Standex(US:SXI)2024-10-29 11:22Revenue Performance - Sales declined 7.7% YoY to $170.5M, with acquisitions partially offsetting organic decline[1][2] - Net sales for Q3 2024 were $170.464 million, a decrease of 7.8% compared to $184.774 million in Q3 2023[27] - Net sales for Q3 2024 were $170.464 million, down 7.7% from $184.774 million in Q3 2023[31] - Electronics segment revenue decreased 4.8% YoY to $77.7M, with organic decline of 13.7%[6][8] - Engraving segment revenue decreased 18.2% YoY to $33.4M, primarily due to delays in new platform rollouts[11] - Engineering Technologies segment revenue increased 12.7% YoY to $20.5M, driven by space end market growth[13] - Specialty Solutions segment revenue decreased 18.3% YoY to $21.1M, reflecting softness in Display Merchandising and Hydraulics businesses[14] - Electronics segment net sales for Q3 2024 were $77.733 million, down from $81.688 million in Q3 2023[30] - Engraving segment net sales for Q3 2024 were $33.363 million, a decrease from $40.794 million in Q3 2023[30] Profitability and Margins - Record GAAP and adjusted gross margin of 41.1%, up 240 bps sequentially and 160 bps YoY[1] - Gross profit for Q3 2024 was $70.073 million, down 3.5% from $72.635 million in Q3 2023[27] - Net income from continuing operations for Q3 2024 was $18.188 million, a slight decrease from $18.892 million in Q3 2023[27] - Net income for Q3 2024 was $18.197 million, a slight decrease from $18.814 million in Q3 2023[29] - Adjusted income from operations for Q3 2024 was $27.025 million, a decrease of 8.0% from $29.390 million in Q3 2023[31] - Adjusted EBITDA for Q3 2024 was $34.114 million, down 4.2% from $35.626 million in Q3 2023[31] - Adjusted diluted earnings per share from continuing operations for Q3 2024 was $1.71, down 1.7% from $1.74 in Q3 2023[32] Cash Flow and Financial Position - Free cash flow decreased 10.3% YoY to $10.8M, with capital expenditures of $6.7M in Q1 2025[2][17] - Free cash flow from continuing operations for Q3 2024 was $10.822 million, compared to $12.069 million in Q3 2023[31] - Cash and cash equivalents increased to $164.584 million as of September 30, 2024, up from $154.203 million as of June 30, 2024[28] - Cash and cash equivalents at the end of Q3 2024 were $164.584 million, compared to $126.830 million at the end of Q3 2023[29] - Net debt position improved to ($15.6)M, with long-term debt of $149.0M and cash equivalents of $164.6M[19] - Long-term debt remained relatively stable at $148.985 million as of September 30, 2024, compared to $148.876 million as of June 30, 2024[28] - Total assets grew to $1.037882 billion as of September 30, 2024, from $1.005057 billion as of June 30, 2024[28] - Retained earnings increased to $1.100924 billion as of September 30, 2024, up from $1.086277 billion as of June 30, 2024[28] - Capital expenditures for Q3 2024 were $6.725 million, up from $4.338 million in Q3 2023[31] Acquisitions and Growth Expectations - Acquired Amran Instrument Transformers & Narayan Powertech, expected to be immediately accretive to revenue growth, margins, and EPS[1][4] - Company expects significantly higher revenue in Q2 2025, driven by Amran/Narayan acquisition and fast growth end markets[5][10] Business Segments and Operations - Standex operates in five business segments: Electronics, Engraving, Scientific, Engineering Technologies, and Specialty Solutions across multiple countries[25] Non-GAAP Financial Measures - The company uses non-GAAP financial measures including adjusted EBITDA and free operating cash flow to provide additional insights into core financial performance[24]