In This Story
Dynatronics Corporation (DYNT-0.85%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing a decrease in net sales to $7,602,000 from $9,352,000 in the same quarter the previous year. The decrease is attributed to a reduction in overall volume for OEM customers and a general reduction in demand for orthopedic soft bracing products.
Gross profit for the quarter was $1,981,000, representing 26.1% of net sales, compared to 24.7% in the same quarter of the previous year. This increase in gross profit percentage was driven by higher product margin rates in physical therapy and rehabilitation products.
Selling, general, and administrative expenses decreased to $2,232,000 from $2,546,000, primarily due to reductions in salaries, benefits, and sales expenses.
Net other expense for the quarter was $106,000, up from $80,000 in the previous year, due to increased interest expense from the company's line of credit.
Net loss for the quarter was $367,000, compared to $331,000 in the previous year. After preferred stock dividends, the net loss attributable to common stockholders was $534,000, compared to $528,000 in the previous year.
Cash provided by operating activities was $101,000, while cash used in financing activities was $306,000, primarily due to repayments on the line of credit.
Dynatronics had a working capital of $2,535,000 as of September 30, 2024. The company believes its current capital resources provide sufficient liquidity for the next 12 months but acknowledges potential impacts from economic uncertainties.
The filing also discusses a proposed reverse stock split approved by the board, which may occur at any time within a year from shareholder approval.
The company maintains a line of credit with Gibraltar Business Capital, LLC, with a maximum availability of $7,500,000, bearing interest at SOFR plus 5.00%.
The report confirms no changes in internal control over financial reporting during the quarter.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Dynatronics Corporation quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.