Mace(R) Security International, a Global Leader in Personal Self-Defense Sprays, Announces Preliminary 3Q24 Financial Results and Notification of Late Filing

CLEVELAND, OH / ACCESSWIRE / November 14, 2024 / Mace Security International (OTCQB:MACE) today announced its September 30, 2024 Unaudited Financial Statements and Notes and 2024 Q3 OTCQB Quarterly Report cannot be filed within the prescribed date because the Company requires additional time to prepare its financial statements and quarterly reports. The Company anticipates filing these two reports before the end of the cure period under the OTCQB Standards on December 30, 2024. The Company presents its preliminary third quarter 2024 financial results for the period ended September 30, 2024.

Third Quarter 2024 Preliminary Data
The Company's net sales for the third quarter of 2024 were $1,411,000, down (6%) versus the like period in 2023. The decrease vs prior year is mostly the result of the impact of the loss of two larger retail customers in 2024, partially offset by nominal increases in sales in certain market segments.

Gross profit rate is estimated to be 23.1% in Q3 2024 and was 30% 2023. The modifications implemented to the Company's operational cost structure in 2023 led to an approximate 29% reduction in four-wall manufacturing costs in Q3 2024 on a quarter-over-quarter basis. This gross margin improvement was offset by the impact of volume leverage in the plant and inflationary increases in component costs.

SG&A expense are approximately $961,000 in Q3 2024. When adjusted for non-recurring legal expenses related primarily to the ongoing strategic alternatives project and resulting recently announced merger agreement and financing costs of $72,000, and expenses related primarily to transition payroll/temporary labor costs associated with the Company optimizing its headcount of $96,000, and non-cash stock compensation costs of $28,000, SG&A expense are approximately $765,000 in the third quarter 2024 or about $348,000 (6%) lower than adjusted SG&A expense in the second quarter of 2023 of $813,000.

Operating loss is expected to be ($635,000) in the third quarter of 2024, compared with operating loss of ($644,000) for the same quarter in 2023.

Cash and cash equivalents decreased to $1,000 as of September 30, 2024, a decrease of $238,000 over the $239,000 on hand on December 31, 2023. $1,209,000 was drawn against the Company's $2,000,000 bank line of credit at September 30, 2024.

About Mace Security International, Inc.
Mace Security International, Inc. (MACE) is a globally recognized leader in personal safety and security. Based in Cleveland, Ohio, the Company has spent more than 40 years designing and manufacturing consumer and tactical products for personal defense and security under its world-renowned Mace Brand - the original trusted brand of defense spray products. The Company also offers aerosol defense sprays and tactical products for law enforcement and security professionals worldwide through its Mace Take Down brand, KUROS! Brand personal safety products, Vigilant Brand alarms, and Tornado Brand pepper spray and stun guns. MACE distributes and supports Mace Brand products through mass market retailers, wholesale distributors, independent dealers, Amazon.com, Mace.com, and other channels. For more information, visit www.mace.com.