Retractable Technologies, Inc. (NYSE American: RVP) has released its financial results for the year ended December 31, 2023. More detailed information about the operations and other matters can be found in Retractable’s Form 10-K, filed with the U.S. Securities and Exchange Commission on March 29, 2024.
In 2023, our revenues declined by 54.0% primarily due to reduced sales of domestic and international COVID-19 vaccination products. Our revenues were approximately $43.6 million compared to about $94.8 million in the previous year. Domestic revenues fell by 33.7%, and international revenues saw a sharper decline of 78.9%. Alongside the decreased demand for COVID-19 products, we also experienced lower demand possibly due to customers retaining inventory from previous periods. The cost of manufactured products decreased by 49.0% due to lower units sold, and operating expenses decreased by 29.2%, mainly because there were no stock option expenses in 2023.
Comparing the financial results of 2023 with the years 2020-2022 is challenging due to the exceptional volume of pandemic-related sales. The table below provides a breakdown of our revenues, gross profit, total operating expenses, and income or loss from operations since 2018. As previously announced, an agreement in 2020 with the U.S. government led to significant facility expansions but also increased our overhead costs in recent years. We took measures in 2022 and 2023 to reduce our workforce to lower expenses, but they remain higher compared to pre-2020 levels.
[Insert table detailing revenues, gross profit, total operating expenses, and income/loss from operations since 2018 here]
(Millions)
| 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | |
|---|---|---|---|---|---|---|
| U.S. sales | $34.6 | $36.5 | $53.9 | $42.2 | $31.9 | $28.7 |
| Sales to U.S. government | — | $15.7 | $113.7 | $31.6 | — | — |
| North and South America sales | $6.1 | $29.1 | $14.5 | $6.9 | $8.2 | $3.6 |
| Other international sales | $2.9 | $13.5 | $6.3 | $1.2 | $1.7 | $1.0 |
| Total sales | $43.6 | $94.8 | $188.4 | $81.9 | $41.8 | $33.3 |
| Gross profit | $9.1 | $28.3 | $95.4 | $37.0 | $14.1 | $10.2 |
| Total operating expenses | $20.6 | $29.1 | $22.8 | $12.9 | $11.2 | $11.8 |
| Income (loss) from operations | $(11.5) | $(0.9) | $72.6 | $24.1 | $3.0 | $(1.3) |
Retractable Technologies, Inc. (NYSE American: RVP) has disclosed its financial results for the year ending December 31, 2023. For more comprehensive details regarding the operational performance and other related matters, please refer to Retractable’s Form 10-K submitted on March 29, 2024, to the U.S. Securities and Exchange Commission.
During 2023, our revenues witnessed a 54.0% decline due to reduced sales of domestic and international COVID-19 vaccination products. Specifically, our revenues amounted to approximately $43.6 million compared to around $94.8 million in the previous fiscal year. This decrease stemmed from a 33.7% drop in domestic revenues and a more substantial 78.9% decrease in international revenues. Besides the reduced demand for COVID-19 products, a decline in demand may also be attributed to customers retaining inventory from prior periods. Consequently, the cost of manufactured products fell by 49.0%, reflecting lower units sold, and operating expenses decreased by 29.2%, primarily due to the absence of stock option expenses in 2023.
A direct comparison between the financial results of 2023 and the years 2020-2022 is challenging due to the extraordinary volume of pandemic-related sales. Our company remains focused on sales initiatives and new product development while continuing investments in securities. In 2023, we acquired a net amount of $9.9 million in securities, resulting in ownership of $34.6 million in debt and equity securities by year-end. Our income statement reflects an unrealized loss of $10.5 million and a realized gain of $5.6 million on our debt and equity securities.
ABOUT RETRACTABLE Retractable Technologies, Inc. is a manufacturer and marketer of safety medical products including VanishPoint® and Patient Safe® devices, along with the EasyPoint® needle. Our products such as the VanishPoint® syringe and IV catheter systems are designed to prevent needlestick injuries and product reuse by retracting the needle directly from the patient, thereby reducing exposure to contaminated needles. The Patient Safe® syringes are uniquely designed to minimize the risk of bloodstream infections resulting from catheter hub contamination. The EasyPoint® needle is retractable and can be used with various types of syringes for injections, aspiration of fluids, and blood collection. Our products are distributed by a range of specialty and general line distributors.
