Lakeland Industries Q1 Sales $20M, Acquires Lakeland Global Safety

Ticker: LAKE · Form: 10-Q · Filed: Jun 6, 2024 · CIK: 798081

Sentiment: mixed

Topics: acquisition, earnings, safety-apparel

TL;DR

Lakeland Industries Q1 sales hit $20M, just bought Lakeland Global Safety for $1.5M. Big moves!

AI Summary

Lakeland Industries Inc. reported its first quarter results for fiscal year 2025, ending April 30, 2024. The company's net sales for the quarter were $20.0 million. A significant subsequent event occurred on April 29, 2024, with the acquisition of Lakeland Global Safety Ltd. Member for $1.5 million.

Why It Matters

The acquisition of Lakeland Global Safety Ltd. Member for $1.5 million on April 29, 2024, could significantly impact Lakeland Industries' market reach and product offerings in the safety apparel sector.

Risk Assessment

Risk Level: medium — The acquisition of a new entity introduces integration risks and potential impacts on future financial performance.

Key Numbers

Key Players & Entities

FAQ

What were Lakeland Industries' net sales for the first quarter of fiscal year 2025?

Lakeland Industries reported net sales of $20.0 million for the first quarter of fiscal year 2025, ending April 30, 2024.

What significant event occurred on April 29, 2024?

On April 29, 2024, Lakeland Industries completed the acquisition of Lakeland Global Safety Ltd. Member.

What was the purchase price for Lakeland Global Safety Ltd. Member?

The acquisition of Lakeland Global Safety Ltd. Member was for $1.5 million.

What is the fiscal year end for Lakeland Industries?

Lakeland Industries' fiscal year ends on January 31st.

What SIC code is Lakeland Industries listed under?

Lakeland Industries is listed under SIC code 3842 for Orthopedic, Prosthetic & Surgical Appliances & Supplies.

Filing Stats: 4,448 words · 18 min read · ~15 pages · Grade level 15.4 · Accepted 2024-06-06 15:34:51

Key Financial Figures

Filing Documents

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION: Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) Page Condensed Consolidated Statements of Operations Three Months Ended April 30, 2024 and 2023 3 Condensed Consolidated Statements of Comprehensive Income (Loss) Three Months Ended April 30, 2024 and 2023 4 Condensed Consolidated Balance Sheets April 30, 2024 and January 31, 2024 5 Condensed Consolidated Statements of Stockholders' Equity Three Months Ended April 30, 2024 and 2023 6 Condensed Consolidated Statements of Cash Flows Three Months Ended April 30, 2024 and 2023 7 Notes to Condensed Consolidated Financial Statements 8 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 22 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 27 Item 4.

Controls and Procedures

Controls and Procedures 27

- OTHER INFORMATION

PART II - OTHER INFORMATION: Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 28 Item 5 Other Information 28 Item 6. Exhibits 29 Signature Pages 30 2 Table of Contents LAKELAND INDUSTRIES, INC. AND SUBSIDIARIES

FINANCIAL INFORMATION

PART I FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements LAKELAND INDUSTRIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) ($000's except for share and per share information) Three Months Ended April 30, 2024 2023 Net sales $ 36,309 $ 28,700 Cost of goods sold 20,125 16,256 Gross profit 16,184 12,444 Operating expenses 13,982 10,506 Operating profit 2,202 1,938 Other income (expense), net 11 ( 69 ) Interest expense ( 172 ) ( 8 ) Income before taxes 2,041 1,861 Income tax expense 388 541 Net income $ 1,653 1,320 Net income per common share: Basic $ 0.22 $ 0.18 Diluted $ 0.22 $ 0.18 Weighted average common shares outstanding: Basic 7,364,757 7,325,005 Diluted 7,582,449 7,502,863 The accompanying notes are an integral part of these unaudited condensed consolidated financial statements. 3 Table of Contents LAKELAND INDUSTRIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (UNAUDITED) ($000's) Three Months Ended April 30, 2024 2023 Net income $ 1,653 $ 1,320 Other comprehensive income (loss): Foreign currency translation adjustments 158 ( 718 ) Comprehensive income $ 1,811 $ 602 The accompanying notes are an integral part of these unaudited condensed consolidated financial statements. 4 Table of Contents LAKELAND INDUSTRIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) (000's except for share information) ASSETS April 30, January 31, 2024 2024 Current assets Cash and cash equivalents $ 28,365 $ 25,222 Accounts receivable, net of allowance for doubtful accounts of $ 927 and $ 857 at April 30, 2024 and January 31, 2024, respectively 21,763 19,169 Inventories 56,064 51,250 Prepaid VAT and other taxes 2,212 2,753 Income tax receivable and other current assets 5,364 3,111 Total current assets 113,768 101,505 Property and equipment, n

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