Hurco(HURC) - 2024 Q1 - Quarterly Results

Financial Performance - Hurco reported a net loss of $1,648,000, or $0.25 per diluted share, for Q1 FY 2024, compared to a net income of $1,330,000, or $0.20 per diluted share, in Q1 FY 2023[1]. - Sales and service fees for Q1 FY 2024 were $45,059,000, a decrease of $9,623,000, or 18%, compared to the prior year, with a favorable currency impact of $779,000, or 1%[2]. - Orders for Q1 FY 2024 totaled $50,218,000, a decrease of $3,012,000, or 6%, compared to the same period in FY 2023, including a favorable currency impact of $786,000, or 1%[7]. - Gross profit for Q1 FY 2024 was $9,695,000, or 22% of sales, down from $12,718,000, or 23% of sales, in the prior year[10]. - Selling, general, and administrative expenses for Q1 FY 2024 were $11,515,000, or 26% of sales, compared to $11,484,000, or 21% of sales, in Q1 FY 2023[11]. Working Capital and Assets - Working capital increased to $196,281,000 at January 31, 2024, from $193,257,000 at October 31, 2023[13]. - Total current assets decreased slightly to $247,083 million from $248,230 million, a decline of 0.5%[20]. - Cash and cash equivalents decreased to $37,936 million from $41,784 million, a drop of 9.0%[20]. - Total current liabilities decreased to $50,802 million from $54,973 million, a reduction of 7.9%[20]. - Total shareholders' equity increased to $224,557 million from $222,231 million, an increase of 1.0%[20]. - Retained earnings decreased to $177,444 million from $180,124 million, a decline of 1.5%[20]. - Total assets remained stable at $290,058 million compared to $290,589 million, a negligible change[20]. - Non-current assets increased to $35,250 million from $33,500 million, an increase of 5.2%[20]. - Accounts receivable decreased to $33,131 million from $39,965 million, a decline of 17.2%[20]. - Inventories increased to $165,044 million from $157,952 million, an increase of 4.4%[20]. - Accrued payroll and employee benefits decreased to $7,484 million from $9,853 million, a decline of 24.0%[20]. Regional Performance - Asian Pacific sales increased by 39% in Q1 FY 2024, primarily due to higher shipments of Hurco and Takumi machines in China, India, and Taiwan[6]. - Orders in the Americas increased by 6% in Q1 FY 2024, driven by higher demand for Hurco and Milltronics machines[7]. Taxation - The effective tax rate for Q1 FY 2024 was 27%, down from 31% in the prior year, due to changes in the geographic mix of income[12]. Capital Expenditures - Capital expenditures for Q1 FY 2024 were $832,000, compared to $599,000 in Q1 FY 2023[18].