Alpha Pro Tech, Ltd. Announces Second Quarter 2025 Financial Results
Alpha Pro Tech (NYSE American: APT) reported its Q2 2025 financial results with mixed performance across segments. Net sales increased 2.4% to $16.7 million compared to Q2 2024. The Building Supply segment showed strong growth with sales up 11.5% to $11.1 million, while Disposable Protective Apparel segment declined 12.0% to $5.6 million.
Net income decreased to $1.2 million ($0.12 per diluted share) from $1.6 million ($0.15 per diluted share) in Q2 2024. Gross profit margin declined to 36.8% from 42.0% year-over-year. The company maintains a strong balance sheet with $14.5 million in cash and $47.5 million in working capital with no debt as of June 30, 2025.
Alpha Pro Tech (NYSE American: APT) ha comunicato i risultati finanziari del secondo trimestre 2025, mostrando performance contrastanti tra i vari segmenti. Le vendite nette sono aumentate del 2,4% raggiungendo 16,7 milioni di dollari rispetto al secondo trimestre 2024. Il segmento Building Supply ha registrato una forte crescita con vendite in aumento dell'11,5% a 11,1 milioni di dollari, mentre il segmento Disposable Protective Apparel ha subito un calo del 12,0% a 5,6 milioni di dollari.
Il reddito netto è diminuito a 1,2 milioni di dollari (0,12 dollari per azione diluita) rispetto a 1,6 milioni di dollari (0,15 dollari per azione diluita) nel secondo trimestre 2024. Il margine lordo è sceso al 36,8% dal 42,0% anno su anno. L'azienda mantiene un bilancio solido con 14,5 milioni di dollari in liquidità e 47,5 milioni di dollari in capitale circolante, senza debiti al 30 giugno 2025.
Alpha Pro Tech (NYSE American: APT) informó sus resultados financieros del segundo trimestre de 2025 con un desempeño mixto entre sus segmentos. Las ventas netas aumentaron un 2,4% alcanzando los 16,7 millones de dólares en comparación con el segundo trimestre de 2024. El segmento de Suministros para Construcción mostró un fuerte crecimiento con ventas que subieron un 11,5% hasta 11,1 millones de dólares, mientras que el segmento de Ropa Protectora Desechable disminuyó un 12,0% a 5,6 millones de dólares.
El ingreso neto disminuyó a 1,2 millones de dólares (0,12 dólares por acción diluida) desde 1,6 millones de dólares (0,15 dólares por acción diluida) en el segundo trimestre de 2024. El margen bruto cayó al 36,8% desde 42,0% interanual. La compañía mantiene un balance sólido con 14,5 millones de dólares en efectivo y 47,5 millones de dólares en capital de trabajo, sin deuda al 30 de junio de 2025.
Alpha Pro Tech (NYSE American: APT)는 2025년 2분기 재무실적을 발표했으며, 부문별로 혼재된 성과를 보였습니다. 순매출은 2024년 2분기 대비 2.4% 증가한 1,670만 달러를 기록했습니다. 건축자재 부문은 매출이 11.5% 증가한 1,110만 달러로 강한 성장을 보였으나, 일회용 보호복 부문은 12.0% 감소한 560만 달러를 기록했습니다.
순이익은 2024년 2분기의 160만 달러(희석 주당 0.15달러)에서 120만 달러(희석 주당 0.12달러)로 감소했습니다. 총이익률은 전년 동기 대비 42.0%에서 36.8%로 하락했습니다. 회사는 2025년 6월 30일 기준 1,450만 달러의 현금과 4,750만 달러의 운전자본을 보유하고 있으며, 부채는 없습니다.
Alpha Pro Tech (NYSE American : APT) a publié ses résultats financiers du deuxième trimestre 2025, affichant des performances mitigées selon les segments. Le chiffre d'affaires net a augmenté de 2,4 % pour atteindre 16,7 millions de dollars par rapport au deuxième trimestre 2024. Le segment Building Supply a connu une forte croissance avec des ventes en hausse de 11,5 % à 11,1 millions de dollars, tandis que le segment Disposable Protective Apparel a chuté de 12,0 % à 5,6 millions de dollars.
Le bénéfice net a diminué pour s’établir à 1,2 million de dollars (0,12 dollar par action diluée) contre 1,6 million de dollars (0,15 dollar par action diluée) au deuxième trimestre 2024. La marge brute a reculé à 36,8 % contre 42,0 % sur un an. La société conserve une solide situation financière avec 14,5 millions de dollars en liquidités et 47,5 millions de dollars en fonds de roulement, sans dette au 30 juin 2025.
Alpha Pro Tech (NYSE American: APT) meldete seine Finanzergebnisse für das zweite Quartal 2025 mit gemischten Ergebnissen in den einzelnen Segmenten. Der Nettoumsatz stieg im Vergleich zum zweiten Quartal 2024 um 2,4 % auf 16,7 Millionen US-Dollar. Das Segment Building Supply verzeichnete ein starkes Wachstum mit einem Umsatzanstieg von 11,5 % auf 11,1 Millionen US-Dollar, während das Segment Disposable Protective Apparel um 12,0 % auf 5,6 Millionen US-Dollar zurückging.
Der Nettogewinn sank von 1,6 Millionen US-Dollar (0,15 US-Dollar je verwässerter Aktie) im zweiten Quartal 2024 auf 1,2 Millionen US-Dollar (0,12 US-Dollar je verwässerter Aktie). Die Bruttogewinnmarge fiel im Jahresvergleich von 42,0 % auf 36,8 %. Das Unternehmen verfügt über eine solide Bilanz mit 14,5 Millionen US-Dollar in bar und 47,5 Millionen US-Dollar Nettoumlaufvermögen und ist zum 30. Juni 2025 schuldenfrei.
- Building Supply segment achieved quarterly record sales, up 11.5% despite 9.0% decline in housing starts
- Strong balance sheet with $14.5 million cash and $47.5 million working capital with zero debt
- Active stock repurchase program with $2.7 million available for additional purchases
- New strategic regional partnerships established in Protective Apparel segment
- Net income declined 24.3% to $1.2 million compared to Q2 2024
- Gross profit margin decreased to 36.8% from 42.0% year-over-year
- Disposable Protective Apparel sales decreased 12.0%
- Face mask sales continue to fall below management expectations
- Negative impact from higher sales rebates, ocean freight rates, and US tariffs
Insights
APT reports mixed Q2 results with building supply strength offset by protective apparel weakness and margin compression.
Alpha Pro Tech's Q2 2025 results present a mixed financial picture. The company achieved
However, the company faces several headwinds. Net income decreased
The Disposable Protective Apparel segment presents challenges, with sales declining
The balance sheet remains solid with
APT's commitment to shareholder returns continues through its buyback program, with
Second Quarter Net Sales Increased
- Net sales for the second quarter of 2025 were
$16.7 million , up2.4% compared to$16.3 million for the second quarter of 2024- Building Supply segment sales increased by
$1.1 million , or11.5% , to$11.1 million , compared to$9.9 million for the three months ended June 30, 2024 - Disposable Protective Apparel sales decreased by
$760,000 , or12.0% , to$5.6 million , compared to$6.3 million for the same period of 2024
- Building Supply segment sales increased by
- Net income for the second quarter of 2025 was
$1.2 million , or$0.12 per diluted share, compared to$1.6 million , or$0.15 per diluted share, for the second quarter of 2024 - Cash of
$14.5 million and working capital of$47.5 million with no debt as of June 30, 2025
NOGALES, Ariz., Aug. 07, 2025 (GLOBE NEWSWIRE) -- Alpha Pro Tech, Ltd. (NYSE American: APT), a leading manufacturer of products designed to protect people, products and environments, including disposable protective apparel and building products, today announced financial results for the three and six months ended June 30, 2025.
Lloyd Hoffman, President and Chief Executive Officer of Alpha Pro Tech, commented, “Despite continued weakness in the housing market in the second quarter of 2025, with single-family housing starts down
Management expects further growth in the Building Supply segment in the second half of 2025 and is encouraged by the strong sales in the second quarter of 2025. However, there continues to be uncertainty in housing starts, volatility and uncertainty in the economy as well as a stronger than normal hurricane season in the latter part of 2024 which could affect this segment.”
Mr. Hoffman continued, “Sales of disposable protective garments for the three months ended June 30, 2025 were down
Sales of face masks in the second quarter of 2025 continued to fall below management's expectations while we have seen a positive trend with sales of face shields. Face mask sales continue to be negatively affected by excessive purchases by one of our channel partners in the latter part of 2024. Demand from this channel partner started to improve at the end of the second quarter, which will potentially continue through the rest of 2025.
Our distribution partnerships across multiple distribution channels are strong with mutual desire to achieve organic growth. Our efforts to discover and partner with new channels in this segment have been productive, and we are pleased to bring on a few select, strategic regional players this past quarter.”
2025 Second Quarter Financial Results:
Consolidated sales for the three months ended June 30, 2025, increased to
Building Supply segment sales for the three months ended June 30, 2025, increased by
Disposable Protective Apparel segment sales for the three months ended June 30, 2025, decreased by
Gross Profit
Gross profit decreased by
The gross profit margin in the three months ended June 30, 2025, was negatively affected by a margin decrease primarily in the Disposable Protective Apparel segment. Gross profit margin in the Disposable Protective Apparel segment in 2025 was lower compared to the 2024 margin, which was higher than historical margins. In addition, gross profit margin has been negatively affected in 2025, primarily by higher sales rebates, ocean freight rates and to a lesser degree US tariffs. Management will be increasing selling prices starting in July 2025 to partially mitigate the impact of the new 2025 US tariffs, but it is expected that tariffs will have a negative effect on gross profit.
Net Income
Net income for the three months ended June 30, 2025, was
Balance Sheet
As of June 30, 2025, the Company had cash and cash equivalents of
Colleen McDonald, Chief Financial Officer, commented, “As of June 30, 2025, we had
About Alpha Pro Tech, Ltd.
Alpha Pro Tech, Ltd. is the parent company of Alpha Pro Tech, Inc. and Alpha ProTech Engineered Products, Inc. Alpha Pro Tech, Inc. develops, manufactures and markets innovative disposable and limited-use protective apparel products for the industrial, clean room, medical and dental markets. Alpha ProTech Engineered Products, Inc. manufactures and markets a line of construction weatherization products, including building wrap and roof underlayment. The Company has manufacturing facilities in Nogales, Arizona, Valdosta, Georgia; and a joint venture in India. For more information and copies of all news releases and financials, visit Alpha Pro Tech’s website at http://www.alphaprotech.com.
Certain statements made in this press release constitute “forward-looking statements” within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include any statement that may predict, forecast, indicate or imply future results, performance or achievements instead of historical facts and may be identified 4 generally by the use of forward-looking terminology and words such as “expects,” “anticipates,” “estimates,” “believes,” “predicts,” “intends,” “plans,” “potentially,” “may,” “continue,” “should,” “will” and words of similar meaning. Without limiting the generality of the preceding statement, all statements in this press release relating to estimated and projected earnings, expectations regarding order volume, timing of fulfillment of orders, production capacity and our plans to ramp up production and expand capacity, product demand, availability of raw materials and supply chain access, margins, costs, expenditures, cash flows, sources of capital, growth rates and future financial and operating results are forward-looking statements. We caution investors that any such forward-looking statements are only estimates based on current information and involve risks and uncertainties that may cause actual results to differ materially from the results contained in the forward-looking statements. We cannot give assurances that any such statements will prove to be correct. Factors that could cause actual results to differ materially from those estimated by us include the risks, uncertainties and assumptions described from time to time in our public releases and reports filed with the Securities and Exchange Commission, including, but not limited to, our most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q. Specifically, these factors include, but are not limited to, our exposure to foreign currency exchange risks related to our unconsolidated affiliate operations in India; potential failure to remediate the material weakness in our internal controls; our partnership with a joint venture partner; the loss of any major customer or a reduction in order volume by our customers; the inability of our suppliers and contractors to meet our requirements; potential challenges related to international manufacturing; the inability to protect our intellectual property; competition in our industry; customer preferences; the timing and market acceptance of new product offerings; changes in global economic conditions; security breaches or disruptions to the information technology infrastructure; risks related to climate change and natural disasters or other events beyond our control; the effects of tariff policies and potential countermeasures; potential liabilities from environmental laws and regulations; uncertainties with respect to the development, deployment, and use of artificial intelligence; the impact of legal and regulatory proceedings or compliance challenges; and volatility in our common stock price and our investments. We also caution investors that the forward-looking information described herein represents our outlook only as of this date, and we undertake no obligation to update or revise any forward-looking statements to reflect events or developments after the date of this press release. Given these uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results.
| Company Contact: | Investor Relations Contact: |
| Alpha Pro Tech, Ltd. | HIR Holdings |
| Donna Millar | Cameron Donahue |
| 905-479-0654 | 651-707-3532 |
| e-mail: ir@alphaprotech.com | e-mail: cameron@hirholdings.com |
-- Tables follow --
Consolidated Balance Sheets (Unaudited)
| June 30, | December 31, | ||||||
| 2025 | 2024 | ||||||
| Assets | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | $ | 14,464,000 | $ | 18,636,000 | |||
| Accounts receivable, net | 8,363,000 | 3,692,000 | |||||
| Accounts receivable, related party | 1,417,000 | 1,202,000 | |||||
| Inventories, net | 22,361,000 | 22,733,000 | |||||
| Prepaid expenses | 3,938,000 | 4,376,000 | |||||
| Total current assets | 50,543,000 | 50,639,000 | |||||
| Property and equipment, net | 8,310,000 | 8,520,000 | |||||
| Goodwill | 55,000 | 55,000 | |||||
| Right-of-use assets | 8,252,000 | 8,714,000 | |||||
| Equity investment in unconsolidated affiliate | 6,005,000 | 5,814,000 | |||||
| Total assets | $ | 73,165,000 | $ | 73,742,000 | |||
| Liabilities and Shareholders' Equity | |||||||
| Current liabilities: | |||||||
| Accounts payable | $ | 1,380,000 | $ | 1,283,000 | |||
| Accrued liabilities | 694,000 | 947,000 | |||||
| Current portion of lease liabilities | 941,000 | 893,000 | |||||
| Total current liabilities | 3,015,000 | 3,123,000 | |||||
| Lease liabilities, net of current portion | 7,399,000 | 7,882,000 | |||||
| Deferred income tax liabilities, net | 503,000 | 503,000 | |||||
| Total liabilities | 10,917,000 | 11,508,000 | |||||
| Commitments and contingencies | |||||||
| Shareholders' equity: | |||||||
| Common stock, $.01 par value: 50,000,000 shares authorized; | |||||||
| 10,414,365 and 10,816,878 shares outstanding as of | |||||||
| June 30, 2025 and December 31, 2024, respectively | 104,000 | 108,000 | |||||
| Additional paid-in capital | 16,008,000 | 16,368,000 | |||||
| Retained earnings | 47,722,000 | 47,257,000 | |||||
| Accumulated other comprehensive loss | (1,586,000 | ) | (1,499,000 | ) | |||
| Total shareholders' equity | 62,248,000 | 62,234,000 | |||||
| Total liabilities and shareholders' equity | $ | 73,165,000 | $ | 73,742,000 | |||
(1) The condensed consolidated balance sheet as of December 31, 2024, has been prepared using information from the audited consolidated balance sheet as of that date.
Condensed Consolidated Statements of Comprehensive Income (Unaudited)
| For the Three Months Ended | For the Six Months Ended | |||||||||||
| June 30, | June 30, | |||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||
| Net sales | $ | 16,672,000 | $ | 16,289,000 | $ | 30,494,000 | $ | 29,772,000 | ||||
| Cost of goods sold, excluding depreciation | ||||||||||||
| and amortization | 10,541,000 | 9,448,000 | 18,971,000 | 17,513,000 | ||||||||
| Gross profit | 6,131,000 | 6,841,000 | 11,523,000 | 12,259,000 | ||||||||
| Operating expenses: | ||||||||||||
| Selling, general and administrative | 4,556,000 | 4,884,000 | 9,250,000 | 9,732,000 | ||||||||
| Depreciation and amortization | 240,000 | 245,000 | 483,000 | 489,000 | ||||||||
| Total operating expenses | 4,796,000 | 5,129,000 | 9,733,000 | - | 10,221,000 | |||||||
| Income from operations | 1,335,000 | 1,712,000 | 1,790,000 | 2,038,000 | ||||||||
| Other income: | ||||||||||||
| Equity in income of unconsolidated affiliate | 137,000 | 200,000 | 278,000 | 338,000 | ||||||||
| Interest income, net | 139,000 | 207,000 | 315,000 | 465,000 | ||||||||
| Total other income | 276,000 | 407,000 | 593,000 | 803,000 | ||||||||
| Income before provision for income taxes | 1,611,000 | 2,119,000 | 2,383,000 | 2,841,000 | ||||||||
| Provision for income taxes | 367,000 | 475,000 | 526,000 | 621,000 | ||||||||
| Net income | $ | 1,244,000 | $ | 1,644,000 | $ | 1,857,000 | $ | 2,220,000 | ||||
| Basic earnings per common share | $ | 0.12 | $ | 0.15 | $ | 0.18 | $ | 0.20 | ||||
| Diluted earnings per common share | $ | 0.12 | $ | 0.15 | $ | 0.18 | $ | 0.20 | ||||
| Basic weighted average common shares outstanding | 10,501,865 | 11,137,066 | 10,407,287 | 11,281,739 | ||||||||
| Diluted weighted average common shares outstanding | 10,611,052 | 11,226,341 | 10,517,652 | 11,375,701 | ||||||||
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FAQ
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