Alpha Pro Tech(APT) - 2025 Q3 - Quarterly Results

Financial Performance - Net sales for Q3 2025 increased by 3.7% to $14.8 million, compared to $14.3 million in Q3 2024[3] - Net income for Q3 2025 was $976,000, representing a 13.2% increase from $862,000 in Q3 2024[12] - Gross profit increased by 7.0% to $5.9 million, with a gross profit margin of 39.7% for Q3 2025[11] - Operating income for Q3 2025 was $1.097 million, compared to $737,000 in Q3 2024, reflecting a 49% increase[19] - Net income for the nine months ended September 30, 2025, was $2.833 million, down from $3.082 million in the same period of 2024[19] - Basic earnings per share for Q3 2025 was $0.09, up from $0.08 in Q3 2024[19] - Diluted earnings per share remained stable at $0.27 for the nine months ended September 30, 2025, consistent with the same period in 2024[19] Sales and Revenue - Building Supply segment sales rose by 5.4% to $9.3 million, driven by a 12.7% increase in housewrap sales[9] - Sales of disposable protective garments increased by 10.4%, while face masks and face shields saw declines of 46.5% and 33.6%, respectively[10] - Net sales for Q3 2025 reached $14.785 million, a 3.7% increase from $14.251 million in Q3 2024[19] Cash and Capital Position - Cash position as of September 30, 2025, was $17.7 million, with working capital totaling $48.1 million and no debt[3] - The current ratio as of September 30, 2025, was 14:1, down from 16:1 as of December 31, 2024[13] - The company repurchased 129,800 shares at a cost of $0.6 million during Q3 2025, with a total of 21.8 million shares repurchased to date[14] Expenses and Taxation - Total operating expenses for Q3 2025 were $4.771 million, slightly higher than $4.747 million in Q3 2024[19] - The company reported a provision for income taxes of $317,000 for Q3 2025, compared to $237,000 in Q3 2024[19] - Interest income for the nine months ended September 30, 2025, was $484,000, down from $700,000 in the same period of 2024[19] Future Outlook - The company anticipates new product introductions in 2026 to expand its roofing and flashing categories[6] - Management expects tariffs to negatively impact gross profit in Q4 2025, but plans to offset this with price increases[11] Shareholder Information - Basic weighted average common shares outstanding decreased to 10,354,289 in Q3 2025 from 11,075,527 in Q3 2024[19]