Company: PLPC
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001628280-25-021769
Chunk: 38

Company: PREFORMED LINE PRODUCTS CO
Filing Date: 2025-05-02
Form: 10-Q
Item: Part I, Item 1
Chunk 38
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2024 mainly due to the favorable impact from the increase in excess tax benefits on share-based compensation, the decrease of nondeductible compensation, and 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 three months ended March 31, 2025 was $11.5 million, compared to $9.6 million for 2024. Excluding the effect of currency translation, net income increased $2.0 million as summarized in the following table. The increase in net income was due to increases in operating income described above as well as lower interest expense and lower tax expense:

Three Months Ended March 31,(Thousands of dollars)20252024ChangeChange Due to Currency Translation Change Excluding Currency Translation % Change Net income (loss)PLP-USA$8,437 $5,317 $3,120 $— $3,120 59 %The Americas1,396 897 499 (206)705 79 %EMEA1,188 1,579 (391)30 (421)(27)%Asia-Pacific496 1,803 (1,307)(47)(1,260)(70)%Consolidated$11,517 $9,596 $1,921 $(223)$2,144 22 %

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 Exchange Commission and are, therefore, not presented herein.

WORKING CAPITAL, LIQUIDITY AND CAPITAL RESOURCES

Management Assessment of Liquidity

We measure liquidity on the basis of our ability to meet short-term and long-term operating needs, repay debt, fund additional investments, including acquisitions, and make dividend payments to shareholders. Significant factors affecting the management of liquidity are cash flows from operating activities, capital expenditures, cash dividends, business acquisitions and access to bank lines of credit.

Our investments include expenditures required for equipment and facilities as well as expenditures in support of our strategic initiatives. During the first three months of 2025, we used cash of $11.0 million for capital expenditures. We ended the first three months of 2025 with $54.8