Core Viewpoint - Phibro Animal Health (PAHC) has a diversified product portfolio and strong presence in key growth areas, leading to a positive outlook for the stock, currently rated Zacks Rank 2 (Buy) [1] Factors Driving PAHC's Growth - Key products such as Medicated Feed Additives (MFAs) and nutritional specialty products enhance animal nutrition, with leading products like Stafac/V-Max/Eskalin approved in over 30 countries for poultry and swine [2] - Nutritional products like OmniGen-AF and Animate are increasingly utilized in the global dairy industry, while the company also manufactures vaccines for viral and bacterial diseases [2] - Phibro is focused on expanding its companion animal business and pipeline, which are significant growth areas for the company in the short and medium term [2] Recent Developments - In the fiscal fourth quarter, Phibro entered a purchase and sale agreement with Zoetis to acquire its MFA product portfolio and related assets, expected to complete in the initial phase of fiscal 2025 [3] Global Presence and Revenue Contribution - Phibro operates in over 80 countries, with a significant presence in high-growth regions such as Brazil, China, India, and Southeast Asia, allowing it to capitalize on global growth opportunities [4] - By the end of fiscal 2024, operations outside the U.S. contributed approximately 42.5% of total revenues, with forecasts indicating a 10% sales improvement in Latin America and Canada for fiscal 2026 [5] Stock Performance - The stock has increased by 63.4% over the past year, outperforming the industry average rise of 18.4%, driven by strategic expansion through innovation and acquisitions [6] Challenges Faced - The Mineral Nutrition business has encountered challenges due to adverse commodity price movements, resulting in flat growth year over year for fiscal 2024 [7] - Performance Products sales decreased by 10% year over year in fiscal 2024 due to reduced demand for personal care product ingredients and industrial chemicals, with projected declines of 4.9% and 6% in Nutritional Specialty and Performance Products for fiscal 2025, respectively [7]

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Investors interested in Medical - Products stocks are likely familiar with Phibro Animal Health (PAHC) and Abbott (ABT) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look. Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The proven Zacks Rank emphasizes companies with positive estimate r ...

Zacks Premium and Style Scores - Zacks Premium offers daily updates of Zacks Rank and Zacks Industry Rank, full access to Zacks 1 Rank List, Equity Research reports, and Premium stock screens to help investors make informed decisions [1] - Zacks Style Scores rate stocks based on value, growth, and momentum characteristics, assigning ratings from A to F, with A being the best [2][3] - The Style Scores are divided into four categories: Value Score, Growth Score, Momentum Score, and VGM Score, which combines all three styles [3][4][5] - Zacks Rank, a proprietary stock-rating model, uses earnings estimate revisions to help investors build successful portfolios, with 1 (Strong Buy) stocks averaging a +25.41% annual return since 1988 [6][7] - Combining Zacks Rank 1 or 2 with Style Scores of A or B increases the likelihood of stock success [8][9] Phibro Animal Health (PAHC) - Phibro Animal Health Corporation is a global diversified animal health and mineral nutrition company, offering nearly 770 product lines in over 80 countries to approximately 4,000 customers [10] - PAHC holds a Zacks Rank of 2 (Buy) with a VGM Score of A and a Momentum Style Score of B, with shares up 18.4% over the past four weeks [11] - For fiscal 2025, two analysts revised their earnings estimates upwards in the last 60 days, increasing the Zacks Consensus Estimate by $0.04 to $1.46 per share, with an average earnings surprise of 4.1% [11] - PAHC is recommended for investors due to its strong Zacks Rank and top-tier Momentum and VGM Style Scores [12]

Core Insights - Phibro Animal Health's international operations are crucial for understanding its financial resilience and growth potential, especially given its extensive global presence [1][2][3] Financial Performance - For the quarter ending June 2024, Phibro reported total revenue of $273.16 million, marking a 7.1% year-over-year increase [4] - Latin America and Canada contributed $70.17 million, accounting for 25.7% of total revenue, with a surprising increase of 14.64% compared to expectations [5] - Europe, Middle East, and Africa generated $32.41 million, representing 11.9% of total revenue, but fell short of expectations by 5.12% [6] - Asia Pacific contributed $16.91 million, making up 6.2% of total revenue, also missing the consensus estimate by 11.08% [7] Future Revenue Expectations - Analysts anticipate total revenue of $292.95 million for the current fiscal quarter, reflecting a 26.7% increase year-over-year, with expected contributions from various regions [8] - For the full year, total revenue is projected at $1.44 billion, indicating a 41.6% increase from the previous year, with specific revenue expectations from different regions [9] Strategic Considerations - The reliance on international markets presents both opportunities and challenges for Phibro, necessitating close monitoring of revenue trends to project future performance accurately [10][11]

Financial Performance - Q4 FY24 (Year-on-Year) - Consolidated net sales increased by 7% to $273.2 million[10] - Consolidated net income decreased significantly by 93% to $0.8 million[10] - Consolidated adjusted EBITDA increased by 3% to $33.4 million[10] - Animal Health sales increased by 8% to $191.5 million, with MFAs & other up 12%, vaccines up 14%, but nutritional specialties down 4%[15] Financial Performance - Full Year FY24 (Year-on-Year) - Consolidated net sales increased by 4% to $1,017.7 million[12] - Consolidated net income decreased significantly by 93% to $2.4 million[12] - Consolidated adjusted EBITDA decreased by 1% to $111.2 million[12] - Animal Health sales increased by 7% to $706.5 million, with vaccines up 21%, MFAs & other up 9%, but nutritional specialties down 5%[18] Acquisition and Guidance - The company is acquiring Zoetis' MFA and certain water-soluble products business for $350 million[7] - The company expects net sales of $1.040 billion to $1.090 billion and adjusted EBITDA of $118 million to $126 million for FY2025[7] Capitalization - Free cash flow was $46 million for the trailing twelve months[26] - Gross leverage ratio is 4.4x, with $489 million total debt / $111 million TTM adjusted EBITDA[26]

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Phibro Animal Health (PAHC) delivered adjusted earnings per share (EPS) of 41 cents in the fourth quarter of fiscal 2024, up 7.9% from the year-ago quarter's level. The bottom line beat the Zacks Consensus Estimate by 20.6%. Without adjustments, the GAAP EPS in the quarter was 2 cents, down 92.9% from the year-ago quarter's figure. PAHC reported full-year adjusted EPS of $1.19, reflecting a 1.7% decline from fiscal 2023. The figure beat the Zacks Consensus Estimate by 6.25%. PAHC's Net Sales In the quarter ...

Core Insights - Phibro Animal Health (PAHC) reported a revenue of $273.16 million for the quarter ended June 2024, marking a year-over-year increase of 7.1% and exceeding the Zacks Consensus Estimate by 4.09% [1] - The earnings per share (EPS) for the same period was $0.41, up from $0.38 a year ago, representing a surprise of 20.59% over the consensus estimate of $0.34 [1] Revenue Performance by Region - **Latin America and Canada**: Reported net sales of $70.17 million, exceeding the estimated $61.21 million, reflecting a year-over-year increase of 17.1% [3] - **Europe, Middle East and Africa**: Reported net sales of $32.41 million, slightly below the estimated $34.16 million, with a year-over-year change of 0.3% [4] - **United States**: Reported net sales of $153.68 million, surpassing the estimated $148.06 million, with a year-over-year increase of 5.9% [5] - **Asia Pacific**: Reported net sales of $16.91 million, below the estimated $19.02 million, representing a year-over-year decline of 5% [6] Segment Performance - **Animal Health**: Net sales reached $191.50 million, exceeding the estimated $182.82 million, with a year-over-year increase of 8.3% [7] - **Mineral Nutrition**: Reported net sales of $62.10 million, surpassing the estimated $60.62 million, reflecting a year-over-year increase of 6.3% [8] - **Animal Health - Vaccines**: Net sales of $32 million, exceeding the estimated $29.54 million, with a year-over-year increase of 14.3% [9] - **Animal Health - MFAs and other**: Reported net sales of $116.70 million, surpassing the estimated $107.92 million, reflecting a year-over-year increase of 12% [9] - **Animal Health - Nutritional specialties**: Reported net sales of $42.80 million, below the estimated $45.36 million, representing a year-over-year decline of 4% [10] - **Performance Products**: Reported net sales of $19.60 million, slightly above the estimated $19.01 million, with a year-over-year decline of 1.5% [11] Financial Metrics - **Adjusted EBITDA - Animal Health**: Reported at $41.30 million, exceeding the estimated $39.73 million [12] - **Adjusted EBITDA - Corporate**: Reported at -$16.30 million, worse than the estimated -$15.22 million [13] Stock Performance - Phibro's shares have returned +14.6% over the past month, outperforming the Zacks S&P 500 composite's +3.2% change, with a current Zacks Rank of 2 (Buy) indicating potential for further outperformance [13]

Phibro Animal Health (PAHC) came out with quarterly earnings of $0.41 per share, beating the Zacks Consensus Estimate of $0.34 per share. This compares to earnings of $0.38 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 20.59%. A quarter ago, it was expected that this maker of animal health products and nutritional supplements would post earnings of $0.29 per share when it actually produced earnings of $0.31, delivering a su ...