Company: PLPC
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000080035-25-000013
Chunk: 35

Company: PREFORMED LINE PRODUCTS CO
Filing Date: 2025-07-31
Form: 10-Q
Item: Part I, Item 1
Chunk 35
---
2025 related to our facility in China, partially offset by lower interest income for the six months ended June 30, 2025.

Income taxes. Income taxes for the six months ended June 30, 2025 and 2024 were $6.7 million and $4.0 million based on pre-tax income of $31.0 million and $23.0 million, respectively. The tax rate for the six months ended June 30, 2025 and 2024 was 22% and 18%, respectively. The effective tax rate for the six months ended June 30, 2025 was higher than the effective tax rate for the same period in 2024 mainly due to the unfavorable impact from certain adjustments including nondeductible compensation and non-recurring rate benefits received in 2024 from amending prior year returns, partially offset by a favorable impact from the mix of earned income in certain foreign jurisdictions.

Net income. As a result of the preceding items, net income for the six months ended June 30, 2025 was $24.2 million, compared to $19.0 million for 2024. Excluding the effect of currency translation, net income increased $5.5 million as summarized in the following table. The increase in net income was due to increases in operating income described above, partially offset by lower interest income and higher tax expense:

Six Months Ended June 30,(Thousands of dollars)20252024ChangeChange Due to Currency TranslationChange Excluding Currency Translation% ChangeNet income (loss)PLP-USA$16,182 $8,661 $7,521 $— $7,521 87 %The Americas2,698 2,693 5 (290)295 11 %EMEA2,555 4,555 (2,000)81 (2,081)(46)%Asia-Pacific2,787 3,053 (266)(41)(225)(7)%Consolidated$24,222 $18,962 $5,260 $(250)$5,510 29 %

27

APPLICATION OF CRITICAL ACCOUNTING POLICIES AND ESTIMATES

Our critical accounting policies are consistent with the information set forth in Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations, included in our Form 10-K for the year ended December 31, 2024 filed on March 13, 2025 with the Securities and