On this page of StockholderLetter.com we present the latest annual shareholder letter from Hamilton Beach Brands Holding Co — ticker symbol HBB. Reading current and past HBB letters to shareholders can bring important insights into the investment thesis.
Hamilton Beach Brands Holding Company | 2024 Annual Report
ANNUAL REPORT 2024 | HAMILTON BEACH BRANDS HOLDING COMPANY About The Company Hamilton Beach Brands Holding Company is a leading designer, marketer, and distributor of a wide range of branded small electric household and specialty housewares appliances, as well as commercial products for restaurants, fast food chains, bars, and hotels. Our owned consumer brands include Hamilton Beach , Proctor Silex , Hamilton Beach Professional , Weston , and TrueAir . Our owned commercial brands include Hamilton Beach Commercial and Proctor Silex Commercial . We license the brands for CHI premium garment care products, Clorox home appliances, and Brita Hub countertop electric water filtration appliances. We have exclusive multiyear agreements to design, sell, market, and distribute Bartesian premium cocktail makers and Numilk plantbased milk makers. Our Hamilton Beach Health subsidiary is focused on expanding our participation in the home health and medical market. In February 2024, Hamilton Beach Health acquired HealthBeacon PLC, a medical technology firm and strategic partner of ours since 2021. HealthBeacon develops connected devices that enable patients with chronic conditions to manage their injectable medication regimens at home, and it provides other health services. OUR PORTFOLIO OF LEADING BRANDS Our leading portfolio of iconic consumer brands ranges from value to luxury products, across a wide range of price points. We participate in more than 50 product categories. Our brands have a strong presence in all the retail channels where consumers buy small kitchen appliances, including the fast-growing ecommerce channel. The principal market for our consumer products is North America, including the United States, Canada, Mexico, and Latin America. Our commercial products are sold globally to food service and hospitality customers around the world. Our home healthcare products are sold globally. OUR VISION Achieve leadership positions in consumer, commercial and health appliances with our preferred portfolio of brands and products. OUR MISSION Registered Trademarks: CHI - Farouk Systems, Inc.; Clorox The Clorox Company; Brita Brita LP; Bartesian - Bartesian Corp.; Numilk - Plant Tap, Inc. Deliver profitable growth from innovative solutions that improve everyday living.
HAMILTON BEACH BRANDS HOLDING COMPANY | ANNUAL REPORT 2024 | 1 To Our Shareholders I am delighted to have this opportunity to report on our 2024 results. It was an incredible honor to become President and CEO of the Company last year. This transition marked the culmination of a long-standing management succession plan implemented by the Board of Directors. I am excited to continue my 31-year history of working with our highly capable global team as we strive to build upon our many successes. 2024 Performance Highlights Hamilton Beach Brands delivered an outstanding year in 2024, driven by continued progress with our six strategic initiatives. Our revenue growth outpaced the small kitchen appliance industry and increased 4.6% to $654.7 million. Retail customers and consumers responded favorably to our many innovative new product offerings. Our ongoing commitment to innovation fueled market share gains for our core business and accelerated our participation in the premium and commercial small appliance markets. We remain focused on expanding our gross profit and operating profit margins. In 2024, our gross profit margin expanded by 300 basis points to 26.0%, which was well above the high end of our historical range. This expansion was primarily due to a continued shift in our product mix to premium, commercial and health brands, which generate higher margins than our core brands. As a result of our gross profit margin expansion, operating profit increased 23.1% to $43.2 million. Hamilton Beach Brands delivered an outstanding year in 2024. This strong performance generated $65.4 million in cash flow from operating activities. Our priority uses of cash were to invest in our business, return capital to our shareholders through our quarterly dividend and share repurchases, and to fund the acquisition of HealthBeacon. We ended the year with a strong balance sheet and high levels of liquidity. Our strong financial position provides us with the ability to pursue value-enhancing opportunities and invest in growth. HealthBeacon Acquisition A key highlight of 2024 was the acquisition of HealthBeacon PLC, a medical technology provider and strategic partner of the Company s since 2021. HealthBeacon develops digitally connected devices that help patients with chronic conditions manage critical medications at home, and it provides other healthcare services. This acquisition represents a significant step forward as we continue to implement our strategy of accelerating the growth of Hamilton Beach Health. Home healthcare management is a fast-growing global business, and we see tremendous opportunities to leverage our core strengths as a participant in this market. The acquisition combines Hamilton Beach s trusted brand name and our HOME HEALTH PRODUCTS The Smart Sharps Bin and its companion app track patient adherence. The system provides secure injector storage. The system enables safe disposal through a mail-back service.
2 | ANNUAL REPORT 2024 | HAMILTON BEACH BRANDS HOLDING COMPANY CORE PRODUCTS FlexBrew Advanced 4-in-1 Coffee Maker Defrost & Go Programmable Slow Cooker leadership in innovation, engineering, and product development with HealthBeacon s digital capabilities, patented technologies, and customer relationships. We believe the acquisition of HealthBeacon is a strong investment that has the potential to increase shareholder value over time as the business scales and expands. Our Hamilton Beach Health business aims to empower patients to take control of their health using in-home solutions. Our first product is a smart appliance that enables patients to manage injectable medications at home and safely dispose of needles. Sales are principally through the specialty pharmacy channel in the U.S. and direct to pharmaceutical companies outside the U.S. HealthBeacon s revenue model is subscription based. HealthBeacon added a new revenue stream during the year and contributed $4.3 million in revenue for 2024. Growth plans include adding new patients with existing or new specialty pharmacy customers and increasing the number of chronic conditions treated using the system. Hamilton Beach Health also continues to explore collaboration opportunities with other companies in the home medical market. Commitment to Innovation Indoor Searing Grill with Hot/Cold Smoke Infuser Smooth Edge Cordless Can Opener Hamilton Beach is a prominent name in the world of small appliances, with our brands holding leading positions in several attractive categories. Our portfolio is diverse, offering a good, better, and best product assortment, from value to luxury. For 115 years, we have introduced innovative products, driven by industryleading consumer research and new product development. In 2024, our commitment to innovation led to an increase in dollar and unit market share. Our Good Thinking philosophy underpins our consumer-driven innovation. Through our research, we develop a deep understanding of consumer needs. We use those insights to create innovative solutions that are designed to solve pressure points and improve everyday living. In the last five years, we have launched over 250 new product platforms, reinforcing our dedication to staying ahead of market trends and consumer expectations. Our goal with every new product is to offer unique benefits that exceed the needs of our customers and create lasting value. Our robust innovation pipeline supports all the markets in which we participate. Progress with Strategic Initiatives We made meaningful progress in 2024 with our six strategic initiatives, which support our overarching goal of long-term value creation by driving revenue growth, expanding margins, and generating strong cash flow. Drive Core Growth We have a strong portfolio of brands that consumers love, anchored by our two flagship brands, Hamilton Beach and Proctor Silex, both of which are household names. We acquired HealthBeacon to accelerate the growth of Hamilton Beach Health. This initiative is focused on driving the growth of our core business, a critical area where we are already leading the market. Hamilton Beach is the #1 small kitchen appliance national brand in the U.S. based on units sold. Our growth plans center around innovation and new product development. In 2024, we benefited from an exciting lineup of new products across highdemand categories. Sales of our core products increased 4.4%. We are poised to drive success in the largest part of our business by
HAMILTON BEACH BRANDS HOLDING COMPANY | ANNUAL REPORT 2024 | 3 driving core growth through marketleading products, brand positioning, and enhanced marketing efforts. Importantly, the solid foundation of our core business is enabling us to invest in new growth initiatives in the premium, commercial, and home health markets. Lead in the Global Commercial Market Gain Share in the Premium Market Our solid core business allows us to invest in the Premium, Commercial, and Home Health markets. We continue to develop, license and acquire brands to increase our participation in the premium market, an area where we see substantial growth potential, as it represents 40% of all small kitchen appliance sales in the U.S. We have secured exclusive multi-year trademark licensing and other agreements with an increasing number of premium consumer brands. These agreements elevate our portfolio and allow us to offer an array of higher margin products. By expanding our presence in the premium market through brand partnerships and innovative product offerings, we are well positioned to significantly grow our share and increase our revenue in this high-potential market. In 2024, sales of our premium products grew 4.4% and accounted for 15.2% of total revenue. We continue to expand our participation in the global commercial market, a multi-billion-dollar opportunity with significant growth potential. We are investing in higher-margin products designed for use in commercial food service and beverage operations, as well as hotel amenities. Our initiative aligns with increasing demand for durable, high-performance equipment. We are investing in advanced technologies for blending and mixing, our heritage categories, and we are implementing new systems and equipment for back-of-house food preparation. In 2024, sales of our commercial products remained steady with 2023, with growth hampered somewhat by soft international markets. Sales of our commercial products accounted for 8% of total revenue. Growth plans are focused on expanding customer relationships with restaurant and hotel chains around the world, increasing our footprint in international markets, and building strength in ecommerce. Accelerate Digital Transformation Our ecommerce capability is well developed as we have capitalized on the consumer shift to online shopping. Our brands have best-in-class retailer support, driving prominent placement on leading sites. Our brands receive strong consumer reviews and ratings. The average rating for our brands is 4.5 stars. We continue to invest in gaining share in the ecommerce channel. We collaborate closely with omnichannel and online-only retail customers to leverage fast-paced changes. Our online marketing PREMIUM PRODUCTS Weston 2-in-1 XL Indoor Smoker & 10-Quart Slow Cooker CHI SteamPress 3-in-1 Clorox Medium Room Turbo Air Purifier Bartesian Premier Cocktail Machine
 • shareholder letter icon 3/28/2025 Letter Continued (Full PDF)
 • stockholder letter icon 3/30/2023 HBB Stockholder Letter
 • stockholder letter icon 4/4/2024 HBB Stockholder Letter
 • stockholder letter icon More "Consumer Goods" Category Stockholder Letters
 • Benford's Law Stocks icon HBB Benford's Law Stock Score = 61


HBB Shareholder/Stockholder Letter Transcript:

Hamilton Beach Brands Holding Company | 2024 Annual Report

ANNUAL REPORT 2024 | HAMILTON BEACH BRANDS HOLDING COMPANY
About The Company
Hamilton Beach Brands Holding
Company is a leading designer, marketer,
and distributor of a wide range of
branded small electric household and
specialty housewares appliances, as well
as commercial products for restaurants,
fast food chains, bars, and hotels.
Our owned consumer brands
include Hamilton Beach  , Proctor Silex  ,
Hamilton Beach Professional  , Weston  ,
and TrueAir   .
Our owned commercial brands
include Hamilton Beach Commercial  
and Proctor Silex Commercial  .
We license the brands for CHI  
premium garment care products,
Clorox    home appliances, and Brita
Hub    countertop electric water filtration
appliances. We have exclusive multiyear agreements to design, sell, market,
and distribute Bartesian   premium
cocktail makers and Numilk   plantbased milk makers.
Our Hamilton Beach Health subsidiary
is focused on expanding our participation
in the home health and medical market.
In February 2024, Hamilton Beach Health
acquired HealthBeacon PLC, a medical
technology firm and strategic partner of
ours since 2021. HealthBeacon develops
connected devices that enable patients
with chronic conditions to manage their
injectable medication regimens at home,
and it provides other health services.
OUR PORTFOLIO OF LEADING BRANDS
Our leading portfolio of iconic
consumer brands ranges from value to
luxury products, across a wide range of
price points. We participate in more than
50 product categories. Our brands have a
strong presence in all the retail channels
where consumers buy small kitchen
appliances, including the fast-growing
ecommerce channel.
The principal market for our consumer
products is North America, including
the United States, Canada, Mexico, and
Latin America. Our commercial products
are sold globally to food service and
hospitality customers around the world.
Our home healthcare products are
sold globally.
OUR VISION
Achieve leadership
positions in consumer,
commercial and health
appliances with our
preferred portfolio of
brands and products.
OUR MISSION
Registered Trademarks: CHI    - Farouk Systems, Inc.; Clorox       The Clorox
Company; Brita       Brita LP; Bartesian   - Bartesian Corp.; Numilk   - Plant Tap, Inc.
Deliver profitable
growth from innovative
solutions that improve
everyday living.

HAMILTON BEACH BRANDS HOLDING COMPANY | ANNUAL REPORT 2024 | 1
To Our Shareholders
I am delighted to have this opportunity
to report on our 2024 results. It was an
incredible honor to become President
and CEO of the Company last year. This
transition marked the culmination of a
long-standing management succession
plan implemented by the Board of
Directors. I am excited to continue my
31-year history of working with our highly
capable global team as we strive to build
upon our many successes.
2024 Performance
Highlights
Hamilton Beach Brands delivered
an outstanding year in 2024, driven
by continued progress with our six
strategic initiatives.
Our revenue growth outpaced the small
kitchen appliance industry and increased
4.6% to $654.7 million. Retail customers
and consumers responded favorably
to our many innovative new product
offerings. Our ongoing commitment to
innovation fueled market share gains
for our core business and accelerated
our participation in the premium and
commercial small appliance markets.
We remain focused on expanding our
gross profit and operating profit margins.
In 2024, our gross profit margin expanded
by 300 basis points to 26.0%, which was
well above the high end of our historical
range. This expansion was primarily due
to a continued shift in our product mix to
premium, commercial and health brands,
which generate higher margins than our
core brands.
As a result of our gross profit margin
expansion, operating profit increased
23.1% to $43.2 million.
Hamilton Beach
Brands delivered
an outstanding
year in 2024.
This strong performance generated
$65.4 million in cash flow from operating
activities. Our priority uses of cash were
to invest in our business, return capital to
our shareholders through our quarterly
dividend and share repurchases, and to
fund the acquisition of HealthBeacon.
We ended the year with a strong
balance sheet and high levels of liquidity.
Our strong financial position provides us
with the ability to pursue value-enhancing
opportunities and invest in growth.
HealthBeacon
Acquisition
A key highlight of 2024 was the
acquisition of HealthBeacon PLC,
a medical technology provider and
strategic partner of the Company   s since
2021. HealthBeacon develops digitally
connected devices that help patients
with chronic conditions manage critical
medications at home, and it provides
other healthcare services.
This acquisition represents a significant
step forward as we continue to implement
our strategy of accelerating the growth of
Hamilton Beach Health. Home healthcare
management is a fast-growing global
business, and we see tremendous
opportunities to leverage our core
strengths as a participant in this market.
The acquisition combines Hamilton
Beach   s trusted brand name and our
HOME HEALTH PRODUCTS
The Smart Sharps Bin and its
companion app track patient adherence.
The system provides
secure injector storage.
The system enables safe disposal
through a mail-back service.

2 | ANNUAL REPORT 2024 | HAMILTON BEACH BRANDS HOLDING COMPANY
CORE PRODUCTS
FlexBrew    Advanced 4-in-1
Coffee Maker
Defrost & Go   
Programmable Slow Cooker
leadership in innovation, engineering,
and product development with
HealthBeacon   s digital capabilities,
patented technologies, and customer
relationships. We believe the acquisition
of HealthBeacon is a strong investment that
has the potential to increase shareholder
value over time as the business scales
and expands.
Our Hamilton Beach Health business
aims to empower patients to take
control of their health using in-home
solutions. Our first product is a smart
appliance that enables patients to
manage injectable medications at home
and safely dispose of needles. Sales
are principally through the specialty
pharmacy channel in the U.S. and direct
to pharmaceutical companies outside
the U.S. HealthBeacon   s revenue model
is subscription based.
HealthBeacon added a new revenue
stream during the year and contributed
$4.3 million in revenue for 2024.
Growth plans include adding new
patients with existing or new specialty
pharmacy customers and increasing the
number of chronic conditions treated
using the system. Hamilton Beach Health
also continues to explore collaboration
opportunities with other companies in
the home medical market.
Commitment
to Innovation
Indoor Searing Grill with
Hot/Cold Smoke Infuser
Smooth Edge Cordless
Can Opener
Hamilton Beach is a prominent name
in the world of small appliances, with
our brands holding leading positions in
several attractive categories. Our portfolio
is diverse, offering a good, better, and
best product assortment, from value
to luxury.
For 115 years, we have introduced
innovative products, driven by industryleading consumer research and new
product development. In 2024, our
commitment to innovation led to an
increase in dollar and unit market share.
Our Good Thinking   philosophy
underpins our consumer-driven
innovation. Through our research,
we develop a deep understanding of
consumer needs. We use those insights
to create innovative solutions that are
designed to solve pressure points and
improve everyday living.
In the last five years, we have launched
over 250 new product platforms,
reinforcing our dedication to staying
ahead of market trends and consumer
expectations. Our goal with every new
product is to offer unique benefits that
exceed the needs of our customers and
create lasting value. Our robust innovation
pipeline supports all the markets in which
we participate.
Progress with
Strategic Initiatives
We made meaningful progress in 2024
with our six strategic initiatives, which
support our overarching goal of long-term
value creation by driving revenue growth,
expanding margins, and generating
strong cash flow.
Drive Core Growth
We have a strong portfolio of brands
that consumers love, anchored by our
two flagship brands, Hamilton Beach  
and Proctor Silex,   both of which are
household names.
We acquired
HealthBeacon to
accelerate the
growth of Hamilton
Beach Health.
This initiative is focused on driving the
growth of our core business, a critical
area where we are already leading the
market. Hamilton Beach   is the #1 small
kitchen appliance national brand in the
U.S. based on units sold.
Our growth plans center around
innovation and new product development.
In 2024, we benefited from an exciting
lineup of new products across highdemand categories. Sales of our core
products increased 4.4%.
We are poised to drive success in
the largest part of our business by

HAMILTON BEACH BRANDS HOLDING COMPANY | ANNUAL REPORT 2024 | 3
driving core growth through marketleading products, brand positioning, and
enhanced marketing efforts.
Importantly, the solid foundation of our
core business is enabling us to invest in
new growth initiatives in the premium,
commercial, and home health markets.
Lead in the Global
Commercial Market
Gain Share in the
Premium Market
Our solid core
business allows
us to invest in
the Premium,
Commercial, and
Home Health
markets.
We continue to develop, license
and acquire brands to increase our
participation in the premium market,
an area where we see substantial
growth potential, as it represents 40%
of all small kitchen appliance sales in
the U.S. We have secured exclusive
multi-year trademark licensing and other
agreements with an increasing number
of premium consumer brands. These
agreements elevate our portfolio and
allow us to offer an array of higher margin
products. By expanding our presence
in the premium market through brand
partnerships and innovative product
offerings, we are well positioned to
significantly grow our share and increase
our revenue in this high-potential market.
In 2024, sales of our premium products
grew 4.4% and accounted for 15.2% of
total revenue.
We continue to expand our
participation in the global commercial
market, a multi-billion-dollar opportunity
with significant growth potential.
We are investing in higher-margin
products designed for use in commercial
food service and beverage operations,
as well as hotel amenities. Our initiative
aligns with increasing demand for
durable, high-performance equipment.
We are investing in advanced
technologies for blending and mixing,
our heritage categories, and we are
implementing new systems and
equipment for back-of-house
food preparation.
In 2024, sales of our commercial
products remained steady with 2023,
with growth hampered somewhat by
soft international markets. Sales of our
commercial products accounted for 8%
of total revenue.
Growth plans are focused on
expanding customer relationships with
restaurant and hotel chains around
the world, increasing our footprint in
international markets, and building
strength in ecommerce.
Accelerate Digital
Transformation
Our ecommerce capability is well
developed as we have capitalized on
the consumer shift to online shopping.
Our brands have best-in-class retailer
support, driving prominent placement
on leading sites.
Our brands receive strong consumer
reviews and ratings. The average rating
for our brands is 4.5 stars.
We continue to invest in gaining
share in the ecommerce channel. We
collaborate closely with omnichannel and
online-only retail customers to leverage
fast-paced changes. Our online marketing
PREMIUM PRODUCTS
Weston   2-in-1 XL Indoor Smoker
& 10-Quart Slow Cooker
CHI    SteamPress
3-in-1
Clorox    Medium Room
Turbo Air Purifier
Bartesian   Premier
Cocktail Machine



shareholder letter icon 3/28/2025 Letter Continued (Full PDF)
 

HBB Stockholder/Shareholder Letter (Hamilton Beach Brands Holding Co) | www.StockholderLetter.com
Copyright © 2023 - 2025, All Rights Reserved

Nothing in StockholderLetter.com is intended to be investment advice, nor does it represent the opinion of, counsel from, or recommendations by BNK Invest Inc. or any of its affiliates, subsidiaries or partners. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. By visiting, using or viewing this site, you agree to the following Full Disclaimer & Terms of Use and Privacy Policy.