WEBCO INDUSTRIES, INC. REPORTS FISCAL 2025 FIRST QUARTER RESULTS
Webco Industries (OTC: WEBC) reported a challenging first quarter fiscal 2025, ending October 31, 2024, with a net loss of $0.1 million (-$0.13 per share), compared to net income of $5.1 million ($6.25 per share) in Q1 fiscal 2024. Net sales decreased 10.4% to $141.4 million from $157.8 million. The company maintained strong liquidity with $89.0 million in total cash, short-term investments, and available credit. Gross profit margin declined to 9.7% from 13.7%, while operating income decreased to $1.1 million from $8.0 million. Capital expenditures reduced to $5.1 million from $10.1 million in the previous year.
Webco Industries (OTC: WEBC) ha riportato un primo trimestre fiscale 2025 difficile, chiuso il 31 ottobre 2024, con una perdita netta di 0,1 milioni di dollari (-0,13 dollari per azione), rispetto a un utile netto di 5,1 milioni di dollari (6,25 dollari per azione) nel primo trimestre fiscale 2024. Le vendite nette sono diminuite del 10,4%, passando da 157,8 milioni a 141,4 milioni di dollari. L'azienda ha mantenuto una solida liquidità con 89,0 milioni di dollari in totale tra cassa, investimenti a breve termine e credito disponibile. Il margine di profitto lordo è sceso al 9,7% dal 13,7%, mentre l'utile operativo è calato a 1,1 milioni di dollari da 8,0 milioni. Le spese in conto capitale sono state ridotte a 5,1 milioni di dollari rispetto ai 10,1 milioni dell'anno precedente.
Webco Industries (OTC: WEBC) reportó un primer trimestre fiscal 2025 desafiante, que finalizó el 31 de octubre de 2024, con una pérdida neta de 0,1 millones de dólares (-0,13 dólares por acción), en comparación con una ganancia neta de 5,1 millones de dólares (6,25 dólares por acción) en el primer trimestre fiscal 2024. Las ventas netas disminuyeron un 10,4%, pasando de 157,8 millones a 141,4 millones de dólares. La empresa mantuvo una fuerte liquidez con 89,0 millones de dólares en total de efectivo, inversiones a corto plazo y crédito disponible. El margen de ganancia bruta se redujo al 9,7% desde el 13,7%, mientras que el ingreso operativo disminuyó a 1,1 millones de dólares desde 8,0 millones. Los gastos de capital se redujeron a 5,1 millones de dólares desde los 10,1 millones del año anterior.
Webco Industries (OTC: WEBC)는 2024년 10월 31일 종료된 2025 회계연도 첫 분기에 어려운 실적을 보고했으며, 10만 달러의 순손실(-주당 0.13달러)을 기록했습니다. 이는 2024 회계연도 첫 분기에서 510만 달러(주당 6.25달러)의 순이익을 기록한 것과 대조적입니다. 순매출은 10.4% 감소하여 1억 4140만 달러에서 1억5780만 달러로 줄어들었습니다. 회사는 총 8900만 달러의 현금, 단기 투자 및 사용 가능한 신용으로 강력한 유동성을 유지했습니다. 총 이익률은 13.7%에서 9.7%로 감소하였고, 운영 소득은 80만 달러에서 11만 달러로 감소했습니다. 자본 지출은 지난해 1010만 달러에서 510만 달러로 줄어들었습니다.
Webco Industries (OTC: WEBC) a rapporté un premier trimestre fiscal 2025 difficile, se terminant le 31 octobre 2024, avec une perte nette de 0,1 million de dollars (-0,13 dollar par action), par rapport à un bénéfice net de 5,1 millions de dollars (6,25 dollars par action) au premier trimestre fiscal 2024. Les ventes nettes ont diminué de 10,4 %, passant de 157,8 millions à 141,4 millions de dollars. L'entreprise a maintenu une solide liquidité avec un total de 89,0 millions de dollars en espèces, investissements à court terme et crédit disponible. La marge brute a diminué à 9,7 % contre 13,7 %, tandis que le revenu d'exploitation a chuté à 1,1 million de dollars contre 8,0 millions. Les dépenses d'investissement ont été réduites à 5,1 millions de dollars contre 10,1 millions de dollars l'année précédente.
Webco Industries (OTC: WEBC) berichtete über ein herausforderndes erstes Quartal des Geschäftsjahres 2025, das am 31. Oktober 2024 endete, mit einem Nettoverlust von 0,1 Millionen Dollar (-0,13 Dollar pro Aktie), verglichen mit einem Nettogewinn von 5,1 Millionen Dollar (6,25 Dollar pro Aktie) im ersten Quartal des Geschäftsjahres 2024. Der Nettoumsatz ging um 10,4 % auf 141,4 Millionen Dollar von 157,8 Millionen Dollar zurück. Das Unternehmen hielt eine starke Liquidität mit 89,0 Millionen Dollar an liquiden Mitteln, kurzfristigen Anlagen und verfügbaren Krediten. Die Bruttogewinnmarge ging von 13,7 % auf 9,7 % zurück, während das Betriebsergebnis auf 1,1 Millionen Dollar von 8,0 Millionen Dollar zurückging. Die Investitionsausgaben wurden auf 5,1 Millionen Dollar von 10,1 Millionen Dollar im Vorjahr reduziert.
- Strong liquidity position with $89.0 million in combined cash and available credit
- Reduction in SG&A expenses from $13.6M to $12.6M
- Lower interest expense due to decreased debt balances
- Net loss of $0.1 million compared to $5.1 million profit in previous year
- 10.4% decrease in net sales to $141.4 million
- Gross profit margin declined from 13.7% to 9.7%
- Operating income decreased from $8.0M to $1.1M
- Adverse impact from foreign imports in certain markets
For our first quarter of fiscal year 2025, we had a net loss of
Dana S. Weber, Chief Executive Officer and Board Chair, stated, "The domestic manufacturing economy has been worsening over the past year. Further, we have certain markets that are being adversely impacted by foreign imports. We continue to focus on positioning Webco for various economic environments and opportunities by maintaining a strong balance sheet and good liquidity and making compelling investments in our business. Our total cash, short-term investments and available credit on our revolver were
In the first quarter of fiscal year 2025, we had income from operations of
Selling, general and administrative expenses were
Interest expense was
Capital expenditures incurred amounted to
As of October 31, 2024, we had
Webco's stock repurchase program authorizes the purchase of our outstanding common stock in private or open market transactions. In September 2023, the Company's Board of Directors refreshed the repurchase program with a new limit of up to
Webco's mission is to continuously build on our strengths as we create a vibrant company for the ages. We leverage our core values of trust and teamwork, continuously building strength, agility and innovation. We focus on practices that support our brand such that we are
Risk Factors and Forward-looking statements: Certain statements in this release, including, but not limited to, those preceded by or predicated upon the words "anticipates," "appears," "believes," "estimates," "expects," "forever," "hopes," "intends," "plans," "projects," "pursue," "should," "will," "wishes," or similar words may constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of the Company, or industry results, to differ materially from any future results, performance or achievements expressed or implied herein. Such risks, uncertainties and factors include the factors discussed above and, among others: general economic and business conditions, including any global economic downturn; government policy or low hydrocarbon prices that stifle domestic investment in energy; competition from foreign imports, including any impacts associated with dumping or the strength of the
- TABLES FOLLOW -
WEBCO INDUSTRIES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Dollars in thousands, except per share data - Unaudited) | ||||
Three Months Ended October 31, | ||||
2024 | 2023 | |||
Net sales | $ 141,386 | $ 157,837 | ||
Cost of sales | 127,740 | 136,231 | ||
Gross profit | 13,646 | 21,606 | ||
Selling, general & administrative expenses | 12,564 | 13,629 | ||
Income (loss) from operations | 1,082 | 7,977 | ||
Interest expense | 1,151 | 1,293 | ||
Pretax income (loss) | (69) | 6,684 | ||
Provision for (benefit from) income taxes | 37 | 1,600 | ||
Net income (loss) | $ (106) | $ 5,084 | ||
Net income (loss) per share: | ||||
Basic | $ (0.13) | $ 6.43 | ||
Diluted | $ (0.13) | $ 6.25 | ||
Weighted average common shares outstanding: | ||||
Basic | 798,000 | 790,000 | ||
Diluted | 798,000 | 814,000 | ||
CASH FLOW DATA (Dollars in thousands - Unaudited) | ||||
Three Months Ended October 31, | ||||
2024 | 2023 | |||
Net cash provided by (used in) operating activities |
$ 13,851 |
$ 18,050 | ||
Depreciation and amortization | $ 4,694 | $ 3,696 | ||
Cash paid for capital expenditures | $ 5,551 | $ 12,588 | ||
Notes: Amounts may not sum due to rounding. |
WEBCO INDUSTRIES, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Dollars in thousands - Unaudited) | ||||
October 31, | July 31, | |||
2024 | 2024 | |||
Current assets: | ||||
Cash | $ 2,485 | $ 1,171 | ||
16,103 | 15,903 | |||
Accounts receivable | 58,668 | 70,249 | ||
Inventories, net | 174,673 | 169,513 | ||
Prepaid expenses | 9,303 | 9,530 | ||
Total current assets | 261,233 | 266,366 | ||
Property, plant and equipment, net | 168,748 | 168,186 | ||
Right of use, finance leases, net | 954 | 1,043 | ||
Right of use, operating leases, net | 21,891 | 21,879 | ||
Other long-term assets | 15,696 | 15,611 | ||
Total assets | $ 468,522 | $ 473,085 | ||
Current liabilities: | ||||
Accounts payable | $ 30,230 | $ 28,109 | ||
Accrued liabilities | 32,706 | 33,066 | ||
Current portion of long-term debt, net | 43,799 | 49,115 | ||
Current portion of finance lease liabilities | 427 | 429 | ||
Current portion of operating lease liabilities | 5,178 | 5,063 | ||
Total current liabilities | 112,340 | 115,782 | ||
Long-term debt, net of current portion | 20,000 | 20,000 | ||
Finance lease liabilities, net of current portion | 574 | 657 | ||
Operating lease liabilities, net of current portion | 16,577 | 16,653 | ||
Deferred tax liability | 39 | 886 | ||
Stockholders' equity: | ||||
Common stock | 9 | 9 | ||
Additional paid-in capital | 54,545 | 54,256 | ||
Retained earnings | 264,437 | 264,842 | ||
Total stockholders' equity | 318,991 | 319,107 | ||
Total liabilities and stockholders' equity | $ 468,522 | $ 473,085 | ||
Notes: Amounts may not sum due to rounding. |
CONTACT: | Mike Howard |
Chief Financial Officer | |
(918) 241-1094 | |
mhoward@webcotube.com |
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SOURCE Webco Industries, Inc.
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