Sales Performance - Sales for fiscal year 2022 were $168.9 million, an increase of 14.2% from $147.5 million in fiscal year 2021[68] - Domestic sales increased to $126.9 million in fiscal year 2022, up from $111.0 million in fiscal year 2021, driven by higher volumes and price increases[68] - International sales rose to $42.0 million in fiscal year 2022, a 15.3% increase from $36.5 million in fiscal year 2021, primarily due to strong demand in India[68] - Net sales for fiscal year 2022 were $168.872 million, a 14.5% increase from $147.469 million in fiscal year 2021[104] - The company’s subsidiaries contributed net sales of $42.024 million in 2022, up from $36.434 million in 2021, an increase of 15.5%[115] - The company reported net sales of $49,715,000 in the fourth quarter of fiscal year 2022, which was an increase from $38,707,000 in the fourth quarter of fiscal year 2021, representing a growth of about 28.5%[217] Financial Losses - Net loss for fiscal year 2022 was $6.1 million, or $2.20 per diluted share, compared to a net loss of $3.7 million, or $1.33 per diluted share, in fiscal year 2021[77] - The company reported a net loss of $6.126 million for fiscal year 2022, compared to a net loss of $3.672 million in fiscal year 2021, resulting in a net loss per share of $2.20[104] - The company experienced a comprehensive loss of $6.291 million in fiscal year 2022, compared to a comprehensive income of $2.349 million in fiscal year 2021[106] - The net loss attributable to Kewaunee Scientific Corporation for fiscal year 2022 was $6,126,000, compared to a net loss of $3,672,000 in fiscal year 2021, representing a deterioration of 66.8%[215] Operating Expenses - Operating expenses increased to $26.8 million in fiscal year 2022 from $25.3 million in fiscal year 2021, representing 15.9% of sales[71] - Operating expenses increased to $26.828 million in fiscal year 2022, up from $25.309 million in fiscal year 2021[104] - The company incurred $28,000 in operating expenses related to the closure of its China subsidiary during fiscal year 2022[216] Cash Flow and Capital Expenditures - Cash used in operating activities was $7.9 million in fiscal year 2022, primarily due to increases in inventories and receivables[82] - Capital expenditures were $1.9 million in fiscal year 2022, with an anticipated increase to approximately $3.5 million in fiscal year 2023[87] - Capital expenditures for the year were $1.908 million, down from $2.397 million in 2021, reflecting a decrease of 20.4%[112] Tax and Deferred Tax - Income tax expense for fiscal year 2022 was $3.5 million, significantly higher than $990,000 in fiscal year 2021, reflecting changes in deferred taxes[75] - The Company recorded a net income tax expense of $3,518,000 for the year ended April 30, 2022, compared to $990,000 for the previous year[185] - Deferred tax assets increased to $11,462,000 in 2022 from $5,754,000 in 2021, primarily due to the inclusion of proceeds on Sale Leaseback[186] Assets and Liabilities - Total assets increased to $118.773 million in 2022 from $89.384 million in 2021, representing a growth of 32.8%[111] - Current assets rose to $91.565 million in 2022, up from $60.457 million in 2021, marking an increase of 51.5%[111] - Total liabilities increased to $82.593 million in 2022 from $47.897 million in 2021, a rise of 72.5%[111] - Working capital increased to $49.3 million as of April 30, 2022, up from $26.3 million a year earlier, with a current assets to current liabilities ratio of 2.2-to-1.0[88] Inventory and Receivables - Accounts receivable increased to $41.254 million in 2022 from $32.882 million in 2021, reflecting a rise of 25.5%[111] - Inventories grew significantly to $23.796 million in 2022, compared to $16.517 million in 2021, an increase of 43.9%[111] - Total inventories increased to $23.796 million in 2022 from $16.517 million in 2021, with finished goods rising from $2.988 million to $4.555 million[163] Strategic Focus and Future Outlook - The company believes its record backlog and improved operating performance position it well for the next fiscal year despite economic uncertainties[92] - The company is focused on changes in its go-to-market strategy and continued investment in manufacturing operations to enhance future performance[92] Stock and Compensation - The Company granted 67,750 RSUs in fiscal year 2022, compared to 95,861 RSUs in fiscal year 2021[145] - The Company recorded stock-based compensation expense of $701,000 in fiscal year 2022, an increase from $578,000 in fiscal year 2021[191] - The Company had 144,827 RSUs outstanding at the end of fiscal year 2022, with a weighted average grant date fair value of $12.24[193] Pension and Lease Obligations - The total minimum lease payments for operating leases are projected to be $8,821,000 for the fiscal year ending April 30, 2023[202] - The total operating lease expense for the fiscal year ended April 30, 2022, was $3,067,000, up from $2,854,000 in 2021[200] - The Company expects no contributions to the pension plans during fiscal year 2023, having made $30,000 in contributions in fiscal year 2021[206]
Kewaunee Scientific (KEQU) - 2022 Q4 - Annual Report