LAKELAND INDUSTRIES INC (LAKE) FY2025 10-K Annual Report

Filed: Apr 17, 2025
Health Care
Orthopedic, Prosthetic & Surgical Appliances & SuppliesSEC EDGAR

LAKELAND INDUSTRIES INC (LAKE) 10-K annual report for fiscal year 2025, filed with SEC EDGAR on Apr 17, 2025. This page provides AI-powered analysis including business overview, management discussion & analysis (MD&A), risk factors, and key financial data such as revenue, net income, gross margin, operating margin, and return on equity (ROE) extracted from XBRL.

LAKELAND INDUSTRIES INC FY2025 10-K Analysis

Business Overview

  • Core business model: Manufacture and sale of specialized protective safety apparel globally
  • New acquisitions in FY2025: Pacific Helmets NZ Limited (Nov 2023), Minerva Manufacture de chaussures S.A. (Feb 2024), Kantaras Investments Pte. Ltd. (Apr 2024)
  • Strategic growth via international expansion across UK, China, Mexico, New Zealand, Italy, Germany, and more subsidiaries
  • Equity compensation shares outstanding 251,805 with $17.36 weighted-average exercise price, 165,966 shares remaining available
  • Noteworthy: Multiple amendments to loan agreements with Bank of America through 2024 signaling active debt management

Management Discussion & Analysis

  • Revenue $167.2M in FY25 vs $124.7M in FY24, up $42.5M or 34%
  • Operating margin not explicitly stated; increased costs from raw materials, labor, tariffs impacting margins
  • Best segment: International sales $106.8M FY25 vs $69.4M FY24; Worst impacted: Russia segment 2.4% of revenues FY25, down from 3.0% FY24 amid conflict risks
  • Raised $46.2M net from stock issuance to reduce revolving credit; acquired Veridian for $26.1M plus three other acquisitions totaling ~$30.1M
  • Outlook risks: Tariffs, inflationary pressure, geopolitical uncertainty (Russia/Ukraine), supply chain disruptions, possible asset impairments

Risk Factors

  • Regulatory risk: Adoption of FASB ASU 2023-09 required for FY26, impacts expanded income tax disclosures by federal, state, and foreign jurisdictions
  • Geopolitical exposure: Two Chinese subsidiaries paid $4.8 million dividends in FY25 amid increased Chinese yuan volatility and shifted reinvestment assertions
  • Operational supply risk: Inventory increased by $14.2 million in FY25 to support expected sales growth in H1 FY26, indicating inventory build-up vulnerability
  • Market disruption: Recent acquisitions of Veridian ($26.1M), LHD ($14.8M), and Jolly ($9.0M) enhance competitive positioning in firefighting protective gear markets
  • Financial risk: $13.2 million drawn on $40 million credit facility at 6.47% interest; covenant compliance required for max funded debt/EBITDA ratio 3.5x, stepping down to 3.0x by 2027

LAKELAND INDUSTRIES INC FY2025 Key Financial Metrics
XBRL

Revenue

$167M

+2554.1% YoY

Net Income

-$18M

-433.2% YoY

Gross Margin

41.1%

-77150bp YoY

Operating Margin

-5.5%

-10067bp YoY

Net Margin

-10.8%

-9692bp YoY

ROE

-12.3%

-1672bp YoY

Total Assets

$213M

+38.2% YoY

EPS (Diluted)

$-2.43

-437.5% YoY

Operating Cash Flow

-$16M

-245.5% YoY

Source: XBRL data from LAKELAND INDUSTRIES INC FY2025 10-K filing on SEC EDGAR. All figures in USD.

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