On May 30, 2024, Park Aerospace Corp (PKE, Financial) released its 8-K filing detailing the financial results for the fourth quarter and full fiscal year ended March 3, 2024. Park Aerospace Corp designs, develops, and manufactures advanced composite materials and structures for the aerospace market, with a significant presence in North America, Asia, and Europe.
Fiscal Year and Fourth Quarter Performance
Park Aerospace Corp reported net sales of $16.33 million for the fourth quarter of fiscal year 2024, a notable increase from $13.53 million in the same quarter of the previous year and $11.64 million in the third quarter of fiscal year 2024. For the full fiscal year 2024, net sales were $56.00 million, up from $54.06 million in fiscal year 2023.
Net earnings for the fourth quarter were $2.67 million, down from $4.71 million in the fourth quarter of fiscal year 2023 but up from $1.20 million in the third quarter of fiscal year 2024. For the full fiscal year 2024, net earnings were $7.47 million, compared to $10.73 million in fiscal year 2023.
Financial Achievements and Challenges
Despite the increase in net sales, Park Aerospace Corp faced challenges that impacted its net earnings. The company recorded several special items, including $570,000 in pre-tax activist shareholder defense costs and $65,000 in pre-tax losses on sales of investments. These special items contributed to the decline in net earnings compared to the previous fiscal year.
Adjusted EBITDA for the fourth quarter was $3.20 million, up from $2.63 million in the fourth quarter of fiscal year 2023 and $1.81 million in the third quarter of fiscal year 2024. For the full fiscal year 2024, Adjusted EBITDA was $10.99 million, slightly down from $11.46 million in fiscal year 2023.
Income Statement and Key Metrics
Key details from the income statement include:
| Period | Net Sales | Net Earnings | Adjusted EBITDA |
|---|---|---|---|
| Q4 FY2024 | $16.33 million | $2.67 million | $3.20 million |
| Q4 FY2023 | $13.53 million | $4.71 million | $2.63 million |
| FY2024 | $56.00 million | $7.47 million | $10.99 million |
| FY2023 | $54.06 million | $10.73 million | $11.46 million |
Balance Sheet and Cash Flow
As of March 3, 2024, Park Aerospace Corp reported total assets of $132.31 million, down from $159.33 million as of February 26, 2023. The company's cash and marketable securities decreased to $77.21 million from $105.44 million. Total liabilities were reduced to $19.40 million from $43.40 million, reflecting a decrease in current liabilities and non-current income taxes payable.
Analysis and Conclusion
Park Aerospace Corp's financial performance in fiscal year 2024 highlights both growth in net sales and challenges in maintaining net earnings. The increase in net sales demonstrates the company's ability to expand its market presence, while the decline in net earnings underscores the impact of special items and increased costs. The company's focus on advanced composite materials and structures for the aerospace market positions it well for future growth, despite the current financial challenges.
For a detailed analysis and further insights, visit the full 8-K filing.
Explore the complete 8-K earnings release (here) from Park Aerospace Corp for further details.
