Sep 30, 2024

Tootsie Roll Q3 2024 Earnings Report

Tootsie Roll Industries experienced a decrease in net sales and net earnings for the third quarter of 2024, as customers showed resistance to higher prices.

Key Takeaways

Tootsie Roll Industries reported a decrease in net sales and net earnings for the third quarter of 2024. Net sales decreased by 10% to $223.89 million, and net earnings decreased to $32.84 million, with earnings per share at $0.46. The company faced a challenging market as customers became more resistant to higher price realization.

Third quarter net sales decreased by 10% compared to the same period in 2023.

Third quarter net earnings decreased, with earnings per share down by 4%.

Sales were affected by the timing of sales between the third and fourth quarters.

Net earnings benefited from increased investment income, higher leasing revenue, and favorable foreign exchange.

Total Revenue
$224M
Previous year: $248M
-9.8%
EPS
$0.46
Previous year: $0.49
-6.1%
Gross Profit
$77.1M
Previous year: $82.7M
-6.8%
Cash and Equivalents
$164M
Previous year: $47.3M
+245.7%
Free Cash Flow
$55.8M
Previous year: $36M
+55.0%
Total Assets
$1.15B
Previous year: $1.07B
+7.5%

Tootsie Roll

Tootsie Roll

Forward Guidance

Cocoa and chocolate costs have moved significantly higher in the markets this year, and we expect these increases to continue to have some adverse effects on our input costs and margins in fourth quarter 2024 and 2025.