CPS Technologies Announces Fourth Quarter 2025 Financial Results

Rhea-AI Summary

CPS Technologies (NASDAQ:CPSH) reported record 2025 sales of $32.6 million, a 54% increase versus 2024, and fourth-quarter revenue of $8.2 million. Gross margin improved to 14.6% in Q4 and the company reported full-year net income of $420,354.

During Q4 CPS closed a public offering raising net proceeds of $9.5 million, won a $15.5 million follow-on order, and is evaluating sites for a larger manufacturing facility to expand production in 2026.

Positive

• Record revenue of $32.6M in 2025 (+54% YoY)
• Q4 revenue $8.2M, up from $5.9M prior-year
• Gross margin turned positive to 14.6% in Q4
• Raised $9.5M net proceeds from October 2025 public offering
• $15.5M follow-on order secured from a major semiconductor manufacturer

Negative

• Share count dilution from offering: issued shares increased from 14.66M to 18.13M (~24% increase)
• SG&A increased to $1.3M in Q4 (up vs $1.0M prior-year), pressuring near-term profitability

News Market Reaction – CPSH

-15.89% 2.1x vol

22 alerts

-15.89% News Effect

+22.4% Peak Tracked

-16.2% Trough Tracked

-$16M Valuation Impact

$86M Market Cap

2.1x Rel. Volume

On the day this news was published, CPSH declined 15.89%, reflecting a significant negative market reaction. Argus tracked a peak move of +22.4% during that session. Argus tracked a trough of -16.2% from its starting point during tracking. Our momentum scanner triggered 22 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $16M from the company's valuation, bringing the market cap to $86M at that time. Trading volume was elevated at 2.1x the daily average, suggesting increased selling activity.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Q4 2025 revenue: $8.2M FY 2025 revenue: $32.6M Q4 gross margin: 14.6% +5 more

8 metrics

Q4 2025 revenue $8.2M Fourth quarter 2025 vs $5.9M prior-year period

FY 2025 revenue $32.6M Record full-year 2025 sales, 54% higher than 2024

Q4 gross margin 14.6% Fourth quarter 2025 vs gross loss in Q4 2024

Q4 operating loss $(0.1)M Fourth quarter 2025 vs $(1.3)M operating loss in prior-year period

FY 2025 net income $420,354 Full-year 2025 vs $(3,135,449) net loss in 2024

Public offering proceeds $9.5M Net proceeds from October 8, 2025 offering for general corporate purposes

Follow-on order $15.5M Order with major multinational semiconductor manufacturer during the quarter

Cash & cash equivalents $4,466,198 Balance sheet as of December 27, 2025

Market Reality Check

Price: $4.21 Vol: Volume 109,744 is below t...

low vol

$4.21 Last Close

Volume Volume 109,744 is below the 20-day average of 229,244, suggesting limited pre‑announcement positioning. low

Technical Price at $4.50 is trading above the 200-day MA of $3.48 and well above the 52-week low of $1.40, but still below the $6.85 52-week high.

Peers on Argus

Peers showed mixed moves: ELTK +2.16%, DAIO +0.36%, while REFR -2.91% and MTEK -...

Peers showed mixed moves: ELTK +2.16%, DAIO +0.36%, while REFR -2.91% and MTEK -3.39%. With CPSH roughly flat at +0.22% pre‑earnings, the setup appears stock-specific.

Common Catalyst Several peers, including REFR and ELTK, issued conference/earnings‑date headlines, consistent with an earnings season backdrop rather than a broad sector rotation.

Previous Earnings Reports

5 past events · Latest: Oct 29 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Oct 29	Q3 2025 earnings	Positive	-1.8%	Record Q3 revenue with restored profitability and follow-on contract wins.
Jul 30	Q2 2025 earnings	Positive	+11.1%	Record Q2 revenue, positive net income, and additional SBIR contract wins.
Apr 30	Q1 2025 earnings	Positive	+8.4%	Record Q1 revenue with return to profitability and margin improvement.
Mar 12	Q4 2024 earnings	Negative	+4.4%	Lower revenue and gross loss after armor contract completion, offset by new SBIR awards.
Oct 30	Q3 2024 earnings	Negative	+9.7%	Revenue decline and negative margins following contract end, despite new awards.

Pattern Detected

Earnings releases have often been positive fundamentally, with price reactions mixed: 2 aligned and 3 divergent moves, including several rallies after weaker result periods.

Recent Company History

Across the last five earnings releases since Oct 30, 2024, CPSH moved from weak 2024 results toward consistent 2025 profitability and record revenue. Q1–Q3 2025 each delivered record sales, positive net income, and improving margins, while Q4 2024 and Q3 2024 highlighted the impact of contract roll‑offs and losses. Today’s fourth‑quarter and full‑year 2025 report continues that recovery narrative with record annual revenue and margin improvement versus 2024.

Historical Comparison

+6.3% avg move · In the past year CPSH issued 5 earnings releases, averaging a 6.35% next‑day move, as record 2025 qu...

earnings

+6.3%

Average Historical Move earnings

In the past year CPSH issued 5 earnings releases, averaging a 6.35% next‑day move, as record 2025 quarters steadily reversed 2024’s losses and margin pressure.

Earnings have progressed from 2024 quarters marked by revenue decline and gross losses to 2025 quarters with record sales, positive net income, and expanding margins, culminating in record full‑year 2025 revenue.

Market Pulse Summary

The stock dropped -15.9% in the session following this news. A negative reaction despite improving m...

Analysis

The stock dropped -15.9% in the session following this news. A negative reaction despite improving metrics would fit past mixed responses to earnings, where fundamentally positive reports sometimes saw downside moves. Record 2025 revenue of $32.6M, restored profitability, and Q4 gross margin of 14.6% contrast with 2024 losses, but investors may focus on sequential margin trends or prior equity issuance. Historically, earnings headlines produced an average move of 6.35%, with both rallies and pullbacks.

Key Terms

gross profit, operating loss, net income, diluted share, +4 more

8 terms

gross profit financial

"Gross profit was $1.2 million, or 14.6 percent of revenue, versus a gross loss..."

Gross profit is the amount a business keeps from sales after subtracting the direct costs to make or buy the products or services sold — like the money left from a lemonade stand after paying for lemons, sugar and cups. Investors watch gross profit to judge how well a company’s core operations and pricing cover those direct costs, revealing its basic profitability and whether margins are improving or shrinking over time.

operating loss financial

"Operating loss was $(0.1) million in the fiscal 2025 fourth quarter compared..."

Operating loss occurs when a company’s regular business activities—sales of goods or services—bring in less money than it costs to run the business, like a shop whose daily sales don’t cover rent and wages. For investors, it signals that the core business isn’t currently profitable, which can increase cash burn, affect future dividends or financing needs, and change how the company’s value and risk are judged.

net income financial

"Reported net income for the quarter was $0.0 million, or $0.00 per diluted share..."

Net income is the amount of money a company keeps after paying all its costs, interest, taxes and one-time charges — effectively the company’s profit “left over” at the end of a reporting period. Investors use it like a report card: it shows whether the business is generating real profit, influences earnings per share and dividend potential, and helps determine valuation and long-term financial health.

diluted share financial

"Reported net income for the quarter was $0.0 million, or $0.00 per diluted share..."

Diluted share count is the total number of company shares that would exist if all potential claims that can become stock—such as employee stock options, warrants and convertible bonds—were exercised or converted. Investors use diluted shares to see a more conservative view of ownership and per-share metrics (like earnings per share), because it’s like slicing a cake into more pieces: the same profit spread over more slices makes each slice smaller.

comprehensive income financial

"Statements of Operations and Other Comprehensive Income (Loss) (Unaudited)"

Comprehensive income is the total change in a company’s value in a reporting period that comes from everyday operations plus other gains or losses not shown on the regular profit-and-loss statement. Think of net income as the visible money earned this year and comprehensive income as that money plus hidden adjustments—such as currency swings, unrealized gains or losses on investments, and pension revaluations—that also affect shareholders’ stake and help investors see the fuller financial picture.

available for sale securities financial

"Net unrealized gains (losses) on available for sale securities | (7,037 | )..."

Available-for-sale securities are bonds or stocks a company owns that it does not plan to trade frequently or hold until they mature, but might sell before maturity; their market value is tracked over time and changes are recorded separately from regular profits until they are sold. Investors watch these holdings because swings in their market value affect a company’s reported assets and equity and can signal future cash from sales, much like items in a household that are kept for occasional sale and can change in resale value.

deferred revenue financial

"Deferred revenue | | 238,044 | | 172,429"

Cash a company has already received for goods or services it has promised but not yet delivered; it's recorded as a liability because the company still owes that product, service, or future revenue recognition. For investors, deferred revenue signals upcoming work or deliveries that will convert into reported sales over time and affects short-term obligations, cash flow quality, and how quickly a firm can grow recognized revenue—think of it like prepaid subscriptions or gift cards a business must honor later.

lease liability financial

"Lease liability, current portion | | 162,000 | | 160,000"

Lease liability is the recorded obligation to make future lease payments for property, equipment or other assets, shown on a company’s balance sheet much like a mortgage or long-term rental bill. It matters to investors because it represents committed cash outflows that affect a company’s borrowing capacity, solvency and free cash flow; treating leases as liabilities makes a company’s true obligations easier to compare, like revealing hidden monthly bills in a household budget.

AI-generated analysis. Not financial advice.

Company Closes Out Year with Record Sales of $32.6 Million and Improved Balance Sheet to Support Future Growth

NORTON, Mass., March 02, 2026 (GLOBE NEWSWIRE) -- CPS Technologies Corporation (NASDAQ:CPSH) (“CPS” or the “Company”) today announced financial results for the fiscal fourth quarter ended December 27, 2025.

Fourth Quarter Summary

• Revenue of $8.2 million, versus $5.9 million in the prior-year period, reflecting strong demand for the Company’s core product lines and expanded production.
• Gross margin of 14.6 percent versus a gross loss in the fourth quarter of 2024.
• Operating loss of $(0.1) million for the quarter compared to $(1.3) million in the prior-year period.
• As previously announced, CPS won a $15.5 million follow-on order with a major multinational semiconductor manufacturer during the quarter.
• On October 8, 2025 the Company closed on a public offering that brought in net proceeds of $9.5 million to be used for general corporate purposes, including the expansion of CPS’ production capabilities through the move to a larger facility.
  
  

“As expected, we closed 2025 with the strongest revenue in our Company’s history, $32.6 million, an increase in revenue of 54% over 2024, marking a great comeback for CPS as we position the organization for the future,” said Brian Mackey, President and CEO. “With the capital raise under our belt, we’re now able to focus on the array of growth opportunities we have developed. This includes increasing production, advancing our product portfolio, entering additional markets, winning new customers, and positioning ourselves to accelerate our revenue and profitability growth in the quarters to come. We are nearing the completion of our evaluation of potential sites for a larger, advanced CPS manufacturing facility and look forward to making this transition over the course of the remainder of 2026. Overall, we’re in great shape for another year of strong revenue, continued margin expansion, and an even stronger outlook going forward.”

Results of Operations
CPS reported revenue of $8.2 million for the fourth quarter of fiscal 2025 versus $5.9 million in the prior-year period, reflecting greater production rates and increased shipments, along with the impact from higher gold prices. Gross profit was $1.2 million, or 14.6 percent of revenue, versus a gross loss of $(0.3) million, or (5.1) percent of revenue, in the fiscal 2024 fourth quarter, with the year-over-year increase due to higher sales and greater production efficiencies.

Operating loss was $(0.1) million in the fiscal 2025 fourth quarter compared with an operating loss of $(1.3) million in the prior-year period; SG&A expenses totaled $1.3 million during the quarter, compared to $1.0 million in the same quarter of fiscal 2024. The increase was primarily due to higher variable compensation expense, reflecting the increase in annual revenue and profit. In addition, the higher revenue generated a significant increase in sales commission expense. Reported net income for the quarter was $0.0 million, or $0.00 per diluted share, versus a net loss of $(1.0) million, or $(0.07) per diluted share, in the quarter ended December 28, 2024.
        
Conference Call
The Company will be hosting its fourth quarter 2025 earnings call tomorrow, March 3, 2026, at 9:00 a.m. Eastern. Those interested in participating in the conference call should dial the following: 
Call in Number: 1-844-943-2942
Participant Passcode: 641664

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 an advanced materials company that designs, manufactures, and sells high-performance material solutions to global customers in transportation, energy, automotive, electronics, telecommunications, aerospace, and defense. The company specializes in proprietary metal matrix composites (MMCs), combining metals and ceramics to deliver superior strength, thermal management, and reliability for demanding applications such as high-speed rail, HVDC systems, mass transit, electric vehicles, internet equipment, and electrical infrastructure. CPS also produces hermetic packaging for high-reliability power and communications modules, supporting avionics, GPS, microprocessors, and specialized integrated circuits. Additionally, its lightweight HybridTech Armor^® provides high strength-to-weight protection. CPS focuses on innovation, quality, and diversified high-growth markets to drive sustained, profitable growth. The Company’s Vision is “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 2026 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. Statements of Operations and Other Comprehensive Income (Loss) (Unaudited)
	Three Months Ended								Twelve Months Ended
	December 27, 2025				December 28, 2024				December 27, 2025				December 28, 2024
Product sales	$	8,208,041			$	5,933,283			$	32,596,314			$	21,123,346
Cost of product sales	6,988565				6,204,808				27,306,955				21,241,984
Gross profit	1,219,476				(271,525		)		5,289,359				(118,638		)
Selling, general, and administrative expenses	1,318,163				1,047,459				4,845,385				4,262,290
Income (loss) from operations	(98,687		)		(1,318,984		)		443,974				(4,380,928		)
Other income	123,680				45,134				238,664				286,979
Net income (loss) before income taxes	24,993				(1,273,850		)		682,638				(4,093,949		)
Income tax provision (benefit)	12,399				(278,697		)		262,284				(958,500		)
Net income (loss)	$	12,594			$	(995,153	)		$	420,354			$	(3,135,449	)
Other comprehensive income
Net unrealized gains (losses) on available for sale securities	(7,037		)		(1,946		)		(15,361		)		15,500
Total other comprehensive income (loss)	(7,037		)		(1,946		)		(15,361		)		15,500
Comprehensive income (loss)	5,557				(997,099		)		404,993				(3,119,949		)
Net income (loss) per basic common share	$	0.00			$	(0.07	)		$	0.03			$	(0.22	)
Weighted average number of basic common shares outstanding	17,996,884				14,525,960				15,286,097				14,522,513
Net income (loss) per diluted common share	$	0.00			$	(0.07	)		$	0.03			(0.22		)
Weighted average number of diluted common shares outstanding	18,190,719				14,525,960				15,388,726				14,522,513

CPS TECHNOLOGIES CORP. BALANCE SHEETS (Unaudited)
	December 27,				December 28,
		2025				2024
ASSETS
Current assets:
Cash and cash equivalents	$	4,466,198			$	3,280,687
Marketable securities, at fair value		8,769,363				1,031,001
Accounts receivable-trade, net		5,235,307				4,858,208
Accounts receivable-other		380,948				177,068
Inventories, net		5,598,407				4,331,066
Prepaid expenses and other current assets		299,829				480,986
Total current assets		24,750,052				14,159,016
Property and equipment:
Production equipment		10,647,170				10,382,379
Furniture and office equipment		910,310				891,921
Leasehold improvements		997,830				997,830
Total cost		12,555,310				12,272,130
Accumulated depreciation and amortization		(10,877,927	)			(10,377,756	)
Construction in progress		459,671				108,874
Net property and equipment		2,137,054				2,003,248
Net intangible assets		21,778				-
Right-of-use lease asset		336,000				186,000
Deferred taxes, net		2,266,854				2,528,682
Total assets	$	29,511,738			$	18,876,946

LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Notes payable, current portion	$	-			$	8,130
Accounts payable		3,363,233				3,053,712
Accrued expenses		907,910				913,279
Deferred revenue		238,044				172,429
Lease liability, current portion		162,000				160,000
Total current liabilities		4,671,187				4,307,550
Deferred revenue – long term		31,277				31,277
Long term lease liability		174,000				26,000
Total liabilities		4,876,464				4,364,827
Commitments & Contingencies
Stockholders’ Equity:
Common stock, $0.01 par value, authorized 20,000,000 shares; issued 18,132,767 and 14,661,487 shares; outstanding 17,988,634 and 14,525,960; at December 27, 2025 and December 28, 2024, respectively		181,320				146,615
Preferred stock, no shares issued or outstanding		–				–
Additional paid-in capital		50,295,019				40,580,387
Accumulated other comprehensive income		139				15,500
Accumulated deficit		(25,469,891	)			(25,890,245	)
Less cost of 144,133 and 135,527 common shares repurchased at December 27, 2025 and December 28, 2024, respectively		(371,313	)			(340,138	)
Total stockholders’ equity		24,635,274				14,512,119
Total liabilities and stockholders’ equity	$	29,511,738			$	18,876,946

FAQ

What were CPS Technologies (CPSH) reported full-year 2025 revenues and growth rate?

CPS reported full-year 2025 revenue of $32.6 million, a 54% increase year-over-year. According to the company, stronger production, higher shipments and higher gold prices drove the revenue improvement.

How did CPSH perform in the fourth quarter ended December 27, 2025?

CPS reported Q4 revenue of $8.2 million and gross margin of 14.6%. According to the company, higher production rates and increased shipments improved margin versus Q4 2024.

What capital did CPS Technologies raise in 2025 and what is it for?

CPS closed a public offering in October 2025 raising $9.5 million net proceeds. According to the company, funds will support general corporate purposes and expansion to a larger production facility.

What is the significance of the $15.5 million order announced by CPSH in Q4 2025?

The $15.5 million follow-on order represents a material, signed customer order in Q4. According to the company, the order came from a major multinational semiconductor manufacturer and supports near-term production growth.

Did CPSH report net income or a loss for fiscal 2025 and Q4 2025?

CPS reported full-year net income of $420,354 for 2025 and a Q4 net income of $12,594. According to the company, results reflect higher sales, improved margins, and other income.

How might the October 2025 offering affect CPSH shareholders?

The October offering increased issued shares to 18.13M from 14.66M, diluting existing holders by roughly 24%. According to the company, the capital raise strengthens the balance sheet to fund production expansion.