Core Viewpoint - Alpha Pro Tech, Ltd. reported a decrease in overall sales for the third quarter of 2024, primarily driven by challenges in the Building Supply segment, while the Disposable Protective Apparel segment showed growth. Financial Performance - Net sales for Q3 2024 were 16.1 million in Q3 2023 [1][4] - Net income for Q3 2024 was 0.08 per diluted share, compared to 0.12 per diluted share, in Q3 2023 [1][24] - For the nine months ended September 30, 2024, net sales decreased to 46.0 million, a decline of 4.2% [10] Segment Performance Building Supply Segment - Sales decreased by 23.2% to 11.4 million in Q3 2023 [1][5] - The decline was attributed to a 16.2% drop in housewrap sales, a 25.1% decrease in synthetic roof underlayment, and a 27.2% decrease in other woven materials [5][11] - For the nine months ended September 30, 2024, sales decreased by 11.9% to 30.6 million in the same period of 2023 [11] Disposable Protective Apparel Segment - Sales increased by 18.4% to 4.6 million in Q3 2023 [1][8] - The growth was driven by a 6.9% increase in disposable protective garments, a 124.3% increase in face masks, and a 204.5% increase in face shields [8][13] - For the nine months ended September 30, 2024, sales increased by 11.0% to 15.4 million in the same period of 2023 [13] Operational Insights - Gross profit for Q3 2024 decreased by 5.5 million, with a gross profit margin of 38.5% [16] - Selling, general and administrative expenses increased by 2.6% to 737,000 for Q3 2024, compared to 18.4 million, with working capital of 21.1 million, driven by a 33.6% increase in the Building Supply segment [27] Market Context - The U.S. housing market faced challenges, with housing starts down 4.0% in Q3 2024 compared to the prior year [2] - Multi-family housing starts for the first nine months of 2024 were down 30.5%, marking the lowest level in ten years [2]
Alpha Pro Tech, Ltd. Announces Third Quarter 2024 Financial Results