Electro-Sensors, Inc. Announces First Quarter 2025 Financial Results
- Strong balance sheet with $10.0 million in cash and investments
- Gross margin improved to 48.4%, up 30 basis points year-over-year
- Increased sales in wired sensor products segment
- Net loss of $64,000 compared to net income of $11,000 in Q1 2024
- Operating loss increased by 69% to $169,000
- Revenue declined 0.2% year-over-year
- Reduced sales of HazardPRO wireless products
Insights
ELSE reports slightly negative Q1 with margin pressure despite stable revenue, showing operational challenges amid strong balance sheet.
Electro-Sensors delivered essentially flat revenue of
The company's operating loss deepened to
Operating expenses increased by
The shift in product mix—decreased HazardPRO™ wireless product sales partially offset by increased wired sensor sales—warrants attention. This could indicate either market-based demand shifts or competitive pressures in the wireless segment.
From a balance sheet perspective, ELSE maintains a strong position with
The transition from a
- First quarter revenue of
$2,239,000 - Gross Margin of
48.4% - Cash and investments of approximately
$10.0 million
Unaudited; in thousands, except per share data
Q1 FY25 | Q1 FY24 | Change | |||||||
Net Sales | $ | 2,239 | $ | 2,244 | (0.2) | % | |||
Gross Margin | 48.4 | % | 48.1 | % | 30 | Bps | |||
Operating Loss | $ | (169) | $ | (100) | (69.0) | % | |||
Operating Margin | (7.6) | % | (4.5) | % | (310) | bps | |||
Income (Loss) Before Income Tax Benefit | $ | (81) | $ | 16 | (606.3) | % | |||
Income (Loss) Per Share (diluted) | $ | (0.02) | $ | 0.00 | (100.0) | % | |||
"We are pleased to report first quarter revenue of
A full analysis of results for the period ended March 31, 2025 is available in the Company's Form 10-Q, which is available on the Company's website at www.electro-sensors.com or through the Securities and Exchange Commission's Edgar database at www.sec.gov.
Electro-Sensors, Inc. | ||||||||
Consolidated Statements of Income | ||||||||
For the Quarter Ended March 31, 2025 and 2024 (unaudited) | ||||||||
(in thousands except share and per share amounts) | ||||||||
Three Months Ended March 31 | ||||||||
2025 | 2024 | |||||||
Net sales | $ | 2,239 | $ | 2,244 | ||||
Cost of goods sold | 1,155 | 1,164 | ||||||
Gross profit | 1,084 | 1,080 | ||||||
Operating expenses | 1,253 | 1,180 | ||||||
Operating loss | (169) | (100) | ||||||
Non-operating income | 88 | 116 | ||||||
Income (loss) before income taxes | (81) | 16 | ||||||
Benefit from income taxes | (17) | 5 | ||||||
Net income (loss) | $ | (64) | $ | 11 | ||||
Income (loss) per share – diluted | $ | (0.02) | $ | 0.00 | ||||
Average shares outstanding - diluted | 3,449,021 | 3,428,021 | ||||||
Electro-Sensors, Inc. | ||||||
Consolidated Balance Sheets | ||||||
March 31, 2025 and December 31, 2024 | ||||||
(in thousands) | ||||||
March 31 | December 31 | |||||
2025 | 2024 | |||||
Assets | (unaudited) | |||||
Current Assets | ||||||
Cash and investments | $ | 9,974 | $ | 10,004 | ||
Trade receivables, net | 1,505 | 1,309 | ||||
Inventories, net | 2,010 | 1,964 | ||||
Other current assets | 250 | 197 | ||||
Total current assets | 13,739 | 13,474 | ||||
Deferred income tax asset, long-term | 460 | 501 | ||||
Property and equipment, net | 887 | 910 | ||||
Total assets | $ | 15,086 | $ | 14,885 | ||
Liabilities and Stockholders' Equity | ||||||
Current Liabilities | ||||||
Accounts payable and accrued expenses | $ | 786 | $ | 552 | ||
Total current liabilities | 786 | 552 | ||||
Stockholders' equity | ||||||
Common stock | 344 | 344 | ||||
Additional paid-in capital | 2,391 | 2,360 | ||||
Retained earnings | 11,565 | 11,629 | ||||
Total stockholders' equity | 14,300 | 14,333 | ||||
Total liabilities and stockholders' equity | $ | 15,086 | $ | 14,885 | ||
About Electro-Sensors
Electro-Sensors, Inc. is an industry leading designer and manufacturer of rugged and reliable machine monitoring sensors and wireless/wired hazard monitoring systems applied across multiple industries and applications. These products improve processes by protecting people, safeguarding systems, reducing downtime, and preventing waste. Electro-Sensors is proud to be an ISO9001:2015 quality certified company and is committed to providing excellent customer service and technical support. Founded in 1968 and located in
Cautionary Statement Regarding Forward Looking Statements
This press release may include statements about possible or anticipated future financial performance, business activities, plans, or opportunities. These forward-looking statements may include the words "will," "should," "believes," "expects," "anticipates," "intends" or similar expressions. For these forward-looking statements, the Company claims the protection of the safe harbor for forward−looking statements contained in federal securities laws. Forward-looking statements reflect the company's current views with respect to future events and financial performance and include any statement that does not directly relate to a current or historical fact. These forward-looking statements are subject to a number of factors, risks and uncertainties, including those disclosed in our periodic filings with the SEC that could cause actual performance, activities, plans, or opportunities after the date the statements are made to differ significantly from those indicated in the forward-looking statements.
For more information please visit our website at: www.electro-sensors.com. Also look us up on:
LinkedIn: linkedin.com/company/electro-sensors-inc-
X: x.com/ESIsensors
Facebook: facebook.com/ElectroSensors
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SOURCE Electro-Sensors, Inc.
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