What changed in this filing

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Item 8. Financial Statements and Supplementary Data

2025-03-26 compared with 2024-03-26 · 111 added, 56 removed, 527 unchanged (24% of the section changed)

26 unchanged sentences

To the Board of Directors and

Stockholders of Utah Medical Products, Inc.

Stockholders of

Opinion on the Financial Statements

3 unchanged sentences

We did not audit portions of the consolidated financial statements for Femcare Group Limited, a wholly owned subsidiary.

The portions not audited by us include assets of $20,479,014 and $23,055,729 as of December 31, 2023, and 2022, respectively and total revenues of $4,581,877, $4,333,431 and $4,419,000 for the years ended December 31, 2023, 2022 and 2021, respectively.

The portions not audited by us include assets of $19,723,338 and $20,479,014 as of December 31, 2024, and 2023, respectively and total revenues of $4,500,153 and $4,581,877 and $4,333,431 for the years ended December 31, 2024, 2023 and 2022, respectively.

Those portions of the consolidated financial statements were audited by other auditors whose reports have been furnished to us, and our opinion, insofar as they relate to the amounts included for Femcare Group Limited, is based solely on the reports of the other auditors.

30 unchanged sentences

/s/ Haynie & Company

Haynie & Company

We have served as the Company’s auditor since 2018.

Salt Lake City, Utah

March 26, 2025

We have served as the Company’s auditor since 2018.

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

2 unchanged sentences

Opinion on the Financial Statements

We have audited the consolidated balance sheets of Femcare Group Limited (the Company), including its subsidiaries, as of December 31, 2023 and 2022, and the related consolidated statements of income, comprehensive income, stockholders’ equity, and cash flows for each of the years in the two-year period ended December 31, 2023, and the related notes (collectively referred to as the financial statements).

In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023 and 2022, and the results of its operations and its cash flows for each of the years in the two-year period ended December 31, 2023, in conformity with accounting principles generally accepted in the United States of America.

We have audited the consolidated balance sheets of Femcare Group Limited (the Company), including its subsidiaries, as of December 31, 2024 and 2023, and the related consolidated statements of income, comprehensive income, stockholders’ equity, and cash flows for each of the years in the three-year period ended December 31, 2024, and the related notes (collectively referred to as the financial statements).

In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024 and 2023, and the results of its operations and its cash flows for each of the years in the three-year period ended December 31, 2024, in conformity with accounting principles generally accepted in the United States of America.

Basis for Opinion

33 unchanged sentences

UTAH MEDICAL PRODUCTS, INC.

CONSOLIDATED BALANCE SHEETS AS OF

CONSOLIDATED BALANCE SHEETS

December 31, 2024 and 2023

28 unchanged sentences

Total liabilities and stockholders' equity

S ee accompanying notes to financial statements.

See accompanying notes to financial statements.

UTAH MEDICAL PRODUCTS, INC.

CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME FOR THE

CONSOLIDATED STATEMENTS OF INCOME

AND COMPREHENSIVE INCOME

Years ended December 31, 2024, 2023 and 2022

17 unchanged sentences

Total comprehensive income

S ee accompanying notes to financial statements.

See accompanying notes to financial statements.

UTAH MEDICAL PRODUCTS, INC.

CONSOLIDATED STATEMENTS OF CASH FLOW FOR THE

CONSOLIDATED STATEMENTS OF CASH FLOW

Years Ended December 31, 2024, 2023 and 2022

20 unchanged sentences

Intangible assets

Proceeds from the sale of property and equipment

Net cash (used in) investing activities

9 unchanged sentences

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:

Cash paid during the year for income taxes

Cash paid during the year for interest

S ee accompanying notes to financial statements.

Cash paid during the year for:

See accompanying notes to financial statements.

UTAH MEDICAL PRODUCTS, INC.

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY FOR THE

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY

Years Ended December 31, 2024, 2023 and 2022

3 unchanged sentences

Balance at December 31, 2021

Shares issued upon exercise of employee

stock options for cash

Shares received and retired upon exercise

of stock options

Shares issued upon exercise of employee stock options for cash

Shares received and retired upon exercise of stock options

Stock option compensation expense

Common stock purchased and retired

Foreign currency translation adjustment

1 unchanged sentence

Balance at December 31, 2022

Shares issued upon exercise of employee

stock options for cash

Shares received and retired upon exercise

of stock options

Shares issued upon exercise of employee stock options for cash

Shares received and retired upon exercise of stock options

Stock option compensation expense

1 unchanged sentence

Foreign currency translation adjustment

Unrealized holding gain (loss) from investments, available-for-sale, net of taxes

Common stock dividends

Balance at December 31, 2023

Shares issued upon exercise of employee

stock options for cash

Shares issued upon exercise of employee stock options for cash

Stock option compensation expense

Common stock purchased and retired

Foreign currency translation adjustment

1 unchanged sentence

Balance at December 31, 2024

S ee accompanying notes to financial statements.

See accompanying notes to financial statements.

Utah Medical Products, Inc.

37 unchanged sentences

Provisions for losses on accounts receivable are determined on the basis of loss experience, known and inherent risk in the account balance and current economic conditions (see note 2).

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 1 – Summary of Significant Accounting Policies (continued)

Finished products, work-in-process, raw materials and supplies inventories are stated at the lower of cost and net realizable value (NRV) computed on a first-in, first-out method.

3 unchanged sentences

Depreciation and amortization are computed using the straight-line method over estimated useful lives as follows:

Building and improvements

15 - 40 years

Furniture, equipment and tooling

Building and improvements 15 - 40 years

Furniture, equipment and tooling 3 - 10 years

Long-Lived Assets

22 unchanged sentences

There are circumstances under which insignificant revenue may be recognized when product is not shipped, which meet the criteria of ASC 606:

the Company provides engineering services, for example, design and production of manufacturing tooling that may be used in subsequent UTMD manufacturing of custom components for other companies.

the Company provides engineering services, for example, design and production of manufacturing tooling that may be used in subsequent UTMD manufacturing of custom components for

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 1 – Summary of Significant Accounting Policies (continued)

other companies.

This revenue is recognized when UTMD’s performance obligations have been completed according to a fixed contractual agreement.

32 unchanged sentences

EUR and AUD balances held by the UK subsidiary, are recognized as non-operating income or expense, as applicable.

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 1 – Summary of Significant Accounting Policies (continued)

Income and expense items are translated at the weighted average rate of exchange (based on when transactions actually occurred) during the year.

28 unchanged sentences

Total accrued expenses

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 3 – Quarterly Results of Operations (Unaudited)

27 unchanged sentences

December 31, 2024

England & Australia

Buildings and improvements

3 unchanged sentences

Property and equipment, net

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 4 – Property and Equipment (continued)

December 31, 2023

England & Australia

Buildings and improvements

26 unchanged sentences

The Company applies its accounting policy to accrue legal costs that can be reasonably estimated.

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 7 – Income Taxes

17 unchanged sentences

Years ended December 31,

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 8 – Options

3 unchanged sentences

Changes in stock options were as follows:

77.07 - 77.07

Expired or canceled

77.05 - 77.05

49.18 - 77.05

Total outstanding at December 31

49.18 - 82.60

Total exercisable at December 31

49.18 - 82.60

82.60 - 82.60

Expired or canceled

33.30 - 77.05

Total outstanding at December 31

33.30 - 77.05

Total exercisable at December 31

33.30 - 77.05

Expired or canceled

74.64 - 77.05

26.52 - 77.05

Total outstanding at December 31

33.30 - 77.05

Total exercisable at December 31

33.30 - 77.05

For the years ended December 31, 2024, 2023 and 2022, the Company reduced current income taxes payable by $ 20 , $ 12 and $ 6 , respectively, for the income tax benefit attributable to sale by optionees of common stock received upon the exercise of stock options.

7 unchanged sentences

Expected life of options

The per share weighted average fair value of options granted during 2023 is $ 25.09 and in 2022 is $ 25.34 .

No options were granted in 2021.

The per share weighted average fair value of options granted during 2024 is $ 19.77 , 2023 is $ 25.09 and in 2022 is $ 25.34 .

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 8 – Options (continued)

All UTMD options vest over a four-year service period.

9 unchanged sentences

Options Exercisable

Range of Exercise Prices

Actual Number Outstanding

Weighted Average Remaining Contractual Life (Years)

Weighted Average Exercise Price

Number Exercisable

Weighted Average Exercise Price

Intrinsic Value of Stock Options Exercised

6 unchanged sentences

United States

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 11 – Revenues by Product Category and Geographic Region

16 unchanged sentences

Company contributions were approximately $ 209 , $ 184 and $ 159 for the years ended December 31, 2024, 2023 and 2022, respectively.

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 14 – Leases

15 unchanged sentences

As of December 31, 2024

2025 (less imputed interest)

2026 (less imputed interest)

2027 (less imputed interest)

2028 (less imputed interest)

2029 (less imputed interest)

Thereafter (less imputed interest)

Total lease payments

2 unchanged sentences

The following table provides information on the lease terms and discount rates:

As of December 31, 2023

Weighted-average remaining lease term (in years)

7 unchanged sentences

As part of the agreement, UTMD also purchased the remaining CSI inventory for approximately $2,100.

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

Note 16 - Earnings Per Share

8 unchanged sentences

Earnings per share, diluted

Note 17 – Segment Information

The Company operates as one operating segment.

The Company’s chief operating decision maker (“CODM”) is its chief executive officer, who reviews financial information presented on a consolidated basis.

The CODM uses consolidated gross profit margin, operating margin, and net income to assess financial performance and allocate resources.

These financial metrics are used by the CODM to make key operating decisions such as the allocation of budget between cost of sales, sales and marketing, research and development, and general and administrative expenses.

The following table presents selected financial information with respect to the Company’s single operating segment for the years ended December 31, 2024, 2023 and 2022:

Year Ended December 31,

Standard cost of sales

Other cost of sales

Gross Profit Margin

Sales & Marketing

Research & Development

Litigation Fees

Other General & Administrative

Operating Income

Operating Income Margin

Interest income

Other income (expense)

Income before income taxes

Provision for income taxes

Utah Medical Products, Inc.

Notes to Consolidated Financial Statements

Years Ended December 31, 2024, 2023 and 2022

See the consolidated financial statements for other financial information regarding the Company’s operating segment.

Note 18 – Recent Accounting Pronouncements

The Company has determined that other recently issued accounting standards will either have no material impact on its consolidated financial position, results of operations or cash flows, or will not apply to its operations.

In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280):

Improvements to Reportable Segment Disclosures , requiring public entities to disclose information about their reportable segments’ significant expenses and other segment items on an interim and annual basis.

Public entities with a single reportable segment are required to apply the disclosure requirements in ASU 2023-07, as well as all existing segment disclosures and reconciliation requirements in ASC 280 on an interim and annual basis.

The Company adopted ASU 2023-07 during the year ended December 31, 2024.

See Note 17 Segment Information in the accompanying notes to the consolidated financial statements for further detail.

In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740):

Improvements to Income Tax Disclosures, which requires public entities, on an annual basis, to provide disclosure of specific categories in the rate reconciliation, as well as disclosure of income taxes paid disaggregated by jurisdiction.

ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, with early adoption permitted.

The Company is currently evaluating the impact of adopting AUS 2023-09.

In November 2024, the FASB issued ASU 2024-03, Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40):

Disaggregation of Income Statement Expenses, requiring public entities to disclose additional information about specific expense categories in the notes to the financial statements on an interim and annual basis.

ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, and for interim periods beginning after December 15, 2027, with early adoption permitted.

The Company is currently evaluating the impact of adopting ASU 2024-03.

Note 19 – Subsequent Events

1 unchanged sentence

The Company is not aware of any subsequent events which would require recognition or disclosure in the financial statements.

After December 31, 2024 through March 25, 2025, the Company made additional repurchases of 53,340 shares of its stock in the open market for $3,169, at an average price of $59.41 per share.

ITEM 9 – CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 8. Financial Statements and Supplementary Data