Northern Technologies International Corporation reported a 12.7% increase in consolidated net sales to $23,349,000 for the fourth quarter ended August 31, 2024, compared to $20,710,000 in the prior year. Full year fiscal 2024 consolidated net sales grew 6.5% to $85,060,000 from $79,903,000. This growth was primarily driven by increased demand for Natur-Tec and ZERUST products.
Net income attributable to NTIC for the fourth quarter rose to $1,836,000, or $0.19 per diluted share, up from $939,000, or $0.10 per diluted share, in the same period last fiscal year. For the full fiscal year, net income increased to $5,409,000, or $0.55 per diluted share, compared to $2,912,000, or $0.30 per diluted share, in fiscal 2023. The company attributed improved profitability to successful quality system improvement initiatives.
ZERUST oil and gas revenues reached a record $4,200,000 in the fourth quarter, supported by increased orders and a shift of approximately $600,000 in sales from the third quarter. Management anticipates compelling growth in this sector through fiscal 2025 and beyond, projecting 20% to 30% growth for the full fiscal year. The Natur-Tec segment is also expected to drive sustained revenue growth, with management anticipating around 20% growth for the current fiscal year.
Joint venture operating income decreased 51.4% to $2,034,000 in the fourth quarter, primarily due to a one-time $1,986,000 gain in the prior year from the liquidation of a former joint venture in China. Challenging market conditions in Europe, including higher energy prices, also affected sales and profitability across various European joint ventures. Despite this, management remains cautiously optimistic about demand and profitability improvements in Europe for fiscal 2025.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.