Perhaps even better evidence of a long-term bottom can be found in the eash EBITDA and sales ratios vs. enterprise value. EV to trailing EBITDA stats over the past 30 YCharts - Motorcar Parts of America, EV to EBITDA, Since 1994, Recessions Shaded Then, when we compare/contrast Motorcar Parts of America's EBITDA valuation to pears and competitors in the auto parts industry, the stock really stands out as a bargain. The 2.1x estimate is far below the industry median average of 5.5x (60% discount actually), a ...

Financial Performance - Consolidated net sales for the three months ended December 31, 2023 were $171,862,000, an increase of $20,043,000 or 13.2% from $151,819,000 in the same period of 2022[115] - Gross profit for the three months ended December 31, 2023 was $30,043,000, representing 17.5% of net sales, compared to $20,993,000 or 13.8% in the prior year[116] - Consolidated operating income for the three months ended December 31, 2023 was $9,524,000, an increase of $5,998,000 or 170.1% from $3,526,000 in the same period of 2022[123] - Consolidated net sales for the nine months ended December 31, 2023 were $528,206,000, an increase of $39,859,000 or 8.2% from $488,347,000 in the same period of 2022[130] - Gross profit for the nine months ended December 31, 2023 was $97,758,000, or 18.5% of net sales, compared to $77,811,000 or 15.9% in the prior year[131] - Consolidated operating income for the nine months ended December 31, 2023, was $33,902,000, an increase of $21,189,000, or 166.7%, from $12,713,000 in the same period of 2022[138] Expenses - Interest expense for the three months ended December 31, 2023 was $18,297,000, an increase of $6,826,000 or 59.5% from $11,471,000 in the same period of 2022[124] - General and administrative expenses for the three months ended December 31, 2023 were $15,198,000, an increase of $1,599,000 or 11.8% from $13,599,000 in the same period of 2022[119] - General and administrative expenses increased by $46,000, or 0.1%, to $42,125,000, primarily due to increased employee incentives and professional services[133] - Sales and marketing expenses decreased by $204,000, or 1.2%, to $17,038,000, attributed to cost-cutting measures[135] - Research and development expenses remained consistent at $2,539,000 for the three months ended December 31, 2023 compared to $2,547,000 in the same period of 2022[121] - Research and development expenses decreased by $978,000, or 11.7%, to $7,352,000, mainly due to headcount reduction and expense cuts[136] - Interest expense rose by $17,725,000, or 64.0%, to $45,400,000, driven by higher interest rates and increased utilization of accounts receivable discount programs[139] Cash Flow and Liquidity - Cash flow provided by operations for the three months ended December 31, 2023 was $53,615,000, compared to cash used in operations of $(4,474,000) in the same period of 2022[114] - Net cash provided by operating activities was $48,445,000, a significant improvement from net cash used of $21,428,000 in the prior year[147] - The company had working capital of $154,815,000 and a current ratio of 1.4:1.0 as of December 31, 2023[144] - The company launched a supplier finance program during the three months ended December 31, 2023, aimed at improving cash flow and liquidity[170] Financing Activities - The company repaid $43,325,000 under its credit facility, contributing to a net cash used in financing activities of $47,646,000[149] - The company has $268,620,000 in senior secured financing, with $115,000,000 outstanding under the revolving facility as of December 31, 2023[150][154] - The company issued $32,000,000 in convertible notes due in 2029, with an interest rate of 10.0% per annum[157] Derivative Liabilities and Market Risk - The fair value of the Compound Net Derivative Liability was recorded as a liability of $13,500,000 at December 31, 2023, compared to $10,400,000 at March 31, 2023[160] - The company recorded a change in fair value of the Compound Net Derivative Liability of $1,160,000 for the three months ended December 31, 2023[160] - There have been no material changes in market risk since the last annual report filed on June 14, 2023[174] Accounts Receivable - Accounts receivable discounted amounted to $465,073,000 for the nine months ended December 31, 2023, up from $428,868,000 in the same period of 2022[163] - The annualized weighted average discount rate increased to 6.8% for the nine months ended December 31, 2023, compared to 5.0% in 2022[163] - Interest expense recognized from accounts receivable discount programs was $29,395,000 for the nine months ended December 31, 2023, compared to $19,131,000 in 2022[163] Capital Expenditures - Capital expenditures totaled $559,000 for the nine months ended December 31, 2023, a decrease from $3,632,000 in the same period of 2022[164] - The company expects to incur approximately $1,500,000 in capital expenditures during fiscal 2024 to support operations[164] Rent Expense - Rent expense for the related party lease was $81,000 for the three months ended December 31, 2023[165] Finished Goods Turnover - Finished goods turnover (annualized) for the three months ended December 31, 2023 was 3.6, up from 3.1 in the same period of 2022[114]

Financial Performance - Consolidated net sales for the three months ended September 30, 2023, were $196,639,000, an increase of $24,096,000, or 14.0%, compared to $172,543,000 for the same period in 2022[103] - Gross profit for the three months ended September 30, 2023, was $41,148,000, representing 20.9% of net sales, up from $26,516,000, or 15.4%, for the same period in 2022[104] - Operating income for the three months ended September 30, 2023, was $13,937,000, an increase of $12,085,000, or 652.5%, from $1,852,000 for the same period in 2022[110] - Consolidated net sales for the six months ended September 30, 2023, were $356,344,000, an increase of $19,816,000, or 5.9%, compared to $336,528,000 for the same period in 2022[117] - Gross profit for the six months ended September 30, 2023, was $67,715,000, or 19.0% of net sales, compared to $56,818,000, or 16.9%, for the same period in 2022[118] - Consolidated operating income increased by $15,191,000, or 165.4%, to $24,378,000 for the six months ended September 30, 2023, compared to $9,187,000 for the same period in 2022[124] Expenses - Interest expense for the three months ended September 30, 2023, was $15,383,000, an increase of $6,100,000, or 65.7%, from $9,283,000 for the same period in 2022[111] - General and administrative expenses for the three months ended September 30, 2023, were $14,325,000, a decrease of $521,000, or 3.5%, from $14,846,000 for the same period in 2022[106] - Research and development expenses for the three months ended September 30, 2023, were $2,438,000, a decrease of $232,000, or 8.7%, from $2,670,000 for the same period in 2022[108] - General and administrative expenses decreased by $1,553,000, or 5.5%, to $26,927,000 for the six months ended September 30, 2023, compared to $28,480,000 for the same period in 2022[120] - Sales and marketing expenses decreased by $501,000, or 4.3%, to $11,107,000 for the six months ended September 30, 2023, compared to $11,608,000 for the same period in 2022[121] - Research and development expenses decreased by $970,000, or 16.8%, to $4,813,000 for the six months ended September 30, 2023, compared to $5,783,000 for the same period in 2022[122] - Interest expense increased by $10,899,000, or 67.3%, to $27,103,000 for the six months ended September 30, 2023, compared to $16,204,000 for the same period in 2022[125] Cash Flow and Working Capital - Cash flow provided by operations for the three months ended September 30, 2023, was $15,300,000, a significant improvement from cash used in operations of $(15,972,000) for the same period in 2022[102] - Net cash used in operating activities was $5,170,000 for the six months ended September 30, 2023, an improvement from $16,954,000 for the same period in 2022[133] - Working capital increased to $163,243,000 at September 30, 2023, compared to $154,886,000 at March 31, 2023, with a current ratio of 1.4:1.0[129] Debt and Liabilities - The company had $32,000,000 of convertible notes outstanding, bearing interest at 10% per year, maturing on March 30, 2029[130] - The company repaid the remaining outstanding balance of its term loans and recorded a loss on extinguishment of debt of $168,000 during the six months ended September 30, 2023[127] - The fair value of the compound net derivative liability was recorded as a liability of $11,300,000 at September 30, 2023[143] Receivables and Discounts - Receivables discounted for the six months ended September 30, 2023, were $255,303,000, down from $283,359,000 in 2022, indicating a decrease of approximately 9.9%[146] - The annualized weighted average discount rate increased to 6.6% in 2023 from 4.4% in 2022, reflecting a rise of 50%[146] - The amount of discount recognized as interest expense rose to $15,940,000 for the six months ended September 30, 2023, compared to $11,293,000 in 2022, an increase of approximately 41.5%[146] Capital Expenditures - Total capital expenditures for the six months ended September 30, 2023, were $315,000, significantly lower than $2,792,000 in 2022, representing a decrease of approximately 88.7%[148] - The company expects to incur approximately $4,000,000 in capital expenditures during fiscal 2024 to support operations[148] Other Information - Rent expense for a related party lease was $81,000 for the three months ended September 30, 2023, and $162,000 for the six months, indicating a consistent expense structure[149] - There have been no material changes to critical accounting policies since the last annual report filed on June 14, 2023[151] - No material changes in market risk have been reported since the last annual report filed on June 14, 2023[152]

Financial Performance - Net sales for the three months ended June 30, 2023, were $159,705,000, a decrease of $4,280,000, or 2.6%, from $163,985,000 in the same period of 2022[106] - Gross profit for the three months ended June 30, 2023, was $26,567,000, representing 16.6% of net sales, down from $30,302,000, or 18.5% of net sales, in 2022[107] - Consolidated operating income increased to $10,441,000 for the three months ended June 30, 2023, an increase of $3,106,000, or 42.3%, from $7,335,000 in the same period of 2022[113] Expenses - Interest expense for the three months ended June 30, 2023, was $11,720,000, an increase of $4,799,000, or 69.3%, from $6,921,000 in 2022, primarily due to higher interest rates[115] - General and administrative expenses decreased to $12,602,000 for the three months ended June 30, 2023, down 7.6% from $13,634,000 in 2022[109] - Research and development expenses decreased to $2,375,000 for the three months ended June 30, 2023, a decrease of 23.7% from $3,113,000 in 2022[111] Cash Flow and Working Capital - Cash flows used in operating activities were $20,470,000 for the three months ended June 30, 2023, compared to $982,000 in 2022, reflecting higher accounts receivable balances[123] - The company reported a working capital of $153,726,000 with a current ratio of 1.4:1.0 as of June 30, 2023[118] Debt and Financing - The company had $32,000,000 of convertible notes outstanding, bearing interest at 10% per year, maturing on March 30, 2029[119] - The company has a $268,620,000 senior secured financing, which includes a $238,620,000 revolving loan facility and a $30,000,000 term loan facility, maturing on May 28, 2026[126] - As of June 30, 2023, the company had $167,000,000 outstanding under the Revolving Facility, with $65,250,000 available after contractual adjustments[130] - The company repaid the outstanding balance of its Term Loans on August 3, 2023, and wrote off the remaining unamortized financing fees[127] - The company issued $32,000,000 in convertible notes due in 2029, with an interest rate of 10.0% per annum, and an initial conversion price of approximately $15.00 per share[131] Receivables and Discounts - Receivables discounted for the three months ended June 30, 2023, amounted to $104,332,000, with an annualized weighted average discount rate of 6.4%[138] - Interest expense recognized from receivable discount programs was $6,252,000 for the three months ended June 30, 2023[138] Capital Expenditures - Total capital expenditures for the three months ended June 30, 2023, were $64,000, with an expectation of approximately $5,000,000 for fiscal 2024[139] Related Party Transactions - The rent expense recorded for a related party lease was $81,000 for the three months ended June 30, 2023[140] Derivative Liabilities - The fair value of the Compound Net Derivative Liability was recorded as $10,800,000 at June 30, 2023[134] Compliance - The company was in compliance with all amended financial covenants as of June 30, 2023[129]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended March 31, 2023 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 No. 001-33861 MOTORCAR PARTS OF AMERICA, INC. (Exact name of registrant as specified in its charter) New York 11-2153962 (State o ...

Financial Data and Key Metrics Changes - Net sales for Q4 2023 increased by 18.8% to a record $194.7 million from $163.9 million in the prior year, driven by increased product demand and price increases [9][76] - Gross profit for Q4 2023 rose by 40.3% to $36.2 million compared to $25.8 million a year earlier, with gross margin as a percentage of net sales improving to 18.6% from 15.7% [9][10] - Net income for Q4 2023 was $1.5 million or $0.07 per diluted share, compared to a net loss of $322,000 or $0.02 per share in the year-ago period [31][56] - Fiscal 2023 total interest expense was approximately 5.8% of net sales, expected to rise to about 7% in fiscal 2024 [32][78] Business Line Data and Key Metrics Changes - The company experienced significant traction in fiscal 2023 with brake-related product lines, on track to exceed the goal of $300 million in annual sales over several years [7] - Operating expenses decreased by $8.6 million to $12.4 million in Q4 2023, reflecting cost-reduction initiatives and a non-cash gain [30] Market Data and Key Metrics Changes - The company is positioned to address both internal combustion engine and electric vehicle markets, with strong demand for aftermarket parts expected to persist [8] - The company is expanding sales in Mexico, capitalizing on increased demand for aftermarket parts [7] Company Strategy and Development Direction - The company expects sales for fiscal 2024 to be between $720 million and $740 million, representing a year-over-year growth of 5.4% to 8.3% [24] - Strategic initiatives include enhancing profitability and cash flow through cost-reduction measures and operational efficiencies [53][84] - The company is focused on maturing existing product lines and leveraging new facilities for greater operating efficiencies [47] Management's Comments on Operating Environment and Future Outlook - Management noted that high-interest rates continue to impact profitability, but progress has been made in addressing these challenges with customers [5] - The outlook for product demand is positive, supported by favorable industry dynamics and an aging vehicle fleet [71][76] - Management expressed confidence in achieving EBITDA improvement in fiscal 2024 as the full benefit of price increases and higher sales volumes are realized [14][85] Other Important Information - The company incurred $7.8 million in higher interest expenses in Q4 2023, primarily due to increased market interest rates [53][78] - The company reported a net loss for fiscal 2023 of $4.2 million, impacted by non-cash and cash items related to supply chain disruptions [56] Q&A Session Summary Question: What product lines are still impacted by supply chain issues? - Management acknowledged that while the supply chain is improving, there are still challenges related to tariffs and shipping delays affecting certain product lines [40][41] Question: Can you discuss the price increases implemented in Q4 and plans for fiscal 2024? - Management indicated that price increases were implemented across the board, with expectations of over $20 million in recognized price increases for fiscal 2024 [44] Question: What changes are anticipated in the company's operations over the next few years? - Management highlighted a focus on maturing existing product lines and leveraging new facilities for operational efficiencies, aiming for significant revenue growth [47][67]

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 QUARTERLY PERIOD ENDED DECEMBER 31, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO Commission File No. 001-33861 MOTORCAR PARTS OF AMERICA, INC. (Exact name of registrant as specified in its charter) New York 11-2153962 (State or other jurisdiction ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q Commission File No. 001-33861 MOTORCAR PARTS OF AMERICA, INC. (Exact name of registrant as specified in its charter) New York 11-2153962 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 2929 California Street, Torrance, California 90503 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (310) 212-7910 ☑ QUARTERLY REPORT PURS ...

Motorcar Parts of America, Inc. (NASDAQ:MPAA) Q1 2023 Results Conference Call August 9, 2022 1:00 PM ET Company Participants Gary Maier - VP, Corporate Communications and Investor Relations Selwyn Joffe - Chairman, President & Chief Executive Officer David Lee - Chief Financial Officer Conference Call Participants Brian Nagel - Oppenheimer Matt Koranda - ROTH Capital Bill Dezellem - Tieton Capital Operator Hello. My name is Chris, and I'll be your conference operator today. At this time, I'd like to welcome ...

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 QUARTERLY PERIOD ENDED JUNE 30, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO Commission File No. 001-33861 MOTORCAR PARTS OF AMERICA, INC. (Exact name of registrant as specified in its charter) New York 11-2153962 (State or other jurisdiction of i ...