Oil-Dri of America(ODC)2023-12-11 21:12Net Income and Earnings - Net income for the three months ended October 31, 2023, was $10.742 million, compared to $5.230 million in the same period last year[24] - Net income for the three months ended October 31, 2023 was $10.742 million, with basic EPS of $1.61 and diluted EPS of $1.50[53] - Net income attributable to Oil-Dri increased to $10.74 million in Q3 2023 from $5.24 million in Q3 2022, a growth of 105%[83] Depreciation and Amortization - Depreciation and amortization expenses increased to $4.368 million in Q3 2023, up from $3.523 million in Q3 2022[24] Capital Expenditures - Capital expenditures for the three months ended October 31, 2023, were $8.064 million, compared to $6.737 million in the same period last year[24] - Accrued capital expenditures not yet paid amounted to $3.532 million as of October 31, 2023, up from $1.381 million in the same period last year[26] Cash and Cash Equivalents - Cash and cash equivalents decreased by $2.175 million in Q3 2023, ending the period at $29.579 million[24] - Cash equivalents as of October 31, 2023 were $15.4 million, classified as Level 1 fair value measurements[56] Capital Parts Reserve - The capital parts reserve was $1.7 million as of October 31, 2023, down from $2.0 million as of July 31, 2023[37] Dividends - Dividends paid in Q3 2023 amounted to $1.927 million, slightly higher than the $1.851 million paid in Q3 2022[24] Stock-Based Compensation - Non-cash stock-based compensation increased to $1.108 million in Q3 2023, up from $0.794 million in Q3 2022[24] - Stock-based compensation was $0.8 million for the first quarter of fiscal years 2024 and 2023[86] Accounts Receivable and Inventories - Accounts receivable decreased by $1.487 million in Q3 2023, compared to a decrease of $1.622 million in Q3 2022[24] - Inventories decreased by $1.374 million in Q3 2023, compared to a decrease of $5.202 million in Q3 2022[24] - Total inventories as of October 31, 2023 were $43.832 million, including finished goods of $23.734 million and spare parts of $6.379 million[55] Accrued Expenses - Accrued expenses as of October 31, 2023 totaled $32.613 million, including $9.556 million for salaries and wages[62] Landfill Modification Costs - A $2.5 million reserve was recorded in Q2 FY2023 for landfill modification costs in Georgia, with no changes in Q1 FY2024[64] Debt and Credit Facilities - Outstanding debt includes $7 million of 3.95% Series B Senior Notes due 2030 and $25 million of 3.25% Series C Senior Notes due 2031[65] - The company has a $45 million unsecured revolving credit facility, with $1.0 million in letters of credit outstanding as of October 31, 2023[69] Operating Lease Costs - Operating lease costs for the three months ended October 31, 2023 were $546 thousand[72] Postretirement Health Benefits - The discount rate for postretirement health benefits was 4.90% for the three months ended October 31, 2023[78] Net Sales by Product Group - Net sales for the Business to Business Products Group increased to $39.16 million in Q3 2023 from $33.69 million in Q3 2022, a growth of 16.2%[81] - Net sales for the Retail and Wholesale Products Group increased to $72.28 million in Q3 2023 from $64.85 million in Q3 2022, a growth of 11.5%[81] Total Assets - Total assets increased to $288.77 million as of October 31, 2023, compared to $286.24 million as of July 31, 2023[82] Restricted Stock and Comprehensive Loss - Non-vested restricted stock outstanding increased to 472 thousand shares as of October 31, 2023, from 348 thousand shares as of July 31, 2023[87] - Accumulated other comprehensive loss decreased to $563 thousand as of October 31, 2023, from $748 thousand as of July 31, 2023[88] Related Party Transactions - Payments to a related party vendor were $0.1 million for the first three months of fiscal years 2024 and 2023[89]