Smith-Midland Corporation ( (SMID) ) has released its Q4 earnings. Here is a breakdown of the information Smith-Midland Corporation presented to its investors.
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Smith-Midland Corporation, a company specializing in the invention, development, manufacture, marketing, leasing, licensing, sale, and installation of precast concrete products and systems, operates primarily in the construction, highway, utilities, and farming industries across the United States.
In its latest earnings report, Smith-Midland Corporation reported a significant improvement in financial performance for the fiscal year 2024 compared to 2023. The company achieved a net income of $7.675 million, a substantial increase from $795,000 in the previous year, and total revenue rose to $78.508 million from $59.580 million. This growth was primarily driven by increased sales in barrier rentals, shipping and installation, and utility products.
Key financial metrics highlighted in the report include a decrease in the cost of sales as a percentage of revenue, which dropped to 78% in 2024 from 86% in 2023. Operating income also saw a significant rise to $9.899 million from $1.118 million in the previous year, despite a slight increase in operating expenses. The effective tax rate for 2024 was 21.7%, compared to 40.0% in 2023, which had adversely affected net income in the prior year.
Looking ahead, Smith-Midland Corporation’s sales backlog as of March 2025 stood at approximately $59.5 million, slightly down from $60.8 million the previous year. The company anticipates continued growth in sales volumes throughout 2025, supported by funding from the Infrastructure Investment and Jobs Act, although uncertainties remain due to potential government spending cutbacks and tariffs. The company is also focusing on increasing marketing and sales efforts for its SlenderWall products and barrier rentals as part of its long-term strategic objectives.