false 0000008146 0000008146 2024-09-16 2024-09-16

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

 

FORM 8-K

 

 

CURRENT REPORT

Pursuant to Section 13 OR 15(d)

of The Securities Exchange Act of 1934

Date of report (Date of earliest event reported): September 16, 2024

 

 

ASTRONOVA, INC.

(Exact name of registrant as specified in its charter)

 

 

 

Rhode Island   0-13200   05-0318215
(State or other jurisdiction
of incorporation)		  

(Commission

File Number)

   (I.R.S. Employer
Identification No.)

600 East Greenwich Avenue

West Warwick, RI 02893

(Address of principal executive offices) (Zip Code)

(401) 828-4000

Registrant’s telephone number, including area code

Not applicable

(Former name or former address, if changed since last report.)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

 

  ☐

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

  ☐

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

  ☐

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

  ☐

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

 

Title of Each Class

  

Trading
Symbol(s)

  

Name of Each Exchange

on which Registered

Common Stock, $0.05 Par Value   ALOT   NASDAQ Global Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

 

Item 2.02

Results of Operations and Financial Condition.

On September 16, 2024, we issued a press release reporting the financial results for our fiscal second quarter ended August 3, 2024. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

The information contained in Item 2.02 of this report and Exhibit 99.1 attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.

 

Item 9.01

Financial Statement and Exhibits.

 

(d)

Exhibits

 

Exhibit
No.

   

Exhibit

99.1    Press Release dated September 16, 2024
104    Cover Page Interactive Data File (embedded within the Inline XBRL document)

 

 

2

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

    ASTRONOVA, INC.
Dated: September 16, 2024   By:  

/s/ Thomas D. DeByle

      Thomas D. DeByle
      Vice President, Chief Financial Officer and Treasurer

Exhibit 99.1

 

LOGO     News Release

AstroNova Reports Fiscal 2025 Second Quarter Financial Results

Company to host conference call at 9:30 a.m. ET today

 

  •  

Revenue of $40.5 million, up 14.1% year over year

 

  •  

Gross margin of 35.3%, up 800 basis points year over year; non-GAAP gross margin of 35.6%, unchanged year over year

 

  •  

Operating income of $1.1 million; non-GAAP operating income of $2.2 million

 

  •  

Net loss per share of $(0.04) vs. $(0.22) in the second quarter of fiscal year 2024; non-GAAP diluted earnings per share of $0.08 vs. $0.15 in the second quarter of fiscal 2024

 

  •  

Adjusted EBITDA of $3.9 million, up 5.3% year over year

West Warwick, R.I., September 16, 2024 – AstroNova, Inc. (Nasdaq: ALOT), a global leader in data visualization technologies, today announced financial results for its fiscal 2025 second quarter ended August 3, 2024.

CEO Commentary

“We demonstrated the resilience of our Product Identification (PI) and Test & Measurement (T&M) segments during a second quarter in which we began shipping a previously delayed order and benefited from the resolution of supply chain shortages,” said Greg Woods, AstroNova’s President and Chief Executive Officer. “In PI, total revenue increased more than 5% year-over-year and more than 17% sequentially, driven primarily by organic growth. T&M revenue grew 37% sequentially and year-over-year, reflecting continued momentum from our Aerospace product line.

“During the quarter we began the process of integrating our May acquisition of MTEX NS. Because MTEX was an entrepreneurial, private company, the integration got off to a slow start in the quarter, generating revenue of only $0.8 million and an operating loss of $1.4 million. We expect it to take through the remainder of fiscal 2025 to transition MTEX’s systems, processes and business tools to those of the AstroNova Operating System,” Woods said. “We remain excited about MTEX’s core strengths, including its engineering and manufacturing capabilities and especially its game-changing ink and printhead technologies. In the coming months we will be devoting additional resources to integrating that technology into more of our Product Identification products. Buoyed by several large tradeshows since the acquisition, MTEX has built a strong product backlog that we expect to begin shipping in the third and fourth quarters, which will enable the business to meet our target revenue contribution of $8 million to $10 million for full-year fiscal 2025.”

Business Outlook

“Looking ahead, we are optimistic about our growth prospects,” Woods continued. “We are well-positioned to continue driving organic growth, supported by our commitment to delivering innovative, high-margin products while maintaining strong cost controls. We anticipate achieving our fiscal year targets for revenue growth. As a result of the MTEX integration, we have reduced our consolidated FY 2025 Adjusted EBITDA margin estimate to a range of 9% to 10% and expect to be within the range of 13% to 14% in fiscal 2026.”

Q2 FY 2025 Financial Results

 

     GAAP     Non-GAAP  
($ in thousands except per share data)    Q2 FY25     Q2 FY24     YoY     Q2 FY25     Q2 FY24     YoY  

Revenue

    $ 40,539     $ 35,524       14.1 %       

Gross Profit

    $ 14,326     $ 9,710       47.5 %    $ 14,446     $ 12,659       14.1 % 

Gross Margin

      35.3 %      27.3 %      800 pts       35.6 %      35.6 %      —   

Operating Margin

      2.6 %      (3.4 %)      600 pts       5.5 %      6.5 %      (100 pts ) 

Net (Loss) Income

    $ (311 )    $ (1,617 )      —      $ 572     $ 1,089       (47.5 %) 

Net (Loss) Income Per Common Share

    $ (0.04 )    $ (0.22 )      —      $ 0.08     $ 0.15       (46.7 %) 

See reconciliation tables GAAP to Non-GAAP reconciliations.

Adjusted EBITDA was $3.9 million for the second quarter of fiscal 2025, compared with $3.7 million in the comparable period of fiscal 2024. Adjusted EBITDA for the fiscal 2025 period excludes the impact of $1.7 million in costs related to stock-based compensation, CFO transition and MTEX acquisition-related expenses. Adjusted EBITDA for the fiscal 2024 period excludes the impact of stock-based compensation, retrofit and restructuring costs of $3.9 million.

Bookings for the second quarter of fiscal 2025 were $35.8 million compared with $30.1 million in the second quarter of fiscal 2024. Bookings were primarily higher in the Test and Measurement segment.

Backlog as of August 3, 2024, was $29.9 million, compared with $31.6 million at the end of the first quarter of fiscal 2025, as some shipments delayed in the first quarter were shipped in the second quarter.

Q2 FY 2025 Operating Segment Results

Product Identification

PI segment revenue was $27.2 million in the second quarter of fiscal 2025, compared with $25.8 million in the second quarter of 2024, reflecting organic growth and the addition of MTEX NS. Segment operating profit was $2.3 million, or 8.6% of revenue, compared with a segment operating loss of $461,000, or (1.8%) of revenue, in the same period last year. Excluding the results of MTEX in fiscal 2025 and certain expenses in both periods (see reconciliation tables below for GAAP reconciliation), non-GAAP operating profit was $3.6 million, or 13.7% of revenue in the fiscal 2025 period, compared with non-GAAP operating profit of $3.0 million, or 11.5% of revenue, in the same period of fiscal 2024.

 

2

Test & Measurement

Test & Measurement (T&M) segment revenue was $13.4 million in the second quarter of fiscal 2025, compared with $9.7 million in the same period of fiscal 2024, representing a 37.2% increase. Segment operating profit was $3.8 million, or 28.7% of revenue, in the second quarter of fiscal 2025 compared with $1.9 million, or 19.7% of revenue, in the second quarter of fiscal 2024. This improvement reflected higher revenue and $1.3 million in revenue and $1.0 million in operating profit related to non-recurring items.

Earnings Conference Call Information

AstroNova will discuss its fiscal 2025 second quarter financial results in an investor conference call at 9:30 a.m. ET today. To access the conference call, please dial (833) 470-1428 (U.S. and Canada) or (404) 975-4839 (International) approximately 10 minutes prior to the start time and enter access code 381674. A real-time and an archived audio webcast of the call will be available through the “Investors” section of the AstroNova website, https://investors.astronovainc.com.

Use of Non-GAAP Financial Measures

In addition to financial measures prepared in accordance with generally accepted accounting principles (GAAP), this news release contains the non-GAAP financial measures non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating income, non-GAAP operating margin, non-GAAP net income, non-GAAP net income (loss) per common share and Adjusted EBITDA. AstroNova believes that the inclusion of these non-GAAP financial measures helps investors gain a meaningful understanding of changes in the Company’s core operating results and can help investors who wish to make comparisons between AstroNova and other companies on both a GAAP and a non-GAAP basis. AstroNova’s management uses these non-GAAP financial measures, in addition to GAAP financial measures, as the basis for measuring its core operating performance and comparing such performance to that of prior periods and to the performance of its competitors. These measures are also used by the Company’s management to assist with their financial and operating decision-making. Please refer to the financial reconciliation table included in this news release for a reconciliation of the non-GAAP measures to the most directly comparable GAAP measures for the three months ended August 3, 2024, and July 29, 2023.

AstroNova has not reconciled the forward-looking Adjusted EBITDA growth percentage included in its 2025 financial targets and outlook to the most directly comparable forward-looking GAAP measure because this cannot be done without unreasonable effort due to the lack of predictability regarding cost of sales, operating expenses, depreciation and amortization, and stock-based compensation. The impact of any of these items, individually or in the aggregate, may be significant.

 

3

About AstroNova

AstroNova (Nasdaq: ALOT), a global leader in data visualization technologies since 1969, designs, manufactures, distributes, and services a broad range of products that acquire, store, analyze, and present data in multiple formats.

The Product Identification segment provides a wide array of digital, end-to-end product marking and identification solutions, including hardware, software, and supplies for OEMs, commercial printers, and brand owners. The Test and Measurement segment provides products designed for airborne printing solutions, avionics, and data acquisition. Our aerospace products include flight deck printing solutions, networking hardware, and specialized aerospace-grade supplies. Our data acquisition systems are used in research and development, flight testing, missile and rocket telemetry production monitoring, power, and maintenance applications.

AstroNova is a member of the Russell Microcap® Index and the LD Micro Index (INDEXNYSEGIS: LDMICRO). Additional information is available by visiting https://astronovainc.com/.

Forward-Looking Statements

Information included in this news release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact, but rather reflect our current expectations concerning future events and results. These statements may include the use of the words “believes,” “expects,” “intends,” “plans,” “anticipates,” “likely,” “continues,” “may,” “will,” and similar expressions to identify forward-looking statements. Such forward-looking statements, including those concerning the Company’s anticipated performance, involve risks, uncertainties and other factors, some of which are beyond our control, which may cause our actual results, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. These risks, uncertainties and factors include, but are not limited to, (i) the risk that we may not be able to realize the expected synergies from our acquisition of MTEX NS, (ii) the risk that apparent improvements in the Aerospace sector may not continue, (iii) the risk that supply chain issues may persist longer than we expect, (iv) the risk that we may not be able to incorporate customer-requested design enhancements into our products on the timeframe that we expect or at all, (v) the risk that we may not be able to ship delayed hardware items on the timeline we expect or at all ,and (vi) those factors set forth in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2024 and subsequent filings AstroNova makes with the Securities and Exchange Commission. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The reader is cautioned not to unduly rely on such forward-looking statements when evaluating the information presented in this news release.

Contact:

Scott Solomon

Senior Vice President

Sharon Merrill Advisors

(857) 383-2409

ALOT@investorrelations.com

 

4

ASTRONOVA, INC.

Condensed Consolidated Statements of Income

In Thousands Except for Per Share Data

(Unaudited)

 

     Three Months Ended  
     August 3,
2024		     July 29,
2023		  

Net Revenue

    $ 40,539     $ 35,524  

Cost of Revenue

      26,213       25,814  
  

 

 

    

 

 

  

Gross Profit

      14,326       9,710  

Total Gross Profit Margin

      35.3 %      27.3 % 

Operating Expenses:

     

Selling & Marketing

      6,732       6,697  

Research & Development

      1,412       1,557  

General & Administrative

      5,121       2,654  
  

 

 

    

 

 

  

Total Operating Expenses

      13,265       10,908  

Operating Income (Loss)

      1,061       (1,198 ) 

Total Operating Margin

      2.6 %      (3.4 )% 

Other Expense, net

      1,111       809  
  

 

 

    

 

 

  

Income (Loss) Before Taxes

      (50 )      (2,007 ) 

Income Tax Provision (Benefit)

      261       (390 ) 
  

 

 

    

 

 

  

Net Income (Loss)

    $ (311 )    $ (1,617 ) 
  

 

 

    

 

 

  

Net Income (Loss) per Common Share - Basic

    $ (0.04 )    $ (0.22 ) 
  

 

 

    

 

 

  

Net Income (Loss) per Common Share - Diluted

    $ (0.04 )    $ (0.22 ) 
  

 

 

    

 

 

  

Weighted Average Number of Common Shares - Basic

      7,516       7,420  

Weighted Average Number of Common Shares - Diluted

      7,516       7,420  

 

     Six Months Ended  
     August 3,
2024		     July 29,
2023		  

Net Revenue

    $ 73,500     $ 70,943  

Cost of Revenue

      47,202       48,847  
  

 

 

    

 

 

  

Gross Profit

      26,298       22,096  

Total Gross Profit Margin

      35.8 %      31.1 % 

Operating Expenses:

     

Selling & Marketing

      12,388       12,707  

Research & Development

      3,015       3,345  

General & Administrative

      8,488       5,780  
  

 

 

    

 

 

  

Total Operating Expenses

      23,891       21,832  

Operating Income

      2,407       264  

Total Operating Margin

      3.3 %      0.4 % 

Other Expense, net

      1,711       1,244  
  

 

 

    

 

 

  

Income (Loss) Before Taxes

      696       (980 ) 

Income Tax Provision (Benefit)

      (173 )      (211 ) 
  

 

 

    

 

 

  

Net Income (Loss)

    $ 869     $ (769 ) 
  

 

 

    

 

 

  

Net Income (Loss) per Common Share - Basic

    $ 0.12     $ (0.10 ) 
  

 

 

    

 

 

  

Net Income (Loss) per Common Share - Diluted

    $ 0.11     $ (0.10 ) 
  

 

 

    

 

 

  

Weighted Average Number of Common Shares - Basic

      7,489       7,396  

Weighted Average Number of Common Shares - Diluted

      7,617       7,396  

ASTRONOVA, INC.

Consolidated Balance Sheets

In Thousands

(Unaudited)

 

     August 3,
2024		     January 31,
2024		  

ASSETS

     

CURRENT ASSETS

     

Cash and Cash Equivalents

    $ 4,824     $ 4,527  

Accounts Receivable, net

      23,450       23,056  

Inventories, net

      50,569       46,371  

Prepaid Expenses and Other Current Assets

      4,218       2,720  
  

 

 

    

 

 

  

Total Current Assets

      83,061       76,674  

PROPERTY, PLANT AND EQUIPMENT

      69,215       57,046  

Less Accumulated Depreciation

      (50,465 )      (42,861 ) 
  

 

 

    

 

 

  

Property, Plant and Equipment, net

      18,750       14,185  

OTHER ASSETS

     

Intangible Assets, net

      27,314       18,836  

Goodwill

      25,368       14,633  

Deferred Tax Assets

      10,854       6,882  

Right of Use Asset

      1,920       603  

Other Assets

      1,750       1,438  
  

 

 

    

 

 

  

TOTAL ASSETS

    $ 169,017     $ 133,251  
  

 

 

    

 

 

  

LIABILITIES AND SHAREHOLDERS’ EQUITY

     

CURRENT LIABILITIES

     

Accounts Payable

    $ 10,456     $ 8,068  

Accrued Compensation

      3,577       2,923  

Other Liabilities and Accrued Expenses

      4,369       2,706  

Revolving Line of Credit

      13,354       8,900  

Current Portion of Long-Term Debt

      6,513       2,842  

Short-Term Debt

      3,092       —   

Current Portion of Royalty Obligation

      1,575       1,700  

Current Liability – Excess Royalty Payment Due

      798       935  

Income Taxes Payable

      —        349  

Deferred Revenue

      785       1,338  
  

 

 

    

 

 

  

Total Current Liabilities

      44,519       29,761  

NON-CURRENT LIABILITIES

     

Long-Term Debt, net of current portion

      22,675       10,050  

Royalty Obligation, net of current portion

      1,663       2,093  

Lease Liability, net of current portion

      1,633       415  

Grant Deferred Revenue

      1,476       —   

Contingent Liability Earn Out

      1,629       —   

Income Tax Payables

      551       551  

Deferred Tax Liabilities

      3,121       99  
  

 

 

    

 

 

  

TOTAL LIABILITIES

      77,267       42,969  

SHAREHOLDERS’ EQUITY

     

Common Stock

      546       541  

Additional Paid-in Capital

      63,563       62,684  

Retained Earnings

      64,739       63,869  

Treasury Stock

      (35,025 )      (34,593 ) 

Accumulated Other Comprehensive Loss, net of tax

      (2,073 )      (2,219 ) 
  

 

 

    

 

 

  

TOTAL SHAREHOLDERS’ EQUITY

      91,750       90,282  
  

 

 

    

 

 

  

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

    $ 169,017     $ 133,251  
  

 

 

    

 

 

  

ASTRONOVA, INC.

Condensed Consolidated Statements of Cash Flows

(In Thousands)

(Unaudited)

 

     Six Months Ended  
     August 3, 2024     July 29, 2023  

Cash Flows from Operating Activities:

     

Net Income (Loss)

    $ 869     $ (769 ) 

Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:

     

Depreciation and Amortization

      2,216       2,144  

Amortization of Debt Issuance Costs

      14       11  

Share-Based Compensation

      806       754  

Restructuring - non-cash

      —        2,040  

Changes in Assets and Liabilities, net of impact of acquisition:

     

Accounts Receivable

      3,612       3,612  

Inventories

      (384 )      283  

Income Taxes

      (721 )      (1,461 ) 

Accounts Payable and Accrued Expenses

      2,409       (2,267 ) 

Deferred Revenue

      (619 )      —   

Other

      (1,136 )      371  
  

 

 

    

 

 

  

Net Cash Provided by Operating Activities

      7,066       4,718  

Cash Flows from Investing Activities:

     

Purchases of Property, Plant and Equipment

      (830 )      (494 ) 

Cash Paid for MTEX Acquisition, net of cash acquired

      (20,729 )      —   
  

 

 

    

 

 

  

Net Cash Provided (Used) for Investing Activities

      (21,559 )      (494 ) 

Cash Flows from Financing Activities:

     

Net Cash Proceeds from Employee Stock Option Plans

      13       71  

Net Cash Proceeds from Share Purchases under Employee Stock Purchase Plan

      65       54  

Net Cash Used for Payment of Taxes Related to Vested Restricted Stock

      (432 )      (350 ) 

Borrowings under Revolving Credit Facility

      3,912       —   

Repayment under Revolving Credit Facility

      —        (2,000 ) 

Proceeds from Long-Term Debt Borrowings

      15,078       —   

Payment of Minimum Guarantee Royalty Obligation

      (750 )      (875 ) 

Principal Payments of Long-Term Debt

      (3,274 )      (750 ) 

Payments of Debt Issuance Costs

      (35 )      —   
  

 

 

    

 

 

  

Net Cash Provided (Used) for Financing Activities

      14,577       (3,850 ) 

Effect of Exchange Rate Changes on Cash and Cash Equivalents

      213       210  
  

 

 

    

 

 

  

Net Increase in Cash and Cash Equivalents

      297       584  

Cash and Cash Equivalents, Beginning of Period

      4,527       3,946  
  

 

 

    

 

 

  

Cash and Cash Equivalents, End of Period

    $ 4,824     $ 4,530  
  

 

 

    

 

 

  

Supplemental Disclosures of Cash Flow Information:

     

Cash Paid During the Period for:

     

Cash Paid During the Period for Interest

    $ 1,008     $ 1,184  

Cash Paid During the Period for Income Taxes, net of refunds

    $ 540     $ 1,264  

Non-Cash Transactions:

     

Capital Lease Obtained in Exchange for Capital Lease Liabilities

    $ 1,455     $ —   

ASTRONOVA, INC.

Revenue and Segment Operating Profit

In Thousands

(Unaudited)

 

     Revenue      Segment Operating Profit  
     Three Months Ended      Three Months Ended  
     August 3,
2024		      July 29,
2023		      August 3,
2024		     July 29,
2023		  

Product Identification

    $ 27,165      $ 25,777      $ 2,348     $ (461 ) 

Test & Measurement

      13,374        9,747        3,834       1,917  
  

 

 

     

 

 

     

 

 

    

 

 

  

Total

    $ 40,539      $ 35,524        6,182       1,456  
  

 

 

     

 

 

       

Corporate Expenses

            5,121       2,654  
        

 

 

    

 

 

  

Operating Income (Loss)

            1,061       (1,198 ) 

Other Expense, net

            1,111       809  
        

 

 

    

 

 

  

Income (Loss) Before Income Taxes

            (50 )      (2,007 ) 

Income Tax Provision (Benefit)

            261       (390 ) 
        

 

 

    

 

 

  

Net Income (Loss)

          $ (311 )    $ (1,617 ) 
        

 

 

    

 

 

  
     Revenue      Segment Operating Profit  
     Six Months Ended      Six Months Ended  
     August 3,
2024		      July 29,
2023		      August 3,
2024		     July 29,
2023		  

Product Identification

    $ 50,350      $ 50,872      $ 5,340     $ 2,055  

Test & Measurement

      23,150        20,071        5,555       3,989  
  

 

 

     

 

 

     

 

 

    

 

 

  

Total

    $ 73,500      $ 70,943        10,895       6,044  
  

 

 

     

 

 

       

Corporate Expenses

            8,488       5,780  
        

 

 

    

 

 

  

Operating Income

            2,407       264  

Other Expense, net

            1,711       1,244  
        

 

 

    

 

 

  

Income (Loss) Before Income Taxes

            696       (980 ) 

Income Tax Provision (Benefit)

            (173 )      (211 ) 
        

 

 

    

 

 

  

Net Income (Loss)

          $ 869     $ (769 ) 
        

 

 

    

 

 

  

ASTRONOVA, INC.

Reconciliation of GAAP to Non-GAAP Items

In Thousands Except for Per Share Data

(Unaudited)

 

     Three Months Ended  
     August 3,
2024		     July 29,
2023		  

Gross Profit

    $ 14,326     $ 9,710  

Inventory Step-Up

      120       —   

Restructuring Charges

      —        2,096  

Product Retrofit Costs

      —        852  
  

 

 

    

 

 

  

Non-GAAP Gross Profit

    $  14,446     $  12,658  
  

 

 

    

 

 

  

Operating Expenses

    $ 13,265     $ 10,908  

MTEX-related Acquisition Expenses

      (625 )      —   

CFO Transition Costs

      (432 )      —   

Restructuring Charges

      —        (555 ) 
  

 

 

    

 

 

  

Non-GAAP Operating Expenses

    $ 12,208     $ 10,353  
  

 

 

    

 

 

  

Operating Income (Loss)

    $ 1,061     $  (1,198 ) 

MTEX-related Acquisition Expenses

      625       —   

CFO Transition Costs

      432       —   

Inventory Step-Up

      120       —   

Restructuring Charges

      —        2,651  

Product Retrofit Costs

      —        852  
  

 

 

    

 

 

  

Non-GAAP Operating Income

    $ 2,238     $ 2,305  
  

 

 

    

 

 

  

Net Income (Loss)

    $ (311 )    $
 		  
(1,617		  
) 

MTEX-related Acquisition Expenses, net

      470       —   

CFO Transition Costs, net

      328       —   

Inventory Step-Up, net

      85       —   

Restructuring Charges, net

      —        2,048  

Product Retrofit Costs, net

      —        658  
  

 

 

    

 

 

  

Non-GAAP Net Income

    $ 572     $ 1,089  
  

 

 

    

 

 

  

Diluted Earnings (Loss) Per Share

    $ (0.04 )    $ (0.22 ) 

MTEX-related Acquisition Expenses

      0.06       —   

CFO Transition Costs

      0.05       —   

Inventory Step-Up

      0.01       —   

Restructuring Charges

      —        0.28  

Product Retrofit Costs

      —        0.09  
  

 

 

    

 

 

  

Non-GAAP Diluted Earnings (Loss) Per Share

    $ 0.08     $ 0.15  
  

 

 

    

 

 

  

 

     Six Months Ended  
     August 3,
2024		     July 29,
2023		  

Gross Profit

    $ 26,298     $ 22,096  

Inventory Step-Up

      120       —   

Restructuring Charges

      —        2,096  

Product Retrofit Costs

      —        852  
  

 

 

    

 

 

  

Non-GAAP Gross Profit

    $  26,418     $  25,044  
  

 

 

    

 

 

  

Operating Expenses

    $ 23,891     $ 21,832  

MTEX-related Acquisition Expenses

      (625 )      —   

CFO Transition Costs

      (432 )      —   

Restructuring Charges

      —        (555 ) 
  

 

 

    

 

 

  

Non-GAAP Operating Expenses

    $ 22,834     $ 21,277  
  

 

 

    

 

 

  

Operating Income

    $ 2,407     $ 264  

MTEX-related Acquisition Expenses

      625       —   

CFO Transition Costs

      432       —   

Inventory Step-Up

      120       —   

Restructuring Charges

      —        2,651  

Product Retrofit Costs

      —        852  
  

 

 

    

 

 

  

Non-GAAP Operating Income

    $ 3,584     $ 3,767  
  

 

 

    

 

 

  

Net Income (Loss)

    $ 869     $ (769 )

MTEX-related Acquisition Expenses, net

      470       —   

CFO Transition Costs, net

      328       —   

Inventory Step-Up, net

      85       —   

Restructuring Charges, net

      —        2,048  

Product Retrofit Costs, net

      —        658  
  

 

 

    

 

 

  

Non-GAAP Net Income

    $ 1,752     $ 1,937  
  

 

 

    

 

 

  

Diluted Earnings (Loss) Per Share

    $ 0.11     $ (0.10 ) 

MTEX-related Acquisition Expenses

      0.06       —   

CFO Transition Costs

      0.05       —   

Inventory Step-Up

      0.01       —   

Restructuring Charges

      —        0.28  

Product Retrofit Costs

      —        0.09  
  

 

 

    

 

 

  

Non-GAAP Diluted Earnings Per Share

    $ 0.23     $ 0.27  
  

 

 

    

 

 

  

ASTRONOVA, INC.

Reconciliation of GAAP to Non-GAAP Items for PI Segment

Amounts in Thousands

(Unaudited)

 

     Q2 FY25      Q2 FY24  
     Total PI
Segment as
Reported		      MTEX As
Reported		     Inventory
Step Up		     Adj MTEX
(Non Gaap)		     PI
Excluding
MTEX
(Non Gaap)		      Total PI
Segment as
Reported		     Restructuring
and Product
Retrofit
Adjustments		     Total PI
Segment
(Non Gaap)		  

Sales

    $  27,165      $ 768     $ —      $ 768     $  26,397      $  25,777     $ —      $  25,777  

Cost of Revenue

      18,544        836       (120 )      716       17,828        19,487       (2,948 )      16,539  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

Gross Profit

      8,621        (68 )      120       52       8,569        6,290       2,948       9,238  

Operating Expenses

      6,273        1,328       —       1,328       4,945        6,751       (472 )      6,279  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

Segment Operating Profit

    $ 2,348      $  (1,396 )    $ 120     $  (1,276 )    $ 3,624      $ (461 )    $ 3,420     $ 2,959  
  

 

 

     

 

 

    

 

 

    

 

 

    

 

 

     

 

 

    

 

 

    

 

 

  

ASTRONOVA, INC.

Reconciliation of Net Income (Loss) to Adjusted EBITDA

Amounts In Thousands

(Unaudited)

 

     Three Months Ended  
     August 3, 2024     July 29, 2023  

Net Income (Loss)

    $  (311 )    $  (1,617 ) 

Interest Expense

      938       674  

Income Tax Expense (Benefit)

      261       (390 ) 

Depreciation & Amortization

      1,305       1,089  
  

 

 

    

 

 

  

EBITDA

    $  2,193     $ (244 ) 
  

 

 

    

 

 

  

Share-Based Compensation

      481       398  

MTEX-related Acquisition Expenses

      625       —   

CFO Transition Costs

      432       —   

Inventory Step-Up

      120       —   

Restructuring Charges

      —        2,651  

Product Retrofit Costs

      —        852  
  

 

 

    

 

 

  

Adjusted EBITDA

    $ 3,851     $ 3,657  
  

 

 

    

 

 

  
     Six Months Ended  
     August 3, 2024     July 29, 2023  

Net Income (Loss)

    $ 869     $ (769 ) 

Interest Expense

      1,419       1,289  

Income Tax Expense (Benefit)

      (173 )      (211 ) 

Depreciation & Amortization

      2,216       2,144  
  

 

 

    

 

 

  

EBITDA

    $ 4,331     $ 2,453  
  

 

 

    

 

 

  

Share-Based Compensation

      806       754  

MTEX-related Acquisition Expenses

      625       —   

CFO Transition Costs

      432       —   

Inventory Step-Up

      120       —   

Restructuring Charges

      —        2,651  

Product Retrofit Costs

      —        852  
  

 

 

    

 

 

  

Adjusted EBITDA

    $ 6,314     $ 6,710  
  

 

 

    

 

 

  

ASTRONOVA, INC.

Reconciliation of Segment Operating Income (Loss) to Non-GAAP Operating Income

Amounts In Thousands

(Unaudited)

 

     Three Months Ended  
     Product
Identification		      August 3, 2024
Test &
Measurement		      Total      Product
Identification		     July 29, 2023
Test &
Measurement		      Total  

Segment Operating Profit (Loss)

    $ 2,348      $ 3,834      $ 6,182      $ (461 )    $ 1,917      $ 1,456  

Inventory Step-Up

      120        —         120        —        —         —   

Restructuring Charges

      —         —         —         2,568       —         2,568  

Product Retrofit Costs

      —         —         —         852       —         852  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

     

 

 

  

Non-GAAP - Segment Operating Profit

    $ 2,468      $ 3,834      $ 6,302      $ 2,959     $ 1,917      $ 4,876  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

     

 

 

  
     Six Months Ended  
     Product
Identification		      August 3, 2024
Test &
Measurement		      Total      Product
Identification		     July 29, 2023
Test &
Measurement		      Total  

Segment Operating Profit

    $ 5,340      $ 5,555      $  10,895      $ 2,055     $ 3,989      $  6,044  

Inventory Step-Up

      120        —         120        —        —         —   

Restructuring Charges

      —         —         —         2,568       —         2,568  

Product Retrofit Costs

      —         —         —         852       —         852  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

     

 

 

  

Non-GAAP - Segment Operating Profit

    $  5,460      $  5,555      $ 11,015      $  5,475     $  3,989      $ 9,464  
  

 

 

     

 

 

     

 

 

     

 

 

    

 

 

     

 

 

  
v3.24.3
Document and Entity Information
Sep. 16, 2024
Cover [Abstract]  
Amendment Flag false
Entity Central Index Key 0000008146
Document Type 8-K
Document Period End Date Sep. 16, 2024
Entity Registrant Name ASTRONOVA, INC.
Entity Incorporation State Country Code RI
Entity File Number 0-13200
Entity Tax Identification Number 05-0318215
Entity Address, Address Line One 600 East Greenwich Avenue
Entity Address, City or Town West Warwick
Entity Address, State or Province RI
Entity Address, Postal Zip Code 02893
City Area Code (401)
Local Phone Number 828-4000
Written Communications false
Soliciting Material false
Pre Commencement Tender Offer false
Pre Commencement Issuer Tender Offer false
Security 12b Title Common Stock, $0.05 Par Value
Trading Symbol ALOT
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
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