Table of Contents | --- | --- | --- | --- | --- | --- | --- | |------------------------|-------|----------------|-------|-----------------------------------------|-------|------------------| | | | Market value | (In | Amortized cost basis \nthousands) | loss, | Unrealized net | | December 31, 2022: | | | | | | | | Current assets | $ | 33,147 | $ | 33,164 | $ | (17) | | | | | | | | | | June 30, 2023: | | | | | | | | Current assets | $ | 46,794 | $ | 46,944 | $ | (150) | - 8 - Note 6 – Accounts payable and ac ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Exact name of Registrant as specified in its charter) DELAWARE 57-0981653 (State or other jurisdiction of incorporation or organization) (IRS Employer Identification No.) 5430 LBJ Freeway, Suite 1700 Dallas, Texas 75240-2620 (Address of principal executive offices) Registrant's telephone number, including area code (972) 448-1400 Securities registered pursuant to Section 12(b) of the Act: Title of each class Trading Symbol(s) ...

On August 16, 2022, the Inflation Reduction Act was signed into law. Among other things, this legislation provides for a 15% corporate alternative minimum tax on certain large corporations, imposes a 1% excise tax on qualifying Under the "Tax Cuts and Jobs Act," domestic corporations who are U.S. exporters with no foreign operations may be eligible for a deduction under the foreign derived intangible income (FDII) provisions. We qualify for this deduction and recognized a current cash tax benefit of $.1 mil ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended September 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ Commission file number 1-13905 COMPX INTERNATIONAL INC. (Exact name of Registrant as specified in its charter) DELAWARE 57-0981653 (S ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ Commission file number 1-13905 COMPX INTERNATIONAL INC. (Exact name of Registrant as specified in its charter) DELAWARE 57-0981653 (State ...

Financial Performance - Operating income increased to $6.3 million in Q1 2022, up from $5.8 million in Q1 2021, primarily due to higher sales in both Security Products and Marine Components segments [44]. - Net sales rose by $6.1 million in Q1 2022 to $42.1 million, driven by a 14% increase in Security Products sales and a 24% increase in Marine Components sales [45][52][53]. - Gross margin percentage decreased to 28.7% in Q1 2022 from 30.7% in Q1 2021, attributed to increased production costs across both segments [46]. - Operating costs increased to $5.8 million in Q1 2022, up from $5.2 million in Q1 2021, due to higher salary, benefit costs, and increased expenses in advertising and travel [47]. - The company expects strong demand to continue in 2022, projecting increased net sales and operating income compared to 2021 [57]. Sales Performance - Security Products net sales increased by $1.4 million in the government security market and $0.9 million to distributors in Q1 2022 compared to Q1 2021 [52]. - Marine Components net sales increased by $2.0 million to original equipment boat manufacturers in the towboat market in Q1 2022 [53]. Cash Flow and Liquidity - The company reported a net cash used by operating activities decrease of $0.2 million in Q1 2022 compared to Q1 2021, primarily due to increased operating income [60]. - As of March 31, 2022, the company had $70.2 million in cash and cash equivalents, all held in the U.S. [71]. - The company plans to use cash generated from operations and cash on hand to meet liquidity needs for the next 12 months and five years [70]. - The company evaluated liquidity requirements and may seek to raise additional capital or restructure indebtedness in the future [68]. Capital Expenditures and Investments - Capital expenditures for the first three months of 2022 were $1.7 million, compared to $0.6 million in the same period of 2021 [64]. - Firm purchase commitments for capital projects in process at March 31, 2022, totaled $0.6 million [71]. - The company has 602,547 shares available for repurchase under an authorized stock repurchase program as of March 31, 2022 [72]. - The company acquired 50,000 shares of its Class A common stock for $0.8 million during the first quarter of 2021 [66]. Inventory and Efficiency - Average days sales outstanding for Security Products improved to 42 days in Q1 2022 from 46 days in Q1 2021, indicating better collection efficiency [63]. - Days in inventory for consolidated CompX decreased from 96 days in December 2021 to 85 days in March 2022 [64]. Dividends and Shareholder Returns - The board of directors increased the regular quarterly dividend from $0.20 per share to $0.25 per share starting in the first quarter of 2022 [65]. Market Risks - The company is exposed to market risk from changes in interest rates and raw material prices, with no material changes reported since the 2021 Annual Report [75]. Supply Chain Issues - Current global supply chain disruptions are impacting sourcing of raw materials, leading to increased production costs, which the company is addressing through price increases and surcharges [57][58].

Business Segments - The company operates in two segments: Security Products and Marine Components, with a significant North American market share in cabinet lock security products [12]. Sales and Customers - In 2021, the United States Postal Service accounted for 16% of total sales, with the top ten customers representing approximately 51% of sales [27]. Cost Structure - Raw materials accounted for approximately 16% of total cost of sales in 2021, with total material costs representing about 44% of cost of sales [19]. - The company experienced price volatility in raw materials, particularly stainless steel, which impacted margins during 2021 [20]. Workforce and Safety - The company employs 570 people as of December 31, 2021, and maintains good labor relations [36]. - The Lost Time Incident Rate was three in 2019, nil in 2020, and one in 2021, indicating a strong safety performance [38]. Intellectual Property - The company holds patents with remaining terms ranging from 1 to 18 years as of December 31, 2021, which are important for its business [23]. Financial Performance - Interest income from a note receivable from an affiliate was $1.2 million in 2021, with an outstanding principal amount of $18.7 million [139]. Market Strategy - The company focuses on high-end market segments, competing on product design, quality, and service [28]. Environmental Sustainability - The company engages in various environmental sustainability programs and has received awards for its performance in this area [33]. Raw Material Supply Management - The company occasionally enters into short-term commodity-related raw material supply arrangements to mitigate future cost increases [140]. - There are no long-term supply agreements for raw material requirements due to low risk of unavailability and high downside risk of price volatility [140]. - The company does not engage in commodity raw material hedging programs [140].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended September 30, 2021 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ Commission file number 1-13905 COMPX INTERNATIONAL INC. (Exact name of Registrant as specified in its charter) Delaware 57-0981653 (State or other jurisdi ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended June 30, 2021 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ Commission file number 1-13905 COMPX INTERNATIONAL INC. (Exact name of Registrant as specified in its charter) Delaware 57-0981653 (State or other jurisdiction ...

Financial Performance - For the three months ended March 31, 2021, net sales increased to $35,924,000, up 11.5% from $32,311,000 in the same period of 2020[12] - Net income for the three months ended March 31, 2021, was $4,685,000, an increase of 9.7% from $4,271,000 in the prior year[12] - Basic and diluted net income per common share rose to $0.38, compared to $0.34 for the same period in 2020[12] - Total net sales increased from $32,311 thousand in Q1 2020 to $35,924 thousand in Q1 2021, representing an increase of 16.2%[25] - Operating income rose from $5,020 thousand in Q1 2020 to $5,817 thousand in Q1 2021, reflecting a growth of 15.9%[25] - Net income rose from $4,271 thousand in Q1 2020 to $4,685 thousand in Q1 2021, marking an increase of 9.7%[13] - Total net sales increased from $32,311 thousand in Q1 2020 to $35,924 thousand in Q1 2021, representing a growth of 8.1%[25] Gross Margin and Expenses - Gross margin for the same period improved to $11,035,000, representing a gross margin percentage of 30.7%, compared to $10,431,000 and 32.3% in 2020[12] - Total income tax expense increased from $1,356 thousand in Q1 2020 to $1,470 thousand in Q1 2021, an increase of 8.4%[29] Assets and Liabilities - Total current assets as of March 31, 2021, were $101,807,000, slightly up from $101,246,000 at December 31, 2020[10] - Total assets decreased to $183,801,000 as of March 31, 2021, from $184,045,000 at December 31, 2020[10] - Total stockholders' equity increased to $169,096,000 as of March 31, 2021, compared to $167,656,000 at December 31, 2020[10] - Total accounts payable and accrued liabilities decreased from $12,198 thousand as of December 31, 2020, to $9,497 thousand by March 31, 2021, a reduction of 22.1%[28] Cash Flow and Dividends - Cash and cash equivalents at the end of the period were $64,747,000, down from $70,637,000 at the beginning of the period[10] - The company paid cash dividends of $2,490,000 during the three months ended March 31, 2021, compared to $1,244,000 in the same period of 2020[19] - The company reported a net cash used in operating activities of $2,377,000 for the three months ended March 31, 2021, compared to a net cash used of $205,000 in the same period of 2020[19] - Cash and cash equivalents decreased from $70,637 thousand as of December 31, 2020, to $64,747 thousand by March 31, 2021, a decrease of 8.3%[32] Inventory and Receivables - Accounts receivable, net increased significantly from $10,731 thousand as of December 31, 2020 to $16,858 thousand by March 31, 2021, a rise of 57.2%[25] - Total inventories, net decreased slightly from $18,337 thousand as of December 31, 2020 to $18,153 thousand by March 31, 2021, a decline of 1.0%[26] Stock Repurchase and Other Notes - The company repurchased 50,000 shares of Class A common stock for approximately $755,000 during Q1 2021[31] - The outstanding principal balance receivable from Valhi under a promissory note was $29.2 million as of March 31, 2021[34] - Interest income from the loan to Valhi was $0.4 million for Q1 2020 and $0.3 million for Q1 2021, indicating a slight decrease[34]