CPS Technologies Announces First Quarter 2025 Financial Results
CPS Technologies reported record revenue of $7.5 million for Q1 2025, marking their best sales quarter ever, up from $5.9 million in Q1 2024. The company returned to profitability with an operating profit of $0.1 million, compared to a loss of $(0.3) million in the prior year.
Key highlights include:
- Gross margin improved to 16.4% from 15.3% year-over-year
- Net income of $0.1 million ($0.01 per share) vs net loss of $(0.1) million in Q1 2024
- Three new Phase I Army SBIR contracts initiated
CEO Brian Mackey noted strong growth across existing product lines, surpassing previous revenue numbers despite completing the aircraft carrier contract. The company's strategy focuses on core offerings and expanding target markets, with ongoing efforts to improve margins in Q2 2025 and beyond.
CPS Technologies ha riportato un fatturato record di 7,5 milioni di dollari nel primo trimestre del 2025, segnando il miglior trimestre di vendite di sempre, in aumento rispetto ai 5,9 milioni di dollari del primo trimestre 2024. L'azienda è tornata a essere redditizia con un utile operativo di 0,1 milioni di dollari, rispetto a una perdita di (0,3) milioni di dollari dell'anno precedente.
I punti salienti includono:
- Il margine lordo è migliorato al 16,4% rispetto al 15,3% dell'anno precedente
- Utile netto di 0,1 milioni di dollari (0,01 dollari per azione) contro una perdita netta di (0,1) milioni di dollari nel primo trimestre 2024
- Avvio di tre nuovi contratti Phase I Army SBIR
Il CEO Brian Mackey ha evidenziato una forte crescita nelle linee di prodotto esistenti, superando i precedenti risultati di fatturato nonostante il completamento del contratto per la portaerei. La strategia aziendale si concentra sulle offerte principali e sull'espansione dei mercati target, con sforzi continui per migliorare i margini nel secondo trimestre del 2025 e oltre.
CPS Technologies reportó ingresos récord de 7,5 millones de dólares en el primer trimestre de 2025, marcando su mejor trimestre de ventas hasta la fecha, frente a los 5,9 millones de dólares del primer trimestre de 2024. La compañía volvió a la rentabilidad con un beneficio operativo de 0,1 millones de dólares, en comparación con una pérdida de (0,3) millones de dólares en el año anterior.
Los puntos clave incluyen:
- El margen bruto mejoró al 16,4% desde el 15,3% interanual
- Ingreso neto de 0,1 millones de dólares (0,01 dólares por acción) frente a una pérdida neta de (0,1) millones en el primer trimestre de 2024
- Inicio de tres nuevos contratos Phase I Army SBIR
El CEO Brian Mackey destacó un fuerte crecimiento en las líneas de productos existentes, superando los números de ingresos anteriores a pesar de haber completado el contrato del portaaviones. La estrategia de la empresa se centra en las ofertas principales y en la expansión de los mercados objetivo, con esfuerzos continuos para mejorar los márgenes en el segundo trimestre de 2025 y más allá.
CPS Technologies는 2025년 1분기에 750만 달러의 기록적인 매출을 보고하며 역대 최고의 분기 매출을 기록했으며, 이는 2024년 1분기의 590만 달러에서 증가한 수치입니다. 회사는 영업이익 10만 달러를 기록하며 전년도의 30만 달러 손실에서 흑자 전환에 성공했습니다.
주요 내용은 다음과 같습니다:
- 총 마진이 전년 대비 15.3%에서 16.4%로 개선됨
- 순이익 10만 달러(주당 0.01달러), 2024년 1분기 순손실 10만 달러 대비 개선
- 세 건의 신규 Phase I Army SBIR 계약 시작
CEO 브라이언 매키는 기존 제품 라인 전반에 걸쳐 강력한 성장을 보였으며, 항공모함 계약 완료에도 불구하고 이전 매출 기록을 넘어섰다고 언급했습니다. 회사의 전략은 핵심 제품에 집중하고 목표 시장을 확장하는 데 있으며, 2025년 2분기 이후 마진 개선을 위한 노력을 지속하고 있습니다.
CPS Technologies a annoncé un chiffre d'affaires record de 7,5 millions de dollars pour le premier trimestre 2025, marquant leur meilleur trimestre de ventes à ce jour, en hausse par rapport à 5,9 millions de dollars au premier trimestre 2024. L'entreprise est redevenue rentable avec un bénéfice opérationnel de 0,1 million de dollars, contre une perte de (0,3) million l'année précédente.
Points clés :
- La marge brute s'est améliorée à 16,4% contre 15,3% d'une année sur l'autre
- Un revenu net de 0,1 million de dollars (0,01 dollar par action) contre une perte nette de (0,1) million au T1 2024
- Début de trois nouveaux contrats Phase I Army SBIR
Le PDG Brian Mackey a souligné une forte croissance sur les lignes de produits existantes, dépassant les chiffres de revenus précédents malgré l'achèvement du contrat pour le porte-avions. La stratégie de l'entreprise se concentre sur les offres principales et l'expansion des marchés cibles, avec des efforts continus pour améliorer les marges au deuxième trimestre 2025 et au-delà.
CPS Technologies meldete einen Rekordumsatz von 7,5 Millionen US-Dollar im ersten Quartal 2025 und erzielte damit das beste Verkaufsquartal aller Zeiten, gegenüber 5,9 Millionen US-Dollar im ersten Quartal 2024. Das Unternehmen kehrte mit einem operativen Gewinn von 0,1 Millionen US-Dollar in die Gewinnzone zurück, im Vergleich zu einem Verlust von (0,3) Millionen US-Dollar im Vorjahr.
Wichtige Highlights sind:
- Die Bruttomarge verbesserte sich von 15,3 % auf 16,4 % im Jahresvergleich
- Nettoeinkommen von 0,1 Millionen US-Dollar (0,01 US-Dollar pro Aktie) gegenüber einem Nettoverlust von (0,1) Millionen im ersten Quartal 2024
- Start von drei neuen Phase-I-Army-SBIR-Verträgen
CEO Brian Mackey hob das starke Wachstum bei bestehenden Produktlinien hervor und übertraf frühere Umsatzzahlen, obwohl der Flugzeugträgervertrag abgeschlossen wurde. Die Unternehmensstrategie konzentriert sich auf Kernangebote und die Erweiterung der Zielmärkte, mit fortlaufenden Bemühungen, die Margen im zweiten Quartal 2025 und darüber hinaus zu verbessern.
- Record quarterly revenue of $7.5M, up 27% YoY from $5.9M
- Return to profitability with net income of $0.1M vs loss of $(0.1M) in Q1 2024
- Gross margin improved to 16.4% from 15.3% YoY
- Operating profit of $0.1M vs operating loss of $(0.3M) in Q1 2024
- Three new Phase I Army SBIR contracts initiated in Q1
- Significant improvement from Q4 2024 when gross margins were negative 2%
- Loss of HybridTech Armor® business revenue stream
- Completion of aircraft carrier contract
- Relatively thin operating margins despite record revenue
- Cash and equivalents decreased to $1.9M from $3.3M in December 2024
Insights
CPS Technologies reports record $7.5M revenue in Q1 2025, returns to profitability with operational improvements after Q4 2024's negative margins.
CPS Technologies' Q1 2025 results signal a significant financial turnaround with record quarterly revenue of $7.5 million, representing a
The company's gross margin improved to
What's particularly impressive is that CPS achieved this record revenue without any contribution from its HybridTech Armor® business, indicating successful diversification and growth across its core product lines. The operating profit of $0.1 million versus an operating loss of $0.3 million in the prior-year period further validates the operational improvements taking hold.
The company secured three new Phase I Army SBIR contracts during the quarter, potentially opening future revenue streams. While absolute profit numbers remain modest, the financial trajectory shows clear signs of operational improvement and successful implementation of the company's strategy to leverage core offerings for future product development.
The operational metrics in CPS Technologies' report reveal substantial manufacturing improvements. The
The disappearance of HybridTech Armor® revenue without impacting overall performance demonstrates successful product diversification - a critical capability in specialized materials manufacturing where single-product dependency creates significant risk. CPS has effectively transitioned from project-based revenue (like the completed aircraft carrier contract) to broader product-line growth.
The Army SBIR contracts represent more than just revenue - they provide government-funded R&D to advance materials technology while reducing corporate research expenditure. This approach to innovation funding is strategically sound for a materials science company.
The margin improvement from negative territory to
The transition from loss to profit reflects the crossing of a critical production volume threshold where fixed costs are now being adequately covered by contribution margins - a fundamental manufacturing economics milestone.
Record Revenue of
NORTON, Mass., April 30, 2025 (GLOBE NEWSWIRE) -- CPS Technologies Corporation (NASDAQ:CPSH) (“CPS” or the “Company”) today announced financial results for the fiscal first quarter ended March 29, 2025.
First Quarter Highlights
- Revenue of
$7.5 million for the first quarter of 2025, reflecting the Company’s best sales quarter ever, even without any HybridTech Armor® business, versus$5.9 million in the first quarter of 2024 - Gross margin of 16.4 percent versus 15.3 percent in the prior-year period, reflecting improved operating leverage tied to higher revenue
- Operating profit of
$0.1 million for the quarter ended March 29, 2025 compared to an operating loss of$(0.3) million in the prior-year period - The Company’s performance also reflects the dramatic improvements that have occurred since the fourth quarter of 2024, when revenue was
$5.9 million and gross margins were negative 2 percent - As previously shared, three new Phase I Army SBIR contracts were initiated during the quarter
“What started as a very real turnaround last quarter is continuing into fiscal 2025, with the Company posting record revenue, driven accelerating demand from multiple customers,” said Brian Mackey, President and CEO. “Despite the completion of the aircraft carrier contract, the overall growth of our existing product lines has surpassed our previous revenue numbers. I’m pleased to see the return to bottom line profitability as well. While our profitability is positive, we continue to work on further margin improvement for the second quarter and beyond. Higher production volumes, recent SBIR wins, and a strategy meant to broaden our target markets and book of business are having the intended effect of strengthening the outlook for fiscal 2025. Our strategy of using our core offerings to invest in the product lines of the future in response to customer requirements, is beginning to bear fruit.”
Results of Operations
CPS reported revenue of
Operating profit was
Conference Call
The Company will be hosting its first quarter 2025 earnings call tomorrow, May 1, 2025, at 9:00am Eastern. Those interested in participating in the conference call should dial the following:
Call in Number: 1-844-943-2942
Participant Passcode: 970717
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 materials solutions for its customers. 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, 5G infrastructure and others. CPS hermetic packages can be found in many Aerospace and Satellite applications. CPS’ armor products provide exceptional ballistic protection and environmental durability at very light weight. CPS is committed to innovation and to supporting our customers in building solutions for the transition to clean energy. The Company articulates its Vision as follows: “To pioneer the next generation of high-performance materials and solve the world’s toughest engineering challenges.”
Safe Harbor
Statements made in this document that are not historical facts or which apply prospectively, including those relating to 2025 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 CORPORATION Statements of Operations (Unaudited) | ||||||||
| Fiscal Quarters Ended | ||||||||
| March 29, 2025 | March 30, 2024 | |||||||
| Revenues: | ||||||||
| Product sales | $ | 7,505,921 | $ | 5,912,634 | ||||
| Total revenues | 7,505,921 | 5,912,634 | ||||||
| Cost of product sales | 6,274,920 | 5,006,324 | ||||||
| Gross Profit | 1,231,001 | 906,310 | ||||||
| Selling, general, and administrative expense | 1,101,350 | 1,165,922 | ||||||
| Operating income (loss) | 129,651 | (259,612 | ) | |||||
| Other income, net | 50,476 | 79,171 | ||||||
| Income (loss) before taxes | 180,127 | (180,441 | ) | |||||
| Income tax provision (benefit) | 84,165 | (37,288 | ) | |||||
| Net income (loss) | $ | 95,962 | $ | (143,153 | ) | |||
| Other comprehensive income | ||||||||
| Net unrealized gains on available for sale securities | 1,300 | - | ||||||
| Total other comprehensive income | 1,300 | - | ||||||
| Comprehensive income (loss) | 97,262 | (143,153 | ) | |||||
| Net income (loss) per basic common share | $ | 0.01 | $ | (0.01 | ) | |||
| Weighted average number of basic common shares outstanding | 14,525,960 | 14,519,215 | ||||||
| Net income (loss) per diluted common share | $ | 0.01 | $ | (0.01 | ) | |||
| Weighted average number of diluted common shares outstanding | 14,543,911 | 14,519,215 | ||||||
| CPS TECHNOLOGIES CORP. Balance Sheets (Unaudited) | ||||||||
| March 29, 2025 | December 28, 2024 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 1,929,919 | $ | 3,280,687 | ||||
| Marketable securities, at fair value | 1,039,714 | 1,031,001 | ||||||
| Accounts receivable-trade, net | 6,302,650 | 4,858,208 | ||||||
| Accounts receivable-other | 210,475 | 177,068 | ||||||
| Inventories, net | 4,812,833 | 4,331,066 | ||||||
| Prepaid expenses and other current assets | 389,764 | 480,986 | ||||||
| Total current assets | 14,685,355 | 14,159,016 | ||||||
| Property and equipment: | ||||||||
| Production equipment | 10,439,670 | 10,382,379 | ||||||
| Furniture and office equipment | 891,921 | 891,921 | ||||||
| Leasehold improvements | 997,830 | 997,830 | ||||||
| Total cost | 12,329,421 | 12,272,130 | ||||||
| Accumulated depreciation and amortization | (10,542,494 | ) | (10,377,756 | ) | ||||
| Construction in progress | 144,653 | 108,874 | ||||||
| Net property and equipment | 1,931,580 | 2,003,248 | ||||||
| Right-of-use lease asset (note 4, leases) | 147,000 | 186,000 | ||||||
| Deferred taxes | 2,444,973 | 2,528,682 | ||||||
| Total Assets | $ | 19,208,908 | 18,876,946 | |||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current liabilities: | ||||||||
| Note payable, current portion | - | 8,130 | ||||||
| Accounts payable | 3,135,552 | 3,053,712 | ||||||
| Accrued expenses | 1,070,932 | 913,279 | ||||||
| Deferred revenue | 108,080 | 172,429 | ||||||
| Lease liability, current portion | 147,000 | 160,000 | ||||||
| Total current liabilities | 4,461,564 | 4,307,550 | ||||||
| Deferred revenue – long term | 31,277 | 31,277 | ||||||
| Long term lease liability | - | 26,000 | ||||||
| Total liabilities | 4,492,841 | 4,364,827 | ||||||
| Commitments & Contingencies | ||||||||
| Stockholders’ equity: | ||||||||
| Common stock, | 146,615 | 146,615 | ||||||
| Additional paid-in capital | 40,702,573 | 40,580,387 | ||||||
| Accumulated other comprehensive income | 1,300 | 15,500 | ||||||
| Accumulated deficit | (25,794,283 | ) | (25,890,245 | ) | ||||
| Less cost of 135,527 common shares repurchased at each March 29, 2025 and December 28, 2024 | (340,138 | ) | (340,138 | ) | ||||
| Total stockholders’ equity | 14,716,067 | 14,512,119 | ||||||
| Total liabilities and stockholders’ equity | $ | 19,208,908 | $ | 18,876,946 | ||||
FAQ
How much revenue did CPS Technologies (CPSH) report in Q1 2025?
Did CPSH return to profitability in first quarter 2025?
What was CPS Technologies' (CPSH) gross margin in Q1 2025?
How did CPSH perform compared to Q4 2024?
What new contracts did CPSH secure in Q1 2025?
