
Core Viewpoint - Gencor Industries, Inc. reported a significant increase in net revenue for the quarter ended December 31, 2024, driven by higher contract equipment sales, despite a decrease in parts sales and a decline in gross profit margins compared to the previous year [1][5]. Financial Performance - Net revenue for the quarter ended December 31, 2024, was $31,416,000, representing a 20.7% increase from $26,018,000 in the same quarter of 2023 [1][8]. - Gross profit margins decreased to 27.6% in Q4 2024 from 29.0% in Q4 2023, attributed to a smaller contribution from parts sales [1]. - Operating income rose to $4,624,000 for the quarter ended December 31, 2024, compared to $3,383,000 for the same period in 2023, primarily due to increased net revenues [3]. Expenses - Product engineering and development expenses decreased by $124,000 to $677,000 in Q4 2024 from $801,000 in Q4 2023, due to a reduction in headcount [2]. - Selling, general and administrative expenses slightly increased to $3,367,000 in Q4 2024 from $3,350,000 in Q4 2023 [2]. Other Income and Net Income - Net other income for the quarter ended December 31, 2024, was $534,000, down from $2,235,000 in Q4 2023, impacted by losses on marketable securities [4]. - Net income for Q4 2024 was $3,817,000, or $0.26 per share, compared to $4,326,000, or $0.30 per share, in Q4 2023 [5][9]. Balance Sheet and Cash Position - As of December 31, 2024, the company had $130.1 million in cash and cash equivalents and marketable securities, up from $115.4 million at September 30, 2024 [6]. - Net working capital increased to $186.5 million at December 31, 2024, compared to $182.2 million at September 30, 2024 [6]. - The company reported no short-term or long-term debt outstanding as of December 31, 2024 [6]. Backlog - The company's backlog was $54.4 million at December 31, 2024, down from $61.3 million at the same time in 2023 [6].