Financial Performance - Net sales decreased to $115.8 million, down 14% from $135.1 million in Q1 2024[3] - Adjusted EBITDA fell to $3.0 million, a decline of 81% compared to $15.5 million in the same quarter last year[3] - Net loss per share was $(0.30), compared to earnings of $0.06 per share in Q1 2024[3] - Gross profit declined to $30.2 million, down 29% from $42.4 million in Q1 2024, with a gross margin of 26%[14] - Net income for Q1 2025 was reported at $(8,462) million, a decrease from $1,552 million in Q1 2024[18] - Adjusted EBITDA for Q1 2025 was $2,973 million, down from $15,516 million in Q1 2024, indicating a significant decline[18] Operating Expenses and Costs - Operating expenses decreased by 5% on a GAAP basis and by 14% excluding transformation expenses and a non-recurring item[3] - Interest expense, net, increased to $3,765 million in Q1 2025 from $3,693 million in Q1 2024[18] - Depreciation and amortization expenses decreased to $4,749 million in Q1 2025 from $5,630 million in Q1 2024[18] - Stock compensation expenses decreased significantly to $559 million in Q1 2025 from $2,005 million in Q1 2024[18] - Transformation costs rose to $2,191 million in Q1 2025, compared to $1,152 million in Q1 2024, indicating increased investment in restructuring[18] Debt and Working Capital - Net working capital reduced by $85 million year-over-year, from $238 million to $153 million[4] - Total debt decreased from $187 million to $167 million year-over-year[4] Future Outlook - The company anticipates a stronger second half of 2025 due to improving customer order rates and operational improvements[2] - The agricultural sector is expected to recover, with management focusing on cost reduction initiatives if market conditions do not improve[2] - The company aims to simplify operations to enhance future margins and reaffirm its position in the agricultural solutions market[4] Tax and Other Provisions - Provision for income taxes in Q1 2025 was $387 million, compared to $1,484 million in Q1 2024[18] - Dacthal returns were reported at $(216) million in Q1 2025, with no comparable figure in Q1 2024[18]

Financial Performance - The company's net sales for Q1 2025 decreased by 14% to $115,800, down from $135,143 in Q1 2024[69] - Gross profit for Q1 2025 was $30,191, a decline of 29% compared to $42,418 in Q1 2024, resulting in a gross margin of 26%[72] - The company recorded a net loss of $8,462, or $0.30 per share, compared to a net income of $1,552, or $0.06 per share, in the prior year[78] - Total cost of sales decreased by 8% to $85,609 in Q1 2025, primarily driven by a decline in sales volume[69] - Net loss for Q1 2025 was $8,462 or $0.30 per share, compared to net income of $1,552 or $0.06 per share in Q1 2024[78] Sales and Revenue - Domestic crop sales fell by 15% to $57,176, while international sales also decreased by 14% to $43,023[69] - In Q1 2025, the Company reported net sales of $115,800, a decrease of 14% compared to $135,143 in Q1 2024[69] Expenses - Operating expenses decreased by 5% to $34,501, with selling expenses down 17% to $10,723[73][76] - Interest expense remained flat at $3,765, with an average debt of $183,918 and an effective interest rate of 8.2%[74] - The income tax expense for Q1 2025 was $387, significantly lower than $1,484 in Q1 2024, due to losses incurred in the U.S.[68][75] - Selling expenses decreased by $2,158 in Q1 2025, driven by reductions in domestic wages, travel expenses, and advertising costs[76] Cash Flow - Cash used in operating activities was $20,576, compared to $36,107 in the same period last year[79] - Cash used for investing activities was $446 in Q1 2025, significantly lower than $3,567 in Q1 2024, with $431 spent on fixed asset acquisitions[82] - Financing activities provided $19,801 in Q1 2025, down from $41,382 in the same period last year, with net borrowings under the Credit Agreement amounting to $20,167[83] Debt and Indebtedness - Long-term indebtedness increased to $166,272 as of March 31, 2025, from $145,800 at the end of 2024[84] - Average overall debt increased to $183,918 in Q1 2025 from $176,344 in Q1 2024, with interest expense remaining flat at $3,765 compared to $3,693[74] - The Company had the capacity to increase borrowings by up to $53,717 as of March 31, 2025, compared to $28,623 available as of December 31, 2024[85] Transformation and Strategy - The company plans to focus on selling more profitable products internationally, leading to improved average pricing across categories[71] - Transformation costs related to digital and structural initiatives amounted to $2,191, up from $1,152 in the prior period[76] - Transformation costs related to digital and structural transformation amounted to $2,191 in Q1 2025, up from $1,152 in the prior period[76] Working Capital - Customer prepayments decreased by $28,215 in Q1 2025, compared to a decrease of $37,037 in the same period of 2024[80] - Net working capital increased by $18,240 in Q1 2025, compared to an increase of $49,996 in the same period of the prior year[80]

Customer Concentration - In 2024, the company's largest three customers accounted for 14%, 13%, and 11% of total sales, compared to 15%, 14%, and 8% in 2023[28]. - In 2024, the top three customers represented 38% of the company's sales, compared to 37% in 2023 and 39% in 2022, indicating a relatively concentrated customer base[101]. Acquisitions and Expansions - The company completed the acquisition of Punto Verde, a distributor in Ecuador, on October 5, 2023, which included product registrations and customer lists[24]. - The company acquired AgNova in Australia, expanding its specialty crop protection solutions[56]. - AgriCenter acquired Punto Verde in Ecuador, enhancing distribution capabilities in the region[58]. - The company completed the purchase of Agrinos, a biological input supplier, enhancing its product offerings[57]. - The establishment of AgNova Technologies NZ Limited aims to expand business in the Australasia region[58]. Financial Performance - The Company experienced a net loss of $126,340 (or $4.50 per share) in 2024, compared to a net income of $7,519 (or $0.26 per share) in 2023[137]. - Total net sales decreased by approximately 6% to $547,306 in 2024, with U.S. crop sales down 15% and international sales up 1%[138]. - Gross margin dropped to 22% in 2024 from 31% in the prior year, attributed to high costs of sales which increased by 7%[134]. - Operating expenses rose by 42% to $221,872 in 2024, primarily due to non-cash asset impairment charges and transformation strategy costs[135]. - The Company incurred nonrecurring charges of $117,355 during 2024 related to business transformation and asset impairments[131]. - Sales of the granular insecticide Aztec dropped by 40% in 2024, significantly impacting overall sales performance[133]. - Comprehensive loss was $139,170 in 2024, compared to a comprehensive income of $13,738 in 2023, driven by a negative foreign currency translation adjustment of $13,824[149]. Operational Challenges - The company faces regulatory risks that could increase operational costs or limit product marketing capabilities[62]. - The company is dependent on a limited number of suppliers for certain raw materials, which poses a risk to achieving projected sales[71]. - Disruptions in the global supply chain continue to present risks, potentially affecting raw material availability and costs[72]. - The company is subject to increased scrutiny and potential litigation related to product liability, particularly concerning pesticides[68]. - Climate change has led to unpredictable weather conditions that may reduce the demand for the Company's products, affecting revenues and profitability[78]. Human Capital and Employee Engagement - Employee engagement and competitive compensation are key elements of the company's human capital strategy, aimed at optimizing retention[53]. - The company employed 755 employees as of December 31, 2024, down from 845 in 2023, reflecting seasonal business adjustments[46]. Research and Development - The company has been investing in molecular research and development for its green solutions portfolio since 2021[22]. - The company has developed a portfolio of intellectual property, including patents and trademarks, to protect its proprietary formulations[34]. - The company has a history of investing in technology, particularly in natural oil technology and biorationals, as part of its growth strategy, although there is no guarantee of successful commercialization[97]. Financial Management and Liquidity - The Company relies on customer prepayments to meet working capital needs, and any material change in this program could adversely affect liquidity[90]. - The Company believes its cash flows and credit facility availability will meet its working capital and capital expenditure requirements for at least the next 12 months[164]. - The Company recorded inventory adjustments of $21,417 in 2024, compared to $2,700 in 2023[169]. - The Company recorded intangible asset impairment charges of $9,345 in 2024, with no such charges in 2023[170]. - The Company recorded goodwill impairment charges of $27,049 during the year ended December 31, 2024[176]. Market Conditions and Competition - The competitive nature of the agricultural chemical markets is increasing, with a rise in generic products and consolidation among competitors, potentially eroding the Company's market position[81]. - The company faces competition from generic competitors operating at thinner gross margins, which may impact pricing and profitability[99]. - The Company has successfully implemented price increases on its products in response to inflationary pressures, although there has been a drop in demand due to customer destocking directives[183]. Regulatory and Compliance Issues - The company’s products are subject to registration by the U.S. Environmental Protection Agency, with compliance costs impacting operating expenses[35][38]. - The Company has identified material weaknesses in its internal control over financial reporting as of December 31, 2024, which could adversely affect its financial performance and investor confidence[82]. - The Company’s internal control over financial reporting received an adverse opinion due to a material weakness identified as of December 31, 2024[188]. Economic Factors - The Company is exposed to fluctuations in the global economy, including inflation, foreign currency exchange rates, and commodity prices, which could negatively impact sales volume and financial results[77]. - Domestic inflation trends and increased interest rates could lead to higher costs and potentially recessionary periods, adversely impacting the Company's financial performance[94]. - A 10% change in the exchange rate between the US Dollar and local currencies could result in a positive or negative change of approximately $6,800[182].

Financial Data and Key Metrics Changes - For Q4 2024, the company reported revenues of approximately $169 million, a decrease of 2% compared to Q4 2023, and adjusted EBITDA of approximately $18 million, down 18% year-over-year [21] - Full year 2024 adjusted revenues were approximately $563 million, a decrease of about 3% from 2023, with adjusted EBITDA at $42 million compared to $53 million in the prior period [22][23] - The adjusted EBITDA margin for 2024 was 7.5%, which management believes is about half of the company's full cycle earnings potential [13] Business Line Data and Key Metrics Changes - The company is focusing on improving its balance sheet, reporting a reduction in inventory by approximately $47 million during Q4, although it slightly missed its inventory to sales target [24] - Average inventory turns for 2024 ended at 1.67%, with a target of about 2 turns by year-end 2025 [24] Market Data and Key Metrics Changes - Management noted a slight improvement in sentiment among growers since the low point in summer 2024, but purchasing remains conservative due to high capital costs and tariff uncertainties [16] - The company anticipates that 2025 will be better than 2024, with adjusted EBITDA target range of $45 million to $52 million and sales expected between $565 million and $585 million [18] Company Strategy and Development Direction - The new CEO emphasized the need to improve margins, rightsize the balance sheet, and return to growth, indicating that the company has a resilient revenue base to build upon [9] - The company is undergoing a transformation plan that includes exiting certain markets, cutting costs, and implementing an ERP system to simplify operations [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for 2025, noting that while the agricultural economy is gradually improving, farmers are still cautious due to potential tariff impacts [33] - The CEO highlighted that the company aims to generate free cash flow and strengthen its balance sheet by decreasing net working capital and paying down debt [35] Other Important Information - The company recorded $118 million in nonrecurring charges for 2024, primarily related to asset impairments and transformation projects [27] - There is a delay in filing the audited 10-K due to complex assessments related to write-downs, with plans to file a 12b-25 with the SEC [29] Q&A Session Summary Question: Timing of the financial filing - Management indicated that the filing would occur within weeks, not months, and attributed the delay to complex write-downs rather than any surprising issues [40][41] Question: Working capital expectations for 2025 - Management stated that inventory is the primary focus for reducing working capital, with a refreshed SIOP model to enhance efficiency [45] Question: Addressing organizational complexity - The CEO noted that a modernized ERP system and organizational restructuring are key steps to reduce complexity and improve accountability [48] Question: Impact of tariffs on farmer buying patterns - Management confirmed that uncertainty around tariffs is causing farmers to adopt a just-in-time purchasing approach, impacting revenue guidance [52][53] Question: Margin improvement expectations - The CEO outlined that achieving mid-teens EBITDA margins will involve improving gross margins and reducing operating expenses as a percentage of sales [62] Question: Earnings cadence for 2025 - Management expects lower EBITDA margins in the first half of 2025, with improvement anticipated in the second half [66] Question: Confidence in 2025 guidance - The CEO expressed confidence in the 2025 guidance, with the lower end reflecting slower industry conditions and the upper end indicating positive growth [69][70]

Financial Data and Key Metrics Changes - For Q4 2024, the company reported revenues of approximately $169 million, a decrease of 2% compared to Q4 2023, and adjusted EBITDA of approximately $18 million, down 18% year-over-year [21] - For the full year 2024, adjusted revenues were approximately $563 million, a decrease of about 3% from 2023, with adjusted EBITDA at $42 million compared to $53 million in the prior period [22][23] Business Line Data and Key Metrics Changes - The company is focusing on improving its balance sheet, reporting inventories at approximately $180 million, which included write-downs for obsolescence and slow-moving items [22] - The average inventory turns for 2024 ended at 1.67%, with a target to push this metric towards about 2 turns by year-end 2025 [24] Market Data and Key Metrics Changes - The agricultural economy is showing signs of gradual improvement, with customers indicating a slight improvement in sentiment since the low point in summer 2024, although they remain conservative in buying patterns [16] - The company anticipates that 2025 will be better than 2024, with an adjusted EBITDA target range of $45 million to $52 million and expected sales between $565 million and $585 million [18] Company Strategy and Development Direction - The new CEO emphasized the need to improve margins, rightsize the balance sheet, and return to growth, with a focus on simplifying operations and prioritizing key tasks [9][14] - The company plans to allocate the bulk of its free cash flow towards debt repayment as part of its transformation strategy [19] Management's Comments on Operating Environment and Future Outlook - Management noted that while the agricultural economy is improving, farmers are cautious due to high capital costs and potential tariffs, leading to a just-in-time purchasing approach [16][53] - The CEO expressed confidence that 2025 will show improvement over 2024, contingent on resolving tariff issues and improving market conditions [54] Other Important Information - The company recorded $118 million in nonrecurring charges for 2024, primarily related to asset impairments and transformation projects [27] - There is a delay in filing the audited 10-K due to complex assessments related to write-downs, with plans to file a 12b-25 with the SEC [29] Q&A Session Summary Question: Timing of the financial filing - Management indicated that the filing would occur within weeks, not months, and the delay was due to complex write-down assessments rather than any surprising issues [40][41] Question: Working capital expectations for 2025 - The focus remains on inventory as the primary area for working capital improvement, with a refreshed SIOP model to enhance efficiency [45] Question: Addressing organizational complexity - The CEO discussed steps taken to simplify the organization, including an ERP system implementation and restructuring for accountability [47][48] Question: Impact of tariffs on farmer buying patterns - Management noted that uncertainty from tariffs is causing farmers to be cautious, affecting their purchasing decisions [53] Question: Confidence in 2025 guidance - The CEO expressed confidence in the guidance, with the lower end reflecting slower industry conditions and the upper end reflecting positive influences on purchasing [69] Question: Transformation costs for 2025 - Projected transformation costs for 2025 are around $5 million, significantly lower than in 2024, with expected benefits from commercial activities and logistics [72]

Financial Performance & Guidance - The company is initiating full-year 2025 guidance with an Adjusted EBITDA target of $45-$52 million and revenue target of $565-$585 million[9, 20] - FY 2024 adjusted revenue was approximately $563 million, compared to $579 million in FY 2023[11] - FY 2024 adjusted EBITDA was approximately $42 million, compared to $53 million in FY 2023[11] - The Adjusted EBITDA margin for FY 2024 was 75%, compared to 91% in FY 2023[11] - Q4 2024 revenue was approximately $169 million, compared to $172 million in Q4 2023[11] - Q4 2024 adjusted EBITDA was approximately $18 million, compared to $22 million in Q4 2023[11] - The Adjusted EBITDA margin for Q4 2024 was 106%, compared to 127% in Q4 2023[11] Debt & Inventory Management - The company paid down $22 million of debt in Q4 2024[9, 16] - Debt was reduced from $179 million in Q3 2024 to $156 million in Q4 2024[15] - Inventory decreased by approximately $47 million in Q4 2024 compared to Q3 2024, before inventory write-downs[9, 19] - Inventory was reduced from approximately $246 million in Q3 2024 to $199 million in Q4 2024, before inventory write down[18] Non-Recurring Charges - The company incurred $118 million of non-recurring charges in 2024, attributable to SIMPAS, goodwill impairment, transformation consultant expense, the write-down of slow-moving inventory, and the write-down of a previous investment[9]

Financial Results Announcement - American Vanguard Corporation announced its unaudited financial results for the three- and twelve-month periods ended December 31, 2024[4]. - The press release detailing the financial results was issued on March 14, 2025[4]. - The financial results include both quarterly and annual performance metrics[4]. Company Information - The company is listed on the New York Stock Exchange under the symbol AVD[2]. - The report does not indicate whether the company is an emerging growth company[3]. Performance Guidance and Outlook - The company has not provided specific performance guidance or future outlook in the available documents[4]. Product and Market Development - There is no mention of new product development or technological advancements in the current report[4]. - The report does not discuss market expansion or acquisition strategies[4]. Documentation and Signatures - The financial statements and exhibits are included in the press release linked as Exhibit 99.1[6]. - The report was signed by Timothy J. Donnelly, Chief Information Officer, General Counsel & Secretary[9].

Sales Performance - Overall sales for Q3 2024 declined by 21% compared to Q3 2023, with domestic sales down 33% and international sales down 4%[66]. - Consolidated sales decreased by 6% in the first nine months of 2024 compared to the same period in 2023, with domestic sales down 9% and international sales down 2%[84]. - Total net sales declined by 21% to $118,307 from $149,516 in the prior year[71]. - U.S. crop net sales decreased by 17% to $155,075 in the first nine months of 2024, while U.S. non-crop sales increased by 18% to $59,241[87]. - International net sales decreased by 4% to $60,320, impacted by supply constraints in Asia and a weakening currency in Brazil[74]. - International net sales were down 2% to $167,343, primarily due to weak performance from the Mocap and Assure II products[90]. Profitability - Gross profit for Q3 2024 was $17,293, representing 15% of net sales, a significant decrease from 29% in the same period last year[67][75]. - Gross profit margin fell to 26% in the first nine months of 2024, down from 31% in the same period of 2023, largely due to a $16,191 liability from the Dacthal product recall[85]. - Gross profit decreased by 60% to $17,293, with a gross margin percentage of 15%, down from 29% in the previous year[75]. - The company recorded a net loss of $25,742, or $(0.91) per share, compared to a loss of $325, or $(0.01) per share, in the prior year[70]. - The company recorded a net loss of $35,911 or ($1.28) per share for the first nine months of 2024, compared to net income of $540 or $0.02 per share in the same period of 2023[87]. Operating Expenses - Operating expenses increased by 17% to $45,681, including non-recurring charges of $8,139 related to ongoing transformation activities[68][77]. - Operating expenses increased by 14% year-over-year, reaching $129,003 for the nine-month period ended September 30, 2024[93]. - Research, product development, and regulatory expenses increased by $2,097 to $11,177, reflecting higher costs associated with regulatory and product development studies[77]. Debt and Interest - The company’s average overall debt for Q3 2024 was $209,840, with an effective interest rate of 8.1%, up from 7.1% in the prior year[80]. - Interest expense rose to $4,378 from $3,384 in the same period last year, primarily due to higher interest rates[69][80]. - Interest expense increased to $11,988 for the nine months ended September 30, 2024, compared to $8,282 in the same period of 2023, reflecting higher interest rates[96]. - The company's average overall debt increased to $200,187 for the nine months ended September 30, 2024, from $149,009 in the prior year[97]. Taxation - The effective income tax rate for Q3 2024 was approximately 21.4%, with a tax benefit of $7,024 compared to an expense of $885 in the same period last year[81]. - The company achieved an income tax benefit of $7,093 for the nine months ended September 30, 2024, compared to an expense of $2,066 in the same period of 2023[98]. Cash Flow and Liquidity - Operating activities utilized net cash of $29,402 during the nine-month period ended September 30, 2024, compared to $145,854 during the same period in 2023[100]. - Customer prepayments decreased by $38,375, compared to a decrease of $104,590 in the same period of 2023[103]. - The Company anticipates that cash flow from operations, existing cash balances, and available borrowings will be sufficient to meet liquidity needs for the next twelve months[109]. Product Recall Impact - Domestic crop business net sales were 48% lower than Q3 2023, primarily due to the voluntary product recall of Dacthal, which accounted for $11,783 in lost sales[71][72]. - The company recorded a liability of $16,191 associated with the global voluntary cancellation of the Dacthal registrations[91].

Financial Performance - Net sales for Q3 2024 were $118.3 million, down from $149.5 million in Q3 2023, with an adjusted figure of $130.7 million excluding the Dacthal product recall impact[2]. - Adjusted EBITDA for Q3 2024 was $1.8 million compared to $11.4 million in Q3 2023, maintaining full-year 2024 guidance of $40 million to $50 million[2][4]. - The company reported a net loss per share of $(0.92) for Q3 2024, compared to a loss of $(0.01) in Q3 2023[2][4]. - Total net sales decreased by 21% to $118,307,000 for the three months ended September 30, 2024, compared to $149,516,000 in the same period of 2023[11]. - Total gross profit declined by 60% to $17,293,000, down from $43,084,000 year-over-year[11]. - The net loss for the nine months ended September 30, 2024, was $35,911,000, compared to a net income of $540,000 in the same period of 2023[14]. - Adjusted EBITDA for the three months ended September 30, 2024, was $1,800,000, significantly lower than $11,364,000 in the prior year[15]. - The company experienced a decrease in cash flows from operating activities, with a net cash used of $29,849,000 for the nine months ended September 30, 2024[14]. Revenue Breakdown - Non-crop revenues grew by 17% year-over-year, while green solutions revenues increased by 18% year-over-year[3]. - U.S. crop sales fell by 48% to $35,533,000, while U.S. non-crop sales increased by 17% to $22,454,000[11]. - International sales decreased by 4% to $60,320,000, compared to $62,517,000 in the same quarter of 2023[11]. - The impact of the Dacthal recall resulted in a reduction of $12,403,000 in total net sales[12]. Debt and Assets - The company reduced its long-term debt by $32.5 million, bringing it down to $178.7 million from $211.2 million in the previous quarter[2][4]. - Total assets as of September 30, 2024, were $759.5 million, down from $767.5 million at the end of 2023[9]. - Cash and cash equivalents at the end of the period were $11,880,000, compared to $11,529,000 at the end of the previous period[14]. - The company reported a significant increase in accounts payable by $6,141,000 during the nine months ended September 30, 2024[14]. Transformation and Strategy - Transformation-related benefits are now expected to reach $20 million, up from the previous estimate of $15 million[3]. - The company incurred a $8.1 million transformation charge and a $16.2 million charge related to the Dacthal product recall during the quarter[4]. - The company aims to decrease inventory to 34% of sales by year-end, representing a $25 million reduction compared to the previous year[4]. - The company is actively recruiting a CEO to continue its transformation momentum[3].

Financial Data and Key Metrics Changes - The company reiterated its 2024 adjusted EBITDA target of $40 million to $50 million and sales target of $565 million to $580 million, excluding product recall charges [7][28] - In Q3 2024, adjusted EBITDA was $2 million, down from $11 million in the same period last year, with sales of $130.7 million compared to $149.5 million [13][16] - Gross profit margin declined to 26% from 29% year-over-year, primarily due to decreased sales of Aztec [23] Business Line Data and Key Metrics Changes - U.S. crop business sales decreased by 30% or $20 million compared to Q3 2023, driven by significant declines in Aztec and Folex sales [16][18] - U.S. non-crop business saw a 17% increase in sales, led by a 45% increase in OHP distribution business [19] - Sales from the Green Solution product portfolio increased by 18% in Q3 and 20% year-to-date [20] Market Data and Key Metrics Changes - The international business experienced a 3% decline in sales, impacted by generic pressures and drought conditions in Australia [22] - The agricultural economy has shown signs of normalization after a downturn, with expectations for cautious inventory accumulation as the market moves into 2025 [10][11] Company Strategy and Development Direction - The company is focused on transforming into an efficient, reliable, and profitable supplier to the agricultural industry, with ongoing business transformation efforts expected to yield higher benefits than previously targeted [5][30] - A new customer-centric structure is being implemented to enhance decision-making and accountability across the organization [34][35] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the cyclical recovery in the agricultural market, anticipating a strong fourth quarter driven by seasonal demand [12][38] - The company is addressing challenges from generics, particularly with Folex, by emphasizing service and superior product formulations [49][50] Other Important Information - The company reported a $16.2 million charge related to the voluntary recall of the Dacthal product line and an additional $8.1 million charge for transformation support [27] - Long-term debt was reduced by $32.5 million compared to the previous quarter, reflecting improved liquidity [25] Q&A Session Summary Question: Can you walk us through the levers for achieving the $50 million EBITDA guidance? - Management highlighted the seasonal strength of Q4 and the expected improvement in demand as key drivers for achieving the guidance [42] Question: What is the impact of generics on Folex and other products? - Management noted that Folex has been significantly impacted by generics, particularly in international markets, and emphasized the company's focus on service and product quality to compete [46][49] Question: Are there any additional costs expected from the Dacthal recall in Q4? - Management indicated that the current estimate of $16 million covers anticipated costs, but any new issues would be addressed as they arise [52]