Wed, Nov 13, 1:00 PM (93 days ago)
Wilhelmina International, Inc. (WHLM) reported its Q3 2024 financial results, showing a slight increase in service revenues to $4,562,000, a 2.2% rise from Q3 2023. However, total revenues for the nine months decreased by 0.9% to $13,331,000. Operating income fell to $335,000 for Q3, down 28.3%, with an operating margin of 7.3%. Despite an increase in salaries and service costs by 9.0% in Q3, overall operating expenses rose at a higher rate than revenue, contributing to a net income decline of 13.4% to $310,000 for the quarter, although it increased by 28.6% to $648,000 for the nine-month period. Cash flow from operations was positive at $348,000, leading to an increase in cash and equivalents to $6,526,000. The company continues to face uncertainties from economic conditions affecting client spending. Management remains focused on strategic growth initiatives, including expanding its talent representation and enhancing brand awareness. The ongoing legal proceedings could also pose risks, but management believes the claims are without merit. Overall, Wilhelmina’s financial health reflects resilience amid challenges, with a focus on leveraging its market position for future growth.