CPS Technologies Corporation Announces First Quarter 2023 Financial Results
May 04, 2023 at 04:02 pm
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NORTON, Mass., May 04, 2023 (GLOBE NEWSWIRE) -- CPS Technologies Corporation (NASDAQ:CPSH) (“CPS” or the “Company”) today announced financial results for the fiscal first quarter ended April 1, 2023.
First Quarter Highlights
Revenue of $7.1 million for the first quarter of 2023 versus $6.7 million in the prior-year period
Gross margin of 31.6 percent, up 210 basis points from the first quarter of 2022
Operating profit of $0.7 million for the quarter ended April 1, 2023 versus $0.5 million in the prior-year period
“I’m pleased to announce that this period marked a new level of top line performance for the Company, with revenue of $7.1 million surpassing the previous record set during the second quarter of 2022,” said Chuck Griffith, CFO and acting President. “While the 7% increase in sales year-over-year was significant, the fact that the first quarter of 2022 was a longer, 14 week quarter – which only happens every five or six years – makes this growth even more impressive. In addition, gross margins expanded year-over-year, and our operating profit rose by 27%, to $0.7 million. Fiscal 2023 is clearly off to a great start.
”Given a first quarter book-to-bill ratio of 112%, significant wins with a leading aerospace customer, a new Small Business Innovative Research (SBIR) contract, and a strong backlog, we expect to continue a pattern of robust and sustainable growth over the coming quarters. In addition, to meet the increasing demands of our operations, we have expanded our team by adding key roles in business development and quality, with more to come. Based on our current pipeline of opportunities and ongoing demand, I anticipate the Company will set additional records for revenue and profit as we move forward in 2023.”
Results of Operations CPS reported revenue of $7.1 million for the first quarter of fiscal 2023 versus $6.7 million in the prior-year period, reflecting higher product shipments. Gross profit rose to $2.2 million, or 31.6 percent of revenue, from $2.0 million, or 29.5 percent of revenue, in the fiscal 2022 first quarter. The higher gross margin year-over-year reflects increased operating leverage and improved product mix.
Operating profit rose to $0.7 million in the fiscal 2023 first quarter from $0.5 million in the prior-year period. Reported net income was $0.5 million, or $0.03 per diluted share, versus $0.4 million, or $0.03 per diluted share, in the quarter ended April 2, 2022.
Conference Call The Company will be hosting its first quarter 2023 earnings call at 4:30 pm on Thursday, May 4. Those interested in participating in the conference call should dial:
Call in Number: 1-844-943-2942 Conference ID: 503680
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 lightweight. 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.com
Investor Relations: Chris Witty 646-438-9385 cwitty@darrowir.com
CPS Technologies Corp. is a technology and manufacturing company, which is engaged in producing material solutions for its customers. The Company provides advanced material solutions for the transportation, automotive, energy, computing/Internet, telecommunications, aerospace, and defense markets. Its primary material solution is metal matrix composites (MMCs). The Company's products and intellectual property address critical needs in a variety of applications, including electric trains and subway cars, wind turbines, hybrid vehicles, electric vehicles, Navy ships, the smart electric grid, fifth generation (5G) infrastructure and others. Its products are manufactured using the Quickset Injection Molding Process and the QuickCast Pressure Infiltration Process. The Company primarily manufactures MMC components comprised of aluminum silicon carbide (AlSiC). The Company is also producing HybridTech Armor panels strike faces for the United States Navy.