The LGL Group, Inc. Reports First Quarter 2024 Results

Core Viewpoint - The LGL Group, Inc. reported a decline in total revenues and net income for the first quarter of 2024 compared to the same period in 2023, while highlighting improvements in order backlog and investment strategies [3][4]. Financial Performance - Total revenues decreased by $96,000 to$ 888,000 for Q1 2024 from $984,000 in Q1 2023, representing a decline of 9.8% [3][19]. - Net income attributable to LGL Group common stockholders was$ 21,000, or $0.00 per diluted share, down from$ 157,000, or $0.03 per diluted share, in Q1 2023, marking an 86.6% decrease [4][19]. - Income from continuing operations before income taxes decreased by$ 171,000 to $79,000 for Q1 2024 from$ 250,000 in Q1 2023, a decline of 68.4% [19]. Revenue Breakdown - Revenue from the Electronic Instruments segment decreased by $49,000 to$ 392,000, a decline of 11.1% compared to Q1 2023 [19]. - The Merchant Investment segment generated $289,000 in revenue, a new addition as it did not report revenue in the previous year [19]. - Corporate revenues fell by$ 336,000 to $207,000, a decrease of 61.9% compared to Q1 2023 [19]. Expenses and Margins - Total expenses increased by$ 75,000 to $809,000 in Q1 2024, a rise of 10.2% from$ 734,000 in Q1 2023 [19]. - Gross margin declined to 48.0% in Q1 2024 from 56.5% in Q1 2023, attributed to a lower margin product mix and higher labor costs [6]. Backlog and Liquidity - As of March 31, 2024, the order backlog increased by $198,000 to$ 341,000 from $143,000 as of December 31, 2023, indicating a positive trend in future sales [6]. - Current assets were reported at$ 41,687,000 as of March 31, 2024, compared to $41,566,000 as of December 31, 2023 [2][17]. Investment Strategy - The company is focusing on improving its order backlog and is actively seeking value-added investment opportunities, particularly in U.S. Treasury money market funds [3][5].