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Thermon Group Holdings Inc. (THR-2.21%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing includes financial statements for the quarter, showing a decrease in sales to $134,353,000 from $136,427,000 in the same quarter the previous year. This decrease was primarily driven by lower sales in the US-LAM and APAC segments, although Canada and EMEA segment revenues increased.
Cost of sales for the quarter was $72,232,000, resulting in a gross profit of $62,121,000, compared to $57,410,000 in the previous year. The gross margin improved due to a favorable mix of point-in-time revenue.
Selling, general, and administrative expenses increased to $34,123,000 from $31,853,000, driven by expenses from recent acquisitions and investments in strategic initiatives.
Net income for the quarter was $18,539,000, up from $15,837,000 in the previous year. The increase in net income was attributed to a gain from the sale of the Denver facility and improved gross margins.
Cash provided by operating activities was $31,060,000, while cash used in investing and financing activities was $11,319,000 and $27,822,000, respectively.
Thermon had a working capital of $280,227,000 as of December 31, 2024. The company continues to manage its working capital effectively through optimizing inventory levels and extending payment terms with suppliers.
The filing also details recent acquisitions, including F.A.T.I. and Vapor Power, which are expected to strengthen Thermon's market position.
Thermon does not anticipate any material changes in its contractual obligations during fiscal 2025 and does not have any off-balance sheet arrangements.
The company identified foreign currency risk as a primary market risk, with approximately 50% of its revenue generated by non-U.S. subsidiaries. Interest rate risk is also noted due to variable interest rates on its term loan facilities.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Thermon Group Holdings Inc. quarterly 10-Q report dated February 6, 2025. To report an error, please email earnings@qz.com.