Northern Technologies International ( (NTIC) ) has released its Q4 earnings. Here is a breakdown of the information Northern Technologies International presented to its investors.
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Northern Technologies International Corporation (NTIC) is a company that specializes in developing corrosion inhibiting products and biodegradable polymer resin compounds, primarily catering to industries such as automotive, oil and gas, and consumer markets. In its latest earnings report for the fourth quarter and full fiscal year 2024, NTIC highlighted a record consolidated net sales increase of 6.5% year-over-year, reaching $85.06 million. This growth was driven by robust sales in ZERUST oil and gas and Natur-Tec products, with net sales in the latter increasing by 20.9% to a record $21.97 million. The company’s gross profit margin also improved significantly, up 490 basis points to 39.7%.
Key financial metrics include a remarkable 85.7% increase in net income attributable to NTIC, which rose to $5.41 million compared to the prior year. The net income per diluted share also saw a substantial increase from $0.30 to $0.55. While ZERUST industrial net sales remained stable, a notable 18.3% increase in ZERUST oil and gas sales was recorded, and NTIC China saw a 5.8% sales rise. Despite a decrease in joint venture operating income due to a one-time gain in the previous year, NTIC’s strategic focus on improving quality systems and expanding its product offerings has bolstered overall profitability.
The company remains optimistic about future growth prospects, particularly with anticipated continued strong demand for the Natur-Tec compostable plastic solutions and potential recovery in European markets. NTIC has also made strategic investments in workforce and infrastructure to capitalize on upcoming opportunities. Although economic conditions are fluid, NTIC expects fiscal 2025 to bring further sales growth and improved profitability, reinforcing its commitment to resilience and innovation in challenging times.
