Core Insights - VOXX International Corporation is exploring strategic alternatives to maximize shareholder value, including potential sales or operational improvements [1][2] - A strategic transactions committee has been established, with Solomon Partners as the financial advisor and Bryan Cave Leighton Paisner LLP as the legal advisor [2] - There is no assurance that this process will lead to a specific transaction, and no timetable has been set for its completion [3] Company Overview - VOXX International Corporation is a leader in the Automotive Electronics and Consumer Electronics industries, with a portfolio of approximately 30 trusted brands [4] - The company has established market-leading positions in in-vehicle entertainment, automotive security, and premium audio segments [4] - VOXX has a global distribution network that includes power retailers, mass merchandisers, and leading automotive manufacturers [4]

Company Leadership Changes - Ari M. Shalam has been elected as the new Chairman of the Board of Directors of VOXX International Corporation, succeeding John J. Shalam, who becomes Chairman Emeritus after nearly 65 years with the company [1][2] - Beat Kahli will continue to serve as Vice Chairman, ensuring continuity in corporate governance and Board oversight [2] Company Strategy and Operations - The new Chairman emphasized the company's commitment to transforming operations, simplifying business offerings, and improving operational and financial positions [2] - The recent sale of some domestic accessories assets is part of the ongoing restructuring efforts aimed at returning VOXX to profitability [2] Company Overview - VOXX International Corporation is a leading manufacturer and distributor in the Automotive Electronics and Consumer Electronics industries, with a portfolio of approximately 35 trusted brands [3] - The company has established market-leading positions in various segments, including in-vehicle entertainment and automotive security, supported by an extensive distribution network [3]

Net sales declined by 18.1%, gross margins improved by 310 basis points, operating expenses declined by 16.6%; Adjusted EBITDA Loss of $2.9 million improved by $2.1 million year-over-year amidst restructuring program to streamline sales, lower costs and working capital needs and return the Company to profitability Fiscal 2025 and Fiscal 2024 First Quarter Comparisons • Automotive Electronics segment net sales in the Fiscal 2025 first quarter were $27.7 million as compared to $38.4 million in the comparable ...

VOXX International Corporation (NASDAQ:VOXX) Earnings Conference Call July 11, 2024 10:00 AM ET Company Participants Glenn Wiener - President of GW Communications Patrick Lavelle - CEO Loriann Shelton - CFO and COO Conference Call Participants Operator Good day, and thank you for standing by. Welcome to the VOXX International Fiscal 2025 First Quarter Results Conference Call. At this time all participants are in a listen-only mode. After the speakers presentation, there will be a question-and-answer session ...

PART I FINANCIAL INFORMATION [Financial Statements](index=4&type=section&id=Item%201%20FINANCIAL%20STATEMENTS) The unaudited financial statements report a quarterly net loss of $9.3 million on net sales of $91.7 million, with a decrease in total assets Consolidated Balance Sheet Summary (in thousands) | Account | May 31, 2024 (unaudited) | February 29, 2024 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $4,160 | $10,986 | | Inventory | $116,230 | $128,471 | | Total current assets | $207,399 | $235,868 | | Total assets | $412,202 | $444,006 | | **Liabilities & Equity** | | | | Total current liabilities | $86,226 | $96,983 | | Total liabilities | $158,814 | $187,706 | | Total stockholders' equity | $252,436 | $255,393 | Consolidated Statement of Operations Summary (in thousands) | Account | Three months ended May 31, 2024 | Three months ended May 31, 2023 | | :--- | :--- | :--- | | Net sales | $91,661 | $111,926 | | Gross profit | $25,409 | $27,580 | | Operating loss | $(7,113) | $(11,409) | | Net loss attributable to VOXX | $(9,269) | $(10,738) | | Loss per share - diluted | $(0.40) | $(0.45) | Consolidated Statement of Cash Flows Summary (in thousands) | Activity | Three months ended May 31, 2024 | Three months ended May 31, 2023 | | :--- | :--- | :--- | | Net cash (used in) provided by operating activities | $(2,083) | $5,253 | | Net cash used in investing activities | $(648) | $(784) | | Net cash used in financing activities | $(5,839) | $(6,695) | | Net decrease in cash and cash equivalents | $(6,826) | $(899) | - On March 1, 2024, the Company's subsidiary, EyeLock LLC, contributed assets to a newly formed joint venture, BioCenturion LLC, to operate the biometrics business and now accounts for this investment using the equity method[61](index=61&type=chunk)[116](index=116&type=chunk)[150](index=150&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=50&type=section&id=Item%202%20MANAGEMENT'S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) Net sales declined 18.1% year-over-year, but gross margin improved and operating expenses were reduced, leading to a smaller Adjusted EBITDA loss [Results of Operations](index=55&type=section&id=Results%20of%20Operations) Quarterly net sales fell by $20.3 million, driven by declines in both Automotive and Consumer segments, though improved margins partially offset the impact Net Sales by Segment (in thousands) | Segment | Q1 FY2025 (ended May 31, 2024) | Q1 FY2024 (ended May 31, 2023) | $ Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Automotive Electronics | $27,685 | $38,412 | $(10,727) | (27.9)% | | Consumer Electronics | $63,918 | $73,330 | $(9,412) | (12.8)% | | Biometrics | $8 | $100 | $(92) | (92.0)% | | **Total net sales** | **$91,661** | **$111,926** | **$(20,265)** | **(18.1)%** | - The decline in Automotive Electronics sales was primarily driven by an **$8.8 million drop in OEM rear-seat entertainment products**, while Consumer Electronics sales fell mainly due to a **$5.6 million decline in domestic wireless accessory speakers**[155](index=155&type=chunk)[156](index=156&type=chunk) Gross Profit and Margin by Segment (in thousands) | Segment | Q1 FY2025 Gross Profit | Q1 FY2025 Margin % | Q1 FY2024 Gross Profit | Q1 FY2024 Margin % | | :--- | :--- | :--- | :--- | :--- | | Automotive Electronics | $6,418 | 23.2% | $8,070 | 21.0% | | Consumer Electronics | $18,934 | 29.6% | $18,718 | 25.5% | | **Total** | **$25,409** | **27.7%** | **$27,580** | **24.6%** | - Gross margin in the Automotive segment **increased by 220 basis points** due to cost savings from relocating manufacturing, while Consumer Electronics margin **increased by 410 basis points** from a better product mix[160](index=160&type=chunk)[161](index=161&type=chunk) - Total operating expenses **decreased by $6.5 million (16.6%)** year-over-year, reflecting successful cost-cutting measures including headcount reductions and lower professional fees[163](index=163&type=chunk)[165](index=165&type=chunk) [EBITDA and Adjusted EBITDA](index=60&type=section&id=EBITDA%20and%20Adjusted%20EBITDA) The company reported an Adjusted EBITDA loss of $2.9 million, an improvement from the $4.9 million loss in the prior-year period Reconciliation to Adjusted EBITDA (in thousands) | Line Item | Three months ended May 31, 2024 | Three months ended May 31, 2023 | | :--- | :--- | :--- | | Net loss attributable to VOXX | $(9,269) | $(10,738) | | Interest, D&A, Taxes | $4,057 | $2,126 | | **EBITDA** | **$(5,212)** | **$(7,612)** | | Stock-based compensation | $146 | $258 | | Loss on contribution of assets to JV | $252 | - | | Foreign currency losses | $1,849 | $962 | | Restructuring expenses | $231 | $59 | | Other adjustments | $(123) | $1,389 | | **Adjusted EBITDA** | **$(2,857)** | **$(4,944)** | [Liquidity and Capital Resources](index=61&type=section&id=Liquidity%20and%20Capital%20Resources) The company's liquidity is supported by $121.2 million in working capital and $44.3 million available for borrowing under its credit facility - **Working capital stood at $121.2 million** as of May 31, 2024, compared to $138.9 million at February 29, 2024, with cash and cash equivalents decreasing to $4.2 million[181](index=181&type=chunk) - **Cash used in operating activities was $2.1 million** for the quarter, a reversal from the $5.3 million in cash provided by operations in the prior-year period[182](index=182&type=chunk) - The company has a senior secured credit facility with committed availability of up to $165.0 million, with **$44.3 million available** under the revolving credit line as of May 31, 2024[186](index=186&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=67&type=section&id=Item%203%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) The company is exposed to market risks from foreign currency exchange rates and interest rate fluctuations on its variable-rate debt - A uniform **10% strengthening of the U.S. dollar** would have decreased sales by approximately $2.1 million for the three months ended May 31, 2024[201](index=201&type=chunk) - The company is exposed to interest rate risk on its variable-rate Credit Facility, which had an **outstanding balance of $59.5 million** at May 31, 2024[204](index=204&type=chunk) - An interest rate swap agreement is in place for the Florida Mortgage, **locking the interest rate at 3.43%** through its maturity in March 2026[204](index=204&type=chunk) [Controls and Procedures](index=67&type=section&id=Item%204%20CONTROLS%20AND%20PROCEDURES) Management concluded that the company's disclosure controls and procedures were effective, with no material changes in internal controls during the quarter - The Chief Executive Officer and Chief Financial Officer concluded that the company's **disclosure controls and procedures are effective** as of May 31, 2024[206](index=206&type=chunk) - **No material changes** in internal control over financial reporting occurred during the three months ended May 31, 2024[207](index=207&type=chunk) PART II OTHER INFORMATION [Legal Proceedings](index=69&type=section&id=Item%201%20LEGAL%20PROCEEDINGS) The company is involved in routine legal proceedings incidental to the ordinary course of business, with further details in financial statement notes - For information on legal proceedings, the report refers to Note 24 of the Unaudited Consolidated Financial Statements and Note 15 of the fiscal year 2024 Form 10-K[208](index=208&type=chunk) [Risk Factors](index=69&type=section&id=Item%201A%20RISK%20FACTORS) There have been no material changes from the risk factors previously disclosed in the company's most recent annual report on Form 10-K - **No material changes** to risk factors were disclosed compared to the Form 10-K for the fiscal year ended February 29, 2024[209](index=209&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=69&type=section&id=Item%202%20UNREGISTERED%20SALES%20OF%20EQUITY%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) The company repurchased 64,142 shares of its Class A Common Stock during the quarter, with 816,911 shares remaining authorized for repurchase Issuer Purchases of Equity Securities | Period | Total Shares Purchased | Average Price Paid Per Share | Shares Remaining for Repurchase | | :--- | :--- | :--- | :--- | | May 1 - May 31, 2024 | 64,142 | $3.81 | 816,911 | [Exhibits](index=70&type=section&id=Item%206%20EXHIBITS) This section lists all exhibits filed with the Form 10-Q, including officer certifications and the interactive data file for financial statements - Exhibits filed include **certifications from the Principal Executive Officer and Principal Financial Officer** as required by the Sarbanes-Oxley Act[211](index=211&type=chunk) - The financial statements and notes are formatted in **Inline eXtensible Business Reporting Language (iXBRL)** as part of the filing[211](index=211&type=chunk)[212](index=212&type=chunk)

Financial Performance - Net sales for Fiscal 2024 fourth quarter were $108.1 million, a decrease of $28.4 million or 20.8% compared to $136.5 million in the same period of Fiscal 2023[4] - For the twelve-month period, net sales were $468.9 million, a decrease of $65.1 million or 12.2% from $534.0 million in Fiscal 2023[13] - Net sales for the fiscal year ended February 29, 2024, were $468.9 million, a decrease of 12.2% from $534.0 million in 2023[37] - For the three months ended February 29, 2024, net sales were $108.1 million, a decline of 20.8% from $136.5 million in the same period of 2023[39] Segment Performance - Automotive Electronics segment net sales decreased by $16.9 million or 34.1% to $32.6 million, while Consumer Electronics segment net sales decreased by $11.4 million or 13.2% to $75.2 million in the fourth quarter[5] Profitability - Gross margin in the Fiscal 2024 fourth quarter was 19.9%, down 550 basis points from 25.4% in the prior year, primarily due to higher inventory provisions[6] - The company reported an operating loss of $26.4 million in the fourth quarter of Fiscal 2024, compared to an operating loss of $12.9 million in the same quarter of Fiscal 2023[9] - The company reported a total long-term debt of $71.9 million as of February 29, 2024, up from $37.5 million a year earlier[22] - The company reported a net loss attributable to VOXX International Corporation in the fourth quarter was $21.0 million, compared to a net loss of $18.1 million in the same period of Fiscal 2023[11] - The net loss attributable to VOXX International Corporation for the fiscal year 2024 was $40.9 million, compared to a net loss of $27.5 million in 2023, representing a 48.9% increase in losses[37] - The company reported a net loss per common share of $1.74 for the fiscal year 2024, compared to a loss of $1.13 per share in 2023[37] Expenses - Total operating expenses for Fiscal 2024 were $158.1 million, a decrease of $3.5 million or 2.2% from $161.6 million in Fiscal 2023[15] - Total operating expenses for the fiscal year 2024 were $158.1 million, slightly down from $161.6 million in 2023[37] - The company incurred intangible asset impairment charges of $14.2 million in Fiscal 2024, compared to $1.3 million in Fiscal 2023[18] - The company incurred intangible asset impairment charges of $14.2 million in the fiscal year 2024, compared to $1.3 million in 2023[41] Cash and Debt - As of February 29, 2024, the company had cash and cash equivalents of $11.0 million, an increase from $6.1 million as of February 28, 2023[22] - Total debt increased to $73.3 million as of February 29, 2024, compared to $39.2 million a year earlier, primarily due to a $34.8 million increase in outstanding debt on the Domestic Credit Facility[22] - The company has sufficient working capital and availability to fund its business and meet all obligations following the settlement payment[23] Corporate Developments - The company settled a claim with Seaguard for $42.0 million, with an initial payment of $10 million made on December 27, 2023, and a final payment of $32.0 million on January 10, 2024[23] - The joint venture BioCenturion LLC was formed on March 1, 2024, with EyeLock LLC contributing selected assets and liabilities, while GalvanEyes will manage day-to-day operations[24][25] Future Outlook - The company is focused on launching new products and automotive programs in the second half of the year to improve margins and combat market softness[3] - The company will host its conference call and webcast on May 15, 2024, at 10:00 a.m. ET[26] Shareholder Information - The weighted-average common shares outstanding (basic) decreased to 23,428,473 in fiscal year 2024 from 24,325,938 in 2023[37]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended February 29, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM Commission file number 0-28839 VOXX INTERNATIONAL CORPORATION (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of 13-19 ...

Financial Data and Key Metrics Changes - Net sales decreased by approximately 5.4% in Q3 2024, with operating income remaining flat at $2.3 million compared to the prior year [9][32] - Gross margins improved by 90 basis points, while operating expenses decreased by over 2% [9][32] - Net income attributable to VOXX was $1.9 million, down by approximately $5.5 million due to a prior year tax benefit [33] Business Line Data and Key Metrics Changes - Consumer segment sales increased by over 6% in Q3, driven by Premium Audio products [10] - Automotive segment sales declined by 26%, primarily due to the impact of the UAW strike [21][23] - Other CE products saw sales growth of approximately 21% year-to-date, with hearing aids contributing positively [19] Market Data and Key Metrics Changes - Premium Audio sales in North America grew, while APAC sales declined due to market challenges [11] - Industry-wide speaker sales were down approximately 17%, but VOXX's decline was only 9% [12] - Automotive segment sales for the year are down about 12.5%, with expectations of normalization post-strike [26] Company Strategy and Development Direction - The company is focusing on protecting and growing sales, improving gross margins, and lowering expenses [8] - New product launches, especially in the Consumer segment, are expected to drive future growth [31] - The company anticipates significant opportunities for value creation through awarded programs in the Automotive segment [26] Management's Comments on Operating Environment and Future Outlook - The global economy remains challenging, with expectations of a softening market in the near term [30] - Management is optimistic about new product launches helping to offset economic softness [31] - The company is closely managing costs and inventory to navigate the current economic conditions [40] Other Important Information - The company reported a settlement agreement with Seaguard, involving a total payment of $42 million [48] - Cash and cash equivalents increased to $10.4 million, with a focus on managing working capital [44][46] Q&A Session Summary - There were no questions from participants during the Q&A session [49]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended November 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number: 0-28839 VOXX International Corporation (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or organizati ...

VOXX International Corporation (NASDAQ:VOXX) Q2 2024 Earnings Conference Call October 11, 2023 10:00 AM ET Company Participants Glenn Wiener - Investor Relations, GW Communications Pat Lavelle - Chief Executive Officer Michael Stoehr - Senior Vice President and Chief Financial Officer Conference Call Participants Tom Forte - D.A. Davidson Operator Good day, and thank you for standing by. Welcome to VOXX Fiscal 2024 Second Quarter Results Conference Call. At this time, all participants are in a listen-only m ...