68% of cardholders would select a bank card program over another if it offered a metal payment card66% of ultra-high-net-worth respondents would use metal payment cards more than other cards in their wallet69% of successful young individuals would stay with a bank offering a metal payment card 73% of cardholders would pay extra for a metal payment cardBanks issuing a metal card are seen as innovative 74%, environmentally conscious 70%, prestigious 67%, secure 64% and cool 68%. SOMERSET, N.J., April 17, 2025 ...

The Circular blockchain delivers infrastructure to build the first digital network for on-chain verification and authentication of medical records and transactionsBOSTON, Mass, and SOMERSET, N.J., March 20, 2025 (GLOBE NEWSWIRE) -- Circular Protocol today announced a new commercial initiative with two leaders in the security and software space, Arculus by CompoSecure, and IT Lab to step up digital transparency and protection in the global healthcare industry. As healthcare becomes increasingly digital and i ...

Needham analyst John Todaro maintained CompoSecure Inc CMPO with a Buy and lowered the price target from $16 to $15.On Wednesday, CompoSecure reported fourth-quarter revenue of $101 million versus Todaro’s $103 million and street’s $102 million. Quarterly EBITDA was $34 million compared to Todaro’s $32 million and street’s $31 million.Also Read: Analysts Highlight Credo Hyperscaler Partnerships With Amazon, Microsoft, xAI Amid AI BoomThe quarterly adjusted EPS was $0.20 compared to Todaro’s $0.18 estimate a ...

Q4 2024 Earnings Presentation March 5, 2025 Disclaimers 2 Executive Summary Foundational year: High-single digit Net Sales growth, robust Free Cash Flow, international momentum and unique product innovations Net Sales: Q4 '24 vs. Q4 '23 increased 1% to $100.9mm compared to $99.9mm; FY increased 8% to $420.6mm compared to $390.6mm driven by continued domestic & international growth Adjusted EBITDA: Q4 '24 vs. Q4 '23 decreased 10% to $33.6mm compared to $37.2mm driven by investment to build out M&A function; ...

Financial Data and Key Metrics Changes - In Q4 2024, net sales increased by 1% to $100.9 million, while full-year net sales grew 8% to $420.6 million [22][25] - Adjusted EBITDA in Q4 decreased by 10% to $33.6 million, but full-year adjusted EBITDA increased by 4% to $151.4 million [24][26] - The company reported a net loss of $48.4 million in Q4 compared to a net income of $31 million in the same quarter last year [23][26] - Adjusted net income for Q4 was up 8% to $24.8 million, driven by interest rate savings [24] - As of December 31, 2024, cash and cash equivalents were $77.5 million, and total debt was $197.5 million, significantly improved from $41.2 million and $340.3 million respectively a year earlier [28] Business Line Data and Key Metrics Changes - Domestic sales were flat year-over-year, while international net sales increased by 7% to $15.4 million in Q4 [22] - For the full year, domestic sales increased by 7%, and international sales grew by 11%, indicating successful expansion in key global markets [25][26] Market Data and Key Metrics Changes - The payment card industry continues to show strength, supported by healthy consumer spending and demand for premium products [17] - Major customers like Capital One reported strong new account growth, indicating resilience in the market despite economic uncertainties [17] Company Strategy and Development Direction - The company is focusing on accelerating organic growth in payment cards, enhancing operational efficiency through the CompoSecure Operating System, and pursuing accretive M&A opportunities [15][30] - The spin-off of Resolute Holdings is seen as a strategic move to position the company for accelerated growth and diversification of revenue [15][56] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term potential of the business, emphasizing the significant upside due to low market penetration [10][12] - For 2025, the company expects mid-single-digit growth in both net sales and adjusted EBITDA, with sales momentum anticipated to build throughout the year [15][30] Other Important Information - The company reported its first quarter of positive net contribution from Arculus in Q4, with Arculus generating $10.5 million in revenue for the full year [14][21] - The CompoSecure Operating System is being implemented to enhance efficiency across all business functions, with a focus on cultural change and operational excellence [11][40] Q&A Session Summary Question: Revenue growth acceleration in 2025 - Management indicated they are not providing quarter-by-quarter guidance but have good visibility based on backlog and pipeline [36] Question: Details on the CompoSecure Operating System - The Operating System encompasses all functions of the company, aiming to drive efficiencies and improve operations [38][40] Question: Arculus revenue and contribution expectations - Management noted a strong exit rate for Arculus in Q4, contributing positively to the overall results for 2025 [46] Question: Domestic vs. international growth pipeline - Management expects international sales to contribute about 20% of revenue, with variability in timing due to order sizes [50] Question: Impact of Resolute on P&L for 2025 - The impact is significant across organic growth, operational improvements, and M&A activities [54][56] Question: Size of potential M&A deals - Management is open to exploring a broad spectrum of acquisition sizes, focusing on value and return for investors [96][99]

CompoSecure, Inc. (CMPO) came out with quarterly earnings of $0.27 per share, beating the Zacks Consensus Estimate of $0.21 per share. This compares to earnings of $0.26 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 28.57%. A quarter ago, it was expected that this company would post earnings of $0.29 per share when it actually produced earnings of $0.27, delivering a surprise of -6.90%.Over the last four quarters, the compan ...

Corporate Structure and Spin-off - As of February 28, 2025, Resolute owned approximately 51% of the voting power of the Company's common stock, establishing the Company as a "controlled company" under Nasdaq rules[26]. - The Company completed the spin-off of Resolute Holdings Management, Inc. on February 28, 2025, distributing one share of Resolute Holdings Common Stock for every twelve shares of Class A Common Stock held[27]. - The distribution of Resolute Holdings shares will be treated as a taxable dividend for existing stockholders[27]. - The spin-off is expected to increase the aggregate value of the Company and Resolute Holdings over time, making both stocks more attractive to investors[28]. Management and Growth Strategy - The Management Agreement with Resolute Holdings stipulates a quarterly management fee of 2.5% of Holdings' last 12 months' Adjusted EBITDA[31]. - The Management Agreement has an initial term of 10 years and will automatically renew for successive ten-year terms unless terminated[33]. - The Company aims to accelerate organic growth in 2025 by winning new customers and expanding programs with existing customers[39]. - The Company plans to utilize strong free cash flow to drive growth through accretive M&A transactions, leveraging Resolute Holdings' expertise[42]. Technology and Innovation - The Company is developing the CompoSecure Operating System to improve operational efficiency across the organization[40]. - The Arculus technology is designed to transform payment cards into multifunctional devices, enhancing digital security through passwordless authentication[41]. - The market for passwordless authentication products is estimated to grow from $18.4 billion in 2024 to approximately $86.4 billion by 2033, presenting a lucrative opportunity for the company[49]. - The Arculus Cold Storage Wallet was launched in October 2021, providing a secure solution for digital asset storage and transactions[60]. - The Arculus Cold Storage Wallet utilizes a three-factor authentication system, enhancing security for users' private keys[62]. - The Arculus Authenticate solutions are FIDO2 certified, providing a passwordless and hardware-based secure authentication experience[60]. - The Company has over 65 U.S. and foreign patents issued, with more than 35 patent applications pending, indicating a strong focus on innovation[68]. - The research and development team focuses on innovations in metal form factors, secure authentication, and digital asset storage technology, with over 65 patents issued and 35 pending[95]. Market and Sales Performance - The global addressable payment card market is projected to reach 10.3 billion cards in circulation by 2024, with an estimated 5.2 billion new cards issued in that year[43]. - The company's metal payment card sales represented less than 0.6% of the estimated addressable market in 2024, indicating significant growth potential[49]. - The company's net sales from non-U.S. metal payment card programs totaled $77 million in 2024, over four times the $19 million reported in 2018[52]. - The Company produced metal payment cards for 8 of the top 10 U.S. card issuers in 2024, showcasing its strong market presence[51]. - The Company has expanded its card programs from approximately 60 in 2018 to over 150 in 2024, reflecting its growth strategy[50]. - The Company has over 150 card programs for major clients like American Express and JP Morgan Chase, which represented 63.2% of net sales for the year ended December 31, 2024[75]. Security and Compliance - Identity fraud losses in the U.S. reached $23 billion in 2023, a 13% increase from the previous year, highlighting the need for enhanced security solutions[49]. - Payment card fraud losses worldwide exceeded $34 billion in 2023, marking a 1% increase from the prior year, emphasizing the ongoing challenges in card security[49]. - The Company maintains extensive compliance with payment card industry security standards, which acts as a barrier to entry for new competitors in the payment card market[97]. - The Company’s manufacturing operations are designed to meet diverse client needs, with a focus on high security and compliance throughout the production process[88]. Sustainability and Corporate Responsibility - The Company achieved carbon neutral operations in 2023 and 2024 through production efficiencies and purchasing carbon offsets[112]. - Water usage was reduced by approximately 31.5% compared to 2022, saving about 1.5 million gallons[116]. - The Company improved energy efficiency by converting approximately 100% of lighting fixtures in its facilities to LED[116]. - The Company was awarded the EcoVadis Silver Medal for the second consecutive year, improving its score from 60 in 2023 to 67 in 2024[116]. - The Company utilizes 65% post-consumer recycled stainless steel in its metal card products, enhancing its sustainability profile compared to plastic cards[54]. Financial and Debt Management - As of December 31, 2024, the Company had $197.5 million in variable rate debt outstanding under the 2024 Credit Facility, exposing it to interest rate risk[375]. - A 100 basis point change in interest rates would result in an approximate $4.0 million increase or decrease in annual interest expense[376]. - The Company entered into an interest rate swap agreement on January 11, 2022, with a notional amount of $125,000 and a fixed rate of 1.90%[377]. - The fair value of the interest rate swap was determined to be $2.7 million at December 31, 2024[378]. Employment and Workforce - The Company employs approximately 1,000 full-time employees, with a gender distribution of 46% female and 54% male[118].

Financial Performance Expectations - CompoSecure expects to report net sales for FY 2024 of $420.6 million, aligning with previous guidance of $418 to $424 million[6] - The company anticipates a net income loss in the range of $(89.2) million to $(87.7) million for FY 2024[6] - Adjusted EBITDA is expected to be between $149.4 million and $151.4 million, consistent with prior guidance of $148 to $151 million[6] Spin-off of Resolute Holdings - The Board approved a spin-off of Resolute Holdings, with a record date for shareholders set for February 20, 2025, and distribution expected on February 28, 2025[3] - Shareholders will receive one share of Resolute Holdings for every twelve shares of CompoSecure[3] - The spin-off is expected to be taxable for both CompoSecure and its shareholders[2] - "When-issued" trading for Resolute Holdings is expected to begin on February 20, 2025, under the ticker "RHLD"[11] Future Profitability of Resolute Holdings - Resolute Holdings anticipates limited profitability in FY 2025 as it builds out its operations and infrastructure[5] Share Repurchase Authorization - CompoSecure's share repurchase authorization has been increased from $40 million to $100 million[2] Financial Reporting Timeline - The financial information provided is preliminary and subject to finalization, with the audited results to be reported in late February or early March[8]

FY 2024 Net Sales up 8% to $420.6 million — In-Line with Preliminary Results on February 10, 2025 FY 2024 Cash Flow from Operations up 24% to $129.6 million and Free Cash Flow up 62% to $84.9 million Company Expects Mid-Single Digit Growth for 2025 Net Sales and Adjusted EBITDA Completed Spin-Off of Resolute Holdings on February 28, 2025 SOMERSET, N.J., March 05, 2025 (GLOBE NEWSWIRE) -- CompoSecure, Inc. (NASDAQ:CMPO), a leader in metal payment cards, security, and authentication solutions, today announced ...

Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find compa ...