BOS Reports Financial Results for the Fourth Quarter and Full Year 2024

Core Insights - BOS Better Online Solutions Ltd. reported a 14.7% year-over-year increase in net income, reaching $2.3 million, driven by improved gross margins and operational efficiency [1][4][7] - The company anticipates a further 10% growth in both sales and net income for 2025, projecting revenues of $44 million and net income of $2.5 million [1][4] Financial Highlights for 2024 - Total revenues decreased by 9.7% to $39.9 million from $44.2 million in 2023, impacted by one-time post-COVID restocking activities in the previous year [2][7] - Gross profit margin improved to 23.3% from 20.8% in the prior year, indicating enhanced operational efficiency [7] - Operating profit fell to $1.4 million from $2.5 million in 2023, primarily due to a $1.2 million non-cash impairment of goodwill and other intangible assets [7] - EBITDA rose to $3.25 million compared to $3.06 million in 2023 [7] Fourth Quarter Highlights - Revenues for Q4 2024 declined by 4.6% to $10.4 million from $10.9 million in Q4 2023 [7] - Gross profit margin for Q4 increased to 22.9% from 19.2% year-over-year [7] - Operating loss for Q4 amounted to $616,000, a decline from an operating income of $400,000 in Q4 2023, attributed to the same impairment charge [7] - Net income for Q4 was $485,000, or $0.08 per basic share, compared to $427,000, or $0.07 per basic share, in Q4 2023 [7] Strategic Focus - The company aims to deepen its penetration in the defense sector, leveraging strong customer relationships and anticipating robust ordering patterns in 2025 [5] - BOS is pursuing opportunities to expand into new overseas markets by utilizing its connections with Israeli defense customers [5] Board Updates - On March 19, 2025, BOS appointed Osnat Gur as Board Chair and Avi Dadon as a new independent director, both bringing extensive experience to the company [6][8]