P&F Industries, Inc. (NASDAQ:PFIN) Q4 2022 Earnings Call Transcript

Joseph Molino : No, I cannot.

Andrew Shapiro : Four, three, two?

Joseph Molino : That’s all I’m going to say. It was substantial

Andrew Shapiro : Okay. Yeah, I bet if someone wanted to understand the actual ongoing recurring margin for the company, for the division for the quarter, knowing the amount of write-off that’s non-recurring, helps someone come up with what is the ongoing run-rate.

Joseph Molino : But Andrew, it’s fine to say, I can identify every single tool or part that we placed a reserve on. But I can’t tell you exactly what’s non-recurring. We adjust reserves every month. So I don’t know — to give you a number would be making up a number. All I can tell you is it was several hundred thousand more than typical.

Richard Horowitz : And Andrew, I’ll just add, it may give you comfort to know that our margins have been very nicely improved this year. Because even weather —

Andrew Shapiro : Well, yes. I mean, they are very nice. They were very improved for the first two third quarters, and then all of a sudden single digits.

Richard Horowitz : Yeah, I’m talking about ’23.

Andrew Shapiro : Oh, ’23 or back as to where they’re going to be.

Joseph Molino : Yeah, it was, — I’m not denying that it was a — I’ll call it a onetime event. But I can’t, there’s no number for the onetime event if you’re following me. We would just reserves every month. But I can — we’re not looking at anything like that, in the foreseeable future. And I think will show Q1 have a nice rebound in margins.

Andrew Shapiro : Okay. And shipments to the major OEM customer you’ve referred to in last and prior calls continue to increase its level of activity into the New Year?

Joseph Molino : Yes.

Richard Horowitz : Yes.