United Guardian Stock Price, News & Analysis

United-Guardian, Inc. (NASDAQ:UG) has concluded its strategic alternatives review with no viable opportunities identified for the company at this time. The company will continue to focus on growth strategies for its core businesses while remaining open to future strategic alternatives. Additionally, President and CEO Ken Globus plans to retire by year-end, initiating a search for a successor. Globus, with 39 years of tenure at the company, will assist in the transition. The Board aims to find a leader aligned with its vision for growth.

United-Guardian, Inc. (NASDAQ:UG) reported Q1 2022 net sales of $3,892,358, a 13% increase from $3,430,868 in Q1 2021. However, net income decreased to $911,465 ($0.20 per share) from $1,181,202 ($0.26 per share) in the previous year, primarily due to losses from marketable securities and rising raw material costs. The Board declared a semi-annual dividend of $0.37 per share, marking 27 consecutive years of dividends. Looking ahead, the company expects profitability to continue into Q2 2022, though they plan to reassess future dividends depending on market conditions.

United-Guardian, Inc. (NASDAQ: UG) reported a 41% increase in net income for FY 2021 compared to FY 2020, achieving net income of $4.66 million ($1.01 per share). Net sales rose by 27% to $13.93 million. The company saw a significant demand boost for its cosmetic ingredients, particularly with a 61% sales increase in this category. Sales in China surged, and Europe saw a 42% boost. Overall, 2021 was one of the company's most profitable years, signaling optimism for continued growth in 2022.

United-Guardian, Inc. (NASDAQ:UG) has initiated a formal review process to explore strategic alternatives aimed at maximizing shareholder value. This review may include joint ventures, partnerships, or even a sale of the Company. President Ken Globus emphasized the need to position the Company for growth post-COVID-19, leveraging its established product portfolio and market relationships. Capstone Partners is assisting with financial advice, while Brownstein Hyatt Farber Schreck is providing legal counsel. No timelines for the review or specific outcomes were disclosed.

United-Guardian (NASDAQ:UG) declared a cash dividend of $0.65 per share, to be paid on December 7, 2021, for stockholders on record by November 29, 2021. This represents a 35% increase from the previous dividend of $0.48 this year and an 81% increase from $0.36 in December 2020. Ken Globus, President, noted the company's recovery from the pandemic has allowed them to enhance their financial position and provide a record total dividend of $1.13 for the year. The Board remains confident in overcoming potential supply chain issues moving into 2022.

United-Guardian (NASDAQ:UG) reported a 42% rise in net income for Q3 2021, reaching $1,016,506 ($0.22 per share), compared to $717,532 ($0.16) in Q3 2020. Net sales surged by 36% to $3,179,746, up from $2,336,360. For the first nine months of 2021, net income increased by 31% to $3,542,232 ($0.77 per share), with sales climbing 19% to $10,268,592. Cosmetic ingredient sales multiplied by 187%, boosted by a 300% increase from a partner in Asia. Despite ongoing supply chain challenges, the company anticipates continued growth into 2022.

United-Guardian, Inc. (NASDAQ:UG) reported a 24% increase in Q2 sales, reaching $3,657,978 compared to $2,954,644 in 2020. Net income rose from $1,186,611 ($0.26/share) to $1,344,524 ($0.29/share). For the first half of 2021, sales increased by 13% to $7,088,846, with net income rising from $1,976,918 ($0.43/share) to $2,525,726 ($0.55/share). A significant 68% growth in cosmetic ingredient sales was noted, although future projections remain uncertain due to the pandemic.

United-Guardian, Inc. (NASDAQ:UG) has announced a cash dividend of $0.48 per share, set to be paid on June 7, 2021, to all shareholders recorded by May 31, 2021. This marks the 26th consecutive year of dividends. The decision, made during the Board of Directors meeting on May 18, 2021, reflects strong first-quarter earnings and a positive outlook for the second quarter, with a 33% increase from the prior mid-year dividend. President Ken Globus expressed confidence in the company’s financial health and anticipated market recovery.

United-Guardian, Inc. (NASDAQ: UG) reported a 49% increase in net income for Q1 2021, rising to $1,181,202 ($0.26 per share) from $790,307 ($0.17 per share) in Q1 2020. Net sales also increased by 3% to $3,430,868. The growth was driven by higher sales of cosmetic ingredients, pharmaceutical products, and medical lubricants. The company noted an improvement in distributor inventory levels compared to the previous year, which had been impacted by the pandemic.