PREFORMED LINE PRODUCTS ANNOUNCES FOURTH QUARTER 2024 FINANCIAL RESULTS
Preformed Line Products (NASDAQ: PLPC) reported its Q4 and full-year 2024 financial results. Q4 net sales reached $167.1 million, up 15% from Q4 2023, with diluted EPS of $2.13, a 65% increase. International subsidiaries drove growth through energy market sales.
However, full-year 2024 performance showed mixed results with net sales declining 11% to $593.7 million compared to 2023's $669.7 million. Net income for 2024 was $37.1 million ($7.50 per diluted share), down from $63.3 million ($12.68 per diluted share) in 2023.
The company achieved significant debt reduction of $33.7 million in 2024 through strong cash generation. The annual decline was primarily attributed to U.S. market slowdown, customer inventory destocking, and delayed BEAD Program stimulus funding.
Preformed Line Products (NASDAQ: PLPC) ha riportato i risultati finanziari del quarto trimestre e dell'intero anno 2024. Le vendite nette del quarto trimestre hanno raggiunto 167,1 milioni di dollari, con un aumento del 15% rispetto al quarto trimestre del 2023, e un utile per azione diluito di 2,13 dollari, con un incremento del 65%. Le filiali internazionali hanno contribuito alla crescita attraverso le vendite nel mercato energetico.
Tuttavia, le performance dell'intero anno 2024 hanno mostrato risultati misti, con un calo delle vendite nette dell'11% a 593,7 milioni di dollari rispetto ai 669,7 milioni di dollari del 2023. L'utile netto per il 2024 è stato di 37,1 milioni di dollari (7,50 dollari per azione diluita), in calo rispetto ai 63,3 milioni di dollari (12,68 dollari per azione diluita) del 2023.
L'azienda ha raggiunto una significativa riduzione del debito di 33,7 milioni di dollari nel 2024 grazie a una forte generazione di cassa. Il calo annuale è stato principalmente attribuito al rallentamento del mercato statunitense, alla dismissione delle scorte da parte dei clienti e al ritardo nel finanziamento del programma BEAD.
Preformed Line Products (NASDAQ: PLPC) informó sus resultados financieros del cuarto trimestre y del año completo 2024. Las ventas netas del cuarto trimestre alcanzaron 167,1 millones de dólares, un aumento del 15% en comparación con el cuarto trimestre de 2023, con una utilidad por acción diluida de 2,13 dólares, un incremento del 65%. Las subsidiarias internacionales impulsaron el crecimiento a través de las ventas en el mercado energético.
No obstante, el desempeño del año completo 2024 mostró resultados mixtos, con una disminución del 11% en las ventas netas a 593,7 millones de dólares en comparación con los 669,7 millones de dólares de 2023. La utilidad neta para 2024 fue de 37,1 millones de dólares (7,50 dólares por acción diluida), en comparación con los 63,3 millones de dólares (12,68 dólares por acción diluida) de 2023.
La empresa logró una reducción significativa de la deuda de 33,7 millones de dólares en 2024 gracias a una fuerte generación de efectivo. La disminución anual se atribuyó principalmente a la desaceleración del mercado estadounidense, la reducción de inventario de los clientes y el retraso en la financiación del programa BEAD.
프리폼드 라인 프로덕츠 (NASDAQ: PLPC)는 2024년 4분기 및 연간 재무 결과를 발표했습니다. 4분기 순매출은 1억 6,710만 달러에 달해 2023년 4분기 대비 15% 증가했으며, 희석 주당 순이익은 2.13달러로 65% 증가했습니다. 해외 자회사가 에너지 시장 판매를 통해 성장을 이끌었습니다.
하지만 2024년 전체 실적은 혼합된 결과를 보였으며, 순매출은 2023년의 6억 6,970만 달러에 비해 11% 감소한 5억 9,370만 달러를 기록했습니다. 2024년 순이익은 3,710만 달러(희석 주당 7.50달러)로, 2023년의 6,330만 달러(희석 주당 12.68달러)에서 감소했습니다.
회사는 2024년에 강력한 현금 생성 덕분에 3,370만 달러의 상당한 부채 감소를 달성했습니다. 연간 감소는 주로 미국 시장의 둔화, 고객 재고 조정 및 BEAD 프로그램 자금 지원 지연에 기인했습니다.
Preformed Line Products (NASDAQ: PLPC) a publié ses résultats financiers du quatrième trimestre et de l'année complète 2024. Les ventes nettes du quatrième trimestre ont atteint 167,1 millions de dollars, en hausse de 15 % par rapport au quatrième trimestre 2023, avec un bénéfice par action dilué de 2,13 dollars, soit une augmentation de 65 %. Les filiales internationales ont soutenu la croissance grâce aux ventes sur le marché de l'énergie.
Cependant, la performance de l'année complète 2024 a montré des résultats mitigés, avec une baisse des ventes nettes de 11 % à 593,7 millions de dollars par rapport à 669,7 millions de dollars en 2023. Le bénéfice net pour 2024 s'est élevé à 37,1 millions de dollars (7,50 dollars par action diluée), en baisse par rapport à 63,3 millions de dollars (12,68 dollars par action diluée) en 2023.
L'entreprise a réalisé une réduction significative de sa dette de 33,7 millions de dollars en 2024 grâce à une forte génération de liquidités. La baisse annuelle a été principalement attribuée au ralentissement du marché américain, à la réduction des stocks des clients et au retard dans le financement du programme BEAD.
Preformed Line Products (NASDAQ: PLPC) hat seine Finanzzahlen für das vierte Quartal und das Gesamtjahr 2024 veröffentlicht. Die Nettoumsätze im vierten Quartal erreichten 167,1 Millionen Dollar, was einem Anstieg von 15 % im Vergleich zum vierten Quartal 2023 entspricht, mit einem verwässerten Gewinn pro Aktie von 2,13 Dollar, einem Anstieg von 65 %. Internationale Tochtergesellschaften trugen zum Wachstum durch Verkäufe im Energiemarkt bei.
Die Gesamtjahresleistung 2024 zeigte jedoch gemischte Ergebnisse, da die Nettoumsätze um 11 % auf 593,7 Millionen Dollar im Vergleich zu 669,7 Millionen Dollar im Jahr 2023 zurückgingen. Der Nettogewinn für 2024 betrug 37,1 Millionen Dollar (7,50 Dollar pro verwässerter Aktie), ein Rückgang von 63,3 Millionen Dollar (12,68 Dollar pro verwässerter Aktie) im Jahr 2023.
Das Unternehmen erzielte 2024 eine signifikante Schuldenreduzierung von 33,7 Millionen Dollar durch starke Cash-Generierung. Der jährliche Rückgang wurde hauptsächlich der Verlangsamung des US-Marktes, der Entnahme von Kundenbeständen und der Verzögerung der BEAD-Programm-Finanzierung zugeschrieben.
- Q4 net sales increased 15% year-over-year to $167.1 million
- Q4 diluted EPS grew 65% to $2.13
- Gross profit margin improved by 30 basis points in Q4
- Strong debt reduction of $33.7 million in 2024
- International subsidiaries showed robust performance
- Full-year net sales declined 11% to $593.7 million
- Annual net income decreased 41% to $37.1 million
- Full-year EPS dropped from $12.68 to $7.50
- U.S. communications market weakness due to reduced customer deployment
- Foreign currency translation reduced net sales by $4.2 million
Insights
PLPC's Q4 2024 results showcase significant improvement in financial performance with quarterly net sales of
The company's international operations drove this growth primarily through increased energy market sales, partially offsetting weakness in the U.S. business. Gross profit margin improved to
However, full-year 2024 performance tells a different story, with net sales declining
Notably, PLPC generated sufficient cash to reduce debt by
The sequential quarterly improvement suggests the inventory destocking cycle may be nearing its end, potentially positioning PLPC for improved performance in 2025 if market conditions normalize and delayed BEAD Program funding materializes.
PLPC's Q4 2024 results reveal a company potentially turning the corner after weathering significant headwinds throughout most of 2024. The
The divergence between quarterly strength and annual weakness tells an important story about PLPC's business cycle. The
The geographic shift in performance is noteworthy, with international subsidiaries - particularly in energy markets - offsetting domestic weakness. This geographic diversification has proven valuable during the U.S. market downturn, though it also raises questions about the sustainability of the current sales mix as U.S. markets potentially recover.
Most impressive is the company's financial discipline during challenging conditions. The
While full-year results reflect the reality of market challenges, the accelerating quarterly performance combined with the CEO's comments about approaching the end of inventory destocking suggests PLPC has weathered the worst of the cycle and may be positioned for improved performance as delayed BEAD Program funding eventually flows through to infrastructure deployment.
Q4/Full Year 2024 Highlights:
- Quarterly net sales of
, an increase of$167.1 million 15% from Q4 2023 and14% from Q3 2024 - Diluted EPS of
, an increase of$2.13 65% from Q4 2023 and38% from Q3 2024 - Debt reduction of
in 2024 due to strong cash generation$33.7 million
Net sales in the fourth quarter of 2024 were
Net income for the quarter ended December 31, 2024, was
Net sales decreased
Net income for the year ended December 31, 2024 was
Rob Ruhlman, Executive Chairman, said, "The increase in fourth quarter sales of
A presentation on fourth quarter and full-year results will also be available on PLP's website at www.plp.com/investor-relations.
FORWARD-LOOKING STATEMENTS
This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 regarding the Company, including those statements regarding the Company's and management's beliefs and expectations concerning the Company's future performance or anticipated financial results, among others. Except for historical information, the matters discussed in this release are forward-looking statements that involve risks and uncertainties which may cause results to differ materially from those set forth in those statements. Among other things, factors that could cause actual results to differ materially from those expressed in such forward-looking statements include the uncertainty in global business conditions and the economy due to factors such as inflation, rising interest rates, tariffs, labor disruptions, military conflict, political instability, exchange rates, natural disasters and health epidemics, the strength of demand and availability of funding for the Company's products and the mix of products sold, the relative degree of competitive and customer price pressure on the Company's products, the cost, availability and quality of raw materials required for the manufacture of products, the Company's continued access to financing, opportunities for business growth through acquisitions and the ability to successfully integrate any acquired businesses, changes in regulations and tax rates, security breaches, litigation and claims and the Company's ability to continue to develop proprietary technology and maintain high-quality products and customer service to meet or exceed new industry performance standards and individual customer expectations, and other factors described under the headings "Forward-Looking Statements" and "Risk Factors" in the Company's 2023 Annual Report on Form 10-K filed with the SEC on March 8, 2024 and subsequent filings with the SEC. The Annual Report on Form 10-K and the Company's other filings with the SEC can be found on the SEC's website at http://www.sec.gov. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
ABOUT PLP
PLP protects the world's most critical connections by creating stronger and more reliable networks. The company's precision-engineered solutions are trusted by energy and communications providers worldwide to perform better and last longer. With locations in 20 countries, PLP works as a united global corporation, delivering high-quality products and unparalleled service to customers around the world.
PREFORMED LINE PRODUCTS COMPANY | |||
December 31, 2024 | December 31, 2023 | ||
(Thousands of dollars, except share and per share data) | |||
ASSETS | |||
Cash, cash equivalents and restricted cash | $ 57,244 | $ 53,607 | |
Accounts receivable, net | 111,402 | 106,892 | |
Inventories, net | 129,913 | 148,814 | |
Prepaid expenses | 11,720 | 8,246 | |
Other current assets | 5,514 | 7,256 | |
TOTAL CURRENT ASSETS | 315,793 | 324,815 | |
Property, plant and equipment, net | 195,086 | 207,892 | |
Goodwill | 26,685 | 29,497 | |
Other intangible assets, net | 9,656 | 12,981 | |
Deferred income taxes | 6,546 | 7,109 | |
Other assets | 20,111 | 20,857 | |
TOTAL ASSETS | $ 573,877 | $ 603,151 | |
LIABILITIES AND SHAREHOLDERS' EQUITY | |||
Trade accounts payable | $ 41,951 | $ 37,788 | |
Notes payable to banks | 7,782 | 6,968 | |
Current portion of long-term debt | 2,430 | 6,486 | |
Accrued compensation and other benefits | 25,904 | 28,018 | |
Accrued expenses and other liabilities | 30,346 | 32,057 | |
TOTAL CURRENT LIABILITIES | 108,413 | 111,317 | |
Long-term debt, less current portion | 18,357 | 48,796 | |
Other noncurrent liabilities and deferred income taxes | 24,783 | 26,882 | |
SHAREHOLDERS' EQUITY | |||
Common shares – | 13,752 | 13,607 | |
Common shares issued to rabbi trust, 222,887 and 243,118 shares at December 31, | (9,575) | (10,183) | |
Deferred compensation liability | 9,575 | 10,183 | |
Paid-in capital | 65,093 | 60,958 | |
Retained earnings | 553,179 | 520,154 | |
Treasury shares, at cost, 1,961,772 and 1,894,419 shares at December 31, 2024 and | (126,800) | (118,249) | |
Accumulated other comprehensive loss | (82,909) | (60,306) | |
TOTAL PREFORMED LINE PRODUCTS COMPANY SHAREHOLDERS' EQUITY | 422,315 | 416,164 | |
Noncontrolling interest | 9 | (8) | |
TOTAL SHAREHOLDERS' EQUITY | 422,324 | 416,156 | |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 573,877 | $ 603,151 |
PREFORMED LINE PRODUCTS COMPANY | |||||||
Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
(Thousands of dollars, except per share data) | |||||||
Net sales | $ 167,117 | $ 145,603 | $ 593,714 | $ 669,679 | |||
Cost of products sold | 111,488 | 97,503 | 403,903 | 434,831 | |||
GROSS PROFIT | 55,629 | 48,100 | 189,811 | 234,848 | |||
Costs and expenses | |||||||
Selling | 12,576 | 12,945 | 48,722 | 51,078 | |||
General and administrative | 19,205 | 20,019 | 67,477 | 74,643 | |||
Research and engineering | 5,589 | 5,688 | 21,923 | 22,481 | |||
Other operating expense, net | 746 | 2,502 | 932 | 2,492 | |||
38,116 | 41,154 | 139,054 | 150,694 | ||||
OPERATING INCOME | 17,513 | 6,946 | 50,757 | 84,154 | |||
Other income (expense) | |||||||
Interest income | 717 | 610 | 2,573 | 1,811 | |||
Interest expense | (381) | (707) | (2,221) | (3,905) | |||
Other (expense) income, net | (528) | 119 | (339) | 284 | |||
(192) | 22 | 13 | (1,810) | ||||
INCOME BEFORE INCOME TAXES | 17,321 | 6,968 | 50,770 | 82,344 | |||
Income tax expense | 6,876 | 659 | 13,659 | 19,007 | |||
NET INCOME | $ 10,445 | $ 6,309 | $ 37,111 | $ 63,337 | |||
Net loss (income) attributable to noncontrolling | 7 | 23 | (17) | (5) | |||
NET INCOME ATTRIBUTABLE TO | $ 10,452 | $ 6,332 | $ 37,094 | $ 63,332 | |||
AVERAGE NUMBER OF SHARES OF COMMON | |||||||
Basic | 4,897 | 4,864 | 4,908 | 4,920 | |||
Diluted | 4,917 | 4,902 | 4,947 | 4,997 | |||
EARNINGS PER SHARE OF COMMON STOCK | |||||||
Basic | $ 2.13 | $ 1.30 | $ 7.56 | $ 12.87 | |||
Diluted | $ 2.13 | $ 1.29 | $ 7.50 | $ 12.68 | |||
Cash dividends declared per share | $ 0.20 | $ 0.20 | $ 0.80 | $ 0.80 |
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SOURCE Preformed Line Products