Cadre Holdings Reports Third Quarter 2024 Financial Results
Cadre Holdings (NYSE: CDRE) reported Q3 2024 financial results with net sales of $109.4 million, down from $125.1 million in Q3 2023, primarily due to cybersecurity incidents in July and September 2024. Net income was $3.7 million ($0.09 per diluted share), compared to $11.1 million in Q3 2023. Gross profit margin decreased to 36.6% from 42.8% year-over-year. The company modified its full-year 2024 guidance, now expecting net sales between $560-571 million and Adjusted EBITDA of $101-107 million. A quarterly dividend of $0.0875 per share was declared.
Cadre Holdings (NYSE: CDRE) ha riportato i risultati finanziari del terzo trimestre 2024 con vendite nette di 109,4 milioni di dollari, in calo rispetto ai 125,1 milioni di dollari del terzo trimestre 2023, principalmente a causa di incidenti di cybersecurity avvenuti a luglio e settembre 2024. Il reddito netto è stato di 3,7 milioni di dollari (0,09 dollari per azione diluita), rispetto agli 11,1 milioni di dollari nel terzo trimestre 2023. Il margine di profitto lordo è diminuito al 36,6% rispetto al 42,8% dell'anno precedente. L'azienda ha modificato le previsioni per l'intero anno 2024, ora prevedendo vendite nette comprese tra 560 e 571 milioni di dollari e un EBITDA rettificato di 101-107 milioni di dollari. È stato dichiarato un dividendo trimestrale di 0,0875 dollari per azione.
Cadre Holdings (NYSE: CDRE) reportó los resultados financieros del tercer trimestre de 2024 con ventas netas de 109.4 millones de dólares, una disminución desde los 125.1 millones de dólares en el tercer trimestre de 2023, principalmente debido a incidentes de ciberseguridad en julio y septiembre de 2024. El ingreso neto fue de 3.7 millones de dólares (0.09 dólares por acción diluida), en comparación con 11.1 millones de dólares en el tercer trimestre de 2023. El margen de beneficio bruto disminuyó al 36.6% desde el 42.8% del año anterior. La empresa modificó su guía para todo el año 2024, ahora esperando ventas netas entre 560-571 millones de dólares y un EBITDA ajustado de 101-107 millones de dólares. Se declaró un dividendo trimestral de 0.0875 dólares por acción.
Cadre Holdings (NYSE: CDRE)는 2024년 3분기 재무 결과를 발표했으며 순매출은 1억 9천4백만 달러로, 2023년 3분기 1억 2천5백1백만 달러에서 감소했습니다. 이는 주로 2024년 7월과 9월에 발생한 사이버 보안 사건 때문입니다. 순이익은 370만 달러(희석주당 0.09 달러)로, 2023년 3분기 1천1백만 달러에 비해 감소했습니다. 총 이익률은 작년의 42.8%에서 36.6%로 감소했습니다. 이 회사는 2024년 전체 연도 가이드를 수정하여 순매출을 5억 6천만에서 5억 7천1백만 달러 사이로 예상하고 조정된 EBITDA를 1억 1천만에서 1억 7천만 달러로 예상하고 있습니다. 주당 0.0875 달러의 분기 배당금이 선언되었습니다.
Cadre Holdings (NYSE: CDRE) a publié les résultats financiers du troisième trimestre 2024 avec un chiffre d'affaires net de 109,4 millions de dollars, en baisse par rapport à 125,1 millions de dollars au troisième trimestre 2023, principalement en raison d'incidents de cybersécurité survenus en juillet et septembre 2024. Le revenu net s'élevait à 3,7 millions de dollars (0,09 dollar par action diluée), contre 11,1 millions de dollars au troisième trimestre 2023. La marge brute a diminué à 36,6% contre 42,8% l'année précédente. L'entreprise a modifié ses prévisions pour l'année entière 2024, s'attendant désormais à des ventes nettes comprises entre 560 et 571 millions de dollars et un EBITDA ajusté de 101 à 107 millions de dollars. Un dividende trimestriel de 0,0875 dollar par action a été déclaré.
Cadre Holdings (NYSE: CDRE) hat die finanziellen Ergebnisse des dritten Quartals 2024 veröffentlicht, mit Nettoverkaufszahlen von 109,4 Millionen Dollar, was einem Rückgang von 125,1 Millionen Dollar im dritten Quartal 2023 entspricht, hauptsächlich aufgrund von Cybersecurity-Vorfällen im Juli und September 2024. Der Nettoertrag betrug 3,7 Millionen Dollar (0,09 Dollar pro verwässertem Anteil), verglichen mit 11,1 Millionen Dollar im dritten Quartal 2023. Die Bruttogewinnmarge sank im Jahresvergleich von 42,8% auf 36,6%. Das Unternehmen hat seine Prognose für das Gesamtjahr 2024 angepasst und erwartet nun Nettoverkäufe zwischen 560 und 571 Millionen Dollar sowie ein bereinigtes EBITDA von 101 bis 107 Millionen Dollar. Eine vierteljährliche Dividende von 0,0875 Dollar pro Aktie wurde erklärt.
- Net sales for nine months increased to $391.6M from $357.9M YoY
- Strong cash position with $93.0M in cash and cash equivalents
- Continued dividend payment of $0.0875 per share
- Higher demand for armor and duty gear products
- Q3 net sales declined 12.5% YoY to $109.4M
- Q3 gross profit margin decreased to 36.6% from 42.8% YoY
- Q3 net income dropped to $3.7M from $11.1M YoY
- Cybersecurity incidents disrupted business operations
- Total debt increased by $68.0M to $208.1M
- Reduced full-year guidance due to operational disruptions
Insights
The Q3 results reveal significant challenges, with net sales declining to
Despite headwinds, the company maintains a strong balance sheet with
The multiple cybersecurity incidents in July and September 2024 have had material impacts on operations, forcing production limitations and affecting order fulfillment. While management claims to have contained the threats, the implementation of ongoing countermeasures and engagement of external experts suggests significant infrastructure vulnerabilities that required substantial remediation.
The sequential occurrence of incidents raises concerns about the robustness of initial security improvements. The business disruption's financial impact highlights the critical nature of cybersecurity in manufacturing operations, particularly for companies serving law enforcement and military markets where security is paramount.
Favorable Market Trends Continue to Drive Strong Demand for Cadre’s Mission Critical Safety Equipment
-
Net sales of
for the third quarter; net sales of$109.4 million for the nine months ended September 30, 2024.$391.6 million -
Gross profit margin of
36.6% for the third quarter; gross profit margin of39.9% for the nine months ended September 30, 2024. -
Net income of
, or$3.7 million per diluted share, for the third quarter; net income of$0.09 , or$23.2 million per diluted share, for the nine months ended September 30, 2024.$0.58 -
Adjusted EBITDA of
for the third quarter; Adjusted EBITDA of$13.5 million for the nine months ended September 30, 2024.$66.3 million -
Adjusted EBITDA margin of
12.4% for the third quarter; Adjusted EBITDA margin of16.9% for the nine months ended September 30, 2024. -
Declared quarterly cash dividend of
per share in October 2024.$0.08 75
“During the third quarter we continued to see strong and recurring demand for Cadre’s best-in-class, mission-critical safety equipment,” said Warren Kanders, CEO and Chairman. “While events unrelated to business macros have impacted our short-term financial performance, we’ve been pleased with the teams’ overall progress and execution leveraging the Cadre operating model to drive constant organizational improvement and create greater value for customers and shareholders. Cadre continues to benefit from an innovative product offering, premium brands, and leading positions across our law enforcement, first responder, military and nuclear markets, supported by outstanding leadership.”
Mr. Kanders added, “Cadre’s resilience through cycles is a primary strength of our business, highlighted by the Company’s track record of consistent and stable growth regardless of economic, political or geopolitical conditions. We remain focused on taking advantage of the favorable industry trends fueling strong global demand for our highly engineered safety products. With a robust M&A pipeline, we continue to diligently evaluate potential transactions to add complementary businesses with strong margins, leading and defensible market positions, and recurring revenue profiles. We are confident in Cadre's forward outlook and believe we are ideally positioned to further expand our platforms and enhance our market leadership positions.”
Third Quarter and Nine-Month 2024 Operating Results
For the quarter ended September 30, 2024, Cadre generated net sales of
For the nine months ended September 30, 2024, Cadre generated net sales of
For the quarter ended September 30, 2024, Cadre generated gross profit of
Gross profit margin was
Net income was
Net income was
Cadre generated
Cadre generated
Product segment gross margin was
Distribution segment gross margin was
Liquidity, Cash Flows and Capital Allocation
-
Cash and cash equivalents increased by
from$5.3 million as of December 31, 2023 to$87.7 million as of September 30, 2024.$93.0 million -
Total debt increased by
from$68.0 million as of December 31, 2023 to$140.1 million as of September 30, 2024.$208.1 million -
Net debt (total debt net of cash and cash equivalents) increased by
from$62.7 million as of December 31, 2023 to$52.4 million as of September 30, 2024.$115.1 million -
Capital expenditures totaled
for the third quarter and$1.1 million for the nine months ended September 30, 2024, compared with$4.5 million for the third quarter and$1.8 million for the nine months ended September 30, 2023.$4.3 million
Dividend
On October 22, 2024, the Company announced that its Board of Directors declared a quarterly cash dividend of
2024 Outlook
Following the July cybersecurity incident and subsequent incident that occurred in September 2024, Cadre has implemented a number of countermeasures to improve the Company’s infrastructure and will continue implementing additional countermeasures to protect its systems and data. Cadre has engaged a number of outside experts to assist in this effort. The Company believes it has contained the threat posed by the cybersecurity incidents and their associated risks and has resumed all affected business operations. The incidents caused Cadre to limit production to a greater extent than was originally forecasted in a number of its facilities during the investigation and remediation periods. As a result, the Company has modified its full year guidance for 2024 and now expects to generate net sales in the range of
Conference Call
Management will host a conference call on Wednesday, November 6, 2024, at 5:00 p.m. EST to discuss the latest corporate developments and financial results. The dial-in number for callers in the US is (800)-715-9871 and the dial-in number for international callers is 646-307-1963. The access code for all callers is 3272793. A live webcast will also be available on the Company’s website at https://www.cadre-holdings.com/.
A replay of the call will be available through November 20, 2024. To access the replay, please dial 800-770-2030 in the
About Cadre
Headquartered in
Use of Non-GAAP Measures
The Company reports its financial results in accordance with
Forward-Looking Statements
Please note that in this press release we may use words such as “appears,” “anticipates,” “believes,” “plans,” “expects,” “intends,” “future,” and similar expressions which constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are made based on our expectations and beliefs concerning future events impacting the Company and therefore involve a number of risks and uncertainties. We caution that forward-looking statements are not guarantees and that actual results could differ materially from those expressed or implied in the forward-looking statements. Potential risks and uncertainties that could cause the actual results of operations or financial condition of the Company to differ materially from those expressed or implied by forward-looking statements in this press release, include, but are not limited to, potential legal, reputational, operational and financial effects on the Company resulting from the cybersecurity incident that the Company reported in July 2024 and/or future cybersecurity incidents on the Company’s business, operations and financial results as well as the effectiveness of the Company’s response and mitigation efforts to any such cybersecurity incidents, as well as those risks and uncertainties more fully described from time to time in the Company's public reports filed with the Securities and Exchange Commission, including under the section titled “Risk Factors” in the Company's Annual Report on Form 10-K, and/or Quarterly Reports on Form 10-Q, as well as in the Company’s Current Reports on Form 8-K. All forward-looking statements included in this press release are based upon information available to the Company as of the date of this press release and speak only as of the date hereof. We assume no obligation to update any forward- looking statements to reflect events or circumstances after the date of this press release.
CADRE HOLDINGS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (In thousands, except share and per share amounts) |
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September 30, 2024 |
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December 31, 2023 |
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Assets |
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Current assets |
|
|
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|
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||
Cash and cash equivalents |
|
$ |
92,989 |
|
|
$ |
87,691 |
|
Accounts receivable, net of allowance for doubtful accounts of |
|
|
69,432 |
|
|
|
58,360 |
|
Inventories |
|
|
99,583 |
|
|
|
80,976 |
|
Prepaid expenses |
|
|
15,603 |
|
|
|
11,930 |
|
Other current assets |
|
|
8,305 |
|
|
|
6,886 |
|
Total current assets |
|
|
285,912 |
|
|
|
245,843 |
|
Property and equipment, net of accumulated depreciation and amortization of |
|
|
46,221 |
|
|
|
44,647 |
|
Operating lease assets |
|
|
16,922 |
|
|
|
6,554 |
|
Deferred tax assets, net |
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|
3,870 |
|
|
|
4,004 |
|
Intangible assets, net |
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|
111,024 |
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|
43,472 |
|
Goodwill |
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|
148,944 |
|
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|
81,667 |
|
Other assets |
|
|
3,722 |
|
|
|
4,992 |
|
Total assets |
|
$ |
616,615 |
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|
$ |
431,179 |
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Liabilities, Mezzanine Equity and Shareholders' Equity |
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Current liabilities |
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Accounts payable |
|
$ |
27,565 |
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|
$ |
28,418 |
|
Accrued liabilities |
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|
47,241 |
|
|
|
44,524 |
|
Income tax payable |
|
|
7,141 |
|
|
|
9,944 |
|
Current portion of long-term debt |
|
|
13,134 |
|
|
|
12,320 |
|
Total current liabilities |
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|
95,081 |
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|
95,206 |
|
Long-term debt |
|
|
194,949 |
|
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|
127,812 |
|
Long-term operating lease liabilities |
|
|
12,032 |
|
|
|
3,186 |
|
Deferred tax liabilities |
|
|
8,782 |
|
|
|
4,843 |
|
Other liabilities |
|
|
5,490 |
|
|
|
2,970 |
|
Total liabilities |
|
|
316,334 |
|
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|
234,017 |
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Mezzanine equity |
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Preferred stock ( |
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— |
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— |
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Shareholders' equity |
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Common stock ( |
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4 |
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4 |
|
Additional paid-in capital |
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304,707 |
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212,630 |
|
Accumulated other comprehensive (loss) income |
|
|
(1,079 |
) |
|
|
634 |
|
Accumulated deficit |
|
|
(3,351 |
) |
|
|
(16,106 |
) |
Total shareholders’ equity |
|
|
300,281 |
|
|
|
197,162 |
|
Total liabilities, mezzanine equity and shareholders' equity |
|
$ |
616,615 |
|
|
$ |
431,179 |
|
CADRE HOLDINGS, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (In thousands, except share and per share amounts) |
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Three Months Ended September 30, |
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Nine Months Ended September 30, |
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2024 |
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2023 |
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2024 |
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2023 |
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Net sales |
|
$ |
109,408 |
|
|
$ |
125,114 |
|
|
$ |
391,577 |
|
|
$ |
357,949 |
|
Cost of goods sold |
|
|
69,392 |
|
|
|
71,511 |
|
|
|
235,283 |
|
|
|
206,981 |
|
Gross profit |
|
|
40,016 |
|
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|
53,603 |
|
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|
156,294 |
|
|
|
150,968 |
|
Operating expenses |
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Selling, general and administrative |
|
|
33,981 |
|
|
|
36,314 |
|
|
|
113,277 |
|
|
|
105,615 |
|
Restructuring and transaction costs |
|
|
515 |
|
|
|
439 |
|
|
|
3,621 |
|
|
|
1,132 |
|
Related party expense |
|
|
94 |
|
|
|
116 |
|
|
|
2,038 |
|
|
|
379 |
|
Total operating expenses |
|
|
34,590 |
|
|
|
36,869 |
|
|
|
118,936 |
|
|
|
107,126 |
|
Operating income |
|
|
5,426 |
|
|
|
16,734 |
|
|
|
37,358 |
|
|
|
43,842 |
|
Other expense |
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|
|
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|
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Interest expense |
|
|
(1,991 |
) |
|
|
(1,073 |
) |
|
|
(5,631 |
) |
|
|
(3,727 |
) |
Other income (expense), net |
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|
1,555 |
|
|
|
(315 |
) |
|
|
(225 |
) |
|
|
395 |
|
Total other expense, net |
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(436 |
) |
|
|
(1,388 |
) |
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|
(5,856 |
) |
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|
(3,332 |
) |
Income before provision for income taxes |
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|
4,990 |
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|
15,346 |
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|
31,502 |
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|
40,510 |
|
Provision for income taxes |
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|
(1,335 |
) |
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|
(4,293 |
) |
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|
(8,352 |
) |
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(11,463 |
) |
Net income |
|
$ |
3,655 |
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|
$ |
11,053 |
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$ |
23,150 |
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$ |
29,047 |
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Net income per share: |
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Basic |
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$ |
0.09 |
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$ |
0.29 |
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$ |
0.58 |
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$ |
0.77 |
|
Diluted |
|
$ |
0.09 |
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$ |
0.29 |
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$ |
0.58 |
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$ |
0.77 |
|
Weighted average shares outstanding: |
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Basic |
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40,607,988 |
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37,586,031 |
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39,723,702 |
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37,515,976 |
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Diluted |
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|
40,949,461 |
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37,930,888 |
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40,118,729 |
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|
37,830,790 |
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CADRE HOLDINGS, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (In thousands) |
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Nine Months Ended September 30, |
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2024 |
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2023 |
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Cash Flows From Operating Activities: |
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Net income |
|
$ |
23,150 |
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|
$ |
29,047 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
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Depreciation and amortization |
|
|
12,325 |
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|
|
12,385 |
|
Amortization of original issue discount and debt issue costs |
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|
787 |
|
|
|
359 |
|
Amortization of inventory step-up |
|
|
3,851 |
|
|
|
— |
|
Deferred income taxes |
|
|
(11,627 |
) |
|
|
1,317 |
|
Stock-based compensation |
|
|
6,255 |
|
|
|
7,060 |
|
Remeasurement of contingent consideration |
|
|
685 |
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|
|
— |
|
Provision for losses on accounts receivable |
|
|
757 |
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|
|
37 |
|
Foreign exchange gain |
|
|
(788 |
) |
|
|
(243 |
) |
Other loss (gain) |
|
|
355 |
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|
|
(394 |
) |
Changes in operating assets and liabilities, net of impact of acquisitions: |
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Accounts receivable |
|
|
162 |
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|
|
3,429 |
|
Inventories |
|
|
(2,589 |
) |
|
|
(12,229 |
) |
Prepaid expenses and other assets |
|
|
(4,161 |
) |
|
|
(3,131 |
) |
Accounts payable and other liabilities |
|
|
(21,096 |
) |
|
|
8,623 |
|
Net cash provided by operating activities |
|
|
8,066 |
|
|
|
46,260 |
|
Cash Flows From Investing Activities: |
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Purchase of property and equipment |
|
|
(4,381 |
) |
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|
(4,248 |
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Proceeds from disposition of property and equipment |
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|
74 |
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|
|
206 |
|
Business acquisitions, net of cash acquired |
|
|
(141,813 |
) |
|
|
— |
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Net cash used in investing activities |
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|
(146,120 |
) |
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|
(4,042 |
) |
Cash Flows From Financing Activities: |
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Proceeds from revolving credit facilities |
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|
5,500 |
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|
— |
|
Principal payments on revolving credit facilities |
|
|
(5,500 |
) |
|
|
— |
|
Proceeds from term loans |
|
|
80,000 |
|
|
|
— |
|
Principal payments on term loans |
|
|
(9,562 |
) |
|
|
(7,500 |
) |
Proceeds from insurance premium financing |
|
|
— |
|
|
|
3,949 |
|
Principal payments on insurance premium financing |
|
|
(2,187 |
) |
|
|
(2,909 |
) |
Payments for debt issuance costs |
|
|
(844 |
) |
|
|
— |
|
Taxes paid in connection with employee stock transactions |
|
|
(5,311 |
) |
|
|
(2,725 |
) |
Proceeds from secondary offering, net of underwriter discounts |
|
|
91,776 |
|
|
|
— |
|
Deferred offering costs |
|
|
(683 |
) |
|
|
— |
|
Dividends distributed |
|
|
(10,395 |
) |
|
|
(8,999 |
) |
Other |
|
|
37 |
|
|
|
— |
|
Net cash provided by (used in) financing activities |
|
|
142,831 |
|
|
|
(18,184 |
) |
Effect of foreign exchange rates on cash and cash equivalents |
|
|
521 |
|
|
|
92 |
|
Change in cash and cash equivalents |
|
|
5,298 |
|
|
|
24,126 |
|
Cash and cash equivalents, beginning of period |
|
|
87,691 |
|
|
|
45,286 |
|
Cash and cash equivalents, end of period |
|
$ |
92,989 |
|
|
$ |
69,412 |
|
Supplemental Disclosure of Cash Flows Information: |
|
|
|
|
|
|
||
Cash paid for income taxes, net |
|
$ |
22,761 |
|
|
$ |
7,923 |
|
Cash paid for interest |
|
$ |
10,523 |
|
|
$ |
7,389 |
|
Supplemental Disclosure of Non-Cash Investing and Financing Activities: |
|
|
|
|
|
|
||
Accruals and accounts payable for capital expenditures |
|
$ |
112 |
|
|
$ |
24 |
|
CADRE HOLDINGS, INC. SEGMENT INFORMATION (Unaudited) (In thousands) |
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended September 30, 2024 |
|||||||||||
|
|
|
|
|
|
|
|
Reconciling |
|
|
|
||
|
|
Product |
|
Distribution |
|
Items(1) |
|
Total |
|||||
Net sales |
|
$ |
96,493 |
|
$ |
17,836 |
|
$ |
(4,921 |
) |
|
$ |
109,408 |
Cost of goods sold |
|
|
60,386 |
|
|
13,936 |
|
|
(4,930 |
) |
|
|
69,392 |
Gross profit |
|
$ |
36,107 |
|
$ |
3,900 |
|
$ |
9 |
|
|
$ |
40,016 |
|
|
Three Months Ended September 30, 2023 |
|||||||||||
|
|
|
|
|
|
|
|
Reconciling |
|
|
|
||
|
|
Product |
|
Distribution |
|
Items(1) |
|
Total |
|||||
Net sales |
|
$ |
108,495 |
|
$ |
24,208 |
|
$ |
(7,589 |
) |
|
$ |
125,114 |
Cost of goods sold |
|
|
60,380 |
|
|
18,724 |
|
|
(7,593 |
) |
|
|
71,511 |
Gross profit |
|
$ |
48,115 |
|
$ |
5,484 |
|
$ |
4 |
|
|
$ |
53,603 |
|
|
Nine Months Ended September 30, 2024 |
|||||||||||
|
|
|
|
|
|
|
|
Reconciling |
|
|
|
||
|
|
Product |
|
Distribution |
|
Items(1) |
|
Total |
|||||
Net sales |
|
$ |
343,711 |
|
$ |
71,615 |
|
$ |
(23,749 |
) |
|
$ |
391,577 |
Cost of goods sold |
|
|
203,771 |
|
$ |
55,216 |
|
$ |
(23,704 |
) |
|
|
235,283 |
Gross profit |
|
$ |
139,940 |
|
$ |
16,399 |
|
$ |
(45 |
) |
|
$ |
156,294 |
|
|
Nine Months Ended September 30, 2023 |
|||||||||||
|
|
|
|
|
|
|
|
Reconciling |
|
|
|
||
|
|
Product |
|
Distribution |
|
Items(1) |
|
Total |
|||||
Net sales |
|
$ |
305,057 |
|
$ |
74,594 |
|
$ |
(21,702 |
) |
|
$ |
357,949 |
Cost of goods sold |
|
|
171,204 |
|
|
57,200 |
|
|
(21,423 |
) |
|
|
206,981 |
Gross profit |
|
$ |
133,853 |
|
$ |
17,394 |
|
$ |
(279 |
) |
|
$ |
150,968 |
____________________________ | ||
(1) |
Reconciling items consist primarily of intercompany eliminations and items not directly attributable to operating segments. |
CADRE HOLDINGS, INC. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES (Unaudited) (In thousands) |
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
|
|
Year ended |
|
Three Months Ended |
|
Nine Months Ended |
|
Last Twelve |
||||||||||||||
|
|
December 31, |
|
September 30, |
|
September 30, |
|
Months |
||||||||||||||
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
2024 |
|
2023 |
|
|
September 30, 2024 |
|||||||
Net income |
|
$ |
38,641 |
|
|
$ |
3,655 |
|
|
$ |
11,053 |
|
$ |
23,150 |
|
$ |
29,047 |
|
|
$ |
32,744 |
|
Add back: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Depreciation and amortization |
|
|
15,737 |
|
|
|
3,763 |
|
|
|
4,165 |
|
|
12,325 |
|
|
12,385 |
|
|
|
15,677 |
|
Interest expense |
|
|
4,531 |
|
|
|
1,991 |
|
|
|
1,073 |
|
|
5,631 |
|
|
3,727 |
|
|
|
6,435 |
|
Provision for income taxes |
|
|
14,283 |
|
|
|
1,335 |
|
|
|
4,293 |
|
|
8,352 |
|
|
11,463 |
|
|
|
11,172 |
|
EBITDA |
|
$ |
73,192 |
|
|
$ |
10,744 |
|
|
$ |
20,584 |
|
$ |
49,458 |
|
$ |
56,622 |
|
|
$ |
66,028 |
|
Add back: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Restructuring and transaction costs(1) |
|
|
3,192 |
|
|
|
515 |
|
|
|
439 |
|
|
5,371 |
|
|
1,132 |
|
|
|
7,431 |
|
Other general income(2) |
|
|
(92 |
) |
|
|
— |
|
|
|
— |
|
|
— |
|
|
— |
|
|
|
(92 |
) |
Other (income) expense, net(3) |
|
|
(936 |
) |
|
|
(1,555 |
) |
|
|
315 |
|
|
225 |
|
|
(395 |
) |
|
|
(316 |
) |
Stock-based compensation expense(4) |
|
|
9,368 |
|
|
|
2,104 |
|
|
|
2,208 |
|
|
6,255 |
|
|
7,060 |
|
|
|
8,563 |
|
Stock-based compensation payroll tax expense(5) |
|
|
234 |
|
|
|
— |
|
|
|
— |
|
|
441 |
|
|
220 |
|
|
|
455 |
|
LTIP bonus(6) |
|
|
860 |
|
|
|
— |
|
|
|
185 |
|
|
49 |
|
|
489 |
|
|
|
420 |
|
Amortization of inventory step-up(7) |
|
|
— |
|
|
|
1,541 |
|
|
|
— |
|
|
3,851 |
|
|
— |
|
|
|
3,851 |
|
Contingent consideration expense(8) |
|
|
— |
|
|
|
176 |
|
|
|
— |
|
|
685 |
|
|
— |
|
|
|
685 |
|
Adjusted EBITDA |
|
$ |
85,818 |
|
|
$ |
13,525 |
|
|
$ |
23,731 |
|
$ |
66,335 |
|
$ |
65,128 |
|
|
$ |
87,025 |
|
Adjusted EBITDA margin(9) |
16.5 |
|
% |
|
12.4 |
|
% |
|
19.0 |
% |
|
16.9 |
% |
18.2 |
% |
|
____________________________ | ||
(1) |
Reflects the “Restructuring and transaction costs” line item on our consolidated statement of operations, which primarily includes transaction costs composed of legal and consulting fees. In addition, this line item reflects a |
|
|
||
(2) |
Reflects gains from long-lived asset sales. | |
|
||
(3) |
Reflects the “Other income (expense), net” line item on our consolidated statements of operations and primarily includes gains and losses due to fluctuations in foreign currency exchange rates. | |
|
||
(4) |
Reflects compensation expense related to equity and liability classified stock-based compensation plans. | |
|
||
(5) |
Reflects payroll taxes associated with vested stock-based compensation awards. | |
|
||
(6) |
Reflects the cost of a cash-based long-term incentive plan awarded to employees that vests over three years. | |
|
||
(7) |
Reflects amortization expense related to the step-up inventory adjustment recorded as a result of our recent acquisitions. | |
|
||
(8) |
Reflects contingent consideration expense related to the acquisition of ICOR. | |
|
||
(9) |
Reflects Adjusted EBITDA / Net sales for the relevant periods. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20241106263231/en/
Contact:
Gray Hudkins
Cadre Holdings, Inc.
203-550-7148
gray.hudkins@cadre-holdings.com
Investor Relations:
The IGB Group
Leon Berman / Matt Berkowitz
212-477-8438 / 212-227-7098
Source: Cadre Holdings, Inc.
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