Fri, Jun 28, 3:48 PM (71 days ago)
Kewaunee Scientific Corporation's Form 10-K for the fiscal year ended April 30, 2024, highlights several key financial metrics and strategic insights: - **Financial Performance**: The company reported net sales of $203.8 million, a decrease from $219.5 million in the prior year. The decline was attributed to a reduction in non-product revenue and delivery of several large projects in the previous year. - **Revenue Breakdown**: Domestic segment sales were $137.2 million, down 6.5%, while International segment sales were $66.5 million, down 8.6%. The order backlog increased to $155.6 million from $147.9 million. - **Profitability**: Gross profit margin improved to 25.5% from 16.2%, driven by better manufacturing productivity and cost containment. Operating expenses rose to $33.8 million from $30.2 million. - **Net Income**: Net earnings surged to $18.8 million, or $6.38 per diluted share, from $738,000, or $0.25 per diluted share, largely due to a significant tax benefit and improved operating performance. - **Future Outlook**: The company expects continued efficiency improvements and a strong backlog to support future performance. However, it remains cautious about market conditions and raw material costs. - **Risk Factors**: The report identifies risks including dependency on large customers, cybersecurity threats, and fluctuations in raw material prices. - **Liquidity**: The company had $3 million outstanding under its $15 million revolving credit facility and generated $19.6 million in cash from operations. Overall, Kewaunee Scientific Corporation demonstrated strong profitability improvements despite a decline in sales, supported by strategic cost management and operational efficiencies.