Fri, Sep 6, 8:03 PM (106 days ago)
For the fiscal year ended June 30, 2024, Twin Disc, Incorporated reported a 6.6% increase in net sales to $295.1 million, driven by stable demand across markets and the acquisition of Katsa Oy, which contributed a bargain purchase gain of $3.7 million. Gross profit rose 12.1% to $83.3 million, with gross margin improving to 28.2%. Operating expenses increased to $71.6 million, reflecting higher salaries, bonuses, and operational costs, leading to a net income of $11.2 million, or $0.79 per diluted share. The company’s backlog of orders rose to $133.7 million, a 12% increase from the previous year, indicating a positive outlook. However, risks include reliance on key customers, exposure to currency fluctuations, and potential supply chain disruptions. The company's long-term debt stood at $23.8 million, with a new credit agreement extending maturities to April 2027, while maintaining compliance with financial covenants. Future capital expenditures are projected at $14-$16 million, aimed at enhancing operational efficiencies. Overall, Twin Disc's financial condition remains strong, supported by effective cash flow management and strategic acquisitions.