Alpha Pro Tech Reports 5.5% Decrease in Net Sales for Fiscal Year 2024

Alpha Pro Tech, Ltd. reported a decrease in consolidated net sales for the fiscal year ending December 31, 2024, totaling $57.84 million, down 5.5% from $61.23 million in 2023. The decline was primarily driven by a significant drop in the Building Supply segment, which saw sales fall by 11% to $35.97 million, largely due to decreased demand for housewrap and synthetic roof underlayment products. In contrast, the Disposable Protective Apparel segment experienced a modest increase in sales, rising 5% to $21.88 million, attributed to growth in disposable protective garments and face shields, despite a decline in face mask sales.

The company's gross profit for 2024 increased slightly to $22.93 million, resulting in a gross profit margin of 39.6%, up from 37.3% in the previous year. This improvement was attributed to better margins in both business segments. However, selling, general, and administrative expenses also rose by 4.7% to $18.61 million, leading to a 16.5% decrease in income from operations, which fell to $3.45 million. Net income for the year was reported at $3.93 million, a decrease of 6.2% compared to $4.19 million in 2023.

Operationally, Alpha Pro Tech has made strategic changes, including the relocation of its face mask manufacturing facility from Utah to Arizona, which is expected to reduce costs in the long term. The company also expanded its sales team by adding two Territory Managers and created a new position for a Director of Product and Business Development to enhance product offerings and market reach. As of March 1, 2025, the company employed 130 full-time staff, reflecting a stable workforce.

Geographically, the majority of sales were generated in the United States, which accounted for $57.21 million, while international sales increased to $629,000 from $350,000 in the previous year. The company’s long-lived assets also grew significantly, reaching $8.52 million, up from $5.59 million in 2023, indicating ongoing investment in operational capacity.

Looking ahead, Alpha Pro Tech anticipates growth in both segments, particularly in the Building Supply segment, as housing starts are projected to increase in 2025. However, the company remains cautious due to ongoing economic uncertainties and competitive pressures in the market. The management is focused on leveraging its manufacturing capabilities and expanding its product lines to capture new opportunities in the coming year.