CompoSecure Reports Fourth Quarter and Full Year 2023 Financial Results
- Strong Q4 performance with net sales up 7% to $100 million and net income up 39% to $31 million.
- 2024 guidance projects net sales between $408-$428 million and adj. EBITDA between $147-$157 million.
- Approval of a $40 million securities repurchase program to unlock shareholder value.
- Continued domestic growth in metal payment card business driving net sales.
- Adjusted EBITDA increased 22% to $37.2 million in Q4 2023.
- Extended agreements with major customers like JP Morgan Chase and American Express.
- Introduction of innovative metal payment card products in 2023.
- Expectation of another record year in 2024 with strategic capital allocation focus.
- Liquidity improvement with $41.2 million cash and cash equivalents at the end of 2023.
- None.
Insights
The reported increase in Q4 net sales by 7% to $100 million and net income surge of 39% to $31 million for CompoSecure is a robust indicator of the company's growth trajectory, particularly in the metal payment card sector. The significant rise in net income can be attributed to effective cost management and operational efficiencies. Additionally, the adjusted EBITDA growth of 22% to $37 million reflects a strong operational performance, which is critical for investors assessing the company's profitability margins.
The announcement of a securities repurchase program of up to $40 million signals strong confidence by the management in the company's valuation and financial health. This buyback could potentially lead to earnings per share (EPS) accretion and reflects a shareholder-friendly capital allocation policy. However, investors should consider the opportunity cost of such a program, as the funds used for repurchases might alternatively be invested in growth initiatives or debt reduction.
CompoSecure's performance in the metal payment card market, particularly its ongoing domestic growth, underscores the company's competitive positioning and ability to capitalize on U.S. consumer trends. Despite a challenging international sales environment, the company's strategic partnerships with major financial institutions like JP Morgan Chase and American Express have likely contributed to its resilience. The product and innovation highlights, such as the Echo Mirror™ Card and LED Card, suggest a focus on differentiating their offerings in a crowded market. This innovation is critical for maintaining market leadership and could drive future revenue growth.
The reduction in CompoSecure's secured debt leverage ratio from 1.62x to 1.39x is a positive development for debt stakeholders, indicating an improved debt servicing capability. The company's balance sheet shows a strengthened cash position from $13.6 million to $41.2 million and a decrease in total debt from $363.1 million to $340.3 million year-over-year, which suggests a more robust financial structure. This improved liquidity and deleveraging are essential for assessing the company's creditworthiness and could impact future borrowing costs and financial flexibility.
Q4 Net Sales up
Issues 2024 Guidance of Net Sales Between
Announces up to
SOMERSET, N.J., March 06, 2024 (GLOBE NEWSWIRE) -- CompoSecure, Inc. (Nasdaq: CMPO), a leader in metal payment cards, security, and authentication solutions, today announced its financial and operating results for the fourth quarter and full year ended December 31, 2023.
“Our fourth quarter provided a strong close to 2023, capping off another year of record revenue and profitability. In addition, profitability was in-line with our original guidance issued in March 2023,” said Jon Wilk, President and CEO of CompoSecure. “Sustained U.S. customer demand continued to drive our domestic net sales, which highlighted a record quarter and was up
“We have a long history of delivering profitable growth while maintaining our leadership position in the global metal payment card market, which we do not believe is fully reflected in the valuation of our securities. I am excited to announce that the CompoSecure board of directors has approved a repurchase program for up to
Mr. Wilk added: “Looking ahead, we expect to maintain a strategic approach to capital allocation that continues to focus on driving organic growth and paying down debt but now also includes additional flexibility to repurchase securities or other opportunities to deliver shareholder value. We believe CompoSecure is well-positioned for another record year as we execute on our growth and profitability objectives.”
Q4 2023 Financial Highlights (vs. Q4 2022)
- Net Sales: Net Sales increased
7% to$99.9 million compared to$93.8 million . The increase was driven by continued domestic growth in CompoSecure’s metal payment card business, partially offset by select clients more tightly managing inventory, and lower international sales which is a more variable market due to global economic uncertainty. - Gross Profit: Gross Profit increased to
$52.9 million or52.9% of Net Sales, compared to$50.3 million or53.6% . - Net Income/EPS: Net Income increased
39% to$31.0 million compared to$22.4 million . The increase was primarily driven by prudent operating expense controls, as reflected by a reduction in selling, general and administrative expenses, as well as changes to the fair value of warrant liabilities, earnout consideration liability and derivative liability. Net Income per share attributable to class A common shareholders was$0.17 (Basic) and (Diluted), compared to$0.14 (Basic) and (Diluted) in the year-ago period. - Adjusted Net Income/Adjusted EPS: Adjusted Net Income (a non-GAAP measure) increased
30% to$23.1 million compared to$17.7 million in the year-ago period. Adjusted EPS (a non-GAAP measure), which includes both class A and class B shares, was$0.29 (Basic) and$0.26 (Diluted) compared to$0.23 (Basic) and$0.20 (Diluted) in the year-ago period (see reconciliation of non-GAAP measures shown in table below). - Adjusted EBITDA: Adjusted EBITDA (a non-GAAP measure) increased
22% to$37.2 million compared to$30.6 million , with the increase driven by net sales growth and operating expense reductions.
FY 2023 Financial Highlights (vs. FY 2022)
- Net Sales: Net Sales increased
3% to$390.6 million compared to$378.5 million . The increase was primarily driven by continued domestic growth in CompoSecure’s metal payment card business, which was up9% . This was offset by lower international sales. - Gross Profit: Gross Profit was
$209.1 million or53.5% of Net Sales, compared to$219.6 million or58.0% . The decrease was primarily due to lower production efficiencies from new and innovative card constructions, as well as the impact of inflationary pressure on wages and materials. - Net Income/EPS: Net Income was
$112.5 million compared to$131.8 million . The decrease was due to lower gross profit, changes to the fair value of warrant liabilities, earnout consideration liability and derivative liability, offset by a decrease in operating expenses. Net Income per share attributable to class A common stockholders was$1.03 (Basic) and$0.96 (Diluted), compared to$1.21 (Basic) and$1.13 (Diluted) in the year-ago period. - Adjusted Net Income/Adjusted EPS: Adjusted Net Income (a non-GAAP measure) was
$88.0 million compared to$83.0 million in the year-ago period. Adjusted EPS (a non-GAAP measure), which includes both class A and class B shares, was$1.12 (Basic) and$0.97 (Diluted) compared to$1.10 (Basic) and$0.94 (Diluted) in the year-ago period (see reconciliation of non-GAAP measures shown in table below). - Adjusted EBITDA: Adjusted EBITDA (a non-GAAP measure) increased
6% to$145.0 million compared to$136.2 million .
Liquidity and Capital Structure
- Balance Sheet: At December 31, 2023, CompoSecure had
$41.2 million of cash and cash equivalents and$340.3 million of total debt, which included$210.3 million of term loan, and$130.0 million of exchangeable notes. This compares to cash and cash equivalents of$13.6 million and total debt of$363.1 million at December 31, 2022. CompoSecure’s secured debt leverage ratio has decreased to 1.39x at December 31, 2023 compared to 1.62x at December 31, 2022 and 2.8x at December 31, 2021. - Shares Outstanding: At December 31, 2023, CompoSecure had 79.4 million shares outstanding which included 19.4 million class A shares and 60.0 million class B shares (for more information on shares outstanding, both Basic and Diluted, please refer to CompoSecure’s 10-K and the accompanying earnings presentation).
Full Year Operational Highlights
- Extended long-term agreements with CompoSecure’s two largest customers: JP Morgan Chase and American Express
- Produced over 31 million metal payment cards that helped support more than 150 new and ongoing card programs
- Ranked the #1 metal payment card provider by ABI Research, a global technology market intelligence firm
- 2023 product and innovation highlights:
- Echo Mirror™ Card – a stainless-steel payment card with a mirror-like finish
- LED Card – LED lights illuminate the card when a contactless transaction is initiated
- Lux Glass™ Card – a transparent payment card with a metal bezel
- Arculus Authenticate hardware passkeys received official designation as a Microsoft FIDO2 security key vendor
- Arculus cross-chain DeFi capabilities via WalletConnect across major chains
- Arculus cold storage wallet cryptographic support for more than 10K coins across additional chains
2024 Financial Outlook
CompoSecure expects net sales for the full year to range between
Securities Repurchase Program
CompoSecure has a long history of delivering profitable growth and leading the global market for metal payment cards, which the Company does not believe is fully reflected in the valuation of its securities. To provide a new mechanism to unlock investor value, an independent committee of CompoSecure’s board of directors has approved a repurchase program for up to
Repurchases under this program may be made from time to time in the open market, through privately negotiated transactions, tender offers, or otherwise, and will be made as permitted by the terms and conditions of the Company’s senior credit facility and indenture for its exchangeable notes, as applicable. Repurchases of common stock will be conducted in accordance with Rule 10b-18 of the Exchange Act. To facilitate equity repurchases, the Company expects to enter into a Rule 10b5-1 repurchase plan with a third-party broker to allow the Company to repurchase equity at times when it otherwise might be prevented from doing so under insider trading laws or because of trading blackout periods imposed under the Company’s Insider Trading Policy. Any exchangeable note or warrant repurchases will be conducted in accordance with applicable insider trading laws and the Company’s Insider Trading Policy.
Any shares of common stock repurchased under the program may either be returned to the status of authorized but unissued shares of common stock or held as treasury stock of the Company. Subject to applicable law, the Company may elect to amend or cancel the repurchase program or amend the terms thereof.
The Company also entered into an amendment to the Company’s senior credit facility which enables the Company to implement the repurchase program in compliance with the senior credit facility.
Conference Call
CompoSecure will host a conference call and live audio webcast today at 5:00 p.m. Eastern time to discuss its financial and operational results, followed by a question-and-answer period.
Date: Wednesday, March 6, 2024
Time: 5:00 p.m. Eastern time
Dial-in registration link: here
Live webcast registration link: here
If you have any difficulty registering or connecting with the conference call, please contact Elevate IR at (720) 330-2829.
A live webcast and replay of the conference call will be available on the investor relations section of CompoSecure’s website at https://ir.composecure.com/news-events/events.
About CompoSecure
Founded in 2000, CompoSecure (Nasdaq: CMPO) is a technology partner to market leaders, fintechs and consumers enabling trust for millions of people around the globe. The company combines elegance, simplicity and security to deliver exceptional experiences and peace of mind in the physical and digital world. CompoSecure’s innovative payment card technology and metal cards with Arculus security and authentication capabilities deliver unique, premium branded experiences, enable people to access and use their financial and digital assets, and ensure trust at the point of a transaction. For more information, please visit www.CompoSecure.com and www.GetArculus.com.
Forward-Looking Statements
This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These statements are based on the beliefs and assumptions of management. Although CompoSecure believes that its plans, intentions, and expectations reflected in or suggested by these forward-looking statements are reasonable, CompoSecure cannot assure you that it will achieve or realize these plans, intentions, or expectations. Forward-looking statements are inherently subject to risks, uncertainties, and assumptions. Generally, statements that are not historical facts, including statements concerning CompoSecure’s possible or assumed future actions, business strategies, events, or results of operations, are forward-looking statements. In some instances, these statements may be preceded by, followed by or include the words “believes,” “estimates,” “expects,” “projects,” “forecasts,” “may,” “will,” “should,” “seeks,” “plans,” “scheduled,” “anticipates” or “intends” or the negatives of these terms or variations of them or similar terminology. Forward-looking statements are not guarantees of performance. You should not put undue reliance on these statements which speak only as of the date hereof. You should understand that the following important factors, among others, could affect CompoSecure’s future results and could cause those results or other outcomes to differ materially from those expressed or implied in CompoSecure’s forward-looking statements: the ability of CompoSecure to implement the repurchase program as contemplated consistent with CompoSecure’s strategic initiatives described above and the impact of the repurchase program on CompoSecure; the ability of CompoSecure to grow and manage growth profitably, maintain relationships with customers, compete within its industry and retain its key employees; the possibility that CompoSecure may be adversely impacted by other global economic, business, competitive and/or other factors; the outcome of any legal proceedings that may be instituted against CompoSecure or others; future exchange and interest rates; and other risks and uncertainties, including those under “Risk Factors” in filings that have been made or will be made with the Securities and Exchange Commission. CompoSecure undertakes no obligations to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Use of Non-GAAP Financial Measures
This press release includes certain non-GAAP financial measures that are not prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) and that may be different from non-GAAP financial measures used by other companies. CompoSecure believes EBITDA, Adjusted EBITDA, Adjusted Net Income, Adjusted EPS, and Free Cash Flow are useful to investors in evaluating CompoSecure’s financial performance. CompoSecure uses these measures internally to establish forecasts, budgets and operational goals to manage and monitor its business, as well as evaluate its underlying historical performance and/or to measure incentive compensation, as we believe that these non-GAAP financial measures depict the true performance of the business by encompassing only relevant and controllable events, enabling CompoSecure to evaluate and plan more effectively for the future. Due to the forward-looking nature of the financial guidance included above, specific quantification of the charges excluded from the non-GAAP financial measures included in such financial guidance, including with respect to depreciation, amortization, interest, and taxes, that would be required to reconcile the non GAAP financial measures included in such financial guidance to GAAP measures are not available, so it is not feasible to provide accurate forecasted non-GAAP reconciliations without unreasonable effort. Consequently, no disclosure of estimated comparable GAAP measures is included, and no reconciliation of the forward looking non-GAAP financial measures is included. In addition, CompoSecure’s debt agreements contain covenants that use a variation of these measures for purposes of determining debt covenant compliance. CompoSecurebelieves that investors should have access to the same set of tools that its management uses in analyzing operating results. EBITDA, Adjusted EBITDA, Adjusted Net Income, Adjusted EPS, and Free Cash Flow should not be considered as measures of financial performance under U.S. GAAP, and the items excluded from EBITDA, Adjusted EBITDA, Adjusted Net Income, Adjusted EPS, and Free Cash Flow are significant components in understanding and assessing CompoSecure’s financial performance. Accordingly, these key business metrics have limitations as an analytical tool. They should not be considered as an alternative to net income or any other performance measures derived in accordance with U.S. GAAP or as an alternative to cash flows from operating activities as a measure of CompoSecure’s liquidity and may be different from similarly titled non-GAAP measures used by other companies. Please refer to the tables below for the reconciliation of GAAP measures to these non-GAAP measures for the year ended December 31, 2023.
Corporate Contact
Anthony Piniella
Head of Communications, CompoSecure
(917) 208-7724
apiniella@composecure.com
Investor Relations Contact
Sean Mansouri, CFA
Elevate IR
(720) 330-2829
CMPO@elevate-ir.com
| CompoSecure, Inc. | ||||||||
| Condensed Consolidated Balance Sheet Data | ||||||||
| (in thousands) | ||||||||
| December 31, 2023 | December 31, 2022 | |||||||
| (unaudited) | ||||||||
| ASSETS | ||||||||
| Cash and cash equivalents | $ | 41,216 | $ | 13,642 | ||||
| Accounts Receivable, net | 40,488 | 37,272 | ||||||
| Inventories | 52,540 | 42,374 | ||||||
| Prepaid expenses and other current assets | 5,133 | 3,824 | ||||||
| Property and equipment, net | 25,212 | 22,655 | ||||||
| Right of use assets operating, net | 7,473 | 8,932 | ||||||
| Deferred tax asset | 23,697 | 25,569 | ||||||
| Derivative asset - interest rate swap | 5,258 | 8,651 | ||||||
| Deposits and other assets | 24 | 24 | ||||||
| TOTAL ASSETS | $ | 201,041 | $ | 162,943 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| Current portion of long-term debt | $ | 10,313 | $ | 14,372 | ||||
| Current portion of lease liabilities | 1,948 | 1,846 | ||||||
| Current portion of tax receivable agreement liability | 1,425 | 2,367 | ||||||
| Accounts payable | 5,193 | 7,127 | ||||||
| Accrued expenses | 11,987 | 10,154 | ||||||
| Commission payable | 4,429 | 3,317 | ||||||
| Bonus payable | 5,616 | 8,177 | ||||||
| Long-term debt, net of deferred finance costs | 198,331 | 216,276 | ||||||
| Convertible notes, net of debt discount | 127,832 | 127,348 | ||||||
| Derivative liability - convertible notes | 425 | 285 | ||||||
| Warrant liability | 8,294 | 16,341 | ||||||
| Earnout consideration liability | 852 | 15,090 | ||||||
| Lease liabilities, operating | 6,220 | 7,766 | ||||||
| Tax receivable agreement liability | 23,949 | 24,475 | ||||||
| Total stockholders' (deficit) | (205,773 | ) | (291,998 | ) | ||||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 201,041 | $ | 162,943 | ||||
| CompoSecure, Inc. | |||||||||||||||
| Consolidated Statements of Operations | |||||||||||||||
| (in thousands, except per share amounts) | |||||||||||||||
| (unaudited) | |||||||||||||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||||||
| 2023 | 2022 | 2023 | 2022 | ||||||||||||
| Net sales | $ | 99,900 | $ | 93,790 | $ | 390,629 | $ | 378,476 | |||||||
| Operating expenses: | |||||||||||||||
| Cost of sales | 47,005 | 43,514 | 181,547 | 158,832 | |||||||||||
| Selling, General and administrative | 22,368 | 25,425 | 89,995 | 104,749 | |||||||||||
| Total operating expenses | 69,373 | 68,939 | 271,542 | 263,581 | |||||||||||
| Income from operations | 30,527 | 24,851 | 119,087 | 114,895 | |||||||||||
| Total other income (expense), net | 4,399 | (1,872 | ) | (2,011 | ) | 21,280 | |||||||||
| Income before income taxes | 34,926 | 22,979 | 117,076 | 136,175 | |||||||||||
| Income tax (expense) benefit | (3,901 | ) | (622 | ) | (4,556 | ) | (4,360 | ) | |||||||
| Net income | 31,025 | 22,357 | 112,520 | 131,815 | |||||||||||
| Net income attributable to non-controlling interests | 27,730 | 20,113 | 93,281 | 113,158 | |||||||||||
| Net income attributable to CompoSecure, Inc | $ | 3,295 | $ | 2,244 | $ | 19,239 | $ | 18,657 | |||||||
| Net income per share attributable to Class A common stockholders -basic | $ | 0.17 | $ | 0.14 | $ | 1.03 | $ | 1.21 | |||||||
| Net income per share attributable to Class A common stockholders - diluted | $ | 0.17 | $ | 0.14 | $ | 0.96 | $ | 1.13 | |||||||
| Weighted average shared used to compute net income per share attributable to Class A common stockholders - basic (in thousands) | 19,375 | 16,059 | 18,661 | 15,372 | |||||||||||
| Weighted average shared used to compute net income per share attributable to Class A common stockholders - diluted (in thousands) | 19,375 | 16,059 | 35,312 | 32,555 | |||||||||||
| CompoSecure, Inc. | ||||||||
| Consolidated Statements of Cash Flows | ||||||||
| (in thousands) | ||||||||
| (unaudited) | ||||||||
| Twelve Months Ended December 31, | ||||||||
| 2023 | 2022 | |||||||
| CASH FLOWS FROM OPERATING ACTIVITES: | ||||||||
| Net income | $ | 112,520 | $ | 131,815 | ||||
| Adjustments to reconcile net income to net cash provided by operating activities | ||||||||
| Depreciation | 8,387 | 8,575 | ||||||
| Stock-based compensation expense | 17,562 | 11,465 | ||||||
| Inventory reserve | (1,182 | ) | 1,668 | |||||
| Amortization of deferred finance costs | 1,546 | 2,345 | ||||||
| Change in fair value of earnout consideration liability | (14,237 | ) | (23,337 | ) | ||||
| Revaluation of warrant liability | (8,047 | ) | (18,930 | ) | ||||
| Change in fair value of derivative liability | 139 | (266 | ) | |||||
| Deferred tax (benefit) expense | 2,667 | 3,193 | ||||||
| Changes in assets and liabilities | ||||||||
| Accounts receivable | (3,216 | ) | (9,347 | ) | ||||
| Inventories | (8,984 | ) | (18,237 | ) | ||||
| Prepaid expenses and other assets | (1,309 | ) | (1,228 | ) | ||||
| Accounts payable | (1,934 | ) | 68 | |||||
| Deposits and other assets | - | (14 | ) | |||||
| Accrued expenses | 1,833 | 23 | ||||||
| Other liabilities | (1,433 | ) | 4,990 | |||||
| Net cash provided by operating activities | 104,312 | 92,783 | ||||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
| Acquisition of property and equipment | (10,944 | ) | (9,053 | ) | ||||
| Net cash used in investing activities | (10,944 | ) | (9,053 | ) | ||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
| Proceeds from employee stock purchase plan and exercise of equity awards | 1,196 | 82 | ||||||
| Payments for taxes related to net share settlement of equity awards | (3,126 | ) | - | |||||
| Payment of line of credit | - | (15,000 | ) | |||||
| Payment of Tax receivable agreement liability | (2,436 | ) | (110 | ) | ||||
| Deferred finance costs related to debt modification | (256 | ) | - | |||||
| Payment of term loan | (22,810 | ) | (16,878 | ) | ||||
| Distributions | (38,362 | ) | (36,293 | ) | ||||
| Payment of issuance cost related to business combination | - | (23,833 | ) | |||||
| Net cash used in financing activities | (65,794 | ) | (92,032 | ) | ||||
| Net increase (decrease) in cash and cash equivalents | 27,574 | (8,302 | ) | |||||
| Cash and cash equivalents, beginning of period | 13,642 | 21,944 | ||||||
| Cash and cash equivalents, end of period | $ | 41,216 | $ | 13,642 | ||||
| Supplementary disclosure of cash flow information | ||||||||
| Cash paid for interest expense | 27,247 | 21,379 | ||||||
| Cash paid for income taxes | 2,760 | 858 | ||||||
| Supplemental disclosure of non-cash financing activity: | ||||||||
| Derivative asset - interest rate swap | 5,258 | 8,651 | ||||||
| CompoSecure, Inc. | ||||||||||||||||
| Non-GAAP Adjusted EBITDA Reconciliation | ||||||||||||||||
| (in thousands) | ||||||||||||||||
| (unaudited) | ||||||||||||||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Net income | $ | 31,025 | $ | 22,357 | $ | 112,520 | $ | 131,815 | ||||||||
| Add: | ||||||||||||||||
| Depreciation | 2,138 | 1,998 | 8,387 | 8,575 | ||||||||||||
| Interest expense, net (1) | 5,800 | 6,182 | 24,156 | 22,544 | ||||||||||||
| Income tax expense (benefit) | 3,901 | 622 | 4,556 | 4,360 | ||||||||||||
| EBITDA | $ | 42,864 | $ | 31,159 | $ | 149,619 | $ | 167,294 | ||||||||
| Stock-based compensation | 4,510 | 3,730 | 17,562 | 11,465 | ||||||||||||
| Mark to market adjustments (2) | (10,198 | ) | (4,310 | ) | (22,145 | ) | (42,533 | ) | ||||||||
| Adjusted EBITDA | $ | 37,176 | $ | 30,579 | $ | 145,036 | $ | 136,226 | ||||||||
| (1) Includes amortization of deferred financing cost for the three and twelve months ended December 31, 2023 and 2022, respectively. | ||||||||||||||||
| (2) Includes the changes in fair value of warrant liability, derivative liabilities and earnout consideration liability for the three and twelve months ended December 30, 2023 and 2022, respectively | ||||||||||||||||
| CompoSecure, Inc. | ||||||||||||||||
| Non-GAAP Adjusted EPS Reconciliation | ||||||||||||||||
| (in thousands) | ||||||||||||||||
| (unaudited) | ||||||||||||||||
| Three Months Ended December 31, | Twelve Months Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| (in thousands) except per share amounts | ||||||||||||||||
| Basic and Diluted: | ||||||||||||||||
| Net income | $ | 31,025 | $ | 22,357 | $ | 112,520 | $ | 131,815 | ||||||||
| Add: provision for income taxes | 3,901 | 622 | 4,556 | 4,360 | ||||||||||||
| Income before Income taxes | 34,926 | 22,979 | 117,076 | 136,175 | ||||||||||||
| Income tax expense (1) | (6,399 | ) | (4,784 | ) | (24,403 | ) | (22,423 | ) | ||||||||
| Adjusted net income before adjustments | 28,527 | 18,195 | 92,673 | 113,752 | ||||||||||||
| (Less): mark-to-market adjustments (2) | (9,974 | ) | (4,227 | ) | (22,284 | ) | (42,267 | ) | ||||||||
| Add: stock-based compensation | 4,510 | 3,730 | 17,562 | 11,465 | ||||||||||||
| Adjusted net income | $ | 23,063 | $ | 17,698 | $ | 87,951 | $ | 82,950 | ||||||||
| Common shares outstanding used in computing earnings per share, basic: | ||||||||||||||||
| Class A and Class B common shares (3) | 79,334 | 76,384 | 78,619 | 75,697 | ||||||||||||
| Common shares outstanding used in computing earnings per share, diluted: | ||||||||||||||||
| Warrants (Public and Private) (4) | 8,094 | 8,094 | 8,094 | 8,094 | ||||||||||||
| Equity awards | 2,988 | 3,859 | 3,651 | 4,183 | ||||||||||||
| Total Shares outstanding used in computing adjusted earnings per share - diluted | 90,416 | 88,337 | 90,364 | 87,974 | ||||||||||||
| Adjusted net income per share- basic | $ | 0.29 | $ | 0.23 | $ | 1.12 | $ | 1.10 | ||||||||
| Adjusted net income per share- diluted | $ | 0.26 | $ | 0.20 | $ | 0.97 | $ | 0.94 | ||||||||
| 1) Calculated using the Company's blended tax rate. | ||||||||||||||||
| 2) Includes the changes in fair value of warrant liability and earnout consideration liability. | ||||||||||||||||
| 3) Assumes both Class A shares and Class B shares participate in earnings and are outstanding at the end of the period. | ||||||||||||||||
| 4) Assumes treasury stock method, valuation at assumed fair market value of | ||||||||||||||||
| 5) The Company did not include the effect of Exchangeable Notes to its total shares outstanding used in diluted adjusted net income per share. | ||||||||||||||||
FAQ
What is the ticker symbol for CompoSecure, Inc.?
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What is the 2024 guidance for net sales provided by CompoSecure, Inc.?
What is the purpose of CompoSecure's $40 million securities repurchase program?
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