Fri, May 2, 5:40 PM (9 days ago)
**Preformed Line Products Company (PLPC) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $148.5 million, up 5% YoY (excluding currency impact, up 9%). - **Gross Profit:** $48.7 million, up 10% YoY (excluding currency impact, up 13%). - **Operating Income:** $13.1 million, up 36% YoY. - **Net Income:** $11.5 million, up 19.5% YoY (excluding currency impact, up 22%). - **EPS:** $2.34 (basic) and $2.33 (diluted), up from $1.95 and $1.94, respectively. - **Cash Flow from Operations:** $5.7 million, slightly down from $5.8 million YoY. - **Cash Position:** $54.8 million, down from $57.2 million QoQ. **Profit Margins:** - **Gross Margin:** 32.8%, up from 31.3% YoY. - **Operating Margin:** 8.8%, up from 8.2% YoY. - **Net Margin:** 7.8%, up from 6.8% YoY. **Segment Performance:** - **PLP-USA:** Sales up 5%, gross profit up 9%. - **The Americas:** Sales up 39%, gross profit up 63%. - **EMEA:** Sales up 6%, gross profit up 8%. - **Asia-Pacific:** Sales down 1%, gross profit down 1%. **Trends & Uncertainties:** - **Tariffs & Inflation:** Recent tariffs and inflation may impact raw material costs and pricing. - **Currency Fluctuations:** Unfavorable currency translation impacted sales and income. - **Global Economy:** Uncertainty due to tariffs, trade matters, and geopolitical risks. - **Acquisitions:** Expansion into new markets and strategic acquisitions continue. **Future Operations & Impact:** - **Capital Expenditures:** $11.0 million spent on capital expenditures in Q1. - **Debt & Liquidity:** Strong liquidity with $82.5 million available under the credit facility. - **Forward-Looking:** Focus on cost containment, market opportunities, and strategic investments. **Notable Events:** - **Acquisition:** JAP Telecom acquired on May 1, 2025, expanding operations in Brazil. - **Credit Facility:** Amended to extend maturity date and increase unsecured borrowings. **Risk Factors:** - **Economic Conditions:** Global economic instability and geopolitical risks. - **Raw Materials:** Supply chain disruptions and cost fluctuations. - **Competition:** Price pressure and technological advancements. **Conclusion:** PLPC demonstrated strong quarterly performance with increased revenue, profit margins, and net income. The company continues to navigate global economic uncertainties and strategic investments while maintaining a solid financial position.