National Presto Industries, Inc. (NYSE: NPK) has reported an increase in sales and earnings for the year 2024 compared to the prior year. The company's net consolidated sales rose by $47.3 million, representing a 13.9% increase, reaching $388.2 million in 2024. Net earnings also saw a significant increase, rising by $6.9 million, which amounts to a 20% growth, reaching $41.5 million in 2024, compared to $34.6 million in 2023.
The growth in sales was primarily attributed to the Defense segment, which experienced a substantial increase in sales of $42.3 million, representing a 17.5% rise. This surge was driven by heightened shipments from the segment's backlog, resulting in an $4.6 million increase in operating earnings, reflecting an 11.9% growth.
In addition, the Housewares/Small Appliance segment also contributed to the overall sales increase, with a $5.2 million or 5.3% rise in sales, driven by an improved retail environment, enhanced product distribution, and the absence of disruptions experienced in 2023. This led to an operating earnings increase of $5.3 million, representing a significant 71.4% growth.
However, the Safety segment reported a loss as it pursued certification of its smoke detectors and fire extinguishers. Nonetheless, the company's overall performance was bolstered by a favorable product mix and a favorable LIFO inventory adjustment.
In light of the company's cash requirements to support the inventories necessary to fulfill the Defense segment's backlog, National Presto Industries, Inc. announced that there will be no extra dividend paid in 2025. The company confirmed the regular dividend of $1.00 per share, continuing an unbroken history of eighty-one years of dividend payments.
The 2025 dividend's record date is March 4, 2025, with the payment date set for March 17, 2025. Furthermore, the company's 2025 annual meeting of shareholders is scheduled for May 20, 2025, with the record date for the annual meeting set for March 24, 2025.
National Presto Industries, Inc. operates in three business segments: Housewares/Small Appliance, Defense, and Safety. The Housewares/Small Appliance segment is known for its innovative products under the PRESTO® brand name, while the Defense segment manufactures various products, including ammunition and metal parts. The Safety segment offers smoke and carbon monoxide detectors and systems.
As a result of these announcements, the company's shares have moved -1.3% on the market, and are now trading at a price of $99.02. If you want to know more, read the company's complete 8-K report here.
