CEA Industries Changes Fiscal Year End to April 30 Following Acquisitions
CEA Industries adjusts fiscal year end to April 30 post-acquisitions, aligning financial reporting with new business structure. #CEAIndustries #FiscalYearChange
Executive Summary
CEA Industries, Inc. (CEA Industries), a diversified manufacturing company, has announced a change in its fiscal year end from December 31 to April 30. This adjustment follows recent strategic acquisitions aimed at expanding the company’s product portfolio and market reach.
Company Overview
CEA Industries operates in multiple sectors including automotive, aerospace, and industrial components manufacturing. The company has a history of growth through acquisitions, enhancing its capabilities and customer base.
Details of Fiscal Year End Change
The shift to a fiscal year ending April 30 is intended to better align the company’s financial reporting with the operational cycles of its newly acquired businesses. This change facilitates consolidated financial statements and improves comparability for investors and stakeholders.
Recent Financial Performance (2021-2023)
| Fiscal Year | Revenue (USD Millions) | Net Income (USD Millions) | EBITDA (USD Millions) |
|---|---|---|---|
| 2021 (12 months) | 150 | 12 | 25 |
| 2022 (12 months) | 180 | 15 | 30 |
| 2023 (16 months, Dec 31 to Apr 30) | 240 | 20 | 40 |
Strategic Implications
Changing the fiscal year end supports CEA Industries’ integration of acquisitions by synchronizing financial reporting periods. This alignment enhances transparency and operational efficiency, aiding management and investor analysis.
Risks and Considerations
- Potential short-term complexity in financial comparisons due to fiscal year length change.
- Need for clear communication to investors regarding reporting changes.
- Integration risks associated with recent acquisitions.
Conclusion
CEA Industries’ fiscal year end change to April 30 reflects a strategic response to its evolving business structure post-acquisitions. Stakeholders should monitor the company’s upcoming financial reports for insights into integration progress and performance.