[Financial Highlights](index=1&type=section&id=Financial%20Highlights) Ennis, Inc. reported a slight revenue decrease but improved profitability metrics, including gross profit margin, net earnings, and diluted EPS, for both the quarter and six-month period ended August 31, 2025 [Quarterly Performance Overview](index=1&type=section&id=Quarterly%20Performance%20Overview) For the quarter ended August 31, 2025, Ennis, Inc. reported a slight revenue decrease but significant improvements in gross profit margin, net earnings, and diluted EPS compared to the prior year's quarter | Metric | Q3 2025 (Millions) | Q3 2024 (Millions) | Change (Millions) | Change (%) | | :------------------- | :----------------- | :----------------- | :---------------- | :--------- | | Revenues | $98.7 | $99.0 | -$0.3 | -0.3% | | Gross Profits | $30.1 | $29.8 | +$0.3 | +1.0% | | Gross Profit Margin | 30.5% | 30.1% | +0.4 pts | | | Net Earnings | $13.2 | $10.3 | +$2.9 | +28.2% | | Diluted EPS | $0.51 | $0.40 | +$0.11 | +27.5% | [Six-Month Period Performance Overview](index=1&type=section&id=Six-Month%20Period%20Performance%20Overview) For the six-month period ended August 31, 2025, the Company experienced a revenue decline but improved gross profit margin, net earnings, and diluted EPS compared to the same period last year | Metric | 6M 2025 (Millions) | 6M 2024 (Millions) | Change (Millions) | Change (%) | | :------------------- | :----------------- | :----------------- | :---------------- | :--------- | | Revenues | $195.9 | $202.1 | -$6.2 | -3.1% | | Gross Profit Margin | 30.8% | 30.0% | +0.8 pts | | | Net Earnings | $23.0 | $21.0 | +$2.0 | +9.5% | | Diluted EPS | $0.89 | $0.80 | +$0.09 | +11.3% | [Management Commentary](index=1&type=section&id=Management%20Commentary) Management highlights improved gross margins and EBITDA, positive impacts from a legal settlement and acquisitions, and a strong debt-free balance sheet supporting share repurchases and future acquisitions [CEO's Review of Performance](index=1&type=section&id=CEO's%20Review%20of%20Performance) CEO Keith Walters noted that quarterly performance met expectations despite a sales volume decline, driven by improved gross margin and a significant increase in EBITDA. Results were positively impacted by a legal settlement and contributions from recent acquisitions - Sales volume declined, but gross margin improved to **30.5%** (up **40 basis points YoY**), though down **60 basis points QoQ**[3](index=3&type=chunk) EBITDA Performance | Metric | Q3 2025 (Millions) | Q2 2025 (Millions) | Q3 2024 (Millions) | | :----- | :----------------- | :----------------- | :----------------- | | EBITDA | $22.5 | $17.7 | $18.4 | | % of Sales | 22.8% | 18.2% | 18.6% | - A **$5.7 million** collection from a trade secret theft judgment positively impacted the quarter's results[3](index=3&type=chunk) - Recent acquisitions contributed approximately **$5.5 million** in revenues for the quarter and **$11.0 million** for the six-month period, positively impacting diluted EPS by **$0.03** for the quarter and **$0.06** for the six-month period, with Northeastern Envelope Company (NEC) and Printing Technologies, Inc. (PTI) delivering strong results[4](index=4&type=chunk) [Strategic Initiatives and Financial Position](index=3&type=section&id=Strategic%20Initiatives%20and%20Financial%20Position) The Company maintains a strong, debt-free balance sheet with sufficient cash reserves. Strategic inventory building for carbonless paper is complete, and cash flow is expected to strengthen. Ennis continues to repurchase shares and plans to pursue acquisitions without debt - The Company boasts a strong balance sheet with **no debt** and sufficient cash reserves, expecting cash flow to strengthen in coming quarters[6](index=6&type=chunk) - Strategically built additional inventory of carbonless paper following the closure of the only domestic producer, anticipating lower purchasing needs ahead[6](index=6&type=chunk) - Repurchased **456,671 shares** of common stock for **$8.5 million** year-to-date[6](index=6&type=chunk) - Financial position allows for debt-free operations and acquisitions, with access to credit for larger opportunities[6](index=6&type=chunk) [Non-GAAP Financial Measures](index=3&type=section&id=Non-GAAP%20Financial%20Measures) The Company presents EBITDA as a key non-GAAP measure, providing a reconciliation to net earnings to offer additional insights into operational performance [EBITDA Reconciliation](index=3&type=section&id=EBITDA%20Reconciliation) The Company provides EBITDA as a non-GAAP financial measure to offer supplemental information on financial and business trends, reconciling it to net earnings for both the three- and six-month periods - EBITDA is presented as a non-GAAP measure to provide supplemental information for assessing results of operations, calculated as net earnings before interest expense, tax expense, depreciation, and amortization[7](index=7&type=chunk)[8](index=8&type=chunk) EBITDA Reconciliation Table | Metric (in thousands) | Three months ended Aug 31, 2025 | Three months ended Aug 31, 2024 | Six months ended Aug 31, 2025 | Six months ended Aug 31, 2024 | | :-------------------- | :------------------------------ | :------------------------------ | :---------------------------- | :---------------------------- | | Net earnings | $13,155 | $10,308 | $22,953 | $20,995 | | Income tax expense | $4,989 | $3,909 | $8,706 | $7,963 | | Depreciation & amortization | $4,309 | $4,186 | $8,492 | $8,430 | | **EBITDA (non-GAAP)** | **$22,453** | **$18,403** | **$40,151** | **$37,388** | | % of sales | 22.8% | 18.6% | 20.5% | 18.5% | [Other Corporate News](index=3&type=section&id=Other%20Corporate%20News) The Board of Directors declared a quarterly cash dividend of 25.0 cents per share, payable in November 2025 [Quarterly Dividend Declaration](index=3&type=section&id=Quarterly%20Dividend%20Declaration) Ennis, Inc.'s Board of Directors declared a quarterly cash dividend of 25.0 cents per share - A quarterly cash dividend of **25.0 cents per share** was declared on September 19, 2025[11](index=11&type=chunk) - The dividend is payable on November 7, 2025, to shareholders of record on October 10, 2025[11](index=11&type=chunk) [Company Information](index=3&type=section&id=Company%20Information) Ennis, Inc. is a leading private-label printed business product supplier, providing a safe harbor statement for forward-looking information subject to various business risks [About Ennis, Inc.](index=3&type=section&id=About%20Ennis,%20Inc.) Ennis, Inc., founded in 1909 and headquartered in Midlothian, Texas, is a leading private-label printed business product supplier in the U.S., offering a wide range of custom printed products through a national distributor network - Founded in 1909, Ennis, Inc. is one of the largest private-label printed business product suppliers in the United States[12](index=12&type=chunk) - The Company manufactures and sells various products including business forms, integrated forms and labels, presentation products, advertising specialties, secure documents, specialty packaging, and envelopes[12](index=12&type=chunk) [Forward-Looking Statements (Safe Harbor)](index=5&type=section&id=Forward-Looking%20Statements%20(Safe%20Harbor)) This section provides a safe harbor statement under the Private Securities Litigation Reform Act of 1995, cautioning that forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from expectations - Forward-looking statements are identified by words like 'anticipate,' 'expect,' 'believe,' and 'intend,' and are subject to risks and uncertainties[13](index=13&type=chunk) - Key risks include erosion of demand due to digital technologies, risks related to acquisitions and integration, and variability in raw material prices (e.g., paper)[13](index=13&type=chunk) - The Company disclaims any duty to update or revise forward-looking statements after the release date[13](index=13&type=chunk) [Unaudited Condensed Consolidated Financial Information](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Financial%20Information) This section presents the unaudited condensed consolidated operating results, balance sheet, and cash flow information for the periods ended August 31, 2025 [Condensed Consolidated Operating Results](index=6&type=section&id=Condensed%20Consolidated%20Operating%20Results) The condensed consolidated operating results detail the Company's financial performance for the three and six months ended August 31, 2025, compared to the prior year, showing changes in sales, costs, and earnings Condensed Consolidated Operating Results (in thousands) | Metric (in thousands) | Three months ended Aug 31, 2025 | Three months ended Aug 31, 2024 | Six months ended Aug 31, 2025 | Six months ended Aug 31, 2024 | | :-------------------- | :------------------------------ | :------------------------------ | :---------------------------- | :---------------------------- | | Net sales | $98,676 | $99,038 | $195,872 | $202,146 | | Cost of goods sold | $68,574 | $69,259 | $135,541 | $141,463 | | Gross profit | $30,102 | $29,779 | $60,331 | $60,683 | | Selling, general and administrative | $17,719 | $16,557 | $34,665 | $33,727 | | Income from operations | $12,383 | $13,183 | $25,666 | $26,913 | | Net earnings | $13,155 | $10,308 | $22,953 | $20,995 | | Diluted EPS | $0.51 | $0.40 | $0.89 | $0.80 | [Condensed Consolidated Balance Sheet Information](index=6&type=section&id=Condensed%20Consolidated%20Balance%20Sheet%20Information) The balance sheet provides a snapshot of the Company's financial position as of August 31, 2025, compared to February 28, 2025, highlighting changes in assets, liabilities, and shareholders' equity Condensed Consolidated Balance Sheet (in thousands) | Metric (in thousands) | August 31, 2025 | February 28, 2025 | | :-------------------- | :-------------- | :---------------- | | Cash | $31,886 | $67,000 | | Accounts receivable, net | $42,157 | $38,753 | | Inventories, net | $62,078 | $38,797 | | Total Current Assets | $138,914 | $152,740 | | Goodwill and intangible assets, net | $147,551 | $127,619 | | Total Assets | $361,833 | $348,935 | | Total Current Liabilities | $41,154 | $33,304 | | Total Liabilities | $56,453 | $46,955 | | Shareholders' equity | $305,380 | $301,980 | [Condensed Consolidated Cash Flow Information](index=6&type=section&id=Condensed%20Consolidated%20Cash%20Flow%20Information) The cash flow statement outlines the sources and uses of cash for the six months ended August 31, 2025, showing a net decrease in cash primarily due to investing and financing activities Condensed Consolidated Cash Flow (in thousands) | Metric (in thousands) | Six months ended Aug 31, 2025 | Six months ended Aug 31, 2024 | | :-------------------- | :---------------------------- | :---------------------------- | | Cash provided by operating activities | $18,424 | $34,941 | | Cash provided by (used in) investing activities | ($31,954) | ($1,777) | | Cash used in financing activities | ($21,584) | ($14,784) | | Change in cash | ($35,114) | $18,380 | | Cash at end of period | $31,886 | $99,977 |

MIDLOTHIAN, Texas--(BUSINESS WIRE)--Ennis, Inc. (the "Company†), (NYSE: EBF), today reported financial results for the quarter ended August 31, 2025. Highlights include: Revenues were $98.7 million for the quarter compared to $99.0 million for the same quarter last year, a decrease of $0.3 million or -0.3%. Earnings per diluted share for the current quarter were $0.51 compared to $0.40 for the comparative quarter last year. Our gross profit margin for the quarter was 30.5% compared to 30.1% for. ...

Our most recent commentary on Ennis, Inc . (NYSE: EBF ) was in March this year when we reiterated our 'Hold' position in the US-based printing-related outfit. Despite some concerning technicals on the intermediate chart, which we will getIndividual investor with a keen interest in deriving income from investment setups. We do this by buying undervalued profitable stocks with strong balance sheets & minimal debt. Furthermore, when the opportunity arises, we like to write calls against our positions to bring ...

Financial Performance - Net sales for the quarter ended May 31, 2025, were $97.2 million, a decrease of $5.9 million or -5.7% compared to $103.1 million in the same quarter of the prior year[138]. - Income from operations for the quarter was $13.3 million, representing 13.7% of net sales, compared to $13.7 million or 13.3% in the prior year[137]. - Net earnings for the quarter were $9.8 million, or 10.1% of net sales, down from $10.7 million or 10.4% in the same quarter last year[137]. - Gross profit was $30.2 million, or 31.1% of revenue, for the quarter ended May 31, 2025, compared to $30.9 million, or 30.0% of revenue, for the same quarter in the prior year[139]. - Cash provided by operating activities was $7.96 million for the three months ended May 31, 2025, compared to $23.1 million for the same period in 2024[149]. - Working capital decreased by $29.2 million, or -24.4%, from $119.4 million at February 28, 2025, to $90.2 million at May 31, 2025[148]. - The effective income tax rate remained flat at 27.5% for the three months ended May 31, 2025, compared to the same period in 2024[144]. Sales and Revenue - Sales from legacy plants decreased by $11.4 million due to weaker volume demand, partially offset by an increase of approximately $5.5 million in revenues from recent acquisitions[138]. - The company acquired the net assets and business of NEC and ESS, which generated approximately $26.0 million in sales for the fiscal year ended December 31, 2024[127]. Cost Management - Cost of goods sold decreased by $5.2 million, or -7.2%, from $72.2 million to $67.0 million for the three months ended May 31, 2024, and 2025 respectively[139]. - Selling, general, and administrative expenses decreased by $0.3 million, or -1.7%, from $17.2 million to $16.9 million for the three months ended May 31, 2024, and 2025 respectively[140]. - The company continues to focus on managing product costs and maintaining margins amid competitive pressures and fluctuating raw material prices[130]. Industry Challenges - The printing industry is facing challenges such as product obsolescence and increased pricing due to supply chain disruptions[129]. Manufacturing and Operations - Approximately 96% of the business products manufactured are custom and semi-custom products, tailored to customer specifications[121]. - The company operates 57 manufacturing plants across 20 states in the U.S.[121]. Capital Expenditures - Capital expenditures for the three months ended May 31, 2025 were approximately $1.4 million, with expected capital requirements for the current fiscal year between $4.0 million and $7.0 million[156]. - Cash used in investing activities was $30.8 million for the three months ended May 31, 2025, compared to $5.1 million for the same period in 2024, primarily due to the acquisition of NEC and ESS for approximately $34.9 million[150].

Financial Performance - Revenues for the first quarter ended May 31, 2025, were $97.2 million, a decrease of $5.9 million or 5.7% compared to $103.1 million for the same quarter last year[1] - Net earnings for the quarter were $9.8 million, or $0.38 per diluted share, compared to $10.7 million, or $0.41 per diluted share for the same quarter last year[1] - EBITDA for the current quarter was $17.7 million, or 18.2% of sales, compared to $19.0 million, or 18.4% of sales for the same quarter last year[2] Profitability Metrics - Gross profit margin increased to 31.1% for the quarter, up from 30.0% for the same quarter last year[2] - Recent acquisitions generated approximately $5.5 million in revenues during the quarter and positively impacted diluted earnings per share by $0.035[3] Cash Flow and Capital Management - Cash provided by operating activities was $7.96 million, while cash used in investing activities was $(30.8) million for the quarter[15] - The company repurchased 260,560 shares of common stock at an average price of $19.00 per share, reducing cash balances to $32.0 million[5] Dividends and Financial Position - The company declared a quarterly cash dividend of $0.25 per share, payable on August 11, 2025[10] - The company maintains a strong financial position with no debt and anticipates timely access to credit for future acquisitions[5] Inventory and Supply Chain Management - The company is investing in additional inventory to mitigate supply disruptions from the closure of the sole U.S. mill producing carbonless paper[4]

Core Insights - The article emphasizes the importance of taking proactive steps towards career advancement by suggesting individuals start their own businesses instead of waiting for promotions that may not materialize [1]. Group 1 - The quote from Sallie Krawcheck encourages a shift in mindset from hoping for external validation to creating personal opportunities [1].

Company Operations and Acquisitions - Ennis, Inc. operates 56 manufacturing plants across 20 states in the U.S., primarily producing custom and semi-custom printed products, with approximately 94% of products tailored to customer specifications [18]. - The company acquired Printing Technologies, Inc. on June 26, 2024, which generated approximately $12.5 million in sales in the year prior to the acquisition, enhancing production capabilities [24]. - On October 11, 2023, Ennis acquired Eagle Graphics, Inc. and Diamond Graphics, Inc., which together generated approximately $8.7 million in sales in the previous year, strengthening production in the Northeast [25]. - The acquisition of UMC Print on June 2, 2023, added approximately $16.1 million in sales for 2022, expanding the distributor customer base and product offerings [26]. Financial Performance - Net sales for fiscal year 2025 were $394.6 million, a decrease of $25.5 million or -6.1% from $420.1 million in fiscal year 2024, primarily due to a $38.7 million decrease in volume demand [126]. - Cost of goods sold decreased by $17.4 million or -5.9% from $294.8 million in fiscal year 2024 to $277.3 million in fiscal year 2025, resulting in a gross profit margin of 29.7% [128]. - Selling, general and administrative expenses for fiscal year 2025 were $65.4 million, a decrease of $3.5 million or -5.0% from $68.8 million in fiscal year 2024 [130]. - Income from operations decreased by $4.5 million to $52.0 million or 13.2% of net sales in fiscal year 2025, compared to $56.5 million or 13.4% in fiscal year 2024 [133]. - Net earnings for fiscal year 2025 were $40.2 million, or $1.54 per diluted share, down from $42.6 million or $1.64 per diluted share in fiscal year 2024 [137]. Employee and Labor Relations - The company employs 1,856 individuals, with 157 represented by labor unions, maintaining a good relationship with employees and unions [42]. - Employee health benefits costs are significant and have risen, impacting financial results and cash flow [76]. - Labor shortages and rising labor-related costs could adversely impact the company's earnings [62]. Environmental and Sustainability Efforts - Ennis recycled 21.1 million pounds of paper and 1.1 million pounds of cardboard in fiscal year 2025, demonstrating commitment to environmental stewardship [35]. - The company’s primary paper supplier is certified by SFI, FSC, and PEFC, ensuring sustainable sourcing of raw materials [38]. Risks and Challenges - The company faces risks from global and local market conditions, which can adversely affect sales, margins, and net income [49]. - The company has a significant reliance on a limited number of suppliers for raw materials, which could impact operations if disruptions occur [54]. - The prices for paper and raw materials have been volatile, with significant fluctuations potentially impacting operating results [55]. - The company is monitoring changes in U.S. tariff and trade policies, which could lead to higher costs and impact demand from customers [65]. - The company is exposed to the risk of non-payment by customers, which could materially affect results of operations [68]. Cybersecurity and Technology - The company experienced a ransomware attack on November 30, 2022, which was eliminated, and systems were restored [74]. - The company has implemented additional security measures, including multifactor authentication and a robust firewall, to enhance network security [75]. - The company views cybersecurity as a shared responsibility and conducts annual risk assessments and penetration testing to maintain a robust cybersecurity program [80]. - The company has not identified any material risks from cybersecurity threats that have affected business operations or financial conditions during the fiscal year ended February 28, 2025 [81]. Shareholder Returns and Stock Performance - The company's common stock price fluctuated between $18.88 and $25.75 during the fiscal year ended February 28, 2025, with a trading volume of 7,439 thousand shares in the first quarter [98]. - A special dividend of $2.50 per share was paid in addition to the ordinary dividend of $0.25 per share during the third quarter of fiscal year 2025 [99]. - The company has authorized a stock repurchase program of up to $60.0 million, with $21.5 million remaining as of February 28, 2025 [101]. - Since the program's inception in October 2008, the company has repurchased 2,334,344 shares at an average price of $16.47 per share, with 91,883 shares repurchased in fiscal year 2025 at an average price of $19.79 [101]. Pension and Retirement Plans - As of February 28, 2025, the company's Pension Plan was 103% funded on a projected benefit obligation basis and 109% on an accumulated benefit obligation basis [57]. - Approximately 12% of the company's employees are covered by a noncontributory defined benefit retirement plan [57]. - The expected rate of return on pension plan assets was 5.50% as of February 28, 2025, down from 6.00% in the previous year [117]. - The discount rate for pension obligations was 5.15% for fiscal years 2024 and 2025, with a 10-basis point change impacting pension liability by approximately $0.5 million [118]. Inventory and Capital Expenditures - The allowance for excess and obsolete inventory was $1.8 million for fiscal year 2025, up from $1.7 million in fiscal year 2024 [124]. - The company intends to build a surplus of inventory as a buffer until transitioning to other sources of carbonless paper [150]. - The company anticipates capital expenditures for fiscal year 2025 to be between $4.0 million and $7.0 million, funded through existing cash flows [151]. Legal Matters - The company is involved in litigation matters but does not believe any current matter will materially affect its consolidated financial position or results of operations [93]. - The company has accrued a liability reserve of approximately $0.4 million related to a lawsuit concerning the lease of a facility [95].

Financial Performance - Revenues for the fourth quarter were $92.7 million, a decrease of 4.8% from $97.4 million in the same quarter last year[2] - Net earnings for the fourth quarter were $9.0 million, or $0.35 per diluted share, compared to $10.1 million, or $0.39 per diluted share in the same quarter last year[2][6] - For the fiscal year, revenues were $394.6 million, down 6.1% from $420.1 million in the previous fiscal year[3] - Net earnings for the fiscal year were $40.2 million, or $1.54 per diluted share, compared to $42.6 million, or $1.64 per diluted share in the previous fiscal year[3][6] Profitability - Gross profit for the fourth quarter was $27.4 million, representing a gross profit margin of 29.5%, up from 28.4% in the prior year quarter[2][4] - Gross profits for the fiscal year totaled $117.3 million, with a gross profit margin of 29.7%, slightly down from 29.8% in the prior fiscal year[3][6] - EBITDA for the fourth quarter was $16.5 million, or 17.8% of sales, compared to $18.1 million, or 18.6% of sales in the same quarter last year[4][12] Shareholder Returns - The company returned $92.0 million to shareholders in dividends, including a special dividend of $2.50 per share[8] Financial Position - The company maintains a strong financial position with $72.5 million in cash and short-term investments and no debt[8] Acquisitions - Recent acquisitions generated approximately $2.5 million in revenues for the quarter and $13.2 million for the year[5]

Financial Performance - Net sales for the three months ended November 30, 2024, were $99,771,000, a decrease of 4.0% compared to $104,621,000 for the same period in 2023[133] - Net earnings for the three months ended November 30, 2024, were $10,204,000, representing a 3.0% increase from $9,906,000 in the prior year[133] - The company reported earnings before income taxes of $14,075,000 for the three months ended November 30, 2024, compared to $13,816,000 in the same period of 2023[133] - Net sales for the quarter ended November 30, 2024, were $99.8 million, a decrease of $4.8 million or -4.6% compared to $104.6 million for the same quarter in the prior year[134] - Net earnings for the quarter were $10.2 million, an increase from $9.9 million in the comparable quarter of the prior year, with after-tax earnings per diluted share at $0.39 compared to $0.38 last year[141][143] - For the nine months ended November 30, 2024, net sales were $301.9 million, a decrease of $20.8 million or -6.4% compared to $322.7 million for the same period last year[144] Profitability Metrics - Gross profit margin for the three months ended November 30, 2024, was 29.3%, slightly up from 29.2% in the same period of 2023[133] - Cost of goods sold for the three months ended November 30, 2024, was $70,522,000, which is 70.7% of net sales, compared to 70.8% in the same period of 2023[133] - Gross profit for the quarter was $29.2 million, representing a gross profit margin of 29.3%, which is a slight increase from 29.2% in the same quarter last year[135] - Gross profit margin for the nine-month period was 29.8%, down from 30.3% in the prior year, reflecting continued pressure from soft market conditions[145] Expenses - Selling, general and administrative expenses for the three months ended November 30, 2024, were $16,341,000, a decrease from $17,410,000 in the same period of 2023[133] - Selling, general, and administrative (SG&A) expenses decreased to $16.3 million, or 16.4% of net sales, down from $17.4 million or 16.6% in the prior year[136] - Income from operations for the quarter was $13.0 million, or 13.1% of net sales, remaining relatively flat compared to $13.1 million, or 12.5% of net sales, for the same quarter last year[138] Cash Flow and Working Capital - Net cash provided by operating activities was $53.1 million for the nine months ended November 30, 2024, compared to $52.5 million in the prior year[155] - Working capital decreased by $47.5 million or -28.3% to $120.1 million due to a special dividend of $65.0 million paid to shareholders during the nine months ended November 30, 2024[154] Debt and Financial Structure - As of November 30, 2024, the company had no outstanding debt, indicating a current lack of leverage in its financial structure[166] - The company is exposed to interest rate risk on both short-term and long-term financial instruments with variable interest rates, which may impact future borrowing costs[166] - The company may utilize interest rate swaps in the future to manage overall borrowing costs and mitigate adverse fluctuations in interest rates[166] Market Conditions and Strategic Initiatives - The company aims to transform its product offerings to adapt to digital business environments and is exploring new market opportunities through acquisitions[124] - The company faces challenges from increased pricing and supply chain disruptions, impacting operational results and margins[125] - The company continues to maintain a majority of its historical business despite ongoing consolidation among its distributor customers[126] - The market risk discussion includes forward-looking statements, suggesting potential variability in actual results based on market conditions[167]

Financial Performance - Revenues for the quarter ended November 30, 2024, were $99.8 million, a decrease of $4.8 million or -4.6% compared to the same quarter last year[2] - Net earnings for the quarter were $10.2 million, or $0.39 per diluted share, compared to $9.9 million, or $0.38 per diluted share for the same quarter last year[13] - Gross profit margin for the quarter was 29.3%, an increase from 29.2% in the same quarter last year[14] - For the nine-month period ended November 30, 2024, revenues were $301.9 million, a decrease of $20.8 million or -6.4% compared to the same period last year[7] - EBITDA for the three months ended November 30, 2024, was $18.3 million, compared to $18.2 million for the same quarter last year[5] - Net sales for the three months ended November 30, 2024, were $99,771 million, a decrease of 1.3% from $104,621 million in the same period last year[21] - Gross profit for the nine months ended November 30, 2024, was $89,932 million, down 8.0% from $97,671 million year-over-year[21] - Net earnings for the three months ended November 30, 2024, were $10,204 million, compared to $9,906 million in the prior year, reflecting a 3.0% increase[21] - Earnings per share (diluted) for the three months ended November 30, 2024, was $0.39, up from $0.38 in the same quarter last year[21] Shareholder Returns - The company returned $72.3 million to shareholders in dividends during the quarter, including a special dividend of $2.50 per share[8] - The Board of Directors declared a quarterly cash dividend of $0.25 per share, payable on February 6, 2025[17] Cost Management - Selling, general and administrative costs were reduced by $1.1 million compared to the same quarter last year[14] Cash Flow and Assets - Cash provided by operating activities for the nine months ended November 30, 2024, was $53,097 million, an increase from $52,500 million year-over-year[21] - Total current assets decreased to $152,415 million from $201,382 million as of February 29, 2024[21] - Cash at the end of the period was $55,704 million, down from $83,902 million at the end of the previous year[21] - The company’s total assets decreased to $346,055 million from $399,190 million year-over-year[21] Liabilities and Financial Position - Total liabilities decreased to $48,359 million from $49,349 million year-over-year[21] - The company maintains a strong balance sheet with no debt and significant cash reserves, allowing for continued operations and potential acquisitions[8] Business Acquisitions - The company acquired a business in late June, contributing $3.3 million in revenues and $0.02 in diluted earnings per share for the third quarter[3] Asset Disposal - The company reported a loss from the disposal of assets of $(138) million for the three months ended November 30, 2024, compared to a gain of $1 million in the same period last year[21]