Cadre Holdings Reports Strong Financial Growth

By Bobby Samwell • Saturday, August 10 15:17 • Permanent Link

Cadre Holdings, Inc. has recently released its 10-Q report, detailing its financial performance for the three and six months ended June 30, 2024. The company operates in the manufacturing and distribution of safety equipment and related products for law enforcement, first responders, military, and nuclear markets. Cadre's product offerings include body armor, explosive ordnance disposal equipment, and duty gear, which are distributed to both domestic and international markets.

In the three months ended June 30, 2024, Cadre reported net sales of $144.3 million, representing a 19.2% increase from the same period in 2023. For the six months ended June 30, 2024, net sales amounted to $282.2 million, a 21.2% increase from the previous year. The company's net income for the three months ended June 30, 2024, was $12.6 million, up 14.3% from the same period in 2023. For the six months ended June 30, 2024, net income was $19.5 million, an 8.3% increase from the prior year.

Cadre's adjusted EBITDA for the three months ended June 30, 2024, was $28.3 million, compared to $22.8 million in the same period in 2023. For the six months ended June 30, 2024, adjusted EBITDA amounted to $52.8 million, up from $41.4 million in the previous year.

The company completed a secondary offering in March 2024, issuing and selling 2,200,000 shares of common stock at a price of $35.00 per share, resulting in net proceeds of $72.8 million. In April 2024, the underwriters exercised the full amount of their over-allotment option, purchasing an additional 545,719 shares of common stock at the same price, resulting in net proceeds of $18.3 million.

Cadre's orders backlog, which is a forward-looking indicator of potential sales, stood at $151.1 million as of June 30, 2024, representing an increase of $24.5 million from December 31, 2023. The company attributes this growth to recent acquisitions and higher demand for its products, particularly in the armor and duty gear categories.

In terms of segment performance, the Product segment reported net sales of $128.4 million for the three months ended June 30, 2024, marking a 24.2% increase from the same period in 2023. The Distribution segment, on the other hand, reported net sales of $25.6 million, remaining relatively stable compared to the prior year.

Today the company's shares have moved -1.0% to a price of $33.85. Check out the company's full 10-Q submission here.

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