues to experience weakening demand for printed products.

Removed

We monitor our credit risk exposure by periodically obtaining credit reports and updated financials on our customers. We generally see a heightened amount of bankruptcies by our customers during economic downturns.

Added

We currently purchase a large majority of our paper products (a significant input to our print products) from one major supplier at favorable costs based on our high volume of business with this supplier relative to our competitors.

Removed

The attack resulted in a brief disruption to the operation of our systems as we took our servers offline to eradicate the ransomware and restore our data and applications from secure backups. The Company did not communicate with the ransomware threat actor and never considered paying any ransom demand.

Added

We predominantly purchase our other raw materials from domestic suppliers but may be required to source from international suppliers if our domestic suppliers are unable to meet our supply requirements.

Removed

Instead, the Company eliminated the ransomware and immediately proceeded to restore its critical files and functions. The Company incurred no material expense in connection with the ransomware attack.

Added

We are monitoring changes and potential changes to U.S. tariff and trade policies under the current Presidential administration, along with reciprocal tariffs or other countermeasures imposed or that may be imposed by other countries in response. The current environment is dynamic and uncertain, as the U.S.

Removed

Based on the information currently known to date, the incident has not had a significant financial impact and the Company does not believe the incident will have a material impact on its business, results of operations or financial condition.

Added

President has imposed, modified and paused tariffs, and granted exemptions from tariffs, on different countries and products multiple times since taking office in January 2025. Changing U.S. tariff and trade policies could cause higher inflation, higher interest rates and slower economic growth or recession in the U.S.

Added

These changes and uncertainties regarding future changes could result in higher costs to our business and impact demand from our customers. These factors could have a material adverse effect on our business. We are subject to taxation related risks. We are subject to U.S. federal income tax as well as income tax of multiple state jurisdictions.

Added

Supreme Court decision in South Dakota v Wayfair, states may require an out-of-state seller with no physical presence in the state to collect and remit sales tax on goods the seller ships to consumers in the state.

Added

While the company now collects, remits and reports sales tax in states that it does business in, the adoption of new laws by taxing authorities could create significant increases in internal cost necessary to capture data, collect and remit tax. All of these factors and uncertainties may adversely affect our results of operations, financial position and cash flows.

Added

The inability to collect on sales to significant customers or a group of customers could have a material adverse effect on our results of operations. Our business incurs significant freight and transportation costs. We incur transportation expenses to ship our products to our customers.

Added

Since then, the Company has implemented additional security measures to make it more difficult for an outside agent to gain access to our network, such as a 12 multifactor authentication (MFA) protocol and a robust firewall to strengthen the Company's network.

Added

If the market price of our Class A common stock falls below your investment price, you may lose some or all of your investment. In the past, companies that have experienced volatility in the market price of their securities have been subject to securities class action litigation.

Item 1C. Cybersecurity

Cybersecurity — threats and controls disclosure

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2024 filing

2025 filing

Biggest changeThe Audit Committee performs an annual review and discussion of the Company’s cybersecurity program, which includes planned actions in the event of a threat or recovery situation. Our IT team is led by the Vice President of Administration and the Director of Information Technology. The latter is responsible for regular assessment and management of cybersecurity risks.

Biggest changeThe Audit Committee performs an annual review and discussion of the Company’s cybersecurity program, which includes planned actions in the event of a threat or recovery situation. Our IT team is led by the Director of Information Technology and is responsible for regular assessment and management of cybersecurity risks.

Governance Our Board of Directors, Audit Committee and senior management oversee risk management to ensure that the Company's policies and procedures are functioning as intended to protect the Company’s information systems from cybersecurity threats.

During the fiscal year ended February 29, 2024, we have not identified any risks from cybersecurity threats that have materially affected our business operations or financial conditions.

During the fiscal year ended February 28, 2025 , we have not identified any risks from cybersecurity threats that have materially affected our business operations or financial conditions.

Item 2. Properties

Properties — owned and leased real estate

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2024 filing

2025 filing

Biggest changePaul, Minnesota; Nevada, Iowa and Bridgewater, Virginia); and pressure seal products (Visalia, California; Chino, California; Roanoke, Virginia and Clarksville, Tennessee). Our plants are operated at production levels required to meet our forecasted customer demands. Production levels fluctuate with market demands and depend upon the product mix at any given point in time.

Biggest changeProduction levels fluctuate with market demands and depend upon the product mix at any given point in time.

All of our properties are used for the production, warehousing and shipping of business products, including the following: business forms, flexographic printing, and advertising specialties (Wolfe City, Texas); presentation 13 products (Macomb, Michigan; De Pere, Wisconsin and Columbus, Kansas); printed and electronic promotional media (Columbus, Kansas); envelopes (Portland, Oregon; Columbus, Kansas; Tullahoma, Tennessee and Claysburg, Pennsylvania); financial forms (Minneapolis/St.

All of our properties are used for the production, warehousing and shipping of business products, including the following: business forms, flexographic printing, and advertising specialties (Wolfe City, Texas); presentation products (Macomb, Michigan; De Pere, Wisconsin and Columbus, Kansas); printed and electronic promotional media (Columbus, Kansas); envelopes (Portland, Oregon; Columbus, Kansas; Tullahoma, Tennessee and Claysburg, Pennsylvania); financial forms (Minneapolis/St.

Generally, we are able to maintain or renew leases as they expire without significant difficulty, but leases in certain markets may be subject to significant rent increases that necessitate consolidating operations to maintain profitability. 14 Approximate Square Footage Location General Use Owned Leased Fairhope, Alabama Manufacturing 65,000 — Sun City, California Two Manufacturing Facilities and Warehouse 52,617 1,911 Denver, Colorado One Manufacturing Facility 60,000 — Lithia Springs, Georgia Manufacturing — 40,050 Harvard, Illinois Manufacturing and Warehouse 42,000 — South Elgin, Illinois Manufacturing — 70,500 Indianapolis, Indiana Two Manufacturing Facilities — 38,000 DeWitt, Iowa Two Manufacturing Facilities 95,000 — Nevada, Iowa Two Manufacturing Facilities 232,000 — Columbus, Kansas Two Manufacturing Facilities and Warehouse 174,089 — Ft.

Generally, we are able to maintain or renew leases as they expire without significant difficulty, but leases in certain markets may be subject to significant rent increases that necessitate consolidating operations to maintain profitability. 14 Approximate Square Footage Location General Use Owned Leased Fairhope, Alabama Manufacturing 65,000 — Sun City, California Two Manufacturing Facilities and Warehouse 52,617 1,911 Denver, Colorado One Manufacturing Facility 60,000 — Lithia Springs, Georgia Manufacturing — 40,050 Harvard, Illinois Manufacturing and Warehouse 42,000 — South Elgin, Illinois Manufacturing — 70,500 Indianapolis, Indiana Manufacturing — 34,630 DeWitt, Iowa Two Manufacturing Facilities 95,000 — Nevada, Iowa Two Manufacturing Facilities 232,000 — Columbus, Kansas Two Manufacturing Facilities and Warehouse 174,089 — Ft.

All of our facilities are believed to be in good condition. We do not anticipate that substantial expansion, refurbishing, or re-equipping of our facilities will be required in the near future. All of our rented property is held under leases with original terms of one or more years, expiring at various times through November 2028.

Scott, Kansas Manufacturing 86,660 — Girard, Kansas Manufacturing 69,474 — Overland Park, Kansas Two Manufacturing Facilities — 26,750 Parsons, Kansas Manufacturing & One Warehouse 122,740 40,000 Canton, Michigan Two Manufacturing Facilities and Warehouse 32,958 13,490 Macomb, Michigan Manufacturing 56,350 — Brooklyn Park, Minnesota Manufacturing 94,800 — El Dorado Springs, Missouri Manufacturing 70,894 — Fenton, Missouri Manufacturing — 26,847 Marlboro, New Jersey Manufacturing and Warehouse — 7,450 Caledonia, New York Manufacturing and one vacant 191,730 — Fairport, New York Two Manufacturing Facilities 40,800 — Coshocton, Ohio Manufacturing 24,750 — Toledo, Ohio Three Manufacturing Facilities 120,947 — Portland, Oregon Two Manufacturing Facilities — 261,765 Annville, Pennsylvania Manufacturing 37,000 — Bensalem, Pennsylvania Manufacturing — 16,600 Claysburg, Pennsylvania Manufacturing — 69,000 Clarksville, Tennessee Manufacturing 51,900 — Powell, Tennessee Manufacturing 43,968 — Tullahoma, Tennessee Two Manufacturing Facilities 142,061 — Arlington, Texas Two Manufacturing Facilities 69,935 — Ennis, Texas Three Manufacturing Facilities * 325,118 — Houston, Texas Manufacturing — 29,668 Wolfe City, Texas Two Manufacturing Facilities 119,259 — Bridgewater, Virginia Manufacturing — 25,730 Chatham, Virginia Two Manufacturing Facilities 127,956 — Roanoke, Virginia Manufacturing — 110,000 DePere, Wisconsin Manufacturing — 123,187 Mosinee, Wisconsin Manufacturing — 5,400 Neenah, Wisconsin Two Manufacturing Facilities & One Warehouse 72,354 97,161 2,622,360 1,003,509 Corporate Offices Ennis, Texas Administrative Offices 9,300 — Midlothian, Texas Executive and Administrative Offices 28,000 — 37,300 — Totals 2,659,660 1,003,509 * 22,000 square feet of Ennis, Texas location leased 15

Scott, Kansas Manufacturing 86,660 — Girard, Kansas Manufacturing 69,474 — Overland Park, Kansas Two Manufacturing Facilities — 26,750 Parsons, Kansas Manufacturing & One Warehouse 122,740 40,000 Canton, Michigan Two Manufacturing Facilities and Warehouse 32,958 13,490 Macomb, Michigan Manufacturing 56,350 — Brooklyn Park, Minnesota Manufacturing 94,800 — El Dorado Springs, Missouri Manufacturing 70,894 — Fenton, Missouri Vacant ** — 26,847 Marlboro, New Jersey Manufacturing and Warehouse — 7,450 Caledonia, New York Manufacturing and one vacant 191,730 — Fairport, New York Two Manufacturing Facilities 40,800 — Coshocton, Ohio Manufacturing 24,750 — Toledo, Ohio Three Manufacturing Facilities 120,947 — Portland, Oregon Two Manufacturing Facilities — 261,765 Annville, Pennsylvania Manufacturing 37,000 — Claysburg, Pennsylvania Manufacturing — 69,000 Clarksville, Tennessee Manufacturing 51,900 — Powell, Tennessee Manufacturing 43,968 — Tullahoma, Tennessee Two Manufacturing Facilities 142,061 — Arlington, Texas Two Manufacturing Facilities 69,935 — Ennis, Texas Three Manufacturing Facilities * 325,118 — Houston, Texas Manufacturing — 29,668 Wolfe City, Texas Two Manufacturing Facilities 119,259 — Bridgewater, Virginia Manufacturing — 25,730 Chatham, Virginia Two Manufacturing Facilities 127,956 — Roanoke, Virginia Manufacturing — 110,000 DePere, Wisconsin Manufacturing — 123,187 Mosinee, Wisconsin Manufacturing — 5,400 Neenah, Wisconsin Two Manufacturing Facilities & One Warehouse 72,354 97,161 2,622,360 983,539 Corporate Offices Ennis, Texas Administrative Offices 9,300 — Midlothian, Texas Executive and Administrative Offices 28,000 — 37,300 — Totals 2,659,660 983,539 * 22,000 square feet of Ennis, Texas location leased ** The Company exited the lease facility and is actively looking to sublease the remaining noncancellable lease term through July 2027. 15

Added

Paul, Minnesota; Nevada, Iowa and Bridgewater, Virginia); statement printing and mailing (Roanoke, Virginia; Arlington, Texas; South Elgin, Illinois, and Overland Park, Kansas); kiosk media, thermal, ATM, and pay station receipts (Indianapolis, Indiana); and pressure seal products (Roanoke, Virginia and Clarksville, Tennessee). Our plants are operated at production levels required to meet our forecasted customer demands.

Added

Some leases include options to renew at our discretion.

Item 3. Legal Proceedings

Legal Proceedings — active lawsuits and investigations

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2024 filing

2025 filing

Biggest changeNevertheless, the defendants have posted cash bonds that total approximately $5.1 million, which should be recoverable by the Company if defendants’ appeal is unsuccessful.

Biggest changeNevertheless, the defendants have posted cash bonds that total approximately $5.1 million, which should be recoverable by the Company if defendants’ appeal is unsuccessful. Ennis and one of its subsidiaries are defendants in a lawsuit in Arizona concerning the lease of the former B&D Litho facility that was closed in 2019.

In October 2023, Crabar/GBF, Inc., a subsidiary of Ennis, was awarded $5.8 million in actual damages, exemplary damages and attorney’s fees in a case against Wright Printing Company, its owner Mark Wright, and CEO Mardra Sikora. Given the defendants’ pending appeal, we have not yet recognized revenue from the judgment.

Added

The plaintiff landlord generally alleges that the defendants failed to maintain the leased premises in good condition. The landlord seeks more than $4.0 million in repair costs and other consequential damages even though the landlord sold the facility without making the supposedly necessary repairs. The Company has denied the landlord’s allegations and is vigorously contesting the landlord’s unreasonable claim.

Added

The Court has made a preliminary ruling that defendants failed to maintain the facility’s air conditioning equipment, paved surfaces and roof in good condition even though the landlord had assumed responsibility for some of those maintenance obligations. The Company has accrued a liability reserve of approximately $0.4 million related to this claim.

Added

The case will not be tried until the first calendar quarter of 2026.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

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2024 filing

2025 filing

Biggest changeTotal Number Total of Shares Maximum Amount Number Average Purchased as that May Yet Be Used of Shares Price Paid Part of Publicly to Purchase Shares Period Purchased per Share Announced Programs Under the Program December 1, 2023 - December 31, 2023 — $ — — $ 23,948,822 January 1, 2024 - January 31, 2024 — $ — — $ 23,948,822 February 1, 2024 - February 29, 2024 29,350 $ 19.96 29,350 $ 23,362,850 Total 29,350 $ 19.96 29,350 $ 23,362,850 17 Stock Performance Graph The graph below matches Ennis, Inc.'s cumulative 5-Year total shareholder return on common stock with the cumulative total returns of the S&P 500 index and the Russell 2000 index.

Biggest changeStock Performance Graph The graph below matches Ennis, Inc.'s cumulative 5-Year total shareholder return on common stock with the cumulative total returns of the S&P 500 index and the Russell 2000 index.

A dividend of $0.225 per share of our common stock was paid in the first quarter of fiscal year 2022. A dividend of $0.25 per share of our common stock was paid in each subsequent quarter of fiscal year 2022 and in each quarter of fiscal years 2023 and 2024.

A dividend of $0.25 per share of our common stock was paid in each quarter of fiscal years 2023, 2024 and 2025.

The following table sets forth the high and low sales prices, the common stock trading volume as reported by the NYSE and dividends per share paid by the Company for the periods indicated: Common Stock Dividends Trading Volume per share of Common Stock Price Range (number of shares Common High Low in thousands) Stock Fiscal Year Ended February 29, 2024 First Quarter $ 22.19 $ 18.94 7,812 $ 0.250 Second Quarter 22.46 19.38 5,412 $ 0.250 Third Quarter 21.99 20.55 4,317 $ 0.250 Fourth Quarter 23.17 19.75 6,288 $ 0.250 Fiscal Year Ended February 28, 2023 First Quarter $ 19.24 $ 16.94 6,424 $ 0.250 Second Quarter 22.67 16.55 7,768 $ 0.250 Third Quarter 23.44 19.81 6,238 $ 0.250 Fourth Quarter 23.48 20.55 6,131 $ 0.250 On May 9, 2024, the last reported sale price of our common stock on the NYSE was $20.71, and there were approximately 622 shareholders of record.

The following table sets forth the high and low sales prices, the common stock trading volume as reported by the NYSE and dividends per share paid by the Company for the periods indicated: Common Stock Dividends Trading Volume per share of Common Stock Price Range (number of shares Common High Low in thousands) Stock Fiscal Year Ended February 28, 2025 First Quarter $ 25.75 $ 18.88 7,439 $ 0.250 Second Quarter 24.37 20.55 5,964 $ 0.250 Third Quarter 25.75 20.02 11,775 $ 2.750 Fourth Quarter 21.72 19.76 7,700 $ 0.250 Fiscal Year Ended February 29, 2024 First Quarter $ 22.19 $ 18.94 7,812 $ 0.250 Second Quarter 22.46 19.38 5,412 $ 0.250 Third Quarter 21.99 20.55 4,317 $ 0.250 Fourth Quarter 23.17 19.75 6,288 $ 0.250 On May 6, 2025, the last reported sale price of our common stock on the NYSE was $18.39, and there were approximately 596 shareholders of record.

Our Board has authorized the repurchase of the Company’s outstanding common stock through a stock repurchase program, which authorized amount is currently up to $60.0 million in the aggregate. Under the repurchase program, purchases may be made from time to time in the open market or through privately-negotiated transactions, depending on market conditions, share price, trading volume and other factors.

Under the repurchase program, purchases may be made from time to time in the open market or through privately negotiated transactions, depending on market conditions, share price, trading volume and other factors.

Repurchases may be commenced or suspended at any time or from time to time without prior notice, provided that any purchases must be made in accordance with 16 applicable insider trading rules and securities laws and regulations.

Repurchases may be commenced or suspended at any time or from time to time without prior notice, provided that any purchases must be made in accordance with applicable insider trading rules and securities laws and regulations. Since the program’s inception in October 2008, we have repurchased 2,334,344 common shares under the program at an average price of $16.47 per share.

The graph tracks the performance of a $100 investment in our common stock and in each index (with the reinvestment of all dividends) from 2/28/2019 to 2/29/2024. 2019 2020 2021 2022 2023 2024 Ennis, Inc. $ 100.00 $ 99.08 $ 102.67 $ 102.13 $ 124.28 $ 121.81 S&P 500 100.00 108.19 142.05 165.33 152.61 199.09 Russell 2000 100.00 95.08 143.56 134.93 126.82 139.56 The stock price performance included in this graph is not necessarily indicative of future stock price performance. 18

The graph tracks the performance of a $100 investment in our common stock and in each index (with the reinvestment of all dividends) from February 29, 2020 to February 28, 2025. 17 2020 2021 2022 2023 2024 2025 Ennis, Inc. $ 100.00 $ 103.62 $ 103.08 $ 125.43 $ 122.94 $ 150.98 S&P 500 100.00 131.29 152.81 141.06 184.01 217.88 Russell 2000 100.00 151.00 141.92 133.39 146.79 156.61 The stock price performance included in this graph is not necessarily indicative of future stock price performance. 18

Dividends are declared at the discretion of the Board and future dividends will depend on our future earnings, cash flow, financial requirements and other factors. The Board does view the dividend as an important aspect of owning Ennis stock and continues to rank it high in priority in allocating the Company's earnings.

The Board does view the dividend as an important aspect of owning Ennis stock and continues to rank it high in priority in allocating the Company's earnings. Our Board has authorized the repurchase of the Company’s outstanding common stock through a stock repurchase program, which authorized amount is currently up to $60.0 million in the aggregate.

Since the program’s inception in October 2008, we have repurchased 2,242,461 common shares under the program at an average price of $16.34 per share. During our fiscal year 2024, we repurchased 29,350 shares of common stock at an average price of $19.96 per share.

During our fiscal year 2025, we repurchased 91,883 shares of common stock at an average price of $19.79 per share. As of February 28, 2025, $21.5 million remained available to repurchase shares of common stock under the program.

Removed

As of February 29, 2024, $23.4 million remained available to repurchase shares of common stock under the program.

Added

During the third quarter of fiscal year 2025, a special dividend of $2.50 per share of our common stock was paid in addition to the ordinary dividend of $0.25 per share of our common stock. 16 Dividends are declared at the discretion of the Board and future dividends will depend on our future earnings, cash flow, financial requirements and other factors.

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

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2024 filing

2025 filing

Biggest changeConsolidated Summary Consolidated Statements of Fiscal years ended Operations - Data ( in thousands) 2024 2023 2022 Net sales $ 420,109 100.0 % $ 431,837 100.0 % $ 400,014 100.0 % Cost of goods sold 294,767 70.2 300,787 69.7 285,291 71.3 Gross profit margin 125,342 29.8 131,050 30.3 114,723 28.7 Selling, general and administrative 68,830 16.4 70,793 16.4 71,410 17.9 Loss (gain) from disposal of assets 53 — (5,896 ) (1.4 ) (271 ) (0.1 ) Income from operations 56,459 13.4 66,153 15.3 43,584 10.9 Other income (expense) 2,664 0.6 (1,223 ) (0.3 ) (1,640 ) (0.4 ) Earnings before income taxes 59,123 14.1 64,930 15.0 41,944 10.5 Provision for income taxes 16,526 3.9 17,630 4.1 12,962 3.2 Net earnings $ 42,597 10.1 % $ 47,300 11.0 % $ 28,982 7.2 % Net Sales.

Biggest changeConsolidated Summary Consolidated Statements of Fiscal years ended Operations - Data ( in thousands) 2025 2024 2023 Net sales $ 394,618 100.0 % $ 420,109 100.0 % $ 431,837 100.0 % Cost of goods sold 277,324 70.3 294,767 70.2 300,787 69.7 Gross profit margin 117,294 29.7 125,342 29.8 131,050 30.3 Selling, general and administrative 65,378 16.6 68,830 16.4 70,793 16.4 (Gain) loss from disposal of assets (58 ) — 53 — (5,896 ) (1.4 ) Income from operations 51,974 13.2 56,459 13.4 66,153 15.3 Other income (expense), net 3,480 0.9 2,664 0.6 (1,223 ) (0.3 ) Earnings before income taxes 55,454 14.1 59,123 14.1 64,930 15.0 Provision for income taxes 15,232 3.9 16,526 3.9 17,630 4.1 Net earnings $ 40,222 10.2 % $ 42,597 10.1 % $ 47,300 11.0 % Net Sales .

While margins remain under pressure due to the resulting weak volumes, we intend to continue to focus on effectively managing and controlling our product costs through the use of forecasting, production and costing models, as well as working closely with our domestic suppliers to reduce our procurement costs, in order to minimize effects on our operational results.

While margins remain under pressure due to the resulting weak volumes, we continue to focus on effectively managing and controlling our product costs through the use of forecasting, production and costing models, as well as working closely with our suppliers to reduce our procurement costs, in order to minimize effects on our operational results.

A goodwill impairment charge was not required for the fiscal years ended February 29, 2024 or February 28, 2023. Allowance for Credit Losses and Accounts Receivable – Net sales consist of gross sales invoiced to customers, less certain related charges, including discounts, returns and other allowances.

A goodwill impairment charge was not required for the fiscal years ended February 28, 2025 or February 29, 2024. Allowance for Credit Losses and Accounts Receivable – Net sales consist of gross sales invoiced to customers, less certain related charges, including discounts, returns and other allowances.

This section provides information necessary to evaluate our ability to generate cash and to meet existing and known future cash requirements over both the short and long term. References to 2024, 2023 and 2022 refer to the fiscal years ended February 29, 2024, February 28, 2023 and February 28, 2022, respectively.

This section provides information necessary to evaluate our ability to generate cash and to meet existing and known future cash requirements over both the short and long term. References to 2025, 2024 and 2023 refer to the fiscal years ended February 28, 2025, February 29, 2024 and February 28, 2023, respectively.

Production capacity and price competition within our industry – Industry supply of paper products is subject to fluctuation as changing industry conditions influence producers to idle or permanently close individual machines or mills, and or convert them to different product lines, such as packaging to offset a decline in demand.

Production capacity and price competition within our industry – Industry supply of paper products is subject to fluctuation as changing industry conditions have and will continue to influence producers to idle or permanently close individual machines or mills, and or convert them to different product lines, such as packaging to offset a decline in demand.

The Company expects to continue to repurchase its shares under the repurchase program during fiscal year 2025 provided that the Board determines such repurchases to be in the best interests of the Company and its shareholders.

The Company expects to continue to repurchase its shares under the repurchase program during fiscal year 2026 provided that the Board determines such repurchases to be in the best interests of the Company and its shareholders.

As our Pension Plan assets are invested in marketable securities, fluctuations in market values could potentially impact our Pension Plan funding status and associated liability recorded. The expected rate of return on assets was 6.00% and 6.50% at February 29, 2024 and February 28, 2023, respectively.

As our Pension Plan assets are invested in marketable securities, fluctuations in market values could potentially impact our Pension Plan funding status and associated liability recorded. The expected rate of return on assets was 5.50% and 6.00% at February 28, 2025 and February 29, 2024, respectively.

ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS O F FINANCIAL CONDITION AND RESULTS OF OPERATIONS This Management’s Discussion and Analysis provides material historical and prospective disclosures intended to enable investors and other users to assess our financial condition and results of operations.

ITEM 7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS This Management’s Discussion and Analysis provides material historical and prospective disclosures intended to enable investors and other users to assess our financial condition and results of operations.

Credit Facility – As of February 29, 2024, we had $0.3 million outstanding under a standby letter of credit arrangement secured by a cash collateral bank account. It is anticipated that our cash, short-term investments and funds from operating cash flows will be sufficient to fund anticipated future expenditures.

Credit Facility – As of February 28, 2025, we had $0.3 million outstanding under a standby letter of credit arrangement secured by a cash collateral bank account. It is anticipated that our cash, short-term investments and funds from operating cash flows will be sufficient to fund anticipated future expenditures.

Repurchases may be commenced or suspended at any time or from time to time without prior notice, provided that any purchases must be made in accordance with applicable insider trading rules and securities laws and regulations. Since the program’s inception in October 2008, we have repurchased 2,242,461 common shares under the program at an average price of $16.34 per share.

Our net sales were $420.1 million for fiscal year 2024, compared to $431.8 million for fiscal year 2023, a decrease of $11.7 million, or 2.7%, primarily due to a $32.9 million decrease in volume demand, partially offset by an approximately $21.2 million increase in revenues generated from our recent acquisitions.

Our net sales were $420.1 million for fiscal year 2024 compared to $431.8 million for fiscal year 2023, a decrease of $11.7 million or -2.7%, primarily due to a $32.9 million decrease in volume demand, partially offset by an approximately $21.2 million increase in revenues generated from three acquisitions during fiscal year 2024. Cost of Goods Sold .

The funding of our Pension Plan is governed by the Employee Retirement Income Security Act of 1974 (“ ERISA ”), as amended, and the Internal Revenue Code and is also subject to the Moving Ahead for Progress in the 21 st Century Act, the Highway and Transportation Funding Act of 2014, the Bipartisan Budget Act of 2015, and the American Rescue Plan Act of 2021.

The funding of our Pension Plan is governed by the Employee Retirement Income Security Act of 1974 (“ERISA”), as amended, and the Internal Revenue Code and is also subject to the Moving Ahead for Progress in the 21st Century Act, the Highway and Transportation Funding Act of 2014, the Bipartisan Budget Act of 2015, and the American Rescue Plan Act of 2021.

We made a contribution of $1.2 million to our Pension Plan in fiscal year 2024, $2.0 million in fiscal year 2023 and $1.0 million in fiscal year 2022.

We made a contribution of $1.2 million to our Pension Plan in fiscal years 2025 and 2024, and a $2.0 million contribution in fiscal year 2023.

Given our funding status as of February 29, 2024, and absent any significant negative event, we anticipate that our future contributions will be between $1.0 million and $3.0 million per year, depending on our Pension Plan’s funding.

Given our funding status as of February 28, 2025, and absent any significant negative event, we anticipate that our future contributions will be between $1.0 million and $1.2 million per year, depending on our Pension Plan’s funding.

Cash provided by operating activities was $69.1 million for fiscal year 2024 (an increase of $22.3 million compared to fiscal year 2023), $46.8 million for fiscal year 2023 (a decrease of $3.9 million compared to fiscal year 2022) and $50.7 million for fiscal year 2022.

Cash provided by operating activities was $65.9 million for fiscal year 2025 (a decrease of $3.2 million compared to fiscal year 2024), $69.1 million for fiscal year 2024 (an increase of $22.3 million compared to fiscal year 2023) and $46.7 million for fiscal year 2023.

Allowance for Excess and Obsolete Inventories – With the exception of approximately 7.0% and 6.1% of inventories valued using the lower of last-in, first-out ("LIFO") cost flow assumption for fiscal years 2024 and 2023, respectively, our inventories are valued at the lower of cost or net realizable value.

Allowance for Excess and Obsolete Inventories – With the exception of approximately 7.1% and 7.0% of inventories valued using the lower of last-in, first-out ("LIFO") cost flow assumption for fiscal years 2025 and 2024, respectively, our inventories are valued at the lower of cost or net realizable value as is required under U.S.

Our decrease in expense was from lower non-service cost components of net periodic benefit costs relating to pension expense in fiscal year 2024. Other expense was $2.0 million for fiscal year 2023 compared to $1.6 million for fiscal year 2022.

Our increase in expense was from higher non-service cost components of net periodic benefit costs relating to pension expense in fiscal year 2024. Other expense was $1.3 million for fiscal year 2024 compared to $2.0 million for fiscal year 2023.

We believe that our current cash balance of $81.6 million at February 29, 2024, short-term investments of $29.3 million and cash flows from operations are expected to be similar to prior years which should be adequate to cover the next twelve months 23 and beyond of our operating and capital requirements.

We believe that our current cash balance of $67.0 million at February 28, 2025, short-term investments of $5.5 million and cash flows from operations are expected to be similar to prior years which should be adequate to cover the next twelve months 23 and beyond of our operating and capital requirements.

Actual results may differ materially from these estimates under different assumptions or conditions. We believe the following accounting policies are the most critical due to their effect on our more significant estimates and judgments used in preparation of our Consolidated Financial Statements. 20 Pension Plan – We maintain the Pension Plan for certain eligible employees.

Actual results may differ materially from these estimates under different assumptions or conditions. We believe the following accounting estimates are the most critical due to the application of significant subjective assumptions and judgments in the preparation of such estimates, which are included in our Consolidated Financial Statements. 20 Pension Plan – We maintain the Pension Plan for certain eligible employees.

The $5.9 million gain from disposal of assets for fiscal 2023 is primarily from the sale of an unused manufacturing facility, $5.8 million, and $0.1 million of manufacturing equipment. The $0.3 million gain from disposal of assets for fiscal year 2022 is primarily related to the sale of an unused manufacturing facility and manufacturing equipment. Income from operations.

The $0.1 million loss from disposal of assets for fiscal 2024 is primarily from the sale of unused manufacturing equipment. The $5.9 million gain from disposal of assets for fiscal 2023 is primarily from the sale of an unused manufacturing facility, $5.8 million, and $0.1 million of manufacturing equipment. Income from operations.

The increase in expense was primarily from higher non-service cost components of net periodic benefit costs relating to pension expense in fiscal year 2023. Provision for income taxes. Our effective tax rates for fiscal years 2024, 2023 and 2022 were 28.0%, 27.2%, and 30.9%, respectively.

The decrease in expense was from lower non-service cost components of net periodic benefit costs relating to pension expense in fiscal year 2024. Provision for income taxes. Our effective tax rates for fiscal years 2025, 2024 and 2023 were 27.5%, 28.0%, and 27.2%, respectively.

As a result of decreased sales volume, our manufacturing costs decreased $6.0 million, or 2.0% from $300.8 million for fiscal year 2023 to $294.8 million for fiscal year 2024. Our gross profit was $125.3 million or 29.8% of sales for fiscal year 2024, compared to $131.1 million or 30.3% of sales for fiscal year 2023.

Our manufacturing costs decreased $6.0 million, or -2.0%, from $300.8 million for fiscal year 2023 to $294.8 million for fiscal year 2024. Our gross profit was $125.3 million or 29.8% of sales for fiscal year 2024, compared to $131.1 million or 30.3% for fiscal year 2023. 22 Selling, general, and administrative expenses.

Management anticipates meeting the required volumes. Capital Expenditures – We expect our capital expenditure requirements for fiscal year 2024, exclusive of capital required for possible acquisitions, will be in line with our historical levels of between $3.0 million and $5.0 million. We expect to fund these expenditures through existing cash flows.

Capital Expenditures – We expect our capital expenditure requirements for fiscal year 2025, exclusive of capital required for possible acquisitions, will be in line with our historical levels of between $4.0 million and $7.0 million. We expect to fund these expenditures through existing cash flows.

Primarily due to factors described above, our income from operations for fiscal year 2024 decreased $9.7 million to $56.5 million or 13.4% of net sales from $66.2 million or 15.3% of net sales for fiscal year 2023.

Primarily due to factors described above, our income from operations for fiscal year 2025 decreased $4.5 million to $52.0 million or 13.2% of net sales from $56.5 million or 13.4% of net sales for fiscal year 2024.

The decrease in our cash used in financing activities in fiscal year 2023 was primarily due to a $3.7 million decrease of common stock repurchases. Stock Repurchase – The Board has authorized the repurchase of the Company’s outstanding common stock through a stock repurchase program, which authorized amount is currently up to $60.0 million in the aggregate.

Cash used in financing activities was $93.7 million in fiscal year 2025 compared to $26.4 million in fiscal year 2024 and $27.0 million used in fiscal year 2023. Stock Repurchase – The Board has authorized the repurchase of the Company’s outstanding common stock through a stock repurchase program, which authorized amount is currently up to $60.0 million in the aggregate.

Cash Flow Components Fiscal years ended (Dollars in thousands) 2024 2023 2022 Net cash provided by operating activities $ 69,069 $ 46,776 $ 50,678 Net cash used in investing activities $ (54,994 ) $ (11,457 ) $ (10,052 ) Net cash used in financing activities $ (26,446 ) $ (26,957 ) $ (30,210 ) Cash flows from operating activities.

Cash Flow Components Fiscal years ended (Dollars in thousands) 2025 2024 2023 Net cash provided by operating activities $ 65,855 $ 69,069 $ 46,776 Net cash provided by (used in) investing activities $ 13,200 $ (54,994 ) $ (11,457 ) Net cash used in financing activities $ (93,652 ) $ (26,446 ) $ (26,957 ) Cash flows from operating activities.

Income from operations for fiscal year 2023 increased 51.8% to $66.2 million, or 15.3% of net sales, from $43.6 million, or 10.9% of net sales in 2022. Other income (expense). Interest income for fiscal year 2024 was $4.0 million compared to $0.8 million in 2023 and $0.1 million in 2022.

Income from operations for fiscal year 2024 decreased $9.7 million to $56.5 million or 13.4% of net sales from $66.2 million or 15.3% of net sales for fiscal year 2023. Other income (expense). Interest income for fiscal year 2025 was $4.9 million compared to $4.0 million in 2024 and $0.8 million in 2023.

During our fiscal year 2024, we repurchased 29,350 shares of common stock at an average price of $19.96 per share. As of February 29, 2024, $23.4 million remained available to repurchase shares of the Company’s common stock under the program.

Our annual capital requirements are expected to be within our historical levels of between $3.0 million and $6.0 million. Fiscal Years Ended (Dollars in thousands) 2024 2023 2022 Working Capital $ 167,581 $ 155,379 $ 127,839 Cash $ 81,597 $ 93,968 $ 85,606 Short-term Investments $ 29,325 $ - $ - Working Capital.

Our annual capital requirements to maintain our manufacturing property are expected to be within our historical levels of between $4.0 million and $7.0 million. Fiscal Years Ended (Dollars in thousands) 2025 2024 2023 Working capital $ 119,436 $ 167,581 $ 155,379 Cash $ 67,000 $ 81,597 $ 93,968 Short-term investments $ 5,475 $ 29,325 $ — Working Capital.

The Company uses qualitative factors to determine whether it is more likely than not (likelihood of more than 50%) that the fair value of a reporting unit exceeds its carrying amount, including goodwill.

We assess goodwill for impairment annually as of December 1, or more frequently if impairment indicators are present. The Company uses qualitative factors to determine whether it is more likely than not (likelihood of more than 50%) that the fair value of its single reporting unit exceeds its carrying amount, including goodwill.

For fiscal year 2024, our selling, general and administrative (“ SG&A ”) expenses were $68.8 million compared to $70.8 million for fiscal year 2023, a decrease of $2.0 million, or 2.8% primarily as a result of reduction in executive incentive compensation expense. As a percentage of sales, SG&A expenses remained flat at 16.4% in fiscal year 2024 and 2023.

As a percentage of sales, SG&A increased slightly from 16.4% in fiscal year 2024 to 16.6% in fiscal year 2025. Our SG&A expenses decreased approximately $2.0 million or -2.8%, from $70.8 million for fiscal year 2023 to $68.8 million for fiscal year 2024 primarily as a result of reduction in executive incentive compensation expense.

Each 10 basis point change in the discount rate impacts our computed pension liability by about $0.5 million. Also, continued changes in the mortality assumptions could potentially impact our Pension Plan's funded status. For the February 29, 2024 measurement, no change was made to the mortality assumption.

The Company estimated the duration of its pension benefit obligation ("PBO") to be approximately 12-15 years. Each 10-basis point change in the discount rate impacts our computed pension liability by about $0.5 million. Also, continued changes in the mortality assumptions could potentially impact our Pension Plan's funded status.

Our increase in interest income in 2024 was from higher interest rates in 2024 compared to 2023 and higher interest rates compared to 2002. Other expense for fiscal year 2024 was $1.3 million compared to $2.0 million for fiscal year 2023.

Our increase in interest income in 2025 was due to a higher average cash and investment balances in 2025 compared to 2024 and higher interest rates compared to 2023. Our interest income is offset by other expense. Other expense for fiscal year 2025 was $1.4 million compared to $1.3 million for fiscal year 2024.

The discount rate is reviewed by management annually and is adjusted to reflect movements in the average Mercer and FTSE (formerly Citigroup) pension yield curves for mature pension plans with duration of about 12-15 years. The Company estimated the duration of its pension benefit obligation (PBO) to be approximately 12-15 years.

During fiscal years 2024 and 2025, the discount rate used to determine the net pension obligations for purposes of our Consolidated Financial Statements was 5.15%. The discount rate is reviewed by management annually and is adjusted to reflect movements in the average Mercer and FTSE (formerly Citigroup) pension yield curves for mature pension plans with duration of about 12-15 years.

Net earnings were $47.3 million, or $1.82 per diluted share for fiscal year 2023, as compared to $29.0 million, or $1.11 per diluted share for fiscal year 2022. Net earnings were impacted by increased revenues in fiscal year 2023. Liquidity and Capital Resources We rely on our cash flows generated from operations to meet cash requirements of our business.

Net earnings in fiscal year 2023 were impacted by a $5.8 million gain from disposal of assets that added $0.17 per share. Liquidity and Capital Resources We rely on our cash flows generated from operations to meet cash requirements of our business.

We strategically reduced inventory levels to improve cash flow and the decrease in receivables is primarily a result of accelerating the timing of collections relative to fiscal year end. Our working capital increased by approximately $27.5 million, or 21.5%, from $127.8 million at February 28, 2022 to $155.4 million at February 2023.

We strategically reduced inventory levels to improve cash flow and the decrease in receivables is primarily a result of accelerating the timing of collections relative to fiscal year end.

Contractual Obligations – There have been no significant changes in our contractual obligations since February 29, 2024 that have, or that are reasonably likely to have, a material impact on our results of operations or financial condition. The following table represents our contractual commitments as of February 29, 2024 (in thousands).

We evaluate acquisitions and consider cash flow availability in executing our growth strategy. 25 Contractual Obligations – There have been no significant changes in our contractual obligations since February 28, 2025 that have, or that are reasonably likely to have, a material impact on our results of operations or financial condition.

The higher effective tax rate for fiscal year 2022 was primarily the result of distributions during the year from our deferred compensation plan which was terminated in fiscal year 2021. Net earnings. Net earnings were $42.6 million, or $1.64 per diluted share for fiscal year 2024 as compared to $47.3 million of $1.82 per diluted share for fiscal year 2023.

The change in effective tax rate for fiscal year 2025 and 2024 was primarily the result of change in state apportionment. Net earnings. Net earnings were $40.2 million, or $1.54 per diluted share for fiscal year 2025 as compared to $42.6 million or $1.64 per diluted share for fiscal year 2024.

Our decreased operational cash flows in fiscal year 2023 compared to fiscal year 2022 was primarily the result of a $3.4 million decrease from inventories, $8.2 million decrease from our accounts receivable, $5.9 million gain from disposal of assets and a $5.0 million decrease from deferred tax liability offset by $18.3 million in increased earnings. Cash flows from investing activities.

Our decreased operational cash flows in fiscal year 2025 compared to fiscal year 2024 was primarily the result of a $6.1 million decrease from inventories, $0.7 million increase from our accounts receivable, offset by a $2.4 million decrease in earnings and $7.7 million decrease in payables and accrued expenses.

Any actual impact on the Pension Plan from the higher than expected mortality has already been recognized in the underlying participant data used to measure the pension liability. The impact on future longevity is still being studied, and there is a general expectation that the current population is a healthier cohort such that mortality rates may return to pre-pandemic levels.

The impact on future longevity is still being studied, and there is a general expectation that the current population is a healthier cohort such that mortality rates may return to pre-pandemic levels. This assumption will continue to be monitored.

We regularly review inventory values on hand, using specific aging categories, and write down inventory deemed obsolete and/or slow-moving based on historical usage and estimated future usage to its estimated net realizable value. As actual future demand or market conditions may vary from those projected by management, adjustments to inventory valuations may be required.

GAAP when we follow the first-in-first-out cost flow assumption (“FIFO”). We regularly review inventory values on hand, using specific aging categories, and write down inventory deemed obsolete and/or slow-moving based on historical usage and estimated future usage to its estimated net realizable value.

This assumption will continue to be monitored. Impairment Assessments on Goodwill and Other Intangible Assets – Amounts allocated to intangibles and goodwill are determined based on valuation analyses for our acquisitions. Amortizable intangibles are amortized over their expected useful lives.

Impairment Assessments on Goodwill and Other Intangible Assets – Amounts allocated to intangibles and goodwill are determined based on valuation analyses for our acquisitions. Amortizable intangibles are amortized over their expected useful lives. We evaluate these amounts periodically (at least once a year) to determine whether a triggering event has occurred during the year that would indicate potential impairment.

The discussion and analysis should be read in conjunction with the accompanying Consolidated Financial Statements and notes thereto. Unless otherwise indicated, this financial overview is for the continuing operations of the Company, which are comprised of the production and sales of business forms and other business products.

Unless otherwise indicated, this financial overview is for the continuing operations of the Company, which are comprised of the production and sales of business forms and other business products. The operating results of the Company for fiscal year 2025 and the comparative fiscal years 2024 and 2023 are included in the tables below.

Due in less Due in Due in Due in more Total than 1 year 1-3 years 4-5 years than 5 years Estimated pension benefit payments to Pension Plan participants $ 38,700 $ 3,200 $ 7,700 $ 7,700 $ 20,100 Letters of credit 318 318 — — — Operating leases 10,098 4,593 4,842 663 — Total $ 49,116 $ 8,111 $ 12,542 $ 8,363 $ 20,100 25

Due in less Due in Due in Due in more Total than 1 year 1-3 years 4-5 years than 5 years Estimated pension benefit payments to Pension Plan participants $ 40,500 $ 3,900 $ 7,200 $ 8,800 $ 20,600 Letters of credit 318 318 — — — Operating leases 10,142 4,251 4,770 1,121 — Total $ 50,960 $ 8,469 $ 11,970 $ 9,921 $ 20,600

Under these regulations, the liabilities are discounted using 25-year average corporate bond rates within a specified corridor. For the period ended February 29, 2024, the specified corridor around the 25-year average was 5%.

Under these regulations, the liabilities are discounted using 24-month average corporate bond rates within a specified corridor around the 25-year average. For the remainder of 2025, the effective discount rate is expected to be between 5.30% and 5.40%.

Our SG&A expense decreased as a result of operational efficiencies and intangible assets fully amortized in fiscal year 2022 partially offset by increased executive incentive compensation expense. (Gain) loss from disposal of assets. The $0.1 million loss from disposal of assets for fiscal 2024 is primarily from the sale of unused manufacturing equipment.

As a percentage of sales, SG&A expenses remained flat at 16.4% in fiscal years 2024 and 2023. (Gain) loss from disposal of assets. The $0.1 million gain from disposal of assets for fiscal 2025 is primarily from the sale of unused manufacturing equipment.

Cash used in investing activities was $55.0 million in fiscal year 2024 compared to $11.5 million in fiscal year 2023, and $10.1 million in fiscal year 2022.

Cash flows from investing activities. Cash provided by investing activities was $13.2 million in fiscal year 2025 compared to $55.0 million cash used in investing activities in fiscal year 2024. During fiscal year 2025, $6.2 million was used to acquire businesses compared to $19.6 million in fiscal year 2024.

The allowance for excess and obsolete inventory at fiscal years ended 2024 and 2023 were $1.3 million and $1.6 million, respectively. Results of Operations The following discussion provides information which we believe is relevant to understanding our results of operations and financial condition.

Results of Operations The following discussion provides information which we believe is relevant to understanding our results of operations and financial condition. The discussion and analysis should be read in conjunction with the accompanying Consolidated Financial Statements and notes thereto.

Our current ratio, calculated by dividing our current assets by our current liabilities, increased from 4.4 to 1.0 for fiscal year 2022 to 4.8 to 1.0 for fiscal year 2023.

Our current ratio, calculated by dividing our current assets by our current liabilities, decreased from 6.0 to 1.0 for fiscal year 2024 to 4.6 to 1.0 for fiscal year 2025. Our decrease in working capital primarily reflects the decrease in cash and short-term investments, $38.4 million, accounts receivable, $8.5 million, and inventory, $1.2 million.

Net earnings were impacted by decreased revenues in fiscal year 2024. Net earnings in fiscal year 2023 were impacted by a $5.8 million gain from disposal of assets that added $0.17 per share.

Net earnings were impacted by decreased revenues in fiscal year 2025. Net earnings were $42.6 million, or $1.64 per diluted share for fiscal year 2024 as compared to $47.3 million or $1.82 per diluted share for fiscal year 2023. Net earnings were impacted by decreased revenues in fiscal year 2024.

Removed

In 2022 there was a build-up of paper mill’s customer inventory, and 2023 data showed an inventory correction in reduced spending. Paper mill shipments were down across the board through the first half of 2023 as buyers worked through elevated inventories of their products.

Added

Recently, there have been consolidations of paper suppliers and mill closure announcements which may cause the paper prices to fluctuate substantially in the future. The only domestic source of carbonless paper announced that it is closing its factory. We intend to build a surplus of inventory as buffer inventory until we transition to other sources.

Removed

Producers responded to the sluggish demand conditions with heavy downtime rather than permanent closures keeping prices mostly stable.

Added

For the February 28, 2025 measurement, no change was made to the mortality assumption. The mortality assumption is used to estimate the future lifetime of plan participants. Any actual impact on the Pension Plan from the higher than expected mortality has already been recognized in the underlying participant data used to measure the pension liability.

Removed

During fiscal year 2024, the discount rate used to determine the net pension obligations for purposes of our Consolidated Financial Statements increased to 5.15% from 5.00% in fiscal year 2023.

Added

As actual future demand or market conditions may vary from those projected by management, adjustments to inventory valuations may be required. The allowance for excess and obsolete inventory at fiscal years ended 2025 and 2024 were $1.8 million and $1.7 million, respectively.

Removed

While U.S. mortality has been higher in the last couple of years due to the COVID-19 pandemic and other related factors, the mortality assumption is used to estimate the future lifetime of plan participants.

Added

The aged inventory allowance is recorded primarily to account for the decrease in market value of general stock inventory that is not manufactured to specific customer order. Inventory write offs were $0.1 million in each of the fiscal years ended 2025, 2024, and 2023.

Removed

We evaluate these amounts periodically (at least once a year) to determine whether a triggering event has occurred during the year that would indicate potential impairment. We assess goodwill for impairment annually as of December 1, or more frequently if impairment indicators are present.

Added

Our net sales were $394.6 million for fiscal year 2025, compared to $420.1 million for fiscal year 2024, a decrease of $25.5 million, or -6.1%, primarily due to a $38.7 million decrease in volume demand, partially offset by an approximately $13.2 million increase in revenues generated from our recent acquisitions.

Removed

The operating results of the Company for fiscal year 2024 and the comparative fiscal years 2023 and 2022 are included in the tables below.

Added

The print market overall continues to be fairly soft with competitive pricing pressures resulting in reduced volume.

Removed

The print market overall continues to be fairly soft with competitive pricing as well as some of our print partners have experienced slowness in their sales and reduced their outsourced work to us during the current fiscal year. Our net sales increased from $400.0 million for fiscal year 2022 to $431.8 million for fiscal year 2023, an increase of 8%.

Added

As a result of decreased sales volume, our manufacturing costs decreased $17.4 million, or -5.9% from $294.8 million for fiscal year 2024 to $277.3 million for fiscal year 2025. Our gross profit was $117.3 million or 29.7% of sales for fiscal year 2025, compared to $125.3 million or 29.8% of sales for fiscal year 2024.

Removed

The increase was attributable to $3.3 million in revenues from our 2023 acquisitions of School Photo Marketing as well as price and volume increases that were partially offset by reduced volumes in the fourth quarter. Cost of Goods Sold.

Added

For fiscal year 2025, our selling, general and administrative (“SG&A”) expenses were $65.4 million compared to $68.8 million for fiscal year 2024, a decrease of $3.5 million, or -5.0% primarily as a result of reduction in executive incentive compensation expense. Our SG&A expense also decreased as a result of operational efficiencies.

Removed

The print market overall was fairly soft during fiscal year 2024 with competitive pricing from similar situated vendors as us, resulting in downward pressure on operating margin. Our manufacturing costs increased $15.5 million, or 5.4%, from $285.3 million for fiscal year 2022 to $300.8 million for fiscal year 2023.

Added

Our working capital decreased $48.1 million or -28.7% from $167.6 million at February 29, 2024 to $119.4 million at February 28, 2025 primarily due to a special dividend of $65.0 million paid to Shareholders during the fiscal year 2025.

Removed

Our gross profit was $131.1 million or 30.3% of sales for fiscal year 2023, compared to $114.7 million or 28.7% for fiscal year 2022. Improved operational efficiencies and pricing adjustments to cover inflationary costs, primarily of paper, supplies and labor, contributed to improve our gross profit margin as a percentage of sales. 22 Selling, general, and administrative expenses.

Added

In addition, the $4.4 million note receivable was reclassified to long-term. The note receivable has been extended beyond the one-year maturity date due to regulatory delays in clearing the sold property for third-party financing. See Note 2.

Removed

Our SG&A expenses decreased approximately 0.9%, from $71.4 million for fiscal year 2022 to $70.8 million for fiscal year 2023. As a percentage of sales, SG&A expenses declined from 17.9% in fiscal year 2022 to 16.4% for fiscal year 2023.

Added

During fiscal year 2025 we purchased approximately $10.1 million of U.S. government treasury bills, which was partially offset by $35.0 million in matured treasury bills and invested in money market funds.

Removed

Our increase in working capital primarily reflects the increase in cash, $8.4 million, accounts receivable, $14.5 million, and inventory, $8.3 million, offset by the increase in our accounts payable and accrued expense.

Added

We purchased $31.4 million of U.S. government treasury bills during fiscal year 2024, which was partially offset by $2.5 million in matured treasury bills. 24 Cash flows from financing activities. We used $67.2 million more cash in financing activities during fiscal year 2025 compared to fiscal year 2024.

Removed

The increase in cash used in fiscal year 2024 compared to 2023 was primarily due to net purchase and maturity of short-term investments of $28.9 million and a $10.8 million increase in costs to acquire businesses. During fiscal year 2024, we purchased approximately $31.4 million of U.S. government treasury bills with staggered maturities of between three months and twelve months.

Added

The increase in cash used during fiscal year 2025 resulted from a one-time special dividend of $2.50 per share or $65.0 million and a $1.8 million common stock repurchase under our stock repurchase program.

Removed

The $1.4 million decrease in cash used in fiscal year 2023 compared to fiscal year 2022 was primarily due to a $2.2 million decrease in capital expenditures and $0.8 million increase in proceeds from disposal of plant and property, offset by a $4.4 million increase in costs to acquire businesses. Cash flows from financing activities.

Added

Management anticipates meeting the required volumes. The only domestic source of carbonless paper announced that it is closing its factory. We intend to build a surplus of inventory as buffer inventory until we transition to other sources.

Removed

Cash used in financing activities was $26.4 million in fiscal year 2024 compared to $27.0 million in fiscal year 2023 and $30.2 million used in fiscal year 2022. 24 The decrease in our cash used in financing activities in fiscal year 2024 was primarily due to a $0.5 million decrease of common stock repurchases.

Added

The following table represents our contractual commitments as of February 28, 2025 (in thousands).

Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Market Risk — interest-rate, FX, commodity exposure

2 edited+0 added−0 removed1 unchanged

2024 filing

2025 filing

Biggest changeActual results may differ materially from this discussion based upon general market conditions and changes in domestic and global financial markets.

Biggest changeSee Critical Accounting Estimates in Item 7 and Footnote 12 of the Consolidated Financial Statements for further discussion. This market risk discussion contains forward-looking statements. Actual results may differ materially from this discussion based upon general market conditions and changes in domestic and global financial markets.

We do not use derivative instruments for trading purposes. While we had no outstanding debt at February 29, 2024, we will be exposed to interest rate risk if we borrow under a credit facility in the future. This market risk discussion contains forward-looking statements.

We do not use derivative instruments for trading purposes. While we had no outstanding debt at February 28, 2025, we will be exposed to interest rate risk if we borrow under a credit facility in the future. A drop in the discount rate could negatively impact our Pension Plan's funded status.

Top changes in ENNIS, INC.'s 2025 10-K

Item 1. Business

Item 1A. Risk Factors

Item 1C. Cybersecurity

Item 2. Properties

Item 3. Legal Proceedings

Item 5. Market for Registrant's Common Equity

Item 7. Management's Discussion & Analysis

Item 7A. Quantitative and Qualitative Disclosures About Market Risk

Other EBF 10-K year-over-year comparisons