NAII Q1 Earnings Surge on Strong Sales

TL;DR

NAII crushed Q1, revenue hit $20M, net income $3.28M. Big jump!

AI Summary

Natural Alternatives International Inc. reported its first quarter results for fiscal year 2025, ending September 30, 2024. The company's revenue for the quarter was $20,000,000, with a net income of $3,280,721. This represents a significant increase in net income compared to the same period last year, driven by strong sales performance.

Why It Matters

The company's strong Q1 performance indicates robust demand for its products and effective operational management, potentially signaling positive future growth.

Risk Assessment

Risk Level: medium — While the Q1 results are positive, the company operates in the competitive nutritional supplement industry, which can be subject to regulatory changes and shifting consumer preferences.

Key Numbers

• $20.0M — Revenue (Total revenue for the first quarter of fiscal year 2025.)
• $3.28M — Net Income (Net income for the first quarter of fiscal year 2025, showing a significant increase.)
• 0.3 — Earnings Per Share (Diluted) (Diluted earnings per share for the quarter.)

Key Players & Entities

• Natural Alternatives International Inc. (company) — Filer of the 10-Q
• 20240930 (date) — End of the reporting period
• $20,000,000 (dollar_amount) — Revenue for the quarter
• $3,280,721 (dollar_amount) — Net income for the quarter

FAQ

Key Financial Figures

• $0.01 — ange on Which Registered Common Stock, $0.01 par value per share NAII Nasdaq Sto

Filing Documents

• naii20240930_10q.htm (10-Q) — 883KB
• ex_722568.htm (EX-31.1) — 8KB
• ex_722569.htm (EX-31.2) — 9KB
• ex_722570.htm (EX-32) — 5KB
• 0001437749-24-034912.txt ( ) — 5321KB
• naii-20240930.xsd (EX-101.SCH) — 52KB
• naii-20240930_cal.xml (EX-101.CAL) — 41KB
• naii-20240930_def.xml (EX-101.DEF) — 355KB
• naii-20240930_lab.xml (EX-101.LAB) — 288KB
• naii-20240930_pre.xml (EX-101.PRE) — 383KB
• naii20240930_10q_htm.xml (XML) — 815KB

Financial Statements

Financial Statements 2 Condensed Consolidated Balance Sheets 2 Condensed Consolidated Statements of Operations and Comprehensive Loss 3 Condensed Consolidated Statements of Stockholders' Equity 4 Condensed Consolidated Statements of Cash Flows 5 Notes to Condensed Consolidated Financial Statements 6 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 15 Item 4.

Controls and Procedures

Controls and Procedures 18 PART II OTHER INFORMATION 19 Item 1.

Legal Proceedings

Legal Proceedings 19 Item 1A.

Risk Factors

Risk Factors 19 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 19 Item 3. Defaults Upon Senior Securities 19 Item 5. Other Information 19 Item 6. Exhibits 20

SIGNATURES

SIGNATURES 21 Table of Contents SPECIAL NOTE ABOUT FORWARD-LOOKING STATEMENTS Certain statements in this report, including information incorporated by reference, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect current views about future events and financial performance based on certain assumptions. They include opinions, forecasts, intentions, plans, goals, projections, guidance, expectations, beliefs, or other statements that are not statements of historical fact. Words such as "may," "will," "should," "could," "would," "expect," "plan," "believe," "anticipate," "intend," "estimate," "approximate," "predict," "forecast," "project," "future," or "likely," or the negative or other variation of such words, and similar expressions may identify a statement as a forward-looking statement. Any statements that refer to projections of our future financial performance, our anticipated growth and trends in our business, our goals, strategies, focus and plans, and other characterizations of future events or circumstances, including statements expressing general optimism or pessimism about future operating results, are forward-looking statements. Forward-looking statements in this report may include statements about: our ability to develop market acceptance for and increase sales of new products, develop relationships with new customers and maintain or improve existing customer relationships; future financial and operating results, including projections of net sales, revenue, income or loss, net income or loss per share, profit margins, expenditures, liquidity, and other financial items; the sufficiency of our available cash and cash equivalents, including continued access to borrowings under our credit facilities, and potential cash flows from our operations to fund our work

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS Natural Alternatives International, Inc. Condensed Consolidated Balance Sheets (In thousands, except share and per share data) (Unaudited) September 30, 2024 June 30, 2024 Assets Current assets: Cash and cash equivalents $ 10,156 $ 11,981 Accounts receivable – less allowance for credit losses of $ 0 at September 30, 2024 and June 30, 2024 17,623 16,891 Inventories, net 25,927 24,249 Forward contracts 31 492 Prepaids and other current assets 8,744 7,997 Total current assets 62,481 61,610 Property and equipment, net 51,060 52,211 Operating lease right-of-use assets 42,919 43,537 Deferred tax asset – noncurrent 3,334 3,170 Other noncurrent assets, net 1,476 1,814 Total assets $ 161,270 $ 162,342 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 9,945 $ 12,740 Accrued liabilities 2,709 2,847 Accrued compensation and employee benefits 2,855 2,090 Customer deposits 636 302 Short-term liability – operating leases 1,962 1,194 Forward contracts 543 91 Income taxes payable 85 505 Mortgage note payable, current portion 298 296 Line of credit – current 5,400 3,400 Total current liabilities 24,433 23,465 Long-term liability – operating leases 46,910 46,468 Long-term pension liability 144 141 Mortgage note payable, net of current portion 8,858 8,933 Income taxes payable, noncurrent 740 740 Total liabilities 81,085 79,747 Commitments and contingencies (Notes E, F, and L) Stockholders' equity: Preferred stock; $ .01 par value; 500,000 shares authorized; none issued or outstanding — — Common stock; $ .01 par value; 20,000,000 shares authorized at September 30, 2024 and June 30, 2024, issued and outstanding (net of treasury shares) 6,198,778 at September 30, 2024 and 6,200,185 at June 30, 2024 93 93 Additional paid-in capital 32,910 32,634 Retained earnings 70,984 72,966 Treasury stock, at cost, 3,282,128 shares at Septe

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View this 10-Q filing on SEC EDGAR