Core Insights - CompX International Inc. reported a decline in sales and net income for the third quarter and the first nine months of 2024 compared to the same periods in 2023, primarily due to lower sales in Security Products and Marine Components [1][2][3] Financial Performance - Third quarter 2024 sales were $33.6 million, down from $40.3 million in Q3 2023, representing a decrease of approximately 16.7% [1] - Operating income for Q3 2024 was $3.3 million, a decline from $6.6 million in Q3 2023, indicating a decrease of about 50% [1] - Net income for Q3 2024 was $3.5 million, or $0.28 per share, compared to $5.8 million, or $0.47 per share, in Q3 2023, reflecting a decrease of approximately 39.7% in net income [1] - For the nine months ended September 30, 2024, sales totaled $107.5 million, down from $118.1 million in the same period of 2023, a decrease of about 9.7% [2] - Operating income for the first nine months of 2024 was $12.1 million, down from $18.0 million in 2023, a decline of approximately 32.8% [2] - Net income for the nine months ended September 30, 2024 was $12.1 million, or $0.98 per share, compared to $15.9 million, or $1.29 per share, in 2023, indicating a decrease of about 23.9% [2] Sales Performance - The decrease in third quarter net sales was primarily attributed to lower Security Products sales to a government security customer and reduced Marine Components sales to the towboat market [3] - The decline in sales for the first nine months of 2024 was mainly due to lower Marine Components sales to the towboat market [3] Company Overview - CompX International Inc. is a leading manufacturer of security products and recreational marine components, operating from three locations in the U.S. and employing approximately 524 people [4]

Core Viewpoint - CompX International Inc. has declared a regular quarterly dividend of $0.30 per share on its class A common stock, indicating a commitment to returning value to shareholders [1] Company Summary - CompX International Inc. is recognized as a leading manufacturer in the security products and recreational marine components industry [1] - The dividend is scheduled to be payable on December 10, 2024, to stockholders of record as of the close of business on November 29, 2024 [1]

CompX International Inc. (CIX) has reported its financial results for the second quarter of 2024, showcasing an impressive year-over-year increase in earnings per share and significant strategic financial moves. The company's performance was bolstered by strong growth in its Security Products segment, partially offset by challenges in the Marine Components segment. Additionally, CompX announced a substantial increase in its regular quarterly dividend and a special dividend, reflecting its robust cash flow a ...

Financial Performance - CompX reported net sales of $35.9 million for Q2 2024, a decrease of 1.9% from $36.6 million in Q2 2023[1] - Operating income increased to $5.1 million in Q2 2024, up from $4.4 million in Q2 2023, reflecting improved gross margins from Security Products sales[1][2] - Net income for Q2 2024 was $4.9 million, or $0.39 per diluted share, compared to $4.0 million, or $0.33 per diluted share, in Q2 2023[1][6] - For the first six months of 2024, sales totaled $73.9 million, down from $77.8 million in the same period of 2023[1][6] - Operating income for the first half of 2024 was $8.8 million, a decline from $11.4 million in the first half of 2023[1][6] - CompX's gross margin for Q2 2024 was 11.1%, compared to 10.3% in Q2 2023[6] - Interest income increased to $1.3 million in Q2 2024 from $0.9 million in Q2 2023[6] Sales and Market Dynamics - The decrease in sales was primarily due to lower Marine Components sales, partially offset by higher Security Products sales[2] - CompX operates from three locations in the U.S. and employs approximately 523 people[2] Risks and Challenges - The company faces risks including changes in raw material costs and competition from low-cost manufacturing sources[4]

Dallas, Texas, Aug. 06, 2024 (GLOBE NEWSWIRE) -- CompX International Inc. (NYSE American: CIX) announced today that its board of directors has declared a special cash dividend of two dollars ($2.00) per share and a regular quarterly dividend of thirty cents ($0.30) per share, in each case on its class A common stock. The special cash dividend is payable on August 28, 2024 to stockholders of record at the close of business on August 19, 2024. The regular quarterly dividend of $0.30 per share is payable on Se ...

Dallas, Texas, Aug. 06, 2024 (GLOBE NEWSWIRE) -- CompX International Inc. (NYSE American: CIX) announced today that its board of directors has declared a special cash dividend of two dollars ($2.00) per share and a regular quarterly dividend of thirty cents ($0.30) per share, in each case on its class A common stock. The special cash dividend is payable on August 28, 2024 to stockholders of record at the close of business on August 19, 2024. The regular quarterly dividend of $0.30 per share is payable on Se ...

Financial Performance - Operating income for Q2 2024 was $5.1 million, up from $4.4 million in Q2 2023, driven by higher Security Products sales[37] - Net sales for Q2 2024 decreased by $0.7 million to $35.9 million compared to Q2 2023, primarily due to lower Marine Components sales[40] - Gross margin as a percentage of sales increased to 31.1% in Q2 2024 from 28.1% in Q2 2023, attributed to improved Security Products gross margin[39] - Operating income margin for Q2 2024 was 14.1%, up from 12.0% in Q2 2023, reflecting improved sales and gross margin[39] - Operating costs and expenses for Q2 2024 rose by $0.2 million compared to Q2 2023, mainly due to higher employee salaries and benefits[43] - Interest income increased by $0.3 million in Q2 2024 compared to Q2 2023, driven by higher average interest rates and investment balances[44] Sales Performance - Security Products net sales increased by 10% in both Q2 and the first six months of 2024 compared to the same periods in 2023, largely due to higher sales to the government security market[48] - Marine Components net sales decreased by 30% in Q2 2024 compared to Q2 2023, primarily due to a $3.1 million drop in sales to the towboat market[50] - Security Products net sales in 2024 are expected to be lower than in 2023, with anticipated declines in government security sales in the second half of the year[53] - Marine Components net sales for the full year of 2024 are projected to be lower than in 2023 due to declining demand in the towboat market, influenced by higher interest rates and broader market weakness[54] Cost and Margin Analysis - Cost of sales as a percentage of sales improved by 3.0% in Q2 2024 compared to Q2 2023, contributing to the increase in gross margin[42] - Gross margin as a percentage of net sales improved in Q2 2024 compared to Q2 2023, primarily due to a favorable customer and product mix, despite lower sales impacting fixed cost coverage[51] - Operating income as a percentage of net sales increased in Q2 2024 compared to Q2 2023, attributed to factors affecting gross margin and reduced operating costs, including a decrease in employee salaries and benefits by approximately $0.1 million[51] - For the first six months of 2024, gross margin as a percentage of net sales declined compared to the same period in 2023, mainly due to higher inventory costs from Q4 2023 and lower sales[51] Operational Efficiency - The average days sales outstanding for Security Products increased from 37 days at December 31, 2023, to 40 days at June 30, 2024[57] - The average days in inventory for Security Products increased from 77 days at December 31, 2023, to 88 days at June 30, 2024, while Marine Components decreased from 175 days to 144 days in the same period[60] - Net cash provided by operating activities for the first six months of 2024 increased by $1.7 million compared to the same period in 2023, primarily due to changes in working capital[56] Capital and Dividend - Capital expenditures for 2024 are expected to be approximately $2.2 million, primarily to meet existing customer demand and maintain facilities[66] - The board of directors increased the quarterly dividend from $0.25 per share to $0.30 per share starting in Q1 2024, with total dividends paid in the first six months of 2024 amounting to $7.4 million[62] Risks and Challenges - The company anticipates potential risks including changes in raw material costs and competition from low-cost manufacturing sources[34]

Dallas, Texas, Aug. 06, 2024 (GLOBE NEWSWIRE) -- CompX International Inc. (NYSE American: CIX) announced today sales of $35.9 million for the second quarter of 2024 compared to $36.6 million in the same period of 2023. Operating income was $5.1 million in the second quarter of 2024 compared to $4.4 million in the same period of 2023. Net income was $4.9 million, or $.39 per basic and diluted common share, for the second quarter of 2024 compared to $4.0 million, or $.33 per basic and diluted common share, in ...

retouchman/iStock via Getty Images I am placing a HOLD rating on CompX International Inc. (NYSE:CIX) because I believe that CIX's share price is likely to fall in 2024 due to the conclusion of a pilot project related to the company selling security products to the United States Postal Service as well as a continued downward trend in its marine component sales. While CIX has proven itself to be a well run business which should continue to prosper on a long-term horizon, a decrease in CIX's sales figures shou ...

The Security Products segment, accounting for roughly 75% of net sales in 2023, witnessed a 9% year-overyear sales increase in the first quarter of 2024, reflecting strong demand, particularly from government projects. Despite a challenging market environment, CompX maintained a healthy gross margin of 29.4% during this period, showcasing its profitability and market resilience. However, potential investors should be aware of the challenges highlighted in the report. The outlook for 2024 presents certain ch ...