Acme United(US:ACU)2025-03-06 21:54Financial Performance - In 2024, net sales increased by $2,989,044, or 2%, to $194,489,991 compared to $191,500,947 in 2023, with a 6% increase when excluding the impact of certain product lines sold[135] - Gross profit was $76,350,824, representing 39.3% of net sales in 2024, up from $72,210,235 or 37.7% in 2023, primarily due to productivity improvements[139] - Operating income rose by $951,325 to $14,139,942 in 2024, with a significant increase in the U.S. segment offset by a decrease in the European segment[141] Expenses - Selling, general and administrative expenses increased by $3,189,264, or 5.4%, to $62,210,882 in 2024, accounting for 32.0% of net sales compared to 30.8% in 2023[140] - Net interest expense decreased by $1,034,521 to $1,942,643 in 2024 due to a lower average debt outstanding[143] - Income tax expense was $2,270,058 in 2024, with an effective tax rate of 18%, down from 22% in 2023, influenced by a higher proportion of earnings in lower tax jurisdictions[145] Other Income and Gains - Total other income, net was $95,110 in 2024, a significant decrease from $12,523,151 in 2023, primarily due to a prior gain on the sale of business assets[144] - The company sold the assets of its Camillus Cutlery and Cuda business lines for $19.8 million, resulting in a gain of approximately $12.6 million recorded in 2023[152] Acquisitions and Working Capital - The company acquired the assets of Elite First Aid, Inc. for approximately $7.1 million on May 23, 2024[151] - Working capital increased by approximately $6.6 million during 2024, with inventory turnover remaining stable at 2.1[147]