Financial Performance - Net sales for the year ended December 28, 2024, increased to 272.75million,upfrom258.86 million in 2023, representing a growth of approximately 5.3%[194] - Gross margin improved to 67.27millionin2024,comparedto61.77 million in 2023, reflecting an increase of about 8.1%[194] - Operating profit rose to 20.15millionin2024,upfrom17.03 million in 2023, marking an increase of approximately 18.5%[194] - Net income from continuing operations for 2024 was 13.22million,comparedto11.78 million in 2023, an increase of about 12.2%[196] - The company reported a net loss of 8.53millionfor2024,comparedtoanetincomeof8.59 million in 2023, indicating a significant decline[196] Assets and Liabilities - Total assets decreased to 235.31millionin2024from252.04 million in 2023, a reduction of approximately 6.6%[195] - Current liabilities increased to 44.79millionin2024,comparedto42.73 million in 2023, reflecting a rise of about 4.8%[192] - The company’s retained earnings decreased to 133.55millionin2024from144.81 million in 2023, a decline of about 7.8%[192] - Total liabilities included a treasury stock purchase of 3,057,841in2024,comparedto735,783 in 2023[202] Cash Flow - Cash and cash equivalents rose to 14.01millionin2024,upfrom8.05 million in 2023, representing an increase of approximately 74.1%[191] - Cash provided by operating activities decreased to 19,386,050in2024from25,543,857 in 2023, reflecting a decline of approximately 24%[202] - Total net cash used in investing activities increased to 7,888,050in2024from4,641,379 in 2023, indicating a rise of approximately 70%[202] Discontinued Operations - The company experienced a loss from discontinued operations amounting to 21,744,741in2024,significantlyhigherthanthelossof3,195,349 in 2023[213]. - The company reported a gross margin of 2,154,915fromdiscontinuedoperationsin2024,downfrom3,180,838 in 2023[213]. - Total assets of discontinued operations decreased from 27,468,838inDecember30,2023to5,071,828 in December 28, 2024, reflecting a significant reduction[214] Goodwill and Impairments - The company recognized a goodwill impairment of approximately 12.1millioninthethirdquarterof2024relatedtodiscontinuedoperations[232]−TheCompanyreportedagoodwillimpairmentchargeof12.1 million in 2024, reducing the ending balance of goodwill to 58.5million[259]PensionandRetirementPlans−ThenetperiodicbenefitcostfortheCompany′spensionbenefitplansdecreasedto1,492,140 in 2024 from 2,000,223in2023,representingareductionofapproximately25.475,916,060 in 2024 from 81,862,011in2023,adeclineofabout7.359,311,220, down from 60,836,643in2023,indicatingadecreaseofapproximately2.50.44 for both 2024 and 2023[196] - The Company granted 92,016 stock awards in 2024, up from 82,800 in 2023, showing an increase in employee incentives[269] - Regular matching contributions increased to 1,068,843in2024from990,993 in 2023, representing an increase of approximately 7.8%[313] Segment Performance - Net sales for the Engineered Solutions segment rose to 272,751,967in2024,upfrom258,857,380 in 2023, reflecting an increase of approximately 5.4%[316] - Gross margin improved to 67,267,160in2024comparedto61,772,306 in 2023, indicating a growth of about 8.1%[317] - Operating profit increased to 20,149,004in2024from17,033,224 in 2023, marking a rise of approximately 18.5%[317] Taxation - Total income taxes paid were 5,166,195in2024,downfrom6,608,084 in 2023[278] - The provision for income taxes for 2024 was (306,136),reflectinga42,406,940 and 22% in 2023[277] Future Plans - The Eastern Company plans to pursue acquisitions in industries outside its current operations if attractive opportunities arise[203] - The Company expects to make cash contributions of approximately $2,900,000 to its qualified pension plans in 2025[299]
