Research Reports

Key takeaways

Revenue increased 8.7% to $60.2 million, driven by higher sales volumes partially offset by refrigerant mix shift.

Operating income declined 52.4% to $1.5 million, pressured by higher SG&A costs and lower gross margin.

Net cash used in operating activities was $12.8 million, compared to $14.2 million provided in the prior year, primarily due to working capital timing.

Full analysis

Revenue Growth Driven by Volume, but Mix Shift Compressed Margins

SG&A Inflation and Tax Discretions Crushed Net Income

Operating Cash Flow Turns Negative on Working Capital Timing

Balance Sheet and Liquidity Position

DLA Contract and Regulatory Outlook

The Company continues to focus on reclamation as critical to maintaining necessary HFC supply levels for the installed base of operating systems, ensuring an orderly phasedown so that system owners can recognize the full economic value of their systems through end of life. However, the Company cannot make any assurance that it will continue to be in compliance during future periods.

HDSN · Hudson Technologies, Inc.