Business
Virco Reports 33.7% Increase in First Quarter Revenue; Net Income of $2.1 million; Declares Regular Quarterly Dividend
Seasonally Light Quarter Swings to Profit on Strong Shipments, Steady MarginsBoard Declares Quarterly Dividend of $0.02 per Share, payable July 12, 2024 to
About this update from Virco Manufacturing Corporation
[{"type":"text","content":"Seasonally Light Quarter Swings to Profit on Strong Shipments, Steady MarginsBoard Declares Quarterly Dividend of $0.02 per Share, payable July 12, 2024 to Shareholders of Record as of June 21, 2024Company Completes First Round of Open Market Share Repurchases Totaling $1.5 million; Current Authorization Includes Additional $3.5 Million for Future Repurchases TORRANCE, Calif., June 07, 2024 (GLOBE NEWSWIRE) -- Virco Mfg. Corporation (NASDAQ: VIRC), the leading manufacturer and supplier of movable furniture and equipment for educational environments in the United States, announced shipments for the First Quarter ended April 30, 2024, grew 33.7% compared to the same quarter in the prior year, generating net income of $2.1 million vs. a loss of $1.4 million in the same seasonally light quarter of the prior year. The Company’s Board also declared a regular quarterly dividend of $0.02 per share, payable on July 12, 2024 to shareholders of record as of June 21, 2024. In addition, the Company reported that it has completed its first round of open market share repurchases totaling $1.5 million. A large individual order related to disaster relief and recovery contributed materially to the strong First Quarter results. This project is now partially complete. Virco’s annual cycle typically peaks in summer, when schools are out of session and therefore able to receive furniture deliveries without interrupting student instruction. Management anticipates that after this large project is completed, the Company’s delivery cycle will revert to its normal seasonal pattern. As previously reported, Virco’s domestic U.S. operations, including vertically integrated sales, manufacturing, logistics, and field service continued to deliver efficient performance in the midst of a challenging economic environment. Shipments for the Company’s First Quarter ended April 30, 2024, totaled $46.7 million vs. $34.9 million in the same quarter of the prior year. Gross margin improved to 43.5% from 37.8%, primarily due to the efficiencies of higher factory output and stable raw material costs and supplies. Gross profit for the Quarter was $20.3 million vs. $13.2 million the prior year, an increase of 54.1%. Selling, General and Administrative expense increased to $17.4 million from $14.5 million but decreased as a percent of sales to 37.2% from 41.5% in the prior y...