Systemax(US:GIC)2024-07-30 20:47Financial Performance - Consolidated sales increased 6.8% to $347.8 million compared to $325.8 million last year[5] - Year-to-date sales increased 11.9% to $671.2 million compared to $599.6 million last year[6] - Average daily sales increased by 1.8% on an organic basis in the second quarter[7] - Operating income from continuing operations decreased 9.3% to $26.4 million compared to $29.1 million last year[5] - Operating income for the first six months decreased 6.6% to $43.8 million compared to $46.9 million last year[6] - Net income from continuing operations for the six months ended June 30, 2024, was $33.3 million, a decrease of 4.3% compared to $34.8 million for the same period in 2023[15] - Net income per diluted share from continuing operations decreased 7.1% to $0.52 compared to $0.56 last year[5] Cash Flow and Investments - Net cash provided by operating activities from continuing operations decreased to $25.0 million for the six months ended June 30, 2024, down from $65.5 million in the prior year, a decline of 61.8%[15] - The company reported a net cash used in investing activities of $2.2 million for the six months ended June 30, 2024, compared to $73.7 million in the prior year, indicating a significant reduction in investment outflows[15] Assets and Liabilities - Total assets rose to $542.5 million as of June 30, 2024, compared to $513.4 million at the end of 2023, marking an increase of 5.9%[13] - Total current assets increased to $366.9 million as of June 30, 2024, up from $329.8 million on December 31, 2023, representing an increase of 11.9%[13] - Total current liabilities increased to $195.8 million as of June 30, 2024, up from $174.2 million on December 31, 2023, reflecting a rise of 12.8%[13] - Cash and cash equivalents at the end of the period were $38.8 million, a decrease from $44.9 million at the end of 2023, representing a decline of 13.6%[15] Shareholder Returns - The Board declared a cash dividend of $0.25 per share, payable on August 19, 2024[7] - Dividends paid increased to $19.2 million in the first half of 2024, compared to $15.3 million in the same period of 2023, an increase of 25.5%[15] Working Capital - The company had total working capital of $171.1 million and cash and cash equivalents of $38.8 million as of June 30, 2024[7] - The company experienced a change in working capital of $(14.5) million for the six months ended June 30, 2024, compared to a positive change of $25.4 million in the prior year[15] Strategic Initiatives - The company continues to invest in key growth initiatives to strengthen its competitive position and enhance revenue growth[7] - Gross margin improved to 35.2% from 34.7% in the prior year, with an adjusted gross margin of 36.8% excluding Indoff[5] - Shareholders' equity rose to $270.4 million as of June 30, 2024, up from $255.2 million at the end of 2023, reflecting a growth of 5.8%[13]