Northern Technologies International (NTIC) - 2025 Q1 - Quarterly Results

Net Sales Performance - Consolidated net sales increased 5.7% to a first quarter record of $21,338,000[6] - ZERUST® industrial net sales increased 0.4% to$ 13,962,000[6] - ZERUST® oil and gas net sales increased 0.7% to $1,514,000[6] - Natur-Tec® product net sales increased 22.8% to a quarterly record of$ 5,863,000[6] - NTIC China net sales increased 8.6% to $3,995,000[6] - Net sales for the three months ended November 30, 2024, were$ 21,338,393, compared to $20,181,675 in the same period in 2023, representing a 5.7% increase[21] Gross Profit and Margins - Gross profit, as a percent of net sales, increased 200 basis points to 38.3%[6] - Gross profit for the three months ended November 30, 2024, was$ 8,162,953, up from $7,334,274 in the same period in 2023, reflecting an 11.3% increase[21] Operating Expenses and Investments - Operating expenses increased 14.0% to$ 9,470,000, primarily due to investments in ZERUST® oil and gas sales infrastructure[3][6] - Research and development expenses for the three months ended November 30, 2024, were $1,343,397, up from$ 1,105,921 in the same period in 2023, a 21.5% increase[21] Net Income and Profitability - Net income attributable to NTIC decreased to $561,000, compared to$ 896,000[6] - Net income attributable to NTIC for the three months ended November 30, 2024, was $561,091, compared to$ 895,521 in the same period in 2023, a decrease of 37.3%[21] - Non-GAAP adjusted net income for the three months ended November 30, 2024, was $666,874, compared to$ 1,001,304 in the same period in 2023, a decrease of 33.4%[25] Joint Venture Performance - Joint venture operating income increased 2.7% to $2,414,000[7] - Total joint venture operations income for the three months ended November 30, 2024, was$ 2,413,712, up from $2,351,199 in the same period in 2023, a 2.7% increase[21] Balance Sheet and Financial Position - NTIC's consolidated balance sheet remains strong with working capital of$ 22,183,000 as of November 30, 2024[10] - Total current assets as of November 30, 2024, were $40,302,350, down from$ 41,579,219 as of August 31, 2024, a decrease of 3.1%[19] - Total liabilities as of November 30, 2024, were $19,730,606, compared to$ 19,501,181 as of August 31, 2024, an increase of 1.2%[19] - Total equity as of November 30, 2024, was $74,307,049, compared to$ 75,175,321 as of August 31, 2024, a decrease of 1.2%[19] Dividends - Cash dividends declared per common share for the three months ended November 30, 2024, were $0.07, consistent with the same period in 2023[21]