Financial Performance - Net sales for Q3 2024 were 205.1million,anincreaseof3.7197.8 million in Q3 2023[2] - Net income for Q3 2024 was (10.9)million,comparedto12.7 million in the prior-year period, impacted by a 22.0millionnon−cashgoodwillimpairmentcharge[2]−AdjustedEBITDAforQ32024was30.7 million, up 19.8% from 25.6millioninQ32023[2]−MaterialHandlingsegmentnetsalesincreasedby13.8150.7 million, while operating income decreased significantly to 0.9million[7][8]−Distributionsegmentnetsalesdecreasedby16.854.4 million, with operating income dropping to 2.1million[9][10]−NetsalesforthequarterendedSeptember30,2024,were205,067 thousand, a 3.2% increase from 197,798thousandforthesameperiodin2023[20]−Grossprofitforthequarterwas65,130 thousand, compared to 62,379thousandintheprioryear,reflectingagrossmarginimprovement[20]−Operatinglossforthequarterwas(4,764) thousand, a significant decline from operating income of 18,703thousandinthesamequarterlastyear[20]−Netlossforthequarterwas(10,878) thousand, compared to net income of 12,747thousandintheprioryear[20]−AdjustedoperatingincomeforQ32024was20,539,000, compared to 20,039,000inQ32023,reflectingayear−over−yearincreaseof2.530,735,000, up from 25,648,000inQ32023,representinga19.510,149,000, compared to 18,058,000inQ32023,indicatingadecreaseof43.810,878,000, contrasting with a profit of 12,747,000inQ32023[28]−AdjustednetincomeforQ32024was9,212,000, down from 13,875,000inQ32023,adeclineof33.515 million in annualized cost savings by 2025, on top of the original target of 7millionto9 million[3] - Selling, general and administrative expenses increased to 47,686thousandfrom43,698 thousand, reflecting higher operational costs[20] - The company incurred restructuring expenses and other adjustments totaling 1,211thousandduringthequarter[23]−Restructuringexpensesandotheradjustmentstotaled2,033,000 in Q3 2024, compared to 1,359,000inQ32023[27]DebtandCashFlow−Cashflowprovidedbyoperationswas17.3 million, down from 22.1millioninQ32023,withfreecashflowat10.1 million compared to 18.1million[11]−TotaldebtasofSeptember30,2024,was396.2 million, with a net leverage ratio of 2.7x[11] - Long-term debt rose significantly to 367,854thousandfrom31,989 thousand at the end of 2023, reflecting increased leverage[21] - Current liabilities decreased to 153,332thousandfrom165,107 thousand, showing improved short-term financial health[21] - Cash flows from operating activities showed a net cash outflow of 16,301thousandforthequarter,comparedtoaninflowof787 thousand in the previous year[22] - Ending cash balance as of September 30, 2024, was 29,710thousand,anincreasefrom24,768 thousand at the end of September 2023[22] Impairment and Asset Management - The company reported impairment charges of 22,016thousandforthequarter,indicatingpotentialassetwrite−downs[20]−ImpairmentchargesforQ32024amountedto22,016,000, with no corresponding charges in Q3 2023[27] - The company reported impairment charges of 22,016thousandduringthequarter[23]GuidanceandProjections−Full−yearadjustedearningspershareguidancehasbeenrevisedtoarangeof0.92 to 1.02,downfrompreviousguidanceof1.05 to $1.20[12] - The adjusted effective income tax rate for 2024 is projected at 26%[29]
Myers Industries(MYE)2024-11-04 21:05