Company: PLPC
Filing Date: 2025-07-31
Form Type: 10-Q
Source: 0000080035-25-000013
Chunk: 52

Company: PREFORMED LINE PRODUCTS CO
Filing Date: 2025-07-31
Form: 10-Q
Item: Part I, Item 2
Chunk 52
---
-Pacific costs and expenses of $11.7 million increased $1.5 million primarily due to a gain on the sale of capital assets in the first quarter of 2024 that did not recur.

Other income, net. Other income, net of $0.7 million for the six months ended June 30, 2025 was favorable by $0.5 million when compared to Other income, net for the six months ended June 30, 2024 of $0.2 million. The favorable movement was due to lower interest expense from reduced debt balances and a government incentive received in the first quarter of 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)(