Core View - United-Guardian, Inc. delivered strong second-quarter 2024 results with notable sales growth and a significant rise in net income, driven by robust demand in cosmetic ingredients and medical lubricants segments [1][3][7] Q2 Results - Earnings per share for Q2 2024 were 21 cents, up from 10 cents in the same quarter last year [3] - Total quarterly sales increased by 28% to 3.39millionfrom2.65 million year-over-year [3] - Cosmetic ingredient sales surged by 84% to 1.42million,attributedtosolidpurchasesfromthelargestcosmeticdistributor[3][4]DisaggregatedSalesbyProducts−CosmeticIngredients:Salesrose841.42 million from 772,887inQ22023,drivenbyheighteneddemand,particularlyinChina,andreducedcompetitionfromlower−costproducers[4]−Pharmaceuticals:Salesgrewmodestlyby31.41 million from 1.38million,supportedbyrestockingofRenacidinaftersupplyconstraints[5]−MedicalLubricants:Salesincreasedby150.56 million from 0.48million,primarilyduetohigherordersfromasignificantcustomerinIndia[6]−IndustrialProducts:NosalesreportedforQ22024astheproductlinewasdiscontinued,resultinginadeclineof0.18 million from Q2 2023 [6] Profitability - Net income more than doubled to 0.96millioninQ22024from0.46 million in Q2 2023, supported by higher sales [7] Expenses - Cost of sales amounted to 1.56million,representing460.11 million, indicating a focused approach to innovation [9] Cash & Debt - As of the end of Q2 2024, cash and cash equivalents were 8.4million,upfrom8.2 million at the end of Q4 2023 [10] - Total liabilities amounted to $1.71 million, including accounts payable and accrued expenses [10] View - The results reflect a challenging operating environment, with profitability pressures due to higher raw material costs and an unfavorable product mix, despite a strong cash position and lack of debt [2][11]
