Mon, Sep 9, 6:10 PM (25 days ago)
For the quarter ending July 31, 2024, Virco Mfg. Corporation reported a net income of $16,833,000, up from $15,534,000 in the prior year, reflecting a 1.0% increase in sales to $108,419,000. The gross profit margin improved to 46.3% from 45.3%, driven by stable commodity costs and enhanced production levels. Operating income rose to $21,894,000 compared to $21,254,000 a year earlier. Cash flow from operations showed a positive turnaround, with cash increasing to $7,771,000 from $1,600,000 year-over-year, and the company reported no borrowings under its credit line, a significant change from $42,012,000 in the previous year. The balance sheet reflected a reduction in accounts receivable by $12.5 million due to improved collections and early shipments. The company continues to face seasonal demand fluctuations, with approximately 50% of sales typically occurring in the summer months. Overall, Virco's financial health appears strong, with improved profitability and liquidity, although uncertainties related to market conditions and raw material costs persist. Future operations are expected to remain stable, supported by a strong order backlog.