Zig-Zag Rolling Paper Sales Made 48% Of Total Turning Point Brands Sales In First Quarter
Portfolio Pulse from Nina Zdinjak
Turning Point Brands, Inc. (NYSE:TPB) reported Q1 2024 financial results with net sales of $97.1 million, down from $100.96 million in Q1 2023. Zig-Zag rolling papers made up 48% of total sales, with net sales increasing 11.5% to $46.7 million. The company saw a gross profit increase of 6.8% to $51.9 million, and a significant net income increase of 58.1% to $12.0 million. Adjusted net income and EBITDA also saw increases of 29.8% and 21.6%, respectively. TPB maintains its full-year 2024 adjusted EBITDA forecast of $95 to $100 million, despite a slight pre-market share price drop of 1.54% to $32.07.
May 03, 2024 | 5:14 pm
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Turning Point Brands reported a decrease in total net sales but saw significant growth in net income and Zig-Zag sales, maintaining a positive outlook for 2024.
The increase in net income and sales in the Zig-Zag segment, along with a positive outlook for 2024, suggests a strong performance that could positively influence TPB's stock price in the short term. However, the slight pre-market dip indicates market reactions may be mixed initially.
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IMPORTANCE 90
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