Mama’s Creations(US:MAMA)2025-06-03 20:15Revenue and Sales Performance - Revenue for Q1 FY2026 increased 18.2% to a record $35.3 million, compared to $29.8 million in Q1 FY2025[7] - Net sales for the three months ended April 30, 2025, increased to $35,255,000, a 18.1% rise from $29,838,000 in the same period of 2024[24] Profitability - Gross profit rose 23.1% to $9.2 million, representing 26.1% of total revenues, up from 25.0% in the same year-ago quarter[8] - Gross profit for the same period was $9,184,000, representing a 23.1% increase compared to $7,463,000 in 2024[24] - Net income surged 123.7% to $1.2 million, or $0.03 per diluted share, compared to $0.6 million, or $0.01 per diluted share, in Q1 FY2025[10] - Net income for the three months ended April 30, 2025, was $1,237,000, up 123.5% from $553,000 in the prior year[24] Cash Flow and Liquidity - Cash and cash equivalents grew to $12.0 million as of April 30, 2025, up from $7.2 million as of January 31, 2025[11] - Cash and cash equivalents increased to $12,011,000 as of April 30, 2025, from $7,150,000 at the beginning of the period, marking a 68.5% increase[26] - The company generated $6.0 million of cash flow from operations during the quarter, while total debt was reduced to $4.6 million[6] - Net cash provided by operating activities for the three months ended April 30, 2025, was $6,005,000, a 64.7% increase from $3,641,000 in 2024[26] Operating Expenses - Operating expenses totaled $7.6 million, with a decrease in operating expenses as a percentage of sales to 21.6% from 22.4%[9] - Operating expenses for the three months ended April 30, 2025, totaled $7,606,000, a 13.7% increase from $6,690,000 in 2024[24] - Research and development expenses decreased to $73,000 from $104,000 in the same period last year, a decline of 29.8%[24] Strategic Initiatives - The company achieved record trade promotion investment at 6% of gross revenue, up from 2% in the previous quarter[3] - New customer acquisitions included Lidl, Amazon Fresh, and Sheetz, contributing to a balanced geographic distribution[4] - The company plans to utilize its cash reserves for prospective acquisitions, further innovation, and margin expansion in the upcoming quarters[6] Balance Sheet Highlights - Total assets rose to $52,725,000 as of April 30, 2025, compared to $47,062,000 as of January 31, 2025, reflecting a 12.5% growth[22] - Total liabilities increased to $26,287,000 as of April 30, 2025, from $22,166,000 as of January 31, 2025, indicating an 18.5% rise[22] Shareholder Information - The weighted average common shares outstanding for basic earnings per share increased to 37,597,000 from 37,259,000 in the prior year[24] Adjusted Metrics - Adjusted EBITDA increased 12.2% to $2.8 million for Q1 FY2026, compared to $2.5 million in the same year-ago quarter[10]