EX-99.1 2 acu-ex99_1.htm EX-99.1 EX-99.1

Ex 99.1

 

ACME UNITED CORPORATION NEWS RELEASE

CONTACT: Paul G. Driscoll Acme United Corporation 1 Waterview Drive Shelton, CT 06484

Phone: (203) 254-6060

 

FOR IMMEDIATE RELEASE October 21, 2025

 

 

ACME UNITED REPORTS 2% INCREASE IN NET SALES FOR THE

THIRD QUARTER OF 2025

 

SHELTON, CT – October 21, 2025 – Acme United Corporation (NYSE American: ACU) today announced that net sales for the quarter ended September 30, 2025 were $49.1 million compared to $48.2 million in the third quarter of 2024, an increase of 2%. Net sales for the nine months ended September 30, 2025 were $149.0 million compared to $148.5 million in the same period in 2024.

 

Net income was $1.9 million, or $0.46 per diluted share, for the quarter ended September 30, 2025, compared to $2.2 million, or $0.54 per diluted share, for the same period in 2024, a decrease of 14% in net income and 15% in diluted earnings per share. Net income declined due to significantly lower tax expense in the third quarter of 2024, when the Company recorded a large excess tax benefit resulting from the exercise of stock options. The effective tax rate in the third quarter of 2024 was 8% compared to 22% in the same quarter of this year.

 

Net income for each of the nine month periods ended September 30, 2025 and 2024 was $8.3 million, or $2.03 per diluted share.

 

Chairman and CEO Walter C. Johnsen said, “We have continued to effectively manage through tariff-related uncertainties. Our first aid revenues increased 9% due to strong online and refill sales. Revenues from our Westcott cutting tools continued to be reduced, however, by the impact of the tariff environment on our customers, which has resulted in our customers’ cancellation of nearly all retail promotions. We are now experiencing increased promotional activity as buyers are again focused on growing sales.

 

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Ex 99.1

Mr. Johnsen continued, “We are pleased that Acme United’s business continued to be profitable, with operating income increasing 3%. In addition, we continue to reduce debt and, as a result of our strong balance sheet, the Company is well-positioned for growth, both internally and through acquisitions, particularly in the first aid space.”

 

For the three months ended September 30, 2025, net sales in the U.S. segment increased 1% compared to the same period in 2024. Sales of first aid and medical products were strong. However, sales of school and office products were lower mainly due to the cancellation of customer orders as a result of tariff uncertainty. For the nine months ended September 30, 2025, net sales in the U.S. segment decreased 1% compared to the same period in 2024.

 

European net sales for the three months ended September 30, 2025 increased 13% in U.S. dollars and 6% in local currency compared to the same period of 2024, mainly due to higher sales of school and office products into the ecommerce channel. Net sales for the nine months ended September 30, 2025 increased 1% in U.S. dollars and decreased 2% in local currency compared to the same period of 2024.

Net sales in Canada for the three months ended September 30, 2025 increased 5% in U.S. dollars and 7% in local currency compared to the same period in 2024. Net sales for the nine months ended September 30, 2025 increased 14% in U.S. dollars and 16% in local currency compared to the first nine months of 2024. The increases in sales for both periods were due to strong sales of first-aid products.

 

Gross margin was 39.1% in the three months ended September 30, 2025 versus 38.5% in the same period last year. Gross margin was 39.8% for the nine-month period ended September 30, 2025 compared to 39.0% for the same period in 2024.

 

The Company’s bank debt less cash as of September 30, 2025 was $23.1 million compared to $26.7 million as of September 30, 2024. During the twelve-month period ended September 30, 2025, the Company distributed approximately $2.3 million in dividends on its common stock and generated approximately $11.1 million in free cash flow, before the

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Ex 99.1

purchase for cash of a new $6 million facility in Tennessee in July 2025 to expand the Company’s Spill Magic business.

Conference Call and Webcast Information

Acme United will hold a conference call to discuss its quarterly results, which will be broadcast on Tuesday, October 21, 2025, at 12:00 p.m. ET. To listen or participate in a question-and-answer session, dial 877-407-0784. International callers may dial 201-689-8560. The confirmation code is 13756138. You may access the live webcast of the conference call through the Investor Relations section of the Company’s website, www.acmeunited.com. A replay may be accessed under Investor Relations, Audio Archives.

 

About Acme United

ACME UNITED CORPORATION is a leading worldwide supplier of innovative safety solutions and cutting technology to the school, home, office, hardware, sporting goods and industrial markets. Its leading brands include First Aid Only®, First Aid Central®, PhysiciansCare®, Pac-Kit®, Spill Magic®, Westcott®, Clauss®, DMT®, Med-Nap and Elite First Aid. For more information, visit www.acmeunited.com.

 

Forward Looking Statements

 

The Company may from time to time make written or oral “forward-looking statements” including statements contained in this report and in other communications by the Company, which are made in good faith pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Such statements are based on our beliefs as well as assumptions made by and information currently available to us. When used in this document, words like “may,” “might,” “will,” “except,” “anticipate,” “believe,” “potential,” and similar expressions are intended to identify forward-looking statements. Actual results could differ materially from our current expectations.

 

Forward-looking statements in this report, including without limitation, statements related to the Company’s plans, strategies, objectives, expectations, intentions and adequacy of resources, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such

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Ex 99.1

forward-looking statements involve risks and uncertainties that may impact the Company’s business, operations and financial results.

 

These risks and uncertainties include, without limitation, the following: (i) changes in the Company’s plans, strategies, objectives, expectations and intentions, which may be made at any time at the discretion of the Company; (ii) the impact of volatility in global economic conditions, including the impact on the Company’s suppliers and customers; (iii) international trade policies of the United States or foreign governments and their impact on demand for our products and our competitive position, including the imposition of new tariffs, changes in existing tariff rates or the threat of any such action;*1(iv) the continuing adverse impact of inflation, including product costs, and interest rates; (v) potential adverse effects on the Company, its customers, and suppliers resulting from the conflicts in Ukraine and the Middle East; (vi) additional disruptions in the Company’s supply chains, whether caused by pandemics, natural disasters, including trucker shortages, strikes, port closures or otherwise; (vii) labor related costs the Company has and may continue to incur, including costs of acquiring and training new employees and rising wages and benefits; (viii) currency fluctuations; (ix) the Company’s ability to effectively manage its inventory in a rapidly changing business environment; (x) changes in client needs and consumer spending habits; (xi) the impact of competition; (xii) the impact of technological changes including, specifically, the growth of online marketing and sales activity; and (xiii) the Company’s ability to manage its growth effectively, including its ability to successfully integrate any business it might acquire; and (xiv) other risks and uncertainties indicated from time to time in the Company’s filings with the Securities and Exchange Commission.

 

# # #

 

 


 

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Ex 99.1

ACME UNITED CORPORATION

 

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

 

THIRD QUARTER REPORT 2025

 

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

 

Three Months Ended

 

Amounts in 000's except per share data

 

September 30, 2025

 

 

 

September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net sales

$

 

49,063

 

 

 $

 

48,166

 

Cost of goods sold

 

 

29,868

 

 

 

 

29,602

 

Gross profit

 

 

19,195

 

 

 

 

18,564

 

Selling, general and administrative expenses

 

 

16,188

 

 

 

 

15,638

 

Operating income

 

 

3,007

 

 

 

 

2,926

 

Interest expense

 

 

451

 

 

 

 

568

 

Interest income

 

 

(29

)

 

 

 

(33

)

Net interest expense

 

 

422

 

 

 

 

535

 

Other expense (income), net

 

 

146

 

 

 

 

(17

)

Income before income tax expense

 

 

2,439

 

 

 

 

2,408

 

Income tax expense

 

 

536

 

 

 

 

182

 

Net income

$

 

1,903

 

 

 $

 

2,226

 

 

 

 

 

 

 

 

 

Shares outstanding - basic

 

 

3,802

 

 

 

 

3,726

 

Shares outstanding - diluted

 

 

4,168

 

 

 

 

4,104

 

 

 

 

 

 

 

 

 

Earnings per share - basic

$

 

0.50

 

 

$

 

0.60

 

Earnings per share - diluted

 

 

0.46

 

 

 

 

0.54

 

 

 

 

 

 

 

 

 

 

 

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Ex 99.1

ACME UNITED CORPORATION

 

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

 

THIRD QUARTER REPORT 2025

 

(Unaudited)

 

 

 

 

 

 

 

 

 

 

 

Nine Months Ended

 

 

 

Nine Months Ended

 

Amounts in 000's except per share data

 

September 30, 2025

 

 

 

September 30, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net sales

$

 

149,018

 

 

 $

 

148,547

 

Cost of goods sold

 

 

89,756

 

 

 

 

89,960

 

Gross profit

 

 

59,262

 

 

 

 

58,587

 

Selling, general and administrative expenses

 

 

47,438

 

 

 

 

46,728

 

Operating income

 

 

11,824

 

 

 

 

11,859

 

Interest expense

 

 

1,310

 

 

 

 

1,622

 

Interest income

 

 

(88

)

 

 

 

(105

)

Net interest expense

 

 

1,222

 

 

 

 

1,517

 

Other income, net

 

 

(44

)

 

 

 

(90

)

Income before income tax expense

 

 

10,646

 

 

 

 

10,432

 

Income tax expense

 

 

2,338

 

 

 

 

2,117

 

Net income

$

 

8,308

 

 

 $

 

8,315

 

 

 

 

 

 

 

 

 

Shares outstanding - basic

 

 

3,781

 

 

 

 

3,686

 

Shares outstanding - diluted

 

 

4,091

 

 

 

 

4,087

 

 

 

 

 

 

 

 

 

Earnings per share - basic

$

 

2.20

 

 

$

 

2.26

 

Earnings per share - diluted

 

 

2.03

 

 

 

 

2.03

 

 

 

 

 

 

 

 

 

 

 

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Ex 99.1

ACME UNITED CORPORATION

 

CONDENSED CONSOLIDATED BALANCE SHEETS

 

THIRD QUARTER REPORT 2025

 

(Unaudited)

 

 

 

 

 

 

 

 

 

Amounts in $000's

 

 

 

 

 

 

 

 

 

September 30, 2025

 

 

 

September 30, 2024

 

Assets

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

Cash and cash equivalents

$

 

5,146

 

 

$

 

5,702

 

Accounts receivable, net

 

 

30,034

 

 

 

 

31,349

 

Inventories

 

 

60,163

 

 

 

 

55,990

 

Prepaid expenses and other current assets

 

 

3,363

 

 

 

 

5,733

 

Total current assets

 

 

98,706

 

 

 

 

98,774

 

 

 

 

 

 

 

 

 

Property, plant and equipment, net

 

 

38,691

 

 

 

 

30,892

 

 

 

 

 

 

 

 

 

Operating lease right of use asset

 

 

7,261

 

 

 

 

4,808

 

Intangible assets, less accumulated amortization

 

 

18,476

 

 

 

 

22,810

 

Goodwill

 

 

9,908

 

 

 

 

8,189

 

Total assets

$

 

173,042

 

 

$

 

165,473

 

 

 

 

 

 

 

 

 

Liabilities and stockholders' equity

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

Accounts payable

$

 

6,488

 

 

$

 

7,008

 

Operating lease liability - short term

 

 

1,427

 

 

 

 

1,550

 

Mortgage payable - short term

 

 

450

 

 

 

 

433

 

Other current liabilities

 

 

13,722

 

 

 

 

13,403

 

Total current liabilities

 

 

22,087

 

 

 

 

22,394

 

 

 

 

 

 

 

 

 

Long-term debt

 

 

18,255

 

 

 

 

22,018

 

Mortgage payable - long term

 

 

9,556

 

 

 

 

9,970

 

Operating lease liability - long term

 

 

5,900

 

 

 

 

3,357

 

Deferred income taxes

 

 

1,465

 

 

 

 

899

 

Other non-current liabilities

 

 

15

 

 

 

 

518

 

Total liabilities

 

 

57,278

 

 

 

 

59,156

 

Total stockholders' equity

 

 

115,764

 

 

 

 

106,317

 

Total liabilities and stockholders' equity

$

 

173,042

 

 

$

 

165,473

 

 

 

 

 

 

 

 

 

 

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