Acme United (ACU) Q3 2026 Earnings Call: Umsatz steigt um 18 %, EPS erreicht 0,80 $

Wichtigste Erkenntnisse

• Der Nettoumsatz von Acme United stieg im dritten Quartal 2026 im Vergleich zum Vorjahreszeitraum um 18 % auf 58,0 Mio. US-Dollar. Ohne das übernommene Direct-to-Consumer-Geschäft legte der Umsatz um 10 % zu.
• Der Nettogewinn stieg um 80 % auf 3,4 Mio. US-Dollar, während der verwässerte Gewinn je Aktie (EPS) um 74 % auf 0,80 US-Dollar zulegte. Ohne den Nettonutzen nach Steuern aus Zollerstattungen und damit zusammenhängenden Posten von rund 1,0 Mio. US-Dollar wuchs der Nettogewinn um 24 % auf 2,4 Mio. US-Dollar und das EPS stieg um 20 % auf 0,55 US-Dollar.
• Der Umsatz im Segment USA stieg um 20 %, unterstützt durch Erste-Hilfe-Produkte, Schneidwerkzeuge von Westcott und starke Aktionen zum Schulbeginn. Europa und Kanada wuchsen in lokaler Währung um 7 % bzw. 12 %.
• Das Unternehmen erhielt Zollerstattungen in Höhe von 6,0 Mio. US-Dollar und verbuchte im Quartal 4,0 Mio. US-Dollar als Minderung der Herstellungskosten.
• Das Management rechnet im vierten Quartal 2026 mit saisonal starken Umsätzen und Ergebnissen. Neue Aufträge im Bereich Erste Hilfe wurden bereits für 2027 gebucht, während die Nachfrage nach Schneidwerkzeugen weiterhin hoch ist.
• Acme United wird seinen DMT-Standort in Marlboro, Massachusetts, im Laufe des vierten Quartals schließen. Das Management erwartet ab Januar 2027 jährliche Einsparungen von mehr als 1,0 Mio. US-Dollar.

Wichtige Finanzdaten

In den ersten neun Monaten des Jahres 2026 stieg der Umsatz um 16 % auf 173 Mio. US-Dollar. Der Nettogewinn kletterte um 14 % auf 9,5 Mio. US-Dollar und das verwässerte EPS erhöhte sich um 13 % auf 2,29 US-Dollar. Die Bruttomarge in den ersten neun Monaten verbesserte sich von 39,8 % auf 42,6 %.

Die Nettoverschuldung stieg zum 30. September 2026 von 23,1 Mio. US-Dollar im Vorjahr auf 29,7 Mio. US-Dollar. In diesem Zeitraum zahlte Acme United 14,5 Mio. US-Dollar für eine Übernahme, schüttete Dividenden von rund 2,4 Mio. US-Dollar aus und erwarb eine Produktlinie für Schneid- und Schärfwerkzeuge in Deutschland für 1,6 Mio. US-Dollar. Das Unternehmen erwirtschaftete einen freien Cashflow von rund 31 Mio. US-Dollar, einschließlich 4 Mio. US-Dollar an Zollerstattungen.

Geschäfts- und operative Entwicklung

Der Umsatz im Segment USA stieg im dritten Quartal um 20 % bzw. um 10 % ohne das übernommene Geschäft. Das Wachstum verteilte sich breit auf mehrere Produktlinien, wobei Erste Hilfe und Westcott-Schneidwerkzeuge zum Anstieg beitrugen. Die Umsätze mit Schulbedarf profitierten von erneuten Werbeaktivitäten und einem starken Abverkauf im Massenmarkt.

Das übernommene Direct-to-Consumer-Geschäft erzielte einen Quartalsumsatz von 4,0 Mio. US-Dollar und leistete einen positiven Beitrag zum operativen Cashflow. Der margenstärkere Umsatzmix unterstützte zudem die zugrunde liegende Verbesserung der Bruttomarge, wenngleich der dazugehörige Werbebedarf die Vertriebs- und Verwaltungskosten erhöhte.

Der Umsatz in Europa stieg in lokaler Währung um 7 %, getragen von Schneid- und Schärfwerkzeugen, Westcott-Produkten sowie Erste-Hilfe-Artikeln. Der Umsatz in Kanada legte in lokaler Währung um 12 % zu, was hauptsächlich auf Erste-Hilfe-Produkte zurückzuführen war.

Der Spill-Magic-Standort in Mt. Pleasant, Tennessee, ist nach der Installation automatisierter Produktions- und Abfüllanlagen voll betriebsfähig. Laut Management trug die zusätzliche Kapazität im Jahr 2026 zu einem Wachstum der Produktlinie von rund 34 % bei.

Acme United hat im September seinen neuesten SmartCompliance-Erste-Hilfe-Kasten vorgestellt. Das Produkt nutzt RFID-Technologie, um automatische Nachbestellungen zu generieren, und das Management plant, ab Januar 2027 mit den Auslieferungen zu beginnen.

Ausblick des Managements

Das Management erwartet für das vierte Quartal 2026 sowohl beim Umsatz als auch beim Ergebnis eine saisonale Stärke, wobei zusätzliche Vertriebsaufträge aus dem Einzelhandel und der Industrie erste Beiträge leisten. Das Unternehmen hat bereits neue Aufträge im Bereich Erste Hilfe für 2027 verbucht und verzeichnet weiterhin eine hohe Nachfrage bei Schneidwerkzeugen.

Die Schließung des DMT-Werks in Marlboro ist für das vierte Quartal 2026 geplant. Das Management geht davon aus, dass diese Maßnahme ab Januar 2027 zu jährlichen Einsparungen von mehr als 1,0 Mio. US-Dollar führen wird.

Acme United prüft neben organischem Wachstum weiterhin Übernahmen. Das Management erklärte, es erwarte innerhalb der nächsten 12 Monate eine weitere Transaktion, betonte jedoch, weiterhin selektiv vorzugehen. Der Bereich Erste Hilfe, der etwa 70 % des Geschäfts ausmacht, bietet nach Einschätzung des Managements die größeren langfristigen organischen Wachstums- und Konsolidierungschancen.

Risiken und wichtige Beobachtungspunkte

Das Management nannte die anhaltende Inflation, hohe Zinsen, Zölle, Störungen in der Lieferkette und steigende Frachtkosten als wesentliche Unsicherheiten. Die Frachtkosten aus China haben sich dem Unternehmen zufolge verdreifacht, während geopolitische Störungen zu Produktengpässen und höheren Lageranforderungen beigetragen haben.

Acme United hat den Lagerbestand bewusst um etwa 8 Mio. bis 10 Mio. US-Dollar erhöht, um die Verfügbarkeit umsatzstarker Produkte zu sichern. Das Management rechnet damit, dass im Laufe des Jahres 2027 ein Teil der Vorräte wieder in liquide Mittel umgewandelt wird, bleibt jedoch vorsichtig, da sich die geopolitischen Rahmenbedingungen verschlechtern könnten. Der Grenzzinssatz des Unternehmens für Fremdkapital liegt bei etwa 6 %.

Das Management wies zudem auf den Druck auf das verfügbare Einkommen der Verbraucher hin, der durch Energiekosten, Benzinpreise, Zinsen und Hypotheken verursacht wird. Dies könnte die einzelhandelsabhängige Nachfrage nach Westcott-Produkten beeinträchtigen, wenngleich das Unternehmen derzeit für 2027 von einem normaleren Werbeumfeld ausgeht, sofern die Zollbedingungen stabil bleiben.

Wichtigste Punkte aus der Analysten-Fragerunde

• Zollerstattung: Acme United berechnete seinen Anspruch anhand historischer Zollrechnungen und -zahlungen, bei denen das Unternehmen als offizieller Importeur auftrat. Von den erhaltenen 6,0 Mio. US-Dollar wurden 4,0 Mio. US-Dollar im dritten Quartal verbucht, während 2,0 Mio. US-Dollar als abgegrenzte Verbindlichkeit verblieben.
• Schließung des DMT-Werks: Laut Management fehlte es dem kleinen Standort in Marlboro an ausreichender Größe und Kapazität. Ein Großteil der Produktion war wegen niedrigerer Fertigungs- und Werkzeugkosten bereits nach China verlagert worden. Das Unternehmen stellte dies seinen Investitionen in den größeren, automatisierten Spill-Magic-Standort in Tennessee gegenüber.
• Wachstumsstrategie: Acme United plant, organisches Wachstum mit gezielten Übernahmen zu kombinieren. Das Management sieht in Erste-Hilfe-Produkten die größere langfristige Chance, bleibt aber offen für Transaktionen im Bereich Schneid- und Schärfwerkzeuge.
• Nettoumlaufvermögen: Der Anstieg der Forderungen spiegelte im Wesentlichen das Umsatzwachstum von 18 % wider. Die erhöhten Lagerbestände waren eine gezielte Reaktion auf geopolitische und lieferkettenbezogene Risiken, wobei das Management eine mögliche Umwandlung in liquide Mittel im Laufe des Jahres 2027 anstrebt.
• Nachfrage nach Schulbedarf: Westcott profitierte von einer Normalisierung der Werbeaktivitäten nach den zollbedingten Störungen im Jahr 2025, einer leichteren Vergleichsbasis sowie Produktinnovationen. Das Management geht davon aus, dass die Werbeaktivitäten im nächsten Jahr normal bleiben, sofern das Zollumfeld stabil ist.

Vollständiges Transkript der Telefonkonferenz

Vollständiges Transkript der Telefonkonferenz

Ausführungen des Managements

Operator

Good day, and welcome to the Acme United Third Quarter 2021 Financial Results Conference Call. At this time, I would like to turn the call over to Walter Johnsen Chairman and CEO. Please go ahead, sir.

Walter Johnsen

Good morning. Welcome to the third quarter 2026 earnings conference call for Acme United Corporation. I'm Walter C. Johnsen, Chairman and CEO. With me is Paul Driscoll, our Chief Financial Officer, who will first read a safe harbor statement. Paul?

Paul Driscoll

Forward-looking statements in this conference call, including, without limitation, statements related to the company's plans, strategy objectives, expectations, intentions and adequacy of capital and other resources are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, among others, those arising as a result of the challenging global macroeconomic environment characterized by continued high inflation, high interest rates and the imposition of new tariffs or changes in existing tariff rates.

In addition, we have experienced supply chain disruptions, and we may experience these disruptions in the future. We are also subject to additional risks and uncertainties as described in our periodic filings with the Securities and Exchange Commission and in our current earnings release.

Walter Johnsen

Thank you, Paul. Acme United had an excellent third quarter of 2026. Net sales were $58 million compared to $49.1 million in the third quarter of 2025 an increase of 18%. Net income was $3.4 million compared to $1.9 million in 2025, an increase of 80%. Earnings per share were $0.80 compared to $0.46, an increase of 74%.

We received a tariff refund of $6 million, of which $4 million was brought into income offset by reserves for closure of our small DMT facility and variable compensation. The net impact was $1.2 million in pretax income and approximately $1 million in after-tax income. Excluding the $1 million net income -- I'm sorry, excluding the $1 million, net income was $2.4 million compared to $1.9 million, an increase of 24% and earnings per share were $0.55 compared to $0.46, an increase of 20%.

Our net sales in the United States increased 20% with strong sales in both the first aid and Westcott cutting tool segments. Our back-to-school sales were excellent, reflecting new promotional activity and strong sell-through in the mass market channel. The mimetic acquisition performed as planned with net sales of $4 million in the quarter. The operating cash flow contribution was positive.

The fourth quarter is expected to be seasonally strong in both sales and earnings. Our new business efforts in retail and industrial distribution are beginning to generate additional sales and we are building the momentum for 2027. The company introduced the latest SmartCompliance first aid kit in September at the National Safety Conference. This product includes integrated RFID technology and generates automatic replenishment orders for refills.

Customer feedback has been encouraging, and we plan to begin shipping in January 2027. At the beginning of 2026, we reviewed our sites, their potential for expansion and where to allocate capital. We concluded that our DMT plant in Malbor, Massachusetts did not have sufficient scale or capacity to be a long-term asset. Most of our production of DMT sharpeners had been outsourced to China in previous years and production at the Marlboro site was not cost effective.

We will close the plant during the fourth quarter and have reserved $1 million. Savings are expected to be over $1 million annually beginning in January 2027. The Spill Magic plant in Mt. Pleasant, Tennessee that we opened in March 2026, is now fully operational. It provides increased capacity that has resulted in growth of approximately 34% this year. We also installed highly automated production and filling equipment.

It took about 6 months to complete the installation, and we now have a very efficient plant that we believe is poised for future growth. Our international businesses performed well in the third quarter. In Europe, net sales increased 7% in local currency, with strong earnings Sales in Canada grew 12% in local currency. And we are projecting a solid fourth quarter of 2026. As we look into 2027, we have already booked new business in first aid and are seeing continued strength in our cutting tool business.

There have been increases in shipping costs, freight expenses and inflation which we are offsetting with improved efficiency from automation and new equipment. We've had strong cash generation in 2026, and our liquidity is excellent. We continue to review new acquisition opportunities. I will now turn the call to Paul.

Paul Driscoll

Acme's net sales for the third quarter were $58 million compared to $49.1 million in 2025, an increase of 18%. Excluding mimetic, sales increased 10%. Sales for the 9 months ended September 30, 2026, were $173 million compared to $149 million in the same period in 2025, an increase of 16%. Excluding Mimanic, sales increased 8%.

Net sales in the U.S. segment increased 20% in the quarter, excluding MiMedx sales increased 10%. Sales increased 17% for the 9 months ended embed excluding MiMedx sales increased 7%. The increases for both periods were driven by higher sales across all product lines. Net sales in local currency in Europe increased 7% and in the third quarter and 15% for the 9 months of 2026. The increases for both periods were partly due to the new line of cutting and sharpening tools, also Westcott and First aid had solid performances.

Net sales in low currency for Canada increased 12% in the quarter and 8% for the year-to-date, mainly due to higher sales of first aid products. We received $6 million in EPA tariff refunds and in the third quarter of 2026, recognized $4 million of the refund as a reduction of cost of goods sold. The remaining $2 million was recorded as an accrued liability in the balance sheet.

In the third quarter, we also recorded $1 million of variable compensation expense related to the refund included in SG&A. Additionally, in the third quarter of 2026, Cost of goods sold included $1.8 million of costs accrued related to closing our DMP sharpie facility. Net income for the 3 and 9 months ended September 30, also benefited from approximately $400,000 of tax benefits resulting from stock option exercises.

The gross margin was 45.3% in the third quarter of 2026 compared to 39.1% in 2025. The gross margins for the third quarter included the benefit of approximately 690 basis points from a tariff refund, partially offset by approximately 310 basis points related to the DMT closure costs. The gross margin was 42.6% for the first 9 months of 2026 compared to 39.8% in 2025. Gross margin for the first 9 months of 2026 included a benefit of approximately 230 basis points from the tariff refund partially offset by approximately 105 basis points related to the DMT closure costs.

Excluding the impact from tariff refunds and the DMT closure, the gross margin as a percentage of sales increase for both periods was mostly due to the favorable mix from higher margin direct-to-consumer MiMedx products. SG&A expenses for the third quarter of 2020 were $21.8 million of sales compared with $16.2 million or 32% of the sales for the same period of 2025.

SG&A for the first 9 months of 2026 were $60.7 million or 35% of sales compared with $47.5 million or 32% of sales in 2025. The higher SG&A was primarily due to the addition of the MiMedx business, the higher percentage of sales was due to the higher amount of advertising needed for the direct-to-consumer mimetic business.

The third quarter also included $1 million of variable compensation related to the tariff refund. Net income for the third quarter of 2026 was $3.4 million or $0.80 per diluted share compared to net income of $1.9 million or $0.46 per diluted share in 2025, an increase of 80% of net income and 74% in earnings per share. Net income for the first 9 months of 2026 was $9.5 million or $2.29 per diluted share compared to $8.3 million or $2.03 per diluted share in the comparable period last year, increases of 14% and 13%.

And now to the balance sheet, net debt increased from $23.1 million at September 30, 2025 to $29.7 million at September 30, 2026. During the 12-month period ended September 30, we paid $14.5 million for the acquisition of the assets of MiMedx distributed approximately $2.4 million in dividends and purchased the cutting and sharpening line of products in Germany for $1.6 million.

Additionally, we generated approximately $31 million in free cash flow, including $4 million in tariff refunds.

Walter Johnsen

Thank you, Paul. I'll now open the call to questions.

Operator

[Operator Instructions] We'll now be conducting a question-and-answer session. [Operator Instructions] Our first question is from Jim Marrone with Singular Research.

Fragen und Antworten

Jim Marrone

I have multiple questions. All related with one another. And then I'll begin with just with regards to the tariff refund. If you could kind of just share some insight on how it goes about being calculated, I would greatly appreciate it. with that. And to go along with the tariff refund, I'm just trying to get a sense of your rationale for the decisions on closing the Marlboro plant.

And transferring that operation overseas. This seems like the U.S. segment has outperformed both Canada and Europe. And it kind of goes against the grain with what Other companies are doing by reinvesting in the U.S. in light of the tariffs. And so it just seems kind of against the grain of what the -- what other companies are doing. So I look forward to hearing your answers to that.

Walter Johnsen

Okay, Jim. Those are good questions, and we appreciate them. The first is the tariff refund. How is it calculated? Well, the tariffs that we paid, we went back because we were the importer of record, we went back to invoices and payments through customs. And you total all those up, and you come up with a number and then you submit it to the EPA refunds and then it happens.

The difficulty in that, of course, is that you've got to get your books really ordered if you got to figure it out. And there's a lot of variables. But in simple terms, you count up the amount that you paid. Now the rationale for closing Marlboro, that was a very difficult decision. It was the place where DMT started. It was -- it had modern equipment -- but honestly, although there's a lot of push to buy American and we support that, when the price of a product is just more expensive by a lot than in China to produce.

Sometimes the economics just drive you to do that. This was a small facility, and it had less than 20 people. And the bulk of the production had already been shifted to China because the customers were demanding, for example, our new electronic pencil sharpeners, electronic sharpeners for tools. And it was getting good reception in the market as Chinese made. Other items that required expensive tooling in the United States could be done more cost effectively in China. So we produced it there.

The net is it was a small plant. And when you look at where you're going to put your resources you put them where you have big value, not little. And so we closed it. Now having said that, the rationale for production in the United States is a good one. As you may recall, we bought a plant in not Pleasant Tennessee to produce our Spill Magic production. There was a 12-acre facility, 78,000 square feet room to double modern air conditions.

We bought it at a very, very good price of $6 million. We invested about $1.5 million in equipment brought that to be fully automated and went live this quarter. And incidentally, the DMT of the Spill Magic product line increased 34% year-to-date because we get out of the capacity to make it, and we have the capacity to grow. So when you compare 2 plants, you see why one was struggling. It made sense to use the best resources you can in China. The other is reinvest in the U.S. where you had real leverage, and that's what we did.

Jim Marrone

Yes, that's very good insight. And so speaking of growth, where is the focus going forward then? Is it going to continue to be organic growth? Or Will there be a little more focus on acquisitions like you have in the past? So where do you see your attention?

Walter Johnsen

Well, it's a combination. We've looked at a lot of deals this year, and we're continuing to evaluate them. You want them to be strategic. You want them to make a difference and you want them to have a high likelihood of being successful. And so being a little choosy and taking some time makes sense. In the meantime, we are building that balance sheet. And that means we're not highly levering our company.

The organic growth has been good. We're looking forward to, as I mentioned in the call, a solid fourth quarter, and we're already booking business for 2027. So it's really a combination of both. And I would expect sometime in the next 12 months, there'll probably be another deal because every year, we wind up doing at least 1 but we're being careful.

Jim Marrone

And okay, if you're looking at growth and whether it's a deal or organically, is that more on the first aid side or on the cutting tools side? Where you tinker your focus will be?

Walter Johnsen

Well, both segments are very important to us. And if there's a good deal in the Westcott side, of course, we'll buy it. And in the case of our German business last year, we bought a direct-to-consumer business in the sharpening and cutting area. And we'll continue to look at those for sure. The First Aid business lends itself to consolidation. We are the consolidator, -- and we're the natural buyer for many of our competitors and some of those that are half step away.

And I would expect that there will be other opportunities in that segment. And -- if you look long term, I think the First Aid business has greater organic growth opportunities. And I think that given that it's 70% of our business, chances are it will continue to become increasingly important in the overall company.

Jim Marrone

Excellent. And a thank you so much for that, Walter.

Operator

Our next question is from Georgy Vashchenko with Freedom Brokers.

Georgy Vashchenko

You know that the back-to-school season was strong in this quarter, clearly elaborate on performance on the West Coast brand, particularly compared with the strong growth you saw in the second quarter.

Walter Johnsen

Yes. Well, the Westcott business, we have to be a little bit careful here because last year with the tariffs, the promotional business, that is the products that would be normally added as extras to a shelf or a planogram. Old promotional business was pretty much delayed or stopped by our customers because of the uncertainty of pricing that happened in April 2025.

So the comparisons this year have the full effect of promotional activity the buyers were able to use all the tools that they have in their toolkit. The merchants were doing a really good job. And we had product that was selling through. So we had a combination of easy comparisons to be frank. But second, we really did a good job with our innovation, and it worked.

Operator

Our next question is from Tim Call with Capital Management Corporation.

Timothy Call

Congratulations on an excellent quarter.

Walter Johnsen

Thank you, Tim. .

Timothy Call

Looking at the accounts receivable, up around 20% in the last 12 months, and inventory is up around 15% over the last 12 months despite being adjusted lower -- if -- do you think you'll be able to manage those lower if they were cut by 10%, you could lower your variable rate debt by 37%.

So there's a lot of potential there. I know you've added inventory to take advantage of some smart buys -- but how do you see those balances over the next 12 months, absent acquisitions?

Paul Driscoll

The accounts receivable is a function of the sales increase. So the sales increased to 18%, and that's why the receivables are up, I think you said 20%.

Walter Johnsen

Okay. On the inventory, when the war with Iran started, as you may recall, we thought it was not going to be short term. We thought that it might cause product shortages that there might be shipping cost increases. And we thought it might be wise the product now and hold it.

And we consciously increased our inventory by about USD 8 million to USD 10 million. And it was all the items that you would have in the A and B top-selling products without any issues with obsolescence or would they sell. Of course, they would sell. These are the best items we had.

Well, in retrospect, we were smart because there have been shortages. There have been price increases. The freight costs from China have tripled. There have been times when you simply can't get product, but we have it. So it's been a very good insurance policy. On the other hand, as you point out, Tim, we're paying the top -- the marginal interest rate is about 6% for us. So there's a cost to that.

It's been -- so far, it's been a good investment. And we have the ability to work it down. I think I'm optimistic that we'll find some clarity in both Iran and the Ukraine in the next year. And I am also optimistic that we'll be able to convert some of that inventory back into cash. But we're being cautious right now because we could be wrong. It could get worse. But I think, I personally think that we will bring it into cash during 2027, as I see it now.

Timothy Call

Over the last 5 years, there have been a lot of disruptions with back-to-school seasons and you're having a great 1 this year. Do you think that seasonality in that those sales and promotions have come back to a normalized state that should continue long term?

Walter Johnsen

The Westcott business is particularly sensitive to retail. And if things stay as they are right now, which is a reasonable non-changing tariff environment, and I think the worst -- that's over. And then we would expect it would have normal promotions next year as well. And we're certainly having plenty of discussions right now about new business opportunities within the mass market. We're certainly getting our share of promotions for back to school for next year.

And so yes, I think it would be a pretty normal business. There is one caveat, and that's that -- although we haven't seen it yet or maybe we won't see it, the consumer is being stressed and heating oil, gasoline, so many products, interest rates, mortgages, all these things impact the disposable income. And there is a sensitivity to that. But I think if that stays the same, then we're looking at a very good 2027 with the Westcott business as well as for state.

Timothy Call

Great. Thank you for all your hard work. Good job.

Walter Johnsen

Thank you, Tim. Thank you for your support. .

Operator

[Operator Instructions] There are no further questions at this time. I'd like to hand the floor back over to Walter Johnsen for any closing remarks.

Walter Johnsen

If there are no further questions, this call is complete. I would truly thank you for joining us. Have a good day. Goodbye.

Operator

This concludes today's conference. You may disconnect your lines at this time. Thank you again for your participation.