Tennant Co. Files Q2 2024 10-Q

TL;DR

Tennant Co. Q2 2024 10-Q filed. Financials are in.

AI Summary

Tennant Co. filed its 10-Q for the quarter ended June 30, 2024, reporting on its financial performance. The filing details the company's financial position and results of operations for the period, including balance sheets, income statements, and cash flow statements. Specific financial figures and operational details are provided within the document.

Why It Matters

This filing provides investors and analysts with the latest financial data for Tennant Co., crucial for understanding the company's performance and making informed investment decisions.

Risk Assessment

Risk Level: low — This is a routine quarterly financial filing and does not inherently present new risks.

Key Numbers

• 20240630 — Quarter End Date (Reporting period for the 10-Q)
• 20240808 — Filing Date (Date the report was submitted to the SEC)

Key Players & Entities

• TENNANT CO (company) — Filer
• 0000097134-24-000030 (filing_id) — Accession Number
• 20240630 (date) — Period of Report
• 20240808 (date) — Filing Date

FAQ

Key Financial Figures

• $0.375 — ich registered Common Stock, par value $0.375 per share TNC New York Stock Exchange

Filing Documents

• tnc-20240630.htm (10-Q) — 1187KB
• tnc-20240630xexx311.htm (EX-31.1) — 9KB
• tnc-20240630xexx312.htm (EX-31.2) — 9KB
• tnc-20240630xexx321.htm (EX-32.1) — 4KB
• tnc-20240630xexx322.htm (EX-32.2) — 4KB
• tnc-20240630_g1.jpg (GRAPHIC) — 17KB
• 0000097134-24-000030.txt ( ) — 7420KB
• tnc-20240630.xsd (EX-101.SCH) — 46KB
• tnc-20240630_cal.xml (EX-101.CAL) — 91KB
• tnc-20240630_def.xml (EX-101.DEF) — 239KB
• tnc-20240630_lab.xml (EX-101.LAB) — 629KB
• tnc-20240630_pre.xml (EX-101.PRE) — 457KB
• tnc-20240630_htm.xml (XML) — 1144KB

- FINANCIAL INFORMATION (Unaudited)

PART I - FINANCIAL INFORMATION (Unaudited) Page Item 1.

Financial Statements

Financial Statements 3 Consolidated Statements of Income 3 Consolidated Statements of Comprehensive Income 4 Consolidated Balance Sheets 5 Consolidated Statements of Cash Flows 6 Consolidated Statements of Equity 8

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 10 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 27 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 33 Item 4.

Controls and Procedures

Controls and Procedures 33

- OTHER INFORMATION

PART II - OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 33 Item 1A.

Risk Factors

Risk Factors 33 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 34

Other Information

Item 5. Other Information 32 Item 6. Exhibits 35

Signatures

Signatures 36 2 Table of Contents

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements TENNANT COMPANY CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (In millions, except shares and per share data) Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Net sales $ 331.0 $ 321.7 $ 642.0 $ 627.5 Cost of sales 188.3 182.2 361.8 362.5 Gross profit 142.7 139.5 280.2 265.0 Selling and administrative expense 92.9 87.0 182.8 168.7 Research and development expense 11.2 9.0 21.3 16.9 Operating income 38.6 43.5 76.1 79.4 Interest expense, net ( 2.5 ) ( 4.0 ) ( 4.8 ) ( 7.7 ) Net foreign currency transaction gain 0.7 1.0 0.5 0.9 Other income (expense), net 0.1 ( 0.6 ) 0.2 ( 0.7 ) Income before income taxes 36.9 39.9 72.0 71.9 Income tax expense 9.0 8.6 15.7 16.3 Net income $ 27.9 $ 31.3 $ 56.3 $ 55.6 Net income per share Basic $ 1.47 $ 1.70 $ 2.99 $ 3.02 Diluted $ 1.45 $ 1.68 $ 2.94 $ 2.98 Weighted average shares outstanding Basic 18,896,361 18,436,367 18,780,995 18,442,862 Diluted 19,206,801 18,713,455 19,141,274 18,691,736 3 Table of Contents TENNANT COMPANY CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (In millions) Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Net income $ 27.9 $ 31.3 $ 56.3 $ 55.6 Other comprehensive (loss) income: Foreign currency translation adjustments (net of related tax (expense) benefit of $ 0.1 , $ 0.2 , $( 0.1 ), and $ 0.3 , respectively) ( 7.1 ) 0.1 ( 15.3 ) 5.4 Derivative financial instruments (net of related tax expense of $ 0.1 , $ 0.4 , $ 0.4 , and $ 0.2 , respectively) 0.3 1.1 1.3 0.5 Total other comprehensive (loss) income, net of tax ( 6.8 ) 1.2 ( 14.0 ) 5.9 Comprehensive income $ 21.1 $ 32.5 $ 42.3 $ 61.5 See accompanying notes to consolidated financial statements. 4 Table of Contents TENNANT COMPANY CONSOLIDATED BALANCE SHEETS (Unaudited) (In millions, except shares and per share data) June 30, 2024 December 31, 2023 ASSETS Cash, cash equivalents, and restricted cash $ 84.6 $ 11

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) (In millions, except shares and per share data) 1. Summary of Significant Accounting Policies Tennant Company ("the Company", "we", "us", or "our") is a world leader in designing, manufacturing and marketing solutions that empower customers to achieve quality cleaning performance, reduce environmental impact and help create a cleaner, safer, healthier world. The Company is committed to creating and commercializing breakthrough, sustainable cleaning innovations to enhance its broad suite of products, including floor maintenance and cleaning equipment, detergent-free and other sustainable cleaning technologies, aftermarket parts and consumables, equipment maintenance and repair service, and asset management solutions. Our products are used in many types of environments, including retail establishments, distribution centers, factories and warehouses, public venues such as arenas and stadiums, office buildings, schools and universities, hospitals and clinics, and more. Customers include contract cleaners to whom organizations outsource facilities maintenance as well as businesses that perform facilities maintenance themselves. The Company reaches these customers through the industry's largest direct sales and service organization and through a strong and well-supported network of authorized distributors worldwide. Basis of Presentation – The accompanying unaudited consolidated financial statements have been prepared in accordance with the U.S. Securities and Exchange Commission ("SEC") requirements for interim reporting. In our opinion, the consolidated financial statements contain all adjustments (consisting of only normal recurring adjustments) necessary for the fair presentation of our financial position and results of operations. These statements should be read in conjunction with the consolidated financial statements and notes included in our annual report on Form 10-K for the year ended December 31, 2

View Full Filing

View this 10-Q filing on SEC EDGAR