Tootsie Roll Industries Inc (TR) Quarterly 10-Q Report

The report was filed on November 8, 2024

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Tootsie Roll Industries, 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 net product sales to $223,891,000 from $248,336,000 in the same quarter the previous year, attributed to customer resistance to higher prices and timing of sales.

Product cost of goods sold decreased to $148,266,000 from $164,163,000, with a gross margin improvement due to higher price realization and improved manufacturing efficiencies.

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Selling, marketing, and administrative expenses increased to $41,825,000 from $39,300,000, primarily due to deferred compensation expenses.

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Earnings from operations were $35,244,000, down from $45,900,000 in the previous year, with adjusted earnings showing a smaller decline.

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Other income, net was $7,188,000, compared to a loss of $718,000, reflecting gains on trading securities and increased investment income.

The effective tax rate was 22.6%, down from 23.9%, contributing to net earnings of $32,844,000, compared to $34,382,000 in the previous year.

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Net cash provided by operating activities was $70,102,000, with cash used in investing activities at $32,176,000, including capital expenditures of $13,911,000.

The company continues to face market risks, including fluctuations in commodity prices and exchange rates, and is focused on long-term investments in manufacturing operations.

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The filing also discusses the company's pension obligations, including its participation in a multi-employer pension plan classified as in 'critical and declining status'.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Tootsie Roll Industries Inc. quarterly 10-Q report dated November 8, 2024. To report an error, please email earnings@qz.com.