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Hudson Technologies, Inc. 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 revenues to $61.9 million from $76.5 million in the same quarter the previous year. This decrease is attributed to lower selling prices and reduced volume of refrigerants sold.
Cost of sales for the quarter was $46.0 million, representing 74% of sales, compared to 60% in the same quarter of the previous year. This increase in cost ratio is due to higher costs of sales driven by the sale of inventory held at higher prices.
The company reported a gross profit of $15.9 million for the quarter, compared to $30.6 million in the previous year, with the decline attributed to reduced selling prices.
Selling, general, and administrative expenses increased to $8.1 million from $6.8 million, primarily due to higher personnel costs and professional fees.
Net income for the quarter was $7.8 million, down from $13.6 million in the previous year, primarily due to lower sales prices and higher SG&A costs.
Cash provided by operating activities was $71.1 million, while cash used in investing and financing activities was $24.4 million and $2.6 million, respectively.
Hudson had a working capital of $156.9 million as of September 30, 2024. The company expects to meet its working capital requirements from anticipated cash flows and available funds under the Amended Wells Fargo (WFC-0.75%) Facility.
The filing details the acquisition of USA Refrigerants for $20.7 million, with potential benefits including a broader customer network and enhanced geographic footprint.
The company announced a share repurchase program, authorizing up to $20 million in repurchases through 2025, with $2.6 million repurchased during the quarter.
Hudson does not anticipate any material changes to its risk factors as outlined in its previous filings.
The company continues to focus on its refrigerant reclamation and distribution business, acknowledging the impact of regulatory changes and market conditions on its operations.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Hudson Technologies Inc. quarterly 10-Q report dated November 8, 2024. To report an error, please email earnings@qz.com.