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CPS Technologies Corporation Announces Third Quarter 2023 Financial Results
来源: Nasdaq GlobeNewswire / 01 11月 2023 16:01:00 America/New_York
NORTON, Mass., Nov. 01, 2023 (GLOBE NEWSWIRE) -- CPS Technologies Corporation (NASDAQ:CPSH) (“CPS” or the “Company”) today announced financial results for the fiscal third quarter ended September 30, 2023.
Third Quarter Highlights
- Revenue of $6.3 million for the third quarter of 2023 versus $6.7 million in the prior-year period, reflecting a shift in certain orders into the fourth quarter, as previously discussed
- Gross margin of 19.7 percent versus 27.9 percent in the third quarter of 2022, primarily due to lower revenue year-over-year
- Operating profit of $0.1 million for the quarter ended September 30, 2023, compared to $0.7 million in the prior-year period
- Company recently announced a new contract, valued at approximately $7.7 million, to provide power module components and related solutions to a European customer, as well as the Company’s first SBIR grant funded by the Department of Energy
“As anticipated, revenue during the period was negatively impacted by certain shipments being delayed into the fourth quarter, which is looking to be particularly strong,” said Brian Mackey, President and CEO. “I’m excited that we remain in solid shape to finish fiscal 2023 with a record-setting performance, setting the stage for continued success going forward. We recently announced two major wins for CPS that will positively impact fiscal 2024, including a new SBIR award, complemented by a $7.7 million contract with one of our larger customers.
“Now with three months under my belt at CPS, I am upbeat about the future of the Company, as we focus on R&D investment and business development initiatives to drive higher returns and top line expansion. CPS provides unique, cutting-edge solutions across many fast-growing industries, and we are well positioned to take the Company to the next level in terms of both size and scope. I look forward to executing on a strategic plan that accelerates growth, improves operating performance, and enhances value for our shareholders.”
Results of Operations
CPS reported revenue of $6.3 million for the third quarter of fiscal 2023 versus $6.7 million in the prior-year period, reflecting order timing. Gross profit was to $1.2 million, or 19.7 percent of revenue, versus $1.9 million, or 27.9 percent of revenue, in the fiscal 2022 third quarter. The lower gross margin year-over-year reflects lower overall sales.Operating profit was $0.1 million in the fiscal 2023 third quarter, compared with $0.7 million in the prior-year period. Reported net income was $0.2 million, or $0.01 per diluted share, versus $1.0 million, or $0.07 per diluted share, in the quarter ended October 1, 2022.
Conference Call
The Company will be hosting its third quarter 2023 earnings call at 9:00 am on Thursday, November 2. Those interested in participating in the conference call should dial the following:Call in Number: 1-844-943-2942
Participant Passcode: 230366
The Company encourages those who wish to participate to call in 10 minutes before the scheduled start time to ensure the operator can connect all participants.About CPS
CPS is a technology and manufacturing leader in producing high-performance energy management components that facilitate the electrification of the economy. Our products and intellectual property include critical pieces of the technology puzzle for electric trains and subway cars, wind turbines, hybrid vehicles, electric vehicles, the smart electric grid, 5G infrastructure, and others. CPS' armor products provide exceptional ballistic protection and environmental durability at a very light weight. CPS also assembles housings and packages for hybrid circuits. CPS is committed to innovation and to supporting our customers in building solutions to this planet's problems.Safe Harbor
Statements made in this document that are not historical facts or which apply prospectively, including those relating to 2023 financial results, are forward-looking statements that involve risks and uncertainties. These forward-looking statements are identified by the use of terms and phrases such as "will," "intends," "believes," "expects," "plans," "anticipates" and similar expressions. Investors should not rely on forward looking statements because they are subject to a variety of risks and uncertainties and other factors that could cause actual results to differ materially from the company's expectation. Additional information concerning risk factors is contained from time to time in the company's SEC filings, including its Annual Report on Form 10-K and other periodic reports filed with the SEC. Forward-looking statements contained in this press release speak only as of the date of this release. Subsequent events or circumstances occurring after such date may render these statements incomplete or out of date. The company expressly disclaims any obligation to update the information contained in this release.CPS Technologies Corporation
111 South Worcester Street
Norton, MA 02766
www.cpstechnologysolutions.comInvestor Relations:
Chris Witty
646-438-9385
cwitty@darrowir.comCPS TECHNOLOGIES CORP.
Statements of Operations (Unaudited)Fiscal Quarters Ended Nine Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 Revenues: Product sales $ 6,285,041 $ 6,748,117 $ 20,803,447 $ 20,471,574 Total Revenues 6,285,041 6,748,117 20,803,447 20,471,574 Cost of product sales 5,049,177 4,864,876 15,126,621 14,796,206 Gross Profit 1,235,864 1,883,241 5,676,826 5,675,368 Selling, general and administrative expense 1,105,227 1,174,581 4,121,099 3,750,131 Operating income (loss) 130,637 708,660 1,555,727 1,925,237 Interest income (expense), net 78,181 (1,892 ) 176,325 (6,245 ) Other income (expense), net (1,228 ) 645,594 (4,130 ) 649,628 Net income (loss) before income tax expense 207,590 1,352,362 1,727,922 2,568,620 Income tax provision (benefit) 36,509 364,497 497,137 706,211 ) Net income $ 171,081 $ 987,865 $ 1,230,785 $ 1,862,409 Net income per basic common share $ 0.01 $ 0.07 $ 0.08 $ 0.13 Weighted average number of basic common shares outstanding 14,517,364 14,434,468 14,487,873 14,417,995 Net income per diluted common share $ 0.01 $ 0.07 $ 0.08 $ 0.13 Weighted average number of diluted common shares outstanding 14,636,241 14,686,476 14,632,591 14,683,632
CPS TECHNOLOGIES CORP.
Balance Sheets (Unaudited)September 30, December 31, 2023 2022 ASSETS Current assets: Cash and cash equivalents $ 8,778,856 $ 8,266,753 Accounts receivable-trade, net 5,006,451 3,777,975 Accounts receivable-other 17.043 685,668 Inventories, net 4,827,957 4,875,901 Prepaid expenses and other current assets 337,476 211,242 Total current assets 18,967,783 17,817,539 Property and equipment: Production equipment 11,195,993 10,770,427 Furniture and office equipment 952,883 952,883 Leasehold improvements 985,649 985,649 Total cost 13,134,525 12,708,959 Accumulated depreciation and amortization (11,810,209 ) (11,446,901 ) Construction in progress 206,693 64,910 Net property and equipment 1,531,009 1,326,968 Right-of-use lease asset 367,000 466,000 Deferred taxes, net 1,645,467 2,069,436 Total assets $ 22,511,259 $ 21,679,943 October 1, December 31, 2022 2022 LIABILITIES AND STOCKHOLDERS` EQUITY Current liabilities: Note payable, current portion 57,457 43,711 Accounts payable 2,151,127 1,836,865 Accrued expenses 1,067,293 820,856 Deferred revenue 1,675,086 2,521,128 Lease liability, current portion 159,000 157,000 Total current liabilities 5,109,963 5,379,560 Note payable less current portion 8,655 54,847 Deferred revenue-long term 31,277 231,020 Long term lease liability 208,000 309,000 Total liabilities 5,357,895 5,974,427 Commitments (note 4) Stockholders` equity: Common stock, $0.01 par value, authorized 20,000,000 shares; issued 14,601487 and 14,460,486, respectively; outstanding 14,519,215 and 14,450,470, respectively; at September 30, 2023 and December 31, 2022; 146,015 144,605 Additional paid-in capital 40,151,794 39,726,851 Accumulated deficit (22,894,307 ) (24,125,092 ) Less cost of 82,272 and 10,016 common shares repurchased, respectively; at September 30, 2023 and December 31, 2022 (250,138 ) (40,848 ) Total stockholders` equity 17,153,364 15,705,516 Total liabilities and stockholders` equity $ 22,511,259 $ 21,679,943