Hillman Solutions (US:HLMN)2025-04-29 11:33Financial Performance - Net sales increased by 2.6% to $359.3 million compared to $350.3 million in the prior year quarter[6] - Net loss totaled $(0.3) million, or $(0.00) per diluted share, compared to $(1.5) million, or $(0.01) per diluted share, in the prior year quarter[6] - Adjusted EBITDA increased to $54.5 million compared to $52.3 million in the prior year quarter[6] - Net loss for the thirteen weeks ended March 29, 2025, was $317,000, a significant improvement from a net loss of $1,492,000 for the same period in 2024, representing a reduction of approximately 78.8%[20] - Adjusted EBITDA for the thirteen weeks ended March 29, 2025, was $54,526,000, compared to $52,322,000 for the same period in 2024, reflecting an increase of about 4.2%[24] - The company’s diluted earnings per share for the thirteen weeks ended March 29, 2025, was $0.10, unchanged from the same period in 2024, indicating stable performance in this metric[27] Cash Flow and Liquidity - Free Cash Flow totaled $(21.3) million compared to $(6.1) million in the prior year quarter[6] - Free cash flow for the thirteen weeks ended March 29, 2025, was $(21,313,000), a decline from $(6,083,000) in the same period of 2024, indicating a worsening cash generation situation[33] - Cash and cash equivalents at the end of the period were $36,309,000, up from $30,672,000 at the end of the same period in 2024, showing an increase of approximately 18.0%[20] - Net cash provided by financing activities for the thirteen weeks ended March 29, 2025, was $14,393,000, down from $20,411,000 in the same period of 2024, a decrease of about 29.5%[20] Debt and Capital Expenditures - Net debt as of March 29, 2025, was $703,663,000, an increase from $674,045,000 as of December 28, 2024, representing a rise of approximately 4.4%[31] - The company incurred capital expenditures of $20,658,000 for the thirteen weeks ended March 29, 2025, compared to $17,759,000 for the same period in 2024, reflecting an increase of approximately 10.7%[20] Guidance and Strategic Focus - Full Year 2025 guidance for Net Sales is reiterated at $1.495 to $1.575 billion[8] - Full Year 2025 guidance for Adjusted EBITDA is reiterated at $255 to $275 million[8] - The company plans to manage its business to end the year with a leverage ratio of around 2.5 times[8] - The acquisition of Intex DIY in August 2024 contributed to the growth in both top and bottom lines[5] - The company is focusing on diversifying its supply chain to mitigate the impact of tariffs[5] Adjusting Items and Expenses - Total adjusting items for Adjusted EBITDA in the thirteen weeks ended March 29, 2025, amounted to $5,607,000, compared to $7,434,000 in the same period of 2024, indicating a decrease of about 24.5%[24] - The company reported a stock-based compensation expense of $3,278,000 for the thirteen weeks ended March 29, 2025, compared to $2,829,000 for the same period in 2024, an increase of about 15.8%[24]