In This Article:
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Combined Sales Growth: Increased by 50.9% for the quarter and 33.4% for the year.
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Continuing Operations Sales (Copper Alloys Division): $7 million for the quarter (28.7% increase) and $25.7 million for the year (19.3% increase).
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Combined Operating Income: $2.3 million for the quarter and $5.6 million for the year.
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Combined Adjusted EBITDA: $2.3 million for the quarter and $7.6 million for the year.
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Combined Gross Margin: 33.9% for the quarter and 29% for the year.
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Combined Net Income: $559,000 or $0.01 per share for the quarter and $1.7 million or $0.02 per share for the year.
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Working Capital Improvement: Improved by $5.6 million, reducing deficiency from $7.2 million to $1.6 million.
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Total Sales Revenue: Over $38 million for 2024, a new record for the company.
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Adjusted EBITDA for the Year: $7.4 million, a new record.
Release Date: October 28, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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IBC Advanced Alloys Corp (IAALF) achieved profitability for both the quarter and fiscal year 2024.
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The company set several financial performance records, including the highest consolidated sales in its history.
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Gross margins improved, with a combined gross margin of 33.9% for the quarter and 29% for the year.
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Working capital position strengthened by $5.6 million in the fiscal year 2024.
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The Copper Alloys division reported a record sales performance, with a 28.7% year-over-year increase for the quarter and a 19.3% increase for the year.
Negative Points
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IBC Advanced Alloys Corp (IAALF) incurred costs related to the discontinuation of operations at its Wilmington, Massachusetts facility.
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The company is still negotiating with the building landlord to minimize costs associated with the facility closure.
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Projected costs for shutting down the EMC division were $1.7 million, with $1.3 million spent so far, indicating potential additional expenses.
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The company has a significant debt position due to historical performance issues in the EMC division.
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There is uncertainty regarding the relocation of EMC personnel to the Franklin, Indiana Copper division.
Q & A Highlights
Q: Is the Engineered Materials division (EMC) completely closed? A: Yes, the EMC division is essentially closed. All production capabilities have ceased, equipment has been removed, and the facility has been cleaned. However, two employees remain for oversight and additional cleaning, and lease negotiations with the landlord are ongoing. Mark Smith, CEO
Q: What were the total costs for shutting down the EMC division? A: The projected shutdown costs were about $1.7 million, but we have spent approximately $1.3 million so far, which is under the projected cost. Mark Smith, CEO