QEP Co Inc Stock Price, News & Analysis

Q.E.P. Co., Inc. (OTCQX: QEPC) announced an amendment to its loan agreement with Bank of America, enhancing financial flexibility.

The amendment enables up to $10 million for facility upgrades and permits the sale of property in Apple Creek, Ohio for $1.45 million. Additionally, it adjusts the Fixed Charge Coverage Ratio requirements.

This agreement supports the company’s working capital needs and general corporate purposes, ensuring the continued pursuit of strategic priorities.

Q.E.P. Co., Inc. (OTCQX: QEPC) reported net sales of $232.6 million for the first six months of fiscal 2023, up 2.3% from the prior year. The net income for the period was $0.5 million, with a net loss of $0.5 million for Q2. Gross profit decreased 3.5% to $60.1 million, impacting gross margins, which fell to 25.8%. Operating expenses rose to $58.5 million. Cash used in operations was $14.7 million, leading to increased borrowing. The company will hold a conference call on October 26, 2022, at 10:00 AM ET to discuss these results.

Q.E.P. CO., INC. (OTC: QEPC) reported its fiscal Q1 2023 results, revealing quarterly net sales of $117.1 million, a 2.3% increase from the previous year. However, net income declined to $1.0 million or $0.29 per diluted share, down from $2.6 million. The gross margin decreased to 26.4%, influenced by rising costs not fully offset by price increases. Cash used in operations was $8.8 million, contrasting last year's positive cash flow, while total debt rose to $43.4 million, representing 54.5% of equity.

Q.E.P. CO., INC. (QEPC) reported $445.5 million in net sales for the fiscal year ending February 28, 2022, reflecting a 14.9% increase from $387.6 million in 2021. Net income rose to $9.6 million or $2.88 per diluted share, compared to $6.9 million or $2.06 in the prior year. Despite a decrease in gross margin to 27.1% due to rising costs, adjusted EBITDA grew 18% to $18.3 million. Operating expenses decreased as a percentage of sales, aided by higher shipping costs and personnel expenses. The company aims to manage costs while investing strategically amidst ongoing supply chain challenges.

Q.E.P. Co., Inc. (OTCQX: QEPC) reported nine-month net sales of $339.2 million, a 17.8% increase from the previous year. Net income reached $7.7 million, with earnings per share of $2.31, up from $1.66 in fiscal 2021. Gross profit also rose to $92.8 million, but gross margin declined due to rising costs, reflecting 27.4% of net sales. Operating expenses increased to $81.1 million, influenced by high shipping and personnel costs as the company invests in infrastructure. The company will host a conference call on January 13, 2022, to discuss these results.

Q.E.P. Co., Inc. (OTCQX: QEPC) has announced an amendment to its Loan Agreement with Bank of America, extending the maturity date to November 22, 2026, while providing up to $85 million in revolving credit. Key changes include the addition of Q.E.P. Australia as a secured borrower, relaxed customer concentration limits, and updated covenant requirements. The amendment also transitions from LIBOR to alternative interest rates and reduces the pricing floor, enhancing financial flexibility for the Company.

Q.E.P. CO., INC. (QEPC) reported record net sales of $227.3 million for the first six months of fiscal 2022, a 20.2% increase from $189.1 million in the previous year. Net income reached $5.0 million against $3.4 million a year ago. Although gross profit improved by 17.4% to $62.3 million, the gross margin decreased to 27.4% due to rising product costs. Operating expenses increased to $54.7 million, attributed to higher shipping and personnel costs. The company's cash from operations also fell to $1.7 million as inventory investments rose.

Q.E.P. Co., Inc. (OTCQX: QEPC) has successfully upgraded from the Pink Market to the OTCQX® Best Market, effective today. This move aims to enhance the company's visibility and access within the investment community, showcasing a commitment to high standards in compliance and corporate governance. The OTCQX provides a premium platform for trading shares of established companies, adhering to rigorous financial and governance standards. Founded in 1979, QEP specializes in flooring and installation solutions, boasting a wide array of products sold globally.

Q.E.P. Co. reported record quarterly net sales of $114.4 million for Q1 FY2022, a 33.0% increase from $86.0 million in Q1 FY2021. Net income rose to $2.6 million or $0.79 per diluted share, compared to $0.7 million or $0.21 in the prior year. Gross profit also increased by 32.3% to $31.3 million. However, operating expenses grew due to higher shipping, personnel, and marketing costs, totaling $27.3 million. The company faces challenges from rising raw material costs and inflation. Cash from operations decreased to $1.4 million compared to $10.6 million in the same quarter last year.