George Risk Industries Inc delivered a solid QQ4 2024, highlighted by double-digit top-line growth and strong profitability. Revenue for the quarter was $5.592 million, up 16.87% year over year and 3.67% quarter over quarter, while gross profit reached $2.811 million, producing a gross margin of 50.27%. EBITDA stood at $1.738 million with an operating income of $1.615 million, translating to an operating margin of 28.88%. Net income was $2.0 million, or $0.41 per share, reflecting a net margin of 35.77%. The quarter benefited from favorable product mix and disciplined cost management, contributing to meaningful earnings leverage for a small-cap supplier in the Security Protection Services segment.
The balance sheet remains exceptionally liquid for a small industrial player. Cash and short-term investments total about $41.6 million, with cash and equivalents of $7.1 million and short-term investments of $34.5 million. The company reports a current ratio of 15.30 and a quick ratio of 12.22, underscoring ample liquidity to support working capital needs and potential growth initiatives. Net debt is negative (net cash) by approximately $7.1 million, reinforcing balance sheet resilience even in softer macro environments. Free cash flow for QQ4 2024 was about $1.905 million, and cash provided by operating activities was $2.02 million, signaling healthy cash generation relative to earnings.
Management commentary is not available in the provided transcripts, limiting direct quotes from the earnings call. However, the quarterly results indicate a high‑quality earnings profile with strong margins and a cash-rich balance sheet. If sustained, these fundamentals position George Risk to fund selective growth initiatives or opportunistic value-creating actions without requiring external financing. Investors should monitor cadence of revenue growth (YoY +16.9%), any changes in demand within the security protection ecosystem, and potential capital allocation decisions given the strong cash position.