Escalade(ESCA) - 2024 Q4 - Annual Results

Financial Performance - Net sales for Q4 2024 decreased by 2.4% to $63.9 million compared to Q4 2023[3] - Operating income decreased by 9.0% to $4.5 million in Q4 2024[8] - EBITDA for Q4 2024 totaled $5.9 million, a decrease of 7.6% from $6.4 million in Q4 2023[5] - Net income for Q4 2024 was $2.7 million, or $0.19 per diluted share, compared to $2.9 million, or $0.21 per diluted share in Q4 2023[3] - Net income for Q4 2024 was $2,700,000, down from $2,864,000 in Q4 2023, representing a decrease of about 5.7%[25] - EBITDA (Non-GAAP) for the full year 2024 increased to $26,119,000 from $23,513,000 in 2023, reflecting a growth of approximately 11%[25] Cash Flow and Debt Management - Cash flow from operations in Q4 2024 was $12.3 million, down from $20.6 million in the prior year[5] - The company reduced its debt by $3.9 million during Q4 2024, resulting in a net debt to trailing twelve month EBITDA ratio of 0.8x[6] - Long-term debt significantly decreased from $43,753,000 in 2023 to $18,452,000 in 2024, a reduction of approximately 57.8%[22] - Cash and cash equivalents rose sharply from $16,000 in 2023 to $4,194,000 in 2024, a significant increase[22] Inventory and Assets - Total inventories were reduced by 18% over the last year, with further improvements anticipated in 2025[10] - Total assets decreased from $253,005,000 in 2023 to $226,330,000 in 2024, a decline of approximately 10.6%[22] - Current liabilities rose to $34,495,000 in 2024 from $33,264,000 in 2023, an increase of about 3.7%[22] - Trade accounts payable increased from $9,797,000 in 2023 to $11,858,000 in 2024, an increase of approximately 20.9%[22] Equity and Earnings - Retained earnings increased from $160,099,000 in 2023 to $164,779,000 in 2024, showing a growth of about 2.1%[22] - The total stockholders' equity increased from $164,579,000 in 2023 to $168,997,000 in 2024, reflecting a growth of approximately 2.5%[22] Dividends and Future Plans - A quarterly dividend of $0.15 per share was declared, payable on April 14, 2025[9] - The company plans to prioritize investments in new product development to support growth amid soft consumer demand[10] Cost Management - Gross margin improved by 61 basis points to 24.9% in Q4 2024, driven by lower manufacturing and logistics costs[4] - The company reported a depreciation and amortization expense of $6,041,000 for the full year 2024, compared to $5,671,000 in 2023, an increase of about 6.5%[25]