Fri, Feb 28, 7:42 PM (57 days ago)
**Marine Products Corporation (MPX) Summary for Fiscal Year 2024** Marine Products Corporation reported a significant decline in financial performance for the fiscal year ended December 31, 2024. Net sales fell by 38.4% to $236.6 million, primarily driven by a 40% decrease in unit sales to dealers, despite a 2% positive price/mix effect. Gross profit decreased to $45.5 million, and net income dropped to $17.9 million, translating to diluted earnings per share of $0.50, down from $1.21 in 2023. The company's operating expenses were reduced by 36.6% to $27.4 million, reflecting lower sales-related costs. However, profit margins were negatively impacted by increased promotional expenses and fixed cost absorption challenges due to lower production levels. Looking ahead, Marine Products anticipates flat sales comparisons in the near term, with potential growth in the latter half of 2025, contingent on economic conditions and consumer demand. Key risks include rising interest rates affecting financing costs and consumer purchasing behavior, along with inventory management challenges amid fluctuating dealer demand. The company maintains a strong liquidity position with $52.4 million in cash and cash equivalents and expects capital expenditures of approximately $3.2 million in 2025.