Key Points: – Rocket Companies has announced a $1.75 billion all-stock acquisition of real estate brokerage Redfin. – Redfin’s stock surged over 76%, while Rocket’s shares dropped by 10% following the announcement. – The merger aims to streamline the home-buying process by integrating mortgage lending, brokerage, and real estate listings into one ecosystem.
Rocket Companies, a leading mortgage lender, has announced plans to acquire digital real estate brokerage Redfin in an all-stock transaction valued at $1.75 billion. The move seeks to integrate home search, brokerage services, mortgage lending, and title services under one platform, creating a more seamless and cost-efficient home-buying experience for consumers.
The acquisition is positioned as a strategic effort to modernize and consolidate the fragmented home-buying process. Rocket CEO Varun Krishna emphasized the inefficiencies in the current system, where home search, brokerage, mortgage, and title services exist in separate ecosystems. By combining Rocket’s mortgage and financing capabilities with Redfin’s online brokerage and home search platform, the companies aim to streamline the process and reduce transaction costs, which currently total around 10% of a home’s price.
Redfin, founded in 2004, operates a technology-driven real estate platform with over one million for-sale and rental listings and employs more than 2,200 agents. Rocket Companies, best known for its Rocket Mortgage brand, sees the acquisition as a natural fit to leverage artificial intelligence and automation to accelerate the homebuying process.
Following the announcement, Redfin shares skyrocketed by over 76%, reflecting investor enthusiasm for the deal’s potential to reshape the real estate industry. Meanwhile, Rocket’s stock fell by 10%, as investors weighed the financial implications of the transaction. The deal values Redfin at $12.50 per share, a 115% premium over its last closing price before the announcement.
Under the terms of the agreement, Redfin shareholders will receive approximately 0.8 shares of Rocket stock for each share of Redfin they own. Once the deal is finalized, current Rocket shareholders will own about 95% of the combined company, with Redfin shareholders controlling the remaining 5%. Rocket shareholders will also receive a special dividend of $0.80 per share.
The companies project that the merger will generate $200 million in cost synergies by 2027, including $140 million in operational efficiencies and an additional $60 million from enhanced collaboration between Redfin’s agents and Rocket’s financing platform. By aligning these services, the combined company aims to close home transactions faster and provide a more seamless customer experience.
Redfin CEO Glenn Kelman will continue to lead the business post-merger and will report directly to Rocket CEO Varun Krishna. The deal has been approved by both companies’ boards and is expected to close in the second or third quarter of 2025, pending regulatory approval and customary closing conditions.
This acquisition comes at a time of volatility in the housing market, with high mortgage rates and tight housing supply impacting affordability. Redfin’s stock, once trading near $96 per share at its pandemic peak in 2021, has struggled in the higher-rate environment. Rocket Companies, which went public in 2020, has similarly faced headwinds as mortgage demand has declined.
By integrating home search and mortgage lending, Rocket and Redfin could provide consumers with a more efficient home-buying experience. However, questions remain about execution risks and how regulators will view the increased consolidation of real estate services.
Key Points: – The 10-year yield is falling, signaling potential economic concerns. – Value stocks are holding up, but major indices are down, with only the Dow managing gains. – The inverted yield curve historically precedes recessions, though recent history has offered mixed signals. – While small caps have been under pressure, they could present attractive investment opportunities.
As treasury yields decline and the stock market falters, investors are left wondering: Is the U.S. heading into a recession? The market rally that defined much of last year has faded as interest rate cuts have come to a halt, leading to renewed concerns about economic contraction. Historically, the bond market has been a reliable predictor of recessions, and with the longest lasting inverted yield curve ending in late August 2024, suggests that investors should take notice.
The Yield Curve’s Recession Warning
One of the most closely watched economic indicators is the yield curve—the relationship between short-term and long-term interest rates on U.S. government bonds. Typically, longer-term bonds carry higher yields than short-term ones. However, when the yield curve inverts, meaning short-term bonds yield more than long-term ones, it has historically signaled an impending recession.
The record for the longest inverted yield curve was broken in August 2024 with 793 days. The previous record stood at 624 days set in 1979. This is significant because, throughout history, an inverted yield curve has been a highly accurate predictor of recessions. In nearly every case, when the yield curve inverts, a recession follows within 12-18 months. The exception was four years ago when the yield curve inverted three times, yet no recession materialized. The key question now is whether this time will follow historical norms or diverge as it did in the recent past.
Stock Market Implications
The stock market is showing signs of strain. While value stocks are holding up relatively well, major indices have struggled. The S&P 500 and Nasdaq have been in the red, with only the Dow managing to stay in positive territory. This weakness across equities suggests investors are reassessing risk and economic growth prospects.
A falling 10-year yield often signals that investors are seeking safety in government bonds, rather than taking on risk in equities. This shift in sentiment could reflect a broader concern about future economic growth and corporate earnings.
Why Small Caps Could Be a Smart Play
Small-cap stocks, often seen as more economically sensitive, have been particularly vulnerable in the current environment. Unlike large-cap stocks, which can better weather economic downturns due to stronger balance sheets and diversified revenue streams, small-cap companies tend to struggle when borrowing costs are high and consumer demand weakens. However, this very weakness can present opportunity.
Historically, small-cap stocks have tended to perform well coming out of economic slowdowns or recessions. When the Federal Reserve eventually pivots toward cutting interest rates again, small caps could benefit significantly from lower borrowing costs and increased economic activity. Additionally, small-cap stocks tend to be more attractively valued in uncertain times, making them a potential area of opportunity for investors willing to take a longer-term perspective.
Consumer Debt and Economic Strain
Another factor adding to recession fears is the state of U.S. consumer debt. Credit card balances have reached record highs, and with interest rates at their highest levels in decades, the burden on consumers is intensifying. High consumer debt combined with rising delinquencies could lead to reduced consumer spending, which is a major driver of the U.S. economy.
Are We Headed for a Recession?
While no indicator can predict the future with absolute certainty, the current economic signals are concerning. The longest inverted yield curve in the rearview mirror, declining treasury yields, stock market weakness, and record-high consumer debt all point to potential economic troubles ahead. If history is any guide, the U.S. could be facing a slowdown or even a recession in the coming months. However, for investors, this may also present opportunities—particularly in areas like small-cap stocks, which historically rebound strongly as economic conditions improve.
Investors should remain cautious but also look for potential value plays in the small-cap space, as these stocks may offer upside once the market begins to stabilize. As always, diversification and a long-term approach remain key to navigating uncertain times.
GRAND RAPIDS, Mich., March 06, 2025 (GLOBE NEWSWIRE) — Steelcase Inc. (NYSE: SCS) will webcast a discussion of its fourth quarter and fiscal year 2025 financial results on Thursday, March 27, 2025 at 8:30 a.m. ET. A link to the webcast will be available at http://ir.steelcase.com and a replay of the webcast will be available shortly after the call concludes. The news release detailing the financial results will be issued the previous day, March 26, 2025, after the market closes.
About Steelcase Inc.
Established in 1912, Steelcase is a global design, research and thought leader in the world of work. We help people do their best work by creating places that work better. Along with more than 30 creative and technology partner brands, we design and manufacture innovative furnishings and solutions for the many places where work happens — including learning, health and work from home. Our solutions come to life through our community of expert Steelcase dealers in approximately 770 locations, as well as our online Steelcase store and other retail partners. Founded in Grand Rapids, Michigan, Steelcase is a publicly traded company with fiscal year 2024 revenue of $3.2 billion. With our 11,300 global employees and dealer community, we come together for people and the planet — using our business to help the world work better.
CONTACT:
Investor Contact: Mike O’Meara Investor Relations ir@steelcase.com
New corporate services contract signals continued momentum for ODP Business Solutions in expanding relationships and serving new partners
BOCA RATON, Fla.–(BUSINESS WIRE)–Mar. 6, 2025– ODP Business Solutions, a leading supplier of workplace solutions and services, and a division of The ODP Corporation (NASDAQ: ODP), today announced a Private Sector purchasing contract with CoreTrust. Through this partnership, ODP Business Solutions will offer products and services to CoreTrust’s 3,500+ business member purchasing collective serving major industries including retail, manufacturing, hospitality and finance. This agreement marks the latest in a series of new contracts for ODP Business Solutions, demonstrating the company’s growth into new, fast-growing industries.
This new corporate services contract allows ODP Business Solutions to supply CoreTrust members with high-quality solutions, including interiors/furniture,technology,breakroom supplies, and print, promotion and apparel services at an exceptional value. These categories are expected to expand by a 4-6% compound annual growth rate (CAGR) over the next five years industry-wide, reflecting ODP Business Solutions’ continuing focus on areas where there is substantial growth opportunity.
“CoreTrust has tremendous reach and is known as one of the top aggregators for Fortune 1000 companies, so we are honored to leverage our portfolio of products and solutions, and our global supply chain, as a trusted new CoreTrust supplier,” said David Centrella, executive vice president of The ODP Corporation and president of ODP Business Solutions.
CoreTrust is a market-leading group purchasing organization (GPO) that is trusted by thousands of businesses to leverage its collective purchasing power to secure competitive supplier pricing and more favorable contract terms. With more than $7 billion in annual aggregated spend, CoreTrust members save an average of 20% on indirect spend – far surpassing what they can typically achieve independently.
“We are excited to welcome ODP Business Solutions to CoreTrust’s portfolio of premier suppliers,” said Mahesh Shah, CEO of CoreTrust. “CoreTrust will always strive to help procurement professionals achieve greater savings for their businesses. This partnership strengthens our commitment to being the ‘go-to’ solution for indirect spend needs.”
This contract with CoreTrust represents another growth milestone for ODP Business Solutions, following recent expansions within the hospitality sector with both customers and vendors. These achievements align with the company’s strategic goals of delivering a diverse range of innovative solutions to meet the evolving needs of customers across multiple industries. Similarly, CoreTrust offers its members competitive pricing on a wide array of indirect spend categories, serving a broad spectrum of sectors and categories.
“This partnership is a natural fit and is mutually beneficial for both ODP Business Solutions and CoreTrust. Our operations work very similarly in that we both have a growth mindset to provide our customers and members value not only in the prices and solutions we offer, but by elevating the overall buying experience,” said Nisha Brown, vice president of marketing and product management at ODP Business Solutions.
ODP Business Solutions is a trusted partner with more than 30 years of experience working with businesses to adapt to the ever-changing world of work. From technology transformation, sustainability, innovative workspace design, cleaning and breakroom, and everything in between, ODP Business Solutions has the integrated products and services businesses need. Powered by a collaborative team of experienced business consultants, world-class logistics, and trusted brand names, ODP Business Solutions advances how the working world gets work done. For more information on ODP Business Solutions, visit www.odpbusiness.com.
ODP Business Solutions is a division of The ODP Corporation (NASDAQ: ODP). ODP and ODP Business Solutions are trademarks of ODP Business Solutions, LLC. Any other product or company names mentioned herein are the trademarks of their respective owner
About CoreTrust
Since 2006, CoreTrust has been a trusted group purchasing organization (GPO), helping businesses save on indirect spend, private equity firms improve portfolio performance, and suppliers drive growth. With $7 billion in annual purchasing power and a network of 3,500+ members, CoreTrust offers access to 125+ pre-negotiated contracts with top suppliers. Key categories include corporate services, facilities, HR, technology, travel, and supply chain and logistics, delivering efficiency and value to members.
Members enjoy market-leading pricing and exclusive access to the CoreTrust Experience Platform (CXP), a digital marketplace with curated contracts and actionable insights for smarter procurement. Membership is free, offering unmatched savings and simplified solutions for managing indirect spend. Learn more at www.coretrustpg.com.
About The ODP Corporation
The ODP Corporation (NASDAQ:ODP) is a leading provider of products and services through an integrated business-to-business (B2B) distribution platform and omnichannel presence, which includes world-class supply chain and distribution operations, dedicated sales professionals, online presence and a network of Office Depot and OfficeMax retail stores. Through its operating companies Office Depot, LLC; ODP Business Solutions, LLC; and Veyer, LLC, The ODP Corporation empowers every business, professional, and consumer to achieve more every day. For more information, visit theodpcorp.com.
This communication may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements or disclosures may discuss goals, intentions and expectations as to future trends, plans, events, results of operations, cash flow or financial condition, or state other information relating to, among other things, The ODP Corporation (“the Company”), based on current beliefs and assumptions made by, and information currently available to, management. Forward-looking statements generally will be accompanied by words such as “anticipate,” “believe,” “plan,” “could,” “estimate,” “expect,” “forecast,” “guidance,” “expectations”, “outlook,” “intend,” “may,” “possible,” “potential,” “predict,” “project,” “propose” “aim” or other similar words, phrases or expressions, or other variations of such words. These forward-looking statements are subject to various risks and uncertainties, many of which are outside of the Company’s control. There can be no assurances that the Company will realize these expectations or that these beliefs will prove correct, and therefore investors and stakeholders should not place undue reliance on such statements.
Investors and shareholders should carefully consider the foregoing factors and the other risks and uncertainties described in the Company’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K filed with the U.S. Securities and Exchange Commission. The Company does not assume any obligation to update or revise any forward-looking statements.
FAT Brands (NASDAQ: FAT) is a leading global franchising company that strategically acquires, markets, and develops fast casual, quick-service, casual dining, and polished casual dining concepts around the world. The Company currently owns 17 restaurant brands: Round Table Pizza, Fatburger, Marble Slab Creamery, Johnny Rockets, Fazoli’s, Twin Peaks, Great American Cookies, Hot Dog on a Stick, Buffalo’s Cafe & Express, Hurricane Grill & Wings, Pretzelmaker, Elevation Burger, Native Grill & Wings, Yalla Mediterranean and Ponderosa and Bonanza Steakhouses, and franchises and owns over 2,300 units worldwide. For more information on FAT Brands, please visit www.fatbrands.com.
Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Twin Hospitality. Significant opportunity remains at Twin Hospitality. The Company ended the year with 115 Twin Peaks lodges, having opened nine new lodges. Twin Hospitality expects to open an additional 9-11 lodges in 2025, with 6-7 franchised and an additional 10-15 lodges in both 2026 and 2027. The Company has over 100 signed franchised commitments and the remaining conversion of approximately 30 Smokey Bones locations to drive new openings.
New Openings. FAT Brands expects to open over 100 new locations in 2025, with 17 already opened year-to-date. We anticipate strong organic growth across the portfolio in 2025. The current development pipeline consists of signed agreements for approximately 1,000 additional locations, including over 250 units signed in 2024. Once these units are opened, we expect them to generate approximately $50 million in incremental annual adjusted EBITDA.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
– Klarna is targeting a $15B+ valuation, pricing expected in April. – IPO may boost tech listings, with Chime and Zilch eyeing debuts. – Klarna refocuses on AI, payments, and potential crypto expansion.
Klarna, a leading player in the buy-now, pay-later (BNPL) sector, is gearing up for a highly anticipated initial public offering (IPO) in the United States. According to sources familiar with the matter, the Swedish fintech company is expected to publicly file for its IPO as soon as next week, aiming to raise at least $1 billion. Klarna’s listing on the New York Stock Exchange (NYSE) is expected to take place in early April, with a target valuation exceeding $15 billion.
This IPO comes at a crucial time for the technology sector, which has seen a slowdown in public listings following a record-breaking surge in 2021. Klarna’s decision to go public could reignite investor interest in fintech IPOs, paving the way for other companies like Chime Financial Inc. and Zilch Technology Ltd. to follow suit later this year. The company confidentially filed for an IPO with the U.S. Securities and Exchange Commission (SEC) in November 2024, and it is now preparing to move forward with the process alongside major underwriters, including Goldman Sachs, JPMorgan Chase, and Morgan Stanley.
Klarna has experienced significant valuation swings in recent years. At its peak in 2021, the company was valued at $45.6 billion. However, following a broader tech downturn, Klarna’s valuation dropped dramatically to $6.7 billion in 2022. Analysts currently estimate its worth at approximately $14.6 billion based on Chrysalis Investments Ltd.’s assessment of its stake in Klarna.
To strengthen its market position and improve financial efficiency ahead of the IPO, Klarna has been restructuring its business operations. The company recently agreed to divest its Checkout payments division for approximately $520 million, while also acquiring Laybuy, a buy-now, pay-later provider in New Zealand. These strategic moves indicate Klarna’s intent to streamline its operations and refocus on its core payments business.
Founded in Stockholm, Sweden, in 2005, Klarna has grown into a global financial technology leader with 85 million customers and 600,000 retail partners. The company’s expansion into the U.K. and U.S. markets has been key to its growth, and its IPO signals a continued push for international dominance.
Klarna is also exploring new revenue streams, including an expansion into the cryptocurrency market. CEO Sebastian Siemiatkowski hinted at this move in February when he posted on social media that Klarna “will embrace crypto.” This potential diversification could attract a new wave of investors interested in both fintech and digital assets.
As Klarna prepares for its public debut, investors will be watching closely to see how the company positions itself in the competitive fintech landscape. With the backing of major institutional investors like Sequoia Capital and a renewed focus on core business operations, Klarna’s IPO could be a significant milestone for the BNPL industry and the broader fintech sector. If successful, this listing could set the tone for other fintech firms eyeing public markets in 2025 and beyond.
Office Depot, Inc., together with its subsidiaries, supplies a range of office products and services. It offers merchandise, such as general office supplies, computer supplies, business machines and related supplies, and office furniture through its chain of office supply stores under the Office Depot, Foray, Ativa, Break Escapes, Worklife, and Christopher Lowell brand names. The company also provides graphic design, printing, reproduction, mailing, shipping, and other services through design, print, and ship centers. It has operations throughout North America, Europe, Asia, and Central America. The company also sells its products and services through direct mail catalogs, contract sales force, Internet sites, and retail stores, through a mix of company-owned operations, joint ventures, licensing and franchise agreements, alliances, and other arrangements. As of December 31, 2008, Office Depot operated 1,267 North American retail division office supply stores and 162 international division retail stores, as well as participated under licensing and merchandise arrangements in 98 stores. The company was founded in 1986 and is based in Boca Raton, Florida.
Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Macro Headwinds. While macro headwinds remain in the B2B and B2C segments, green shoots are appearing, with new B2B contracts and an expanding pipeline of new business opportunities. Over at retail, the Company has seen improved traction with targeted profitable sales campaigns and value added promotions.
Playing to its Strengths. Project “Optimize for Growth” and the B2B focus plays into ODP’s core strengths, such as robust supply chain assets, distribution capabilities, and an expansive B2B customer base. We believe these moves position ODP to unlock sustainable growth and long-term success.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
New partnership reaffirms ODP Business Solutions’ commitment to the hospitality industry and adjacent categories, fostering a refined guest experience
BOCA RATON, Fla.–(BUSINESS WIRE)–Mar. 3, 2025– ODP Business Solutions, a leading supplier of workplace solutions and services and a division of The ODP Corporation (NASDAQ: ODP), announced today a strategic distribution partnership with Hunter Amenities. ODP Business Solutions will distribute Hunter’s wide range of hotel and guest amenities to hospitality partners, including liquid beauty products, soaps, dry goods and more, all uniquely bundled to accommodate the needs of every client and guest.
“Our partnership with Hunter Amenities demonstrates our commitment to continuing to expand our presence and product offerings in the hospitality industry and other adjacent sectors,” said David Centrella, EVP and president of ODP Business Solutions. “Distributing Hunter Amenities’ premium products further positions ODP Business Solutions to serve as a key-supplier for in-room needs.”
Hunter Amenities is an award-winning global manufacturing company that has been a pioneer in the personal care and hospitality industry for more than four decades. Renowned for its world-class manufacturing facilities that combine artisanal traditions with cutting-edge innovation, the company partners with some of the world’s most prestigious hospitality and retail brands. Hunter Amenities now provides its rich portfolio of high-end personal care products through ODP Business Solutions’ vast network of solutions and service, advancing how the hospitality industry can bring a luxurious, elevated experience to their guests.
“Partnering with ODP Business Solutions as a distribution partner is a natural fit for our company. Their best-in-class distribution capabilities and remarkably agile team give us complete confidence, which is why we’ve gone all in—rolling out our full portfolio within their expansive customer network. This collaboration is a true win-win for both organizations and a game-changer for the entire hospitality industry,” said John Hunter, founder of Hunter Amenities.
Hunter’s extensive product portfolio includes curated shampoo, conditioner, body wash, lotion, and hand wash, along with VIP indulgences such as lip balm, hand cream, eye cream, sleep balm, facial mist, and pillow mist—crafted for discerning travelers who expect nothing but the best.
“Introducing Hunter Amenities to our hospitality distribution services will provide our customers the opportunity to enhance each guest’s stay with custom, high-end offerings that pair seamlessly with ODP Business Solutions’ unparalleled service,” said Nisha Brown, vice president of marketing & product management at ODP Business Solutions. “Hunter is a globally recognized luxury brand that aligns perfectly with our commitment to quality and innovation. We look forward to continuing our growth in the hospitality market and beyond, offering tailored solutions that meet the evolving needs of our clients.”
ODP Business Solutions also delivers high-quality solutions in categories that include technology, professional cleaning and furniture, while expanding into new verticals to better serve the needs of its customers. This partnership announcement follows ODP Business Solutions recent milestone contract with a leading hospitality management company.
To learn more about ODP Business Solutions, visit odpbusiness.com.
About ODP Business Solutions:
ODP Business Solutions is a trusted partner with more than 30 years of experience working with businesses to adapt to the ever-changing world of work. From technology transformation, sustainability, innovative workspace design, cleaning and breakroom, and everything in between, ODP Business Solutions has the integrated products and services businesses need. Powered by a collaborative team of experienced business consultants, world-class logistics and trusted brand names, ODP Business Solutions advances how the working world gets work done. For more information on ODP Business Solutions, visit odpbusiness.com.
ODP Business Solutions is a division of The ODP Corporation (NASDAQ: ODP). ODP and ODP Business Solutions are trademarks of ODP Business Solutions, LLC. Any other product or company names mentioned herein are the trademarks of their respective owners.
About Hunter Amenities:
Since 1981, Hunter Amenities has become one of the world’s largest manufacturers and leading formulators of superior personal care guest amenities, servicing hospitality customers in over 100 countries. Our products range from a prominent selection of licensed, internationally recognized designer and cosmetic brands to distinctive luxurious spa hotel amenities and retail collections.
The ODP Corporation (NASDAQ:ODP) is a leading provider of products and services through an integrated business-to-business (B2B) distribution platform and omnichannel presence, which includes world-class supply chain and distribution operations, dedicated sales professionals, online presence and a network of Office Depot and OfficeMax retail stores. Through its operating companies Office Depot, LLC; ODP Business Solutions, LLC; and Veyer, LLC, The ODP Corporation empowers every business, professional, and consumer to achieve more every day. For more information, visit theodpcorp.com.
This communication may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements or disclosures may discuss goals, intentions and expectations as to future trends, plans, events, results of operations, cash flow or financial condition, or state other information relating to, among other things, The ODP Corporation (“the Company”), based on current beliefs and assumptions made by, and information currently available to, management. Forward-looking statements generally will be accompanied by words such as “anticipate,” “believe,” “plan,” “could,” “estimate,” “expect,” “forecast,” “guidance,” “expectations”, “outlook,” “intend,” “may,” “possible,” “potential,” “predict,” “project,” “propose” “aim” or other similar words, phrases or expressions, or other variations of such words. These forward-looking statements are subject to various risks and uncertainties, many of which are outside of the Company’s control. There can be no assurances that the Company will realize these expectations or that these beliefs will prove correct, and therefore investors and stakeholders should not place undue reliance on such statements.
Investors and shareholders should carefully consider the foregoing factors and the other risks and uncertainties described in the Company’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K filed with the U.S. Securities and Exchange Commission. The Company does not assume any obligation to update or revise any forward-looking statements.
Kelly (Nasdaq: KELYA, KELYB) connects talented people to companies in need of their skills in areas including Science, Engineering, Education, Office, Contact Center, Light Industrial, and more. We’re always thinking about what’s next in the evolving world of work, and we help people ditch the script on old ways of thinking and embrace the value of all workstyles in the workplace. We directly employ nearly 350,000 people around the world and connect thousands more with work through our global network of talent suppliers and partners in our outsourcing and consulting practice. Revenue in 2021 was $4.9 billion. Visit kellyservices.com and let us help with what’s next for you.
Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
More Integration. As promised, Kelly continues to take steps to integrate the Motion Recruitment Partners offerings with Kelly’s offerings. Kelly announced the formation of an integrated permanent hiring solutions business line resulting from the combination of KellyOCG’s global recruitment process outsourcing (RPO) specialty and MRPs’ talent acquisition solutions brand, Sevenstep. The integrated business creates a leading talent solutions offering that ranks among the top five globally.
Detail. The integrated business will oversee a team supporting 71 countries with 33 in-country teams and 19 global hub locations. Sevenstep brings an industry-leading brand and attractive client base to KellyOCG, expanding its RPO scale and capabilities. We believe the KellyOCG and Sevenstep businesses are highly complementary and will deliver an unmatched breadth of service, a high delivery footprint, and innovative technology offerings to clients.
Equity Research is available at no cost to Registered users of Channelchek. Not a Member? Click ‘Join’ to join the Channelchek Community. There is no cost to register, and we never collect credit card information.
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
Fourth Quarter Revenue of $1.6 Billion with GAAP EPS of $0.36; Adjusted EPS of $0.66
Announced Milestone Agreement with Leading Hospitality Management Company Becoming Key Supplier and Distribution Partner — A Key Step in Expanding Beyond Office Supplies
Launches “Optimize for Growth” Plan to Accelerate Revenue Growth in B2B Industry Segments
BOCA RATON, Fla.–(BUSINESS WIRE)–Feb. 26, 2025– The ODP Corporation (“ODP,” or the “Company”) (NASDAQ:ODP), a leading provider of products, services, and technology solutions to businesses and consumers, today announced results for the fourth quarter and full year ended December 28, 2024.
Fourth Quarter 2024 Summary(1)(3)
Total reported sales of $1.6 billion, down 10% versus the prior year period on a reported basis. The decrease in reported sales is largely related to lower sales in its Office Depot Division, primarily due to 47 fewer retail locations in service compared to the previous year and reduced retail and online consumer traffic, as well as lower sales in its ODP Business Solutions Division
GAAP operating income of $20 million and net income from continuing operations of $11 million, or $0.36 per diluted share, versus $52 million and $39 million, respectively, or $1.02 per diluted share, in the prior year period
Adjusted operating income of $32 million, compared to $57 million in the fourth quarter of 2023; adjusted EBITDA of $58 million, compared to $83 million in the fourth quarter of 2023
Adjusted net income from continuing operations of $20 million, or adjusted diluted earnings per share from continuing operations of $0.66, versus $43 million or $1.13, respectively, in the prior year period
Operating cash flow from continuing operations of $34 million and adjusted free cash flow of $(57) million, versus $71 million and $48 million, respectively, in the prior year period
Repurchased 1.4 million shares at a cost of $43 million in the fourth quarter of 2024
$644 million of total available liquidity including $166 million in cash and cash equivalents at quarter end
Full Year 2024 Summary
Total reported sales of $7.0 billion, versus $7.8 billion in the prior year
GAAP operating income of $163 million and net income from continuing operations of $106 million, or $3.08 per diluted share, versus $330 million and net income from continuing operations of $247 million, or $6.22 per diluted share, respectively, in the prior year
Adjusted operating income of $173 million, compared to $351 million in 2023; adjusted EBITDA of $268 million, compared to $459 million in 2023. Adjusted operating income in 2024 excludes $70 million of income related to legal matter monetization where the Company is engaged in legal proceedings as a plaintiff
Adjusted net income from continuing operations of $114 million, or adjusted diluted earnings per share from continuing operations of $3.30, versus $263 million or $6.61, respectively, in the prior year. Adjusted net income from continuing operations in 2024 excludes $70 million of income or $51 million of income, net of tax related to legal matter monetization where the Company is engaged in legal proceedings as a plaintiff
Operating cash flow from continuing operations of $159 million and adjusted free cash flow of $33 million, versus $360 million and $288 million, respectively in the prior year
Repurchased 8 million shares for $300 million in 2024
“We made significant progress in our B2B pivot during the year, strengthening ODP’s position to drive sustainable profitable growth in the future,” said Gerry Smith, chief executive officer of The ODP Corporation. “Our core strengths in supply chain, procurement, and distribution have continued to provide a meaningful competitive advantage, resulting in recent major new business wins across both our traditional market segments and in new higher-growth industry sectors. Building on our recent success and our core competencies, we are intensifying our focus on the growing potential within the B2B marketplace.”
“We’re now positioned to pursue growth in a new industry segment, recently signing a transformative contract with a major hotel management company that establishes ODP as a preferred supplier in the expanding $16 billion hospitality industry. This landmark agreement is a key step in expanding beyond office supplies and represents a true inflection point in our business, enabling us to strategically expand into growing industry segments where our core competencies resonate. When combined with adjacent industry segments, this represents a compelling $60 billion market opportunity for ODP to showcase its next-day delivery capabilities, exceptional customer service, and extensive national supply chain network to a growing customer base,” Smith continued.
“Our recent progress has the potential to reshape our business trajectory in the future after what has been a challenging period for our industry,” said Smith. “While we achieved our revised guidance for the year, our performance in 2024 was impacted by weak macroeconomic trends, subdued business and consumer activity, and effects from severe weather in the second half of the year. However, we remain competitively strong and, in addition to the landmark hospitality agreement, we continue to secure major new business wins, including signing one of the largest multi-year B2B contracts in our history and successfully launching strategic warehousing and fulfillment services to support one of the world’s leading social media-driven e-commerce platforms.”
“Building on these accomplishments, we are announcing our ‘Optimize for Growth’ plan,” Smith continued. “This plan capitalizes on our core strengths—including a robust B2B infrastructure, supply chain assets, strong distribution network, and loyal customer base—to expand and accelerate growth in the B2B distribution and 3PL market segments while reducing our retail exposure and associated obligations. Supporting our strategy, we are realigning our organization, refining product assortments, and reallocating capital to prioritize growth in the B2B marketplace. At the same time, we will suspend growth investments in our retail segment and continue to optimize our store footprint to better align with our long-term strategy. That said, we remain committed to supporting and providing an exceptional service experience at our active retail locations.”
“As we look ahead to 2025, our strategic priority remains centered on capturing the numerous opportunities in the B2B marketplace and pursuing growth in new industry segments. Although transformational progress takes time to fully materialize and macroeconomic conditions continue to present near-term challenges, we are confident in the strength of our strategy and steadfast in our commitment to delivering sustained, long-term value for our shareholders. We look forward to providing updates on our progress and offering deeper insights into our long-term growth plans in the quarters ahead,” Smith concluded.
Consolidated Results
Reported (GAAP) Results
Total reported sales for the fourth quarter of 2024 were $1.6 billion, a decrease of 10% compared with the same period last year, driven primarily by lower sales in both its consumer and business-to-business (B2B) divisions. Lower sales in its consumer division, Office Depot, was primarily due to lower retail and online consumer traffic and lower average order volumes, as well as 47 fewer stores in service compared to last year related to planned store closures. Sales at ODP Business Solutions Division were lower compared to last year, largely driven by macroeconomic factors causing reduced spending among business customers and fewer transactions. Meanwhile, Veyer continued to provide strong logistics support for the ODP Business Solutions and Office Depot Divisions on lower internal sales volume, and continued to execute across its growth strategy, delivering supply chain and procurement solutions to third-party customers and driving increases in external revenue.
The Company reported GAAP operating income of $20 million in the fourth quarter of 2024, down compared to GAAP operating income of $52 million in the prior year period. Operating results in the fourth quarter of 2024 included $12 million of charges primarily related to non-cash asset impairments of operating lease right-of-use (ROU) assets associated with the Company’s retail store locations. Net income from continuing operations was $11 million, or $0.36 per diluted share in the fourth quarter of 2024, down compared to net income from continuing operations of $39 million, or $1.02 per diluted share in the fourth quarter of 2023.
Adjusted (non-GAAP) Results(1)
Adjusted results for the fourth quarter of 2024 exclude charges and credits totaling $12 million as described above and the associated tax impacts.
Fourth quarter 2024 adjusted EBITDA was $58 million compared to $83 million in the prior year period. This included depreciation and amortization of $24 million in both the fourth quarter of 2024 and 2023
Fourth quarter 2024 adjusted operating income was $32 million, down compared to $57 million in the fourth quarter of 2023
Fourth quarter 2024 adjusted net income from continuing operations was $20 million, or $0.66 per diluted share, compared to $43 million, or $1.13 per diluted share, in the fourth quarter of 2023, a decrease of 42% on a per share basis
Division Results
ODP Business Solutions Division
Leading B2B distribution solutions provider serving small, medium and enterprise level companies with an annual trailing-twelve-month revenue of $3.6 billion.
Reported sales were $827 million in the fourth quarter of 2024, down 9% compared to the same period last year. The decrease in sales was related primarily to weaker macroeconomic conditions, a more cautious business spending environment, lower sales conversion, fewer customers, and the foreign exchange impact from a weaker Canadian dollar
Total adjacency category sales, including cleaning and breakroom, furniture, technology, and copy and print, were 44% of total ODP Business Solutions’ sales, flat with the prior year
Executed initiatives to convert strong pipeline of potential new business and implemented several initiatives to regain top-line traction, including progress on initiating service for one of the largest contracts in Company history, potentially generating up to $1.5 billion in revenue over a 10-year period
Remained competitively strong and made significant progress on establishing presence in new industry segments. Signed milestone agreement with leading hospitality management company becoming a key supplier and distribution partner, positioning ODP to expand in the growing $16 billion hospitality marketplace
Expected revenue generation from recent new business wins expected to ramp up in future quarters
Operating income was $25 million in the fourth quarter of 2024, down compared to $34 million in the same period last year on a reported basis. As a percentage of sales, operating income margin was 3%, down 70 basis points compared to the same period last year
Office Depot Division
Leading provider of retail consumer and small business products and services distributed via Office Depot and OfficeMax retail locations and eCommerce presence.
Reported sales were $784 million in the fourth quarter of 2024, down 13% compared to the prior year. Lower sales were partially driven by 47 fewer retail locations in service associated with planned store closures, as well as lower demand relative to last year in major product categories, lower average order volume, and lower online sales. The Company closed 16 retail stores in the quarter and had 869 stores at quarter end. Sales were down 8% on a comparable store basis
Store and online traffic were lower year over year due to macroeconomic factors causing weak consumer activity as well as the lingering effect of severe weather in major markets where we operate
Operating income was $30 million in the fourth quarter of 2024, compared to operating income of $43 million during the same period last year on a reported basis, driven primarily by the flow through impact from lower sales. As a percentage of sales, operating income was 4%, down 100 basis points compared to the same period last year
Veyer Division
Nationwide supply chain, distribution, procurement and global sourcing operation supporting Office Depot and ODP Business Solutions, as well as third-party customers. Veyer’s assets and capabilities include 8 million square feet of infrastructure through a network of distribution centers, cross-docks, and other facilities throughout the United States; a global sourcing presence in Asia; a large private fleet of vehicles; and business next-day delivery capabilities to 98.5% of US population.
In the fourth quarter of 2024, Veyer provided support for its internal customers, ODP Business Solutions and Office Depot, as well as its third-party customers, generating reported sales of $1.1 billion
Reported operating loss was $2 million in the fourth quarter of 2024, compared to operating income of $3 million in the prior year period driven by the flow through impact of lower sales to internal customers partially offset by services to third-party customers
Launched supply chain services for one of the world’s largest social media-focused e-commerce companies to deliver warehousing and fulfillment services for their online sales
In the fourth quarter of 2024, sales generated from third-party customers increased by 150% compared to the same period last year, resulting in sales of $20 million. EBITDA generated from third-party customers was $1 million in the quarter, lower compared to EBITDA of $3 million in the prior year period, driven largely by Veyer’s investment in resources to support the launch of services for new customer additions
Share Repurchases in 2024
During fiscal year 2024, the Company continued to execute under its previously announced $1 billion share repurchase authorization valid through March 31, 2027. During the fourth quarter of 2024, the Company repurchased approximately 1.4 million shares at a cost of $43 million.
“Throughout the year, we invested in our business while returning $300 million to shareholders through share repurchases in 2024,” said Adam Haggard, senior vice president and co-chief financial officer of The ODP Corporation. “Looking ahead to 2025, we plan to prioritize capital allocation toward our core business over share repurchases, focusing on high-return B2B growth opportunities that we believe will drive sustainable, long-term value for our shareholders.”
The number of shares to be repurchased under the authorization in the future and the timing of such transactions will depend on a variety of factors, including market conditions, regulatory requirements, and other corporate considerations. The share repurchase authorization could be suspended or discontinued at any time as determined by the Board of Directors.
Balance Sheet and Cash Flow
As of December 28, 2024, ODP had total available liquidity of approximately $644 million, consisting of $166 million in cash and cash equivalents and $478 million of available credit under the Fourth Amended Credit Agreement. Total debt was $279 million.
For the fourth quarter of 2024, cash provided by operating activities of continuing operations was $34 million, which included $70 million related to legal matter monetization where the Company is engaged in legal proceedings as a plaintiff, partially offset by $4 million in restructuring spend. This compared to cash provided by operating activities of continuing operations of $71 million in the fourth quarter of the prior year, which included $2 million in restructuring spend. The year-over-year change in operating cash flow is primarily related to lower sales and the timing of investments in working capital related to new business wins.
Capital expenditures were $25 million in both the fourth quarter of 2024 and 2023, reflecting continued growth investments in the Company’s digital transformation, distribution network, and eCommerce capabilities. Adjusted Free Cash Flow(3) was $(57) million in the fourth quarter of 2024, compared to $48 million in the prior year period.
Milestone Agreement with Premier Hospitality Company
Subsequent to the quarter end, the Company announced a major milestone agreement in its B2B evolution as its subsidiary, ODP Business Solutions, entered into a key new partnership with one of the world’s largest hotel management organizations becoming a preferred provider for Operating Supplies & Equipment (“OS&E”). Through this agreement, ODP Business Solutions will become a distribution partner to reliably support the recurring in-room hotel supply needs necessary to run operations, reset rooms between guests, and exceed their customers’ expectations. This product expansion and strategic partnership reflects ODP Business Solutions’ continued evolution beyond office supplies and highlights the Company’s ability to leverage its capabilities and offerings to elevate the experience to businesses in the hospitality, healthcare and adjacent sectors.
“Optimize for Growth” B2B Revenue Acceleration Plan
After a comprehensive review of its business units and in light of recent new business successes, including its recent entry into the hospitality industry, the Company announced its “Optimize for Growth” restructuring plan. This initiative focuses on capitalizing on ODP’s core strengths — including its supply chain and procurement expertise, robust distribution network, and strong B2B customer base — to accelerate growth in the B2B distribution and third-party logistics (3PL) market segments, while reducing retail exposure and associated liabilities. The plan strategically realigns the Company’s organizational structure, product offerings, and go-to-market strategies to target high-growth opportunities in the B2B marketplace, while also expanding into new enterprise segments, including hospitality, healthcare, and adjacent sectors.
As part of the plan, ODP will prioritize investments in resources and infrastructure critical to its growth in the B2B sector, while reducing fixed costs associated with retail operations, including store and distribution center leases. Concurrently, the Company will suspend growth investments in its consumer and retail business as it continues to optimize its retail store footprint. Despite reduced retail growth investments, ODP remains firmly committed to supporting and providing an exceptional service experience at its active retail locations, ensuring that customers continue to receive the top-tier care they expect.
In connection with this plan, the Company expects to incur costs in the range of $185 million to $230 million, which we anticipate will generate approximately $380 million in EBITDA improvement and generate over $1.3 billion in total value over the multi-year life of the plan.
The ODP Corporation will webcast a call with financial analysts and investors on February 26, 2025, at 9:00 am Eastern Time, which will be accessible to the media and the general public. To listen to the conference call via webcast, please visit The ODP Corporation’s Investor Relations website at investor.theodpcorp.com. A replay of the webcast will be available approximately two hours following the event.
About The ODP Corporation
The ODP Corporation (NASDAQ:ODP) is a leading provider of products, services, and technology solutions through an integrated business-to-business (B2B) distribution platform and omni-channel presence, which includes supply chain and distribution operations, dedicated sales professionals, online presence, and a network of Office Depot and OfficeMax retail stores. Through its operating companies ODP Business Solutions, LLC; Office Depot, LLC; and Veyer, LLC, The ODP Corporation empowers every business, professional, and consumer to achieve more every day. For more information, visit theodpcorp.com.
This communication may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements or disclosures may discuss goals, intentions and expectations as to future trends, plans, events, results of operations, cash flow or financial condition, or state other information relating to, among other things, the Company, based on current beliefs and assumptions made by, and information currently available to, management. Forward-looking statements generally will be accompanied by words such as “anticipate,” “believe,” “plan,” “could,” “estimate,” “expect,” “forecast,” “guidance,” “expectations”, “outlook,” “intend,” “may,” “possible,” “potential,” “predict,” “project,” “propose” or other similar words, phrases or expressions, or other variations of such words. These forward-looking statements are subject to various risks and uncertainties, many of which are outside of the Company’s control. There can be no assurances that the Company will realize these expectations or that these beliefs will prove correct, and therefore investors and stakeholders should not place undue reliance on such statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include, among other things, highly competitive office products market and failure to differentiate the Company from other office supply resellers or respond to decline in general office supplies sales or to shifting consumer demands; competitive pressures on the Company’s sales and pricing; the risk that the Company is unable to transform the business into a service-driven, B2B platform or that such a strategy will not result in the benefits anticipated; the risk that the Company will not be able to achieve the expected benefits of its strategic plans, including charges and benefits related to Project Core and the Optimize for Growth Restructuring Plan; the risk that the Company may not be able to realize the anticipated benefits of acquisitions due to unforeseen liabilities, future capital expenditures, expenses, indebtedness and the unanticipated loss of key customers or the inability to achieve expected revenues, synergies, cost savings or financial performance; the risk that the Company is unable to successfully maintain a relevant omni-channel experience for its customers; the risk that the Company is unable to execute the Maximize B2B Restructuring Plan successfully or that such plan will not result in the benefits anticipated; failure to effectively manage the Company’s real estate portfolio; loss of business with government entities, purchasing consortiums, and sole- or limited- source distribution arrangements; failure to attract and retain qualified personnel, including employees in stores, service centers, distribution centers, field and corporate offices and executive management, and the inability to keep supply of skills and resources in balance with customer demand; failure to execute effective advertising efforts and maintain the Company’s reputation and brand at a high level; disruptions in computer systems, including delivery of technology services; breach of information technology systems affecting reputation, business partner and customer relationships and operations and resulting in high costs and lost revenue; unanticipated downturns in business relationships with customers or terms with the suppliers, third-party vendors and business partners; disruption of global sourcing activities, evolving foreign trade policy (including tariffs imposed on certain foreign made goods); exclusive Office Depot branded products are subject to additional product, supply chain and legal risks; product safety and quality concerns of manufacturers’ branded products and services and Office Depot private branded products; covenants in the credit facility; general disruption in the credit markets; incurrence of significant impairment charges; retained responsibility for liabilities of acquired companies; fluctuation in quarterly operating results due to seasonality of the Company’s business; changes in tax laws in jurisdictions where the Company operates; increases in wage and benefit costs and changes in labor regulations; changes in the regulatory environment, legal compliance risks and violations of the U.S. Foreign Corrupt Practices Act and other worldwide anti-bribery laws; volatility in the Company’s common stock price; changes in or the elimination of the payment of cash dividends on Company common stock; macroeconomic conditions such as higher interest rates and future declines in business or consumer spending; increases in fuel and other commodity prices and the cost of material, energy and other production costs, or unexpected costs that cannot be recouped in product pricing; unexpected claims, charges, litigation, dispute resolutions or settlement expenses; catastrophic events, including the impact of weather events on the Company’s business; the discouragement of lawsuits by shareholders against the Company and its directors and officers as a result of the exclusive forum selection of the Court of Chancery, the federal district court for the District of Delaware or other Delaware state courts by the Company as the sole and exclusive forum for such lawsuits; and the impact of the COVID-19 pandemic on the Company’s business. The foregoing list of factors is not exhaustive. Investors and shareholders should carefully consider the foregoing factors and the other risks and uncertainties described in the Company’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K filed with the U.S. Securities and Exchange Commission. The Company does not assume any obligation to update or revise any forward-looking statements.
LOS ANGELES, Feb. 25, 2025 (GLOBE NEWSWIRE) — FAT(Fresh. Authentic. Tasty.) Brands Inc. (NASDAQ: FAT) (“FAT Brands” or the “Company”), a leading global franchising company and parent company of iconic brands including Round Table Pizza, Fatburger, Johnny Rockets, Twin Peaks, Fazoli’s and 13 other restaurant concepts, today announced that the Company will host a conference call to review its fourth quarter and full year 2024 financial results on Thursday, February 27, 2025 at 4:30 PM ET. A press release with fourth quarter and full year 2024 financial results will be issued prior to the conference call that day.
The conference call can be accessed live over the phone by dialing 1-877-704-4453 from the U.S. or 1-201-389-0920 internationally. A replay will be available after the call until Thursday, March 20, 2025, and can be accessed by dialing 1-844-512-2921 from the U.S. or 1-412-317-6671 internationally. The passcode is 13751410. Hosting the call will be Andy Wiederhorn, Chairman, and Ken Kuick, Co-Chief Executive Officer and Chief Financial Officer.
The conference call will also be webcast live from the corporate website at www.fatbrands.com, under the “Investors” section. A replay of the webcast will be available through the corporate website shortly after the call has concluded.
About FAT (Fresh. Authentic. Tasty.) Brands
FAT Brands (NASDAQ: FAT) is a leading global franchising company that strategically acquires, markets, and develops fast casual, quick-service, casual dining, and polished casual dining concepts around the world. The Company currently owns 18 restaurant brands: Round Table Pizza, Fatburger, Marble Slab Creamery, Johnny Rockets, Fazoli’s, Twin Peaks, Great American Cookies, Smokey Bones, Hot Dog on a Stick, Buffalo’s Cafe & Express, Hurricane Grill & Wings, Pretzelmaker, Elevation Burger, Native Grill & Wings, Yalla Mediterranean and Ponderosa and Bonanza Steakhouses, and franchises and owns over 2,300 units worldwide. For more information on FAT Brands, please visit www.fatbrands.com.
ACCO Brands Corporation is one of the world’s largest designers, marketers and manufacturers of branded academic, consumer and business products. Our widely recognized brands include AT-A-GLANCE®, Esselte®, Five Star®, GBC®, Kensington®, Leitz®, Mead®, PowerA®, Quartet®, Rapid®, Rexel®, Swingline®, Tilibra®, and many others. Our products are sold in more than 100 countries around the world. More information about ACCO Brands, the Home of Great Brands Built by Great People, can be found at www.accobrands.com.
Joe Gomes, CFA, Managing Director, Equity Research Analyst, Generalist , Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
4Q24. Fourth quarter sales and EPS were in line with expectations, excluding greater than anticipated foreign currency headwinds. ACCO experienced ongoing softer demand for certain office-related products and lower demand for back-to-school products in Brazil, partially offset by growth in the technology accessories categories. ACCO further increased its multi-year cost reduction program to $100 million of cumulative savings.
Details. Revenue of $448.1 million was down 8.3% y-o-y, with comp sales down 5.9% and adverse foreign exchange reducing sales by 2.4%. Adjusted operating income was $64.2 million versus $68.3 million last year. Adjusted net income was $37.5 million, and adjusted EPS was $0.39 for both 4Q24 and 4Q23.
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This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.
The Three Projects Will Include an 80 Story High-Rise Building in the Miami Brickell District at 1040 South Miami Ave, Two Buildings in Clearwater Beach, and a Project in Jupiter Florida, Totaling Over 400 High-End Luxury Units
SKYX is Expected to Supply Forte Development with Over 12,000 Smart and Plug & Play Products Across Three Luxury Projects, Including Ceiling Outlet Receptacles, Lighting, Ceiling Fans, Recessed Lights, EXIT Signs, Emergency Lights, Downlights, and Indoor/Outdoor Wall Lights
SKYX’s Technologies Provide Opportunities for Recurring Revenues Through Upgrades, Interchangeability, Monitoring and Subscriptions and More
MIAMI, Feb. 20, 2025 (GLOBE NEWSWIRE) — SKYX Platforms Corp. (NASDAQ: SKYX) (d/b/a SKYX Technologies) (the “Company” or “SKYX”), a highly disruptive smart platform technology company with more than 97 issued and pending patents globally and over 60 lighting and home décor websites, announces that it will start supplying its technologies to Forte Developments’ upcoming high-end luxury projects, including an 80-story building in Miami located at the Brickell district, two buildings in Clearwater Beach and a project in Jupiter, Florida.
Forte Developments is a leading high-end luxury condo and home development company. Forte’s developments include well-known luxury buildings in Palm Beach and Miami, Florida, as well as in The Hamptons, New York, among others.
During the course of the three projects, SKYX is expected to deliver over 12,000 of its products, representing a variety of its advanced and smart platform technology plug & play platform products. SKYX is expected to start supplying its products during the second half of 2025.
Marius Fortelni CEO and Founder of Forte Developments said: “We are excited to develop our ultra-high-end luxury upcoming projects utilizing SKYX’s game-changing advanced, smart, and safe plug and play technologies. I strongly believe that SKYX’s disruptive ceiling platform technologies will become the standard for new construction as they provide smart capabilities, safety and time savings, while adding significant value to our homes and buildings.” Link to Forte’s website here: https://fortedevelopmentus.com/
Rani Kohen, Founder/Inventor and Executive Chairman, of SKYX Platforms, said: “We are excited to work with a high-end condo developer such as Forte Developers. This is another step toward our goal of making homes and buildings become advanced, safe, and smart as the new standard. We look forward to continuing to demonstrate our advanced smart platform technology’s ability to make homes and buildings become smart and safe instantly, while significantly advancing buildings and saving time and cost to developers.”
About SKYX Platforms Corp.
As electricity is a standard in every home and building, our mission is to make homes and buildings become safe-advanced and smart as the new standard. SKYX has a series of highly disruptive advanced-safe-smart platform technologies, with over 97 U.S. and global patents and patent pending applications. Additionally, the Company owns over 60 lighting and home decor websites for both retail and commercial segments. Our technologies place an emphasis on high quality and ease of use, while significantly enhancing both safety and lifestyle in homes and buildings. We believe that our products are a necessity in every room in both homes and other buildings in the U.S. and globally. For more information, please visit our website at https://skyplug.com/ or follow us on LinkedIn.
Forward-Looking Statements Certain statements made in this press release are not based on historical facts, but are forward-looking statements. These statements can be identified by the use of forward-looking terminology such as “aim,” “anticipate,” “believe,” “can,” “could,” “continue,” “estimate,” “expect,” “evaluate,” “forecast,” “guidance,” “intend,” “likely,” “may,” “might,” “objective,” “ongoing,” “outlook,” “plan,” “potential,” “predict,” “probable,” “project,” “seek,” “should,” “target” “view,” “will,” or “would,” or the negative thereof or other variations thereon or comparable terminology, although not all forward-looking statements contain these words. These statements reflect the Company’s reasonable judgment with respect to future events and are subject to risks, uncertainties and other factors, many of which have outcomes difficult to predict and may be outside our control, that could cause actual results or outcomes to differ materially from those in the forward-looking statements. Such risks and uncertainties include statements relating to the Company’s ability to successfully launch, commercialize, develop additional features and achieve market acceptance of its products and technologies and integrate its products and technologies with third-party platforms or technologies; the Company’s efforts and ability to drive the adoption of its products and technologies as a standard feature, including their use in homes, hotels, offices and cruise ships; the Company’s ability to capture market share; the Company’s estimates of its potential addressable market and demand for its products and technologies; the Company’s ability to raise additional capital to support its operations as needed, which may not be available on acceptable terms or at all; the Company’s ability to continue as a going concern; the Company’s ability to execute on any sales and licensing or other strategic opportunities; the possibility that any of the Company’s products will become National Electrical Code (NEC)-code or otherwise code mandatory in any jurisdiction, or that any of the Company’s current or future products or technologies will be adopted by any state, country, or municipality, within any specific timeframe or at all; risks arising from mergers, acquisitions, joint ventures and other collaborations; the Company’s ability to attract and retain key executives and qualified personnel; guidance provided by management, which may differ from the Company’s actual operating results; the potential impact of unstable market and economic conditions on the Company’s business, financial condition, and stock price; and other risks and uncertainties described in the Company’s filings with the Securities and Exchange Commission, including its periodic reports on Form 10-K and Form 10-Q. There can be no assurance as to any of the foregoing matters. Any forward-looking statement speaks only as of the date of this press release, and the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by U.S. federal securities laws.
