Thu, Jul 11, 12:03 PM (58 days ago)
Northern Technologies International Corporation (NTIC) reported its financial results for the quarter ended May 31, 2024. NTIC's consolidated net sales decreased by 1.4% to $20.7 million, primarily due to reduced demand for ZERUST® products. However, for the nine months ended May 31, 2024, net sales increased by 4.3% to $61.7 million, driven by higher sales of Natur-Tec® products. Cost of goods sold decreased, improving gross margins due to lower raw material prices. NTIC's equity in income from joint ventures rose slightly, but fees for services provided to joint ventures fell by 10.9%. Operating expenses increased by 7.1%, driven by higher personnel costs. Net income attributable to NTIC was $976,604 for the quarter, down from $1,059,590 in the prior-year quarter. The company maintained a strong cash position with $5.8 million in cash and equivalents. NTIC expects to use its capital resources for investments in subsidiaries, joint ventures, and new product development.