Sign in

    Timothy Call • The Capital Management Corporation

    Timothy Call's questions to Acme United Corp (ACU) leadership

    Timothy Call's questions to Acme United Corp (ACU) leadership • Q2 2025

    Question

    Asked about the potential benefit of a Federal Reserve interest rate cut on interest expense and inquired about capacity constraints and expansion plans within the healthcare segment.

    Answer

    A Fed rate cut would lower interest expense on the company's floating-rate debt. The company is actively addressing capacity constraints in its growing healthcare and Spill Magic businesses by expanding facilities (MedNap, Spill Magic), adding automation, and improving productivity to support significant growth, particularly with an eye towards the hospital market.

    Ask Fintool Equity Research AI

    Timothy Call's questions to Acme United Corp (ACU) leadership • Q2 2025

    Question

    Timothy Call asked if a potential Federal Reserve interest rate cut would lower Acme's interest expense and inquired about capacity constraints and expansion plans within the healthcare product lines, similar to the recent expansion for Spill Magic.

    Answer

    Chairman & CEO Walter Johnsen confirmed that a rate cut would lower interest expense on their floating-rate debt. He detailed significant capacity expansion and productivity efforts, particularly at the MedNap facility in Florida, which is stressed by high demand. Johnsen mentioned investments in automation and new equipment for MedNap, the new permanent facility for Spill Magic to enable automation, and recent capacity increases at the Rocky Mount and Canadian facilities.

    Ask Fintool Equity Research AI