American Vanguard (US:AVD)2024-05-10 20:07Financial Performance - Net sales increased to $135 million, up 8% from $125 million in Q1 2023[1] - Adjusted EBITDA rose to $15.5 million, a 35% increase compared to $11.5 million in the same quarter last year[1] - Operating income improved to $6.1 million, up 87% from $3.3 million in Q1 2023[1] - Gross profit for the quarter was $42.4 million, a 10% increase from $38.5 million in the previous year[11] - Net income for the three months ended March 31, 2024, was $1,552 million, a decrease of 19.1% compared to $1,918 million for the same period in 2023[13] - Adjusted EBITDA for the three months ended March 31, 2024, was $15,516 million, an increase of 35.5% from $11,511 million in the same period last year[15] Sales Growth - The company expects annual net sales growth of 6% to 9% and adjusted EBITDA target of $60 million to $70 million[2] - U.S. crop sales reached $67.3 million, a 9% increase, while U.S. non-crop sales surged by 28% to $17.8 million[11] - International sales grew to $50.1 million, reflecting a 2% increase from $49.1 million in Q1 2023[11] Cash and Assets - Cash and cash equivalents increased to $13.7 million from $11.4 million at the end of 2023[8] - Total assets rose to $781.6 million, up from $767.5 million at the end of the previous year[8] - Cash at the end of the period on March 31, 2024, was $13,709 million, down from $19,568 million at the end of the same period in 2023[13] Operating Activities - Net cash used in operating activities for the three months ended March 31, 2024, was $(42,424) million, compared to $(41,452) million for the same period in 2023[13] - Capital expenditures for the three months ended March 31, 2024, were $(3,565) million, an increase from $(2,590) million in the same period last year[13] - Net cash provided by financing activities for the three months ended March 31, 2024, was $47,699 million, compared to $43,777 million for the same period in 2023[13] Expenses and Provisions - Stock-based compensation for the three months ended March 31, 2024, was $2,005 million, an increase of 36% from $1,474 million in the same period last year[15] - Provision for income taxes for the three months ended March 31, 2024, was $1,484 million, compared to a tax benefit of $(361) million for the same period in 2023[15] - Interest expense, net for the three months ended March 31, 2024, was $3,693 million, an increase from $1,686 million in the same period last year[15] Customer Prepayments - Decrease in customer prepayments for the three months ended March 31, 2024, was $(37,037) million, compared to $(22,759) million for the same period in 2023[13] Future Projections - The company anticipates an additional $15 million in adjusted EBITDA annually by 2026 from its transformation program[1]