In This Story
SPAR Group, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing details a decrease in net revenues to $37.8 million for the quarter, down from $67.3 million in the same quarter the previous year. This decline is attributed to the company's exit from several international markets, including South Africa, Australia, Brazil, China, and the US NMS JV.
Cost of revenues for the quarter was $29.3 million, representing 77.5% of net revenues, compared to 80.1% in the same quarter of the previous year.
The company reported a gross profit of $8.4 million for the quarter, compared to $13.4 million in the previous year.
Selling, general, and administrative expenses were approximately $8.6 million for the quarter, or 22.6% of net revenues, compared to $11.3 million, or 16.8%, in the previous year.
Net loss for the quarter was $232,000, compared to a net income of $1.1 million in the previous year.
Cash used in operating activities was $730,000 for the nine months ended September 30, 2024, compared to cash provided by operating activities of $1.6 million in the previous year.
Net cash provided by investing activities was $9.5 million, primarily due to proceeds from the sale of joint ventures, compared to cash used in investing activities of $1.0 million in the previous year.
Net cash provided by financing activities was $210,000, compared to cash used in financing activities of $1.5 million in the previous year.
The company reported a working capital of $26.2 million as of September 30, 2024.
SPAR Group does not anticipate cash dividend payments to common stockholders in the near future.
The filing also discusses the company's potential going private transaction with Highwire Capital, LLC, expected to close in the fourth quarter of 2024.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the SPAR Group Inc. quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.