Balchem Corporation Reports Second Quarter 2024 Financial Results

Core Insights - Balchem Corporation reported solid financial results for the second quarter of 2024, with record earnings from operations and adjusted EBITDA, driven by strong performance in the Human Nutrition and Health and Specialty Products segments [1][2][12] Financial Performance - Quarterly net sales reached $234.1 million, a 1.2% increase compared to the same quarter last year [2][4] - Adjusted EBITDA was a record $62.3 million, reflecting a 5.0% increase year-over-year [2][5] - GAAP net earnings were $32.1 million, up 6.5% from the prior year quarter, with earnings per share increasing to $0.98 from $0.93 [2][5] - Free cash flow for the quarter was $38.4 million, supported by strong cash flows from operations of $45.0 million [2][11] Segment Performance - The Human Nutrition & Health segment generated sales of $147.9 million, a 9.0% increase, with earnings from operations rising 21.3% to $33.4 million [6][12] - The Animal Nutrition & Health segment saw a decline in sales to $49.6 million, a decrease of 19.2%, with earnings from operations dropping 64.9% to $2.7 million [7][12] - The Specialty Products segment reported sales of $35.1 million, a 7.2% increase, with earnings from operations reaching a record $11.2 million, up 20.8% [8][12] Cash Flow and Debt Management - Strong cash flows allowed the company to repay $35.0 million of revolving debt, reducing net debt to $202.8 million, with a leverage ratio of 0.9 times [3][11] - The company maintained a cash balance of $63.7 million as of June 30, 2024 [11][20] Strategic Initiatives - Balchem launched a new product, Optifolin+®, aimed at supporting cellular health, enhancing its portfolio in the minerals and nutrients market [3][12] - The company continues to focus on strategic growth initiatives while delivering solid financial results [3][12]