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Retractable Technologies Inc. (RVP-2.76%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing details the company's financial performance, noting a decrease in net sales to $33,049,533 from $43,596,926 in 2023. This decline is attributed to reduced domestic and international sales, particularly in syringes and needles.
The company reported a gross loss of $1,028,176 compared to a gross profit of $9,107,811 in the previous year. This shift is largely due to increased costs associated with tariffs and a decrease in sales volume.
Operating expenses totaled $20,077,391, slightly down from $20,596,020 in 2023. The decrease is primarily due to reduced property tax expenses, offset by higher litigation costs and sales and marketing expenses.
The company incurred a net loss of $11,886,524, compared to a net loss of $7,011,036 in 2023. The increased loss is due to lower gross profit and a significant provision for income taxes.
Retractable Technologies faced challenges with tariffs on products imported from China, which materially impacted operating results. Approximately $1.6 million was spent on tariff expenses from September to December 2024.
The company is working to increase domestic production to mitigate the financial impact of tariffs. Efforts include shifting manufacturing of certain products to its domestic facility.
Retractable Technologies continues to hold a significant investment in debt and equity securities valued at $40,328,308 as of December 31, 2024, representing 25.1% of total assets.
The company identified material weaknesses in internal control over financial reporting, specifically in the documentation and evaluation of revenue contract terms. Management is implementing measures to address these weaknesses.
The filing also discusses ongoing legal proceedings, including a lawsuit against former legal representatives and a complaint regarding tariffs, which was withdrawn in January 2025.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Retractable Technologies Inc. annual 10-K report dated March 28, 2025. To report an error, please email earnings@qz.com.