American Vanguard Corporation Reports Decline in Demand Due to Inflationary Pressures; No Significant Change in Net Loss Reported for FY 2024

Reuters
29 May
American Vanguard Corporation Reports Decline in Demand Due to Inflationary Pressures; No Significant Change in Net Loss Reported for FY 2024

American Vanguard Corporation has released its annual report for the fiscal year ending December 31, 2024, highlighting the company's exposure to market risks such as interest rate fluctuations, foreign exchange rates, and inflation. The report indicates that an interest rate change of 25 basis points could impact the company's net loss by approximately $488,000 based on average borrowing in 2024. Additionally, a 10% change in currency exchange rates could result in a positive or negative impact of around $6.8 million. The company has engaged in strategic measures to control inflationary pressures, including negotiating with raw material suppliers primarily in China and India to manage price increases and leveraging alternate sourcing geographies. Despite these efforts, inflation has led to high interest rates, prompting customers in various regions to implement destocking directives, which contributed to a decline in demand from late 2022 through the end of 2024. American Vanguard's report does not provide specific figures for sales, revenues, net income, or earnings per share. However, it acknowledges the challenges posed by inflation and the potential for it to adversely affect financial performance in future periods. The company remains focused on mitigating these risks through strategic operational adjustments.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. American Vanguard Corporation published the original content used to generate this news brief via EDGAR, the Electronic Data Gathering, Analysis, and Retrieval system operated by the U.S. Securities and Exchange Commission (Ref. ID: 0000950170-25-078615), on May 29, 2025, and is solely responsible for the information contained therein.

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