Huadi International Group Co., Ltd. Announces Fiscal Year 2023 Financial Results

Core Viewpoint - Huadi International Group Co., Ltd. reported a record revenue of $84.33 million for the fiscal year ended September 30, 2023, marking a 10.42$3.30 million [1][2][13]. Financial Performance - Revenue increased by 10.42% to $84.33 million in FY 2023 from$76.37 million in FY 2022, the highest in the company's history [2][4]. - Gross profit rose by 10.96% to $12.36 million, with a gross profit margin of 14.65$3.30 million, or $0.23 per share, compared to$1.95 million, or $0.15 per share, in FY 2022 [2][13]. - Cash and cash equivalents increased to$20.19 million as of September 30, 2023, up from $13.20 million a year earlier [2][14]. Revenue Breakdown - Domestic sales in China accounted for$73.74 million, representing 87.45% of total sales, with a year-over-year increase of 13.8% [5][7]. - International sales decreased by 9.6%, contributing $10.59 million to total revenue [7]. Cost and Expenses - Selling, general and administrative expenses rose by 13.73$7.34 million, primarily due to bad debt provisions and increased freight costs [9]. - Research and development expenses increased by 9.43% to $2.55 million, reflecting the company's commitment to innovation [10]. - Interest expenses decreased significantly by 81.82$0.30 million, attributed to reduced bank loans [11]. Other Income - The company reported net other income of approximately $0.70 million, mainly from dividend income, government grants, and rental income [12]. Strategic Insights - The strategic decision to expand in the domestic market has been pivotal in driving sales growth, demonstrating the company's adaptability to market demands [3].