Company: APT
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001437749-25-025400
Chunk: 27

Company: ALPHA PRO TECH LTD
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 27
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 decrease in lease liabilities of $435,000, all compared to December 31, 2024.

Accounts receivable increased by $4,886,000, or 99.8%, to $9,780,000 as of June 30, 2025, from $4,894,000 as of December 31, 2024. The increase in accounts receivable was primarily related to increased sales in the latter part of the second quarter of 2025 compared to the latter part of 2024 and due to a higher percentage than normal of receivables with extended terms. The number of days that sales remained outstanding as of June 30, 2025, calculated by using an average of accounts receivable outstanding and annual revenue, was 40 days, compared to 36 days as of December 31, 2024.

Inventory decreased by $372,000, or 1.6%, to $22,361,000 as of June 30, 2025, from $22,733,000 as of December 31, 2024. The decrease was due to a decrease in inventory for the Disposable Protective Apparel segment of $519,000, or 4.4%, to $11,283,000, partially offset by an increase in inventory for the Building Supply segment of $147,000, or 1.3%, to $11,078,000.

Prepaid expenses decreased by $438,000, or 10.0%, to $3,938,000 as of June 30, 2025, from $4,376,000 as of December 31, 2024. The decrease was primarily due to a decrease in prepaid insurance.

Right-of-use-assets as of June 30, 2025, decreased by $462,000 to $8,252,000 from $8,714,000 as of December 31, 2024, as a result of amortization of the right-of- use-assets.

Lease liabilities as of June 30, 2025, decreased by $435,000 to $8,340,000 from $8,775,000 as of December 31, 2024. The decrease in lease liabilities was the result of lease payments made during the period.

Accounts payable and accrued liabilities as of June 30, 2025, decreased by $156,000, or 7.0%, to $2,074,000, from $2,230,000 as