Revenue and Income - Revenue for 2024 was 529,968,adecreaseof8.4578,634 in 2023, with the Industrial and Vehicle markets experiencing declines[143]. - Net income for 2024 was 13,166,or0.79 per diluted share, a 45% decrease compared to 24,097,or1.48 per diluted share in 2023[143]. - Revenues for 2024 decreased to 529,968,down8578,634 in 2023, primarily due to a volume decrease of 8% and elevated inventory levels[173]. - Adjusted net income for 2024 was 24,679,downfrom37,458 in 2023, with adjusted diluted earnings per share decreasing to 1.49from2.30[183]. - The company reported a comprehensive income of 158,000for2024,asignificantdropfrom25,885,000 in 2023[226]. - Operating income fell by 29% to 30,038in2024,comparedto42,314 in 2023[173]. - The income before income taxes for the year ended December 31, 2024, was 16,858,000,adecreasefrom29,700,000 in 2023[324]. Bookings and Backlog - Bookings fell to 480,031in2024,an8520,275 in 2023, with backlog decreasing by 17% to 230,788[143].−Bookingsfor2024were480,031, an 8% decrease from 520,275in2023,withbacklogalsodecliningby16230,788[173]. - The company's backlog as of December 31, 2024, was 230,788,withanexpectationtorecognize85165,691 in 2024, resulting in a gross margin of 31.3%, down from 31.7% in 2023[143]. - General and administrative expenses decreased by 5% to 55,669in2024,reflectingcostreductionactions[177].−Cashpaidforinterestin2024was12,059 thousand, a slight decrease from 12,200thousandin2023,whileincometaxespaiddecreasedto7,804 thousand from 12,687thousand[255].−Thetotaloperatingleaseexpensefor2024was8,171,000, compared to 8,769,000in2023,reflectingadecreaseofapproximately6.80.12 per share in 2024, with a payout ratio of 15% compared to 8% in 2023[144]. - The company declared dividends of 0.12persharein2024,upfrom0.115 per share in 2023[202]. - For the years ended December 31, 2024, 2023, and 2022, total dividends paid were 1,981,000,1,826,000, and 1,536,000,respectively,withpersharedividendsof0.12, 0.115,and0.10[305]. Assets and Liabilities - As of December 31, 2024, the company recorded 111,517ininventory,representingapproximately19131,789, representing about 23% of total assets[168]. - Total current assets decreased to 237,580,000in2024from248,151,000 in 2023, primarily due to a reduction in trade receivables and inventories[225]. - Total liabilities decreased to 310,927,000in2024from345,967,000 in 2023, with a significant reduction in current liabilities[225]. - The company’s long-term debt increased to 224,177,000in2024from218,402,000 in 2023, indicating a slight rise in leverage[225]. Cash Flow - Net cash provided by operating activities decreased by 3,188to41,850 in 2024 from 45,038in2023[193].−Cashusedininvestingactivitiesincreasedby12,307 to (34,914)in2024,primarilyduetoa20,000 cash payment for the acquisition of SNC[195]. - Cash used in financing activities decreased by 20,474to(843) in 2024, reflecting 20,000borrowedfromtheAmendedRevolvingFacilityfortheSNCacquisition[196].−Cashandcashequivalentsincreasedto36,102,000 in 2024 from 31,901,000in2023,indicatingimprovedliquidity[225].Acquisitions−ThecompanyacquiredSNCManufacturingCo.forapurchasepriceof20,000 thousand, with SNC contributing 38,045thousandinrevenueand3,066 thousand in net income during 2024[271][272]. - The company acquired 100% of Sierramotion Inc. for a total purchase price of 8,400,whichincludes2,000 of contingent consideration[277]. - The company incurred 313thousandintransactioncostsrelatedtotheacquisitionofSNC,whichareincludedinbusinessdevelopmentexpenses[271].FinancialInstrumentsandRiskManagement−TheCompanyholdsnotionalamountsof90,000,000 in interest rate derivatives as of December 31, 2024, to manage exposure to interest rate movements[319]. - The Company had foreign currency contracts with notional amounts of 30,945,000and22,193,000 at December 31, 2024, and 2023, respectively, resulting in losses of 1,749,000and281,000 for the years ended December 31, 2024, and 2023[318]. Taxation - The effective tax rate increased to 21.9% in 2024 from 18.9% in 2023, influenced by various tax provisions and credits[181]. - The total income tax provision for 2024 was 3,692,000,comparedto5,603,000 in 2023, reflecting a provision rate of 21.9%[324]. - Noncurrent deferred tax assets increased to 22,951,000in2024from20,877,000 in 2023, primarily due to research and development costs[325]. Future Outlook - The company plans to expand machining capabilities at its Dothan, Alabama facility, expected to yield initial benefits by the end of 2025[154]. - The company plans to focus on new product development and market expansion strategies to drive future growth[226]. - The company expects capital expenditures in 2025 to be approximately 10,000to12,000[195].
