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Pyxus International, 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 sales to $566.3 million from $624.3 million in the same quarter the previous year. This decrease is attributed to a reduction in kilo volumes sold, despite an increase in average sales prices.
Cost of goods and services sold for the quarter was $490.9 million, representing 86.7% of sales, compared to 85.8% in the same quarter of the previous year. This increase in cost ratio is due to undersupply conditions and inflation.
The company reported a gross profit of $75.4 million for the quarter, compared to $88.7 million in the previous year, with the decline attributed to product and regional mix.
A gain of $6.9 million was recorded from debt retirement related to the repurchase of 2027 Notes at a discount.
Selling, general, and administrative expenses decreased to $38.8 million from $40.0 million, primarily due to cost management efforts.
Net loss for the quarter was $3.2 million, compared to a net income of $8.1 million in the previous year. The decrease is primarily due to lower sales and higher interest expenses.
Cash used in operating activities was $280.3 million, while cash provided by investing and financing activities was $93.5 million and $220.0 million, respectively.
Pyxus had a working capital of $387.6 million as of September 30, 2024. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also details various financial agreements, including an amendment to the ABL Credit Facility and the repurchase of long-term debt.
Pyxus does not anticipate cash dividend payments to common stockholders in the near future.
The company identified no changes in its internal controls over financial reporting during the quarter.
Pyxus continues to focus on managing its debt and improving operational efficiency amidst challenging market conditions.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Pyxus International Inc (New) quarterly 10-Q report dated November 12, 2024. To report an error, please email earnings@qz.com.