Core Insights - Tandy Leather Factory, Inc. reported a revenue of $17.4 million for Q3 2024, reflecting a 1.1% decrease from $17.5 million in Q3 2023 [1] - The company experienced an operating loss of $0.3 million, a decline from an operating income of $0.9 million in the same quarter last year [1] - Net loss for the quarter was $0.1 million, compared to a net income of $0.6 million in Q3 2023 [1] - Gross margins decreased to 57.8% from 62.4% in the previous year [1] - Operating expenses rose by 2.3% to $10.3 million, primarily due to inflationary pressures [2] Financial Performance - Adjusted EBITDA for Q3 2024 was reported at $0.2 million [1] - Cash and cash equivalents at the end of the quarter stood at $10.1 million, an increase from $8.6 million a year earlier [1] - Inventory levels were reported at $38.1 million, slightly up from $38.0 million as of December 31, 2023 [1] - Basic and diluted net loss per share was ($0.02), compared to income of $0.08 per share in the prior year [1] Management Commentary - The CEO noted that sales trends were consistent with Q2, with a slight decline of about 1% [2] - Increased promotional activity was a response to weaker consumer demand, impacting gross margin rates [2] - The rise in operating expenses was attributed to inflation, particularly in employment costs [2] - The company maintained strong cash reserves despite increased capital expenditures for store relocations and upgrades [2] Company Overview - Tandy Leather Factory, Inc. is a specialty retailer offering a wide range of leather products and tools [3] - The company operates 99 stores across North America and one store in Spain [3]
Tandy Leather Factory Reports Third Quarter 2024 Results