Electro-Sensors, Inc. Announces First Quarter 2026 Financial Results
Rhea-AI Summary
Electro-Sensors (NASDAQ: ELSE) reported first quarter 2026 results for the period ended March 31, 2026.
Net sales reached a record $2.579 million, up 15.2% year over year, with gross margin of 51.3% (up from 48.4%). The company reported an operating loss of $218,000 and a net loss of $116,000, or $(0.03) per diluted share. Cash and investments totaled approximately $10.8 million, and total assets were $16.1 million, with stockholders’ equity of $14.9 million.
Positive
- Record Q1 2026 net sales of $2.579 million, up 15.2% year over year
- Gross margin improved to 51.3%, a 290 bps increase from 48.4%
- Cash and investments of approximately $10.8 million at March 31, 2026
- Total assets increased to $16.1 million from $15.7 million at year-end 2025
- Stockholders’ equity rose to $14.9 million from $14.8 million at December 31, 2025
Negative
- Operating loss widened to $218,000 from $169,000 in Q1 2025
- Operating margin declined to (8.3)% from (7.6)% year over year
- Net loss increased to $116,000 versus $64,000 in the prior-year quarter
- Diluted loss per share increased to $(0.03) from $(0.02)
- Operating expenses rose to $1.54 million from $1.25 million year over year
- Accounts payable and accrued expenses increased to $1.161 million from $885,000 at year-end 2025
News Market Reaction – ELSE
In the May 15 session, ELSE declined 0.13%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Mar 30 | Year-end earnings | Positive | +1.8% | Record 2025 revenue and higher gross margin despite lower net income. |
| Nov 13 | Quarterly earnings | Positive | -4.0% | Record Q3 2025 revenue and margin expansion with solid profitability. |
| Aug 12 | Quarterly earnings | Positive | +1.2% | Q2 2025 revenue and margin growth with swing to positive EPS. |
| May 12 | Quarterly earnings | Negative | +18.3% | Q1 2025 revenue dip and larger loss versus prior-year profit. |
| Mar 19 | Year-end earnings | Positive | +2.0% | Record 2024 revenue with higher international sales and solid margin. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Earnings releases have often highlighted record revenue and margin expansion, but price reactions have been mixed, with both alignments and sharp divergences relative to fundamentally positive updates.
Over the past several earnings cycles, Electro-Sensors has repeatedly reported record or growing revenues and improving gross margins, as seen in the 2024 and 2025 year-end results and multiple quarterly updates. However, bottom-line performance has fluctuated between modest profits and small losses as operating expenses rose. Price reactions ranged from a strong 18.33% gain after Q1 2025 results to a −4.05% move following Q3 2025. Today’s Q1 2026 report continues the theme of revenue growth and solid margins amid variable profitability.
Key Terms
form 10-q regulatory
basis points financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
- Record first quarter revenue of
$2,579,000 - Gross Margin of
51.3% - Cash and investments of approximately
$10.8 million
Unaudited; in thousands, except per share data
Q1 FY26 | Q1 FY25 | Change | |||||||
Net Sales | $ | 2,579 | $ | 2,239 | 15.2 | % | |||
Gross Margin | 51.3 | % | 48.4 | % | 290 | Bps | |||
Operating Loss | $ | (218) | $ | (169) | (29.0) | % | |||
Operating Margin | (8.3) | % | (7.6) | % | (70) | bps | |||
Loss Before Income Tax Benefit | $ | (147) | $ | (81) | (81.5) | % | |||
Loss Per Share (diluted) | $ | (0.03) | $ | (0.02) | (50.0) | % | |||
"We are pleased to report first quarter revenue of
A full analysis of results for the period ended March 31, 2026 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. | ||||||||
Three Months Ended March 31 | ||||||||
2026 | 2025 | |||||||
Net sales | $ | 2,579 | $ | 2,239 | ||||
Cost of goods sold | 1,257 | 1,155 | ||||||
Gross profit | 1,322 | 1,084 | ||||||
Operating expenses | 1,540 | 1,253 | ||||||
Operating loss | (218) | (169) | ||||||
Non-operating income | 71 | 88 | ||||||
Loss before income taxes | (147) | (81) | ||||||
Benefit from income taxes | (31) | (17) | ||||||
Net loss | $ | (116) | $ | (64) | ||||
Loss per share – diluted | $ | (0.03) | $ | (0.02) | ||||
Average shares outstanding - diluted | 3,511,867 | 3,449,021 | ||||||
Electro-Sensors, Inc. | ||||||
March 31 | December 31 | |||||
2026 | 2025 | |||||
Assets | (unaudited) | |||||
Current Assets | ||||||
Cash and investments | $ | 10,812 | $ | 10,601 | ||
Trade receivables, net | 1,393 | 1,404 | ||||
Inventories, net | 2,080 | 2,028 | ||||
Other current assets | 387 | 320 | ||||
Total current assets | 14,672 | 14,353 | ||||
Deferred income tax asset, long-term | 495 | 464 | ||||
Property and equipment, net | 892 | 885 | ||||
Total assets | $ | 16,059 | $ | 15,702 | ||
Liabilities and Stockholders' Equity | ||||||
Current Liabilities | ||||||
Accounts payable and accrued expenses | $ | 1,161 | $ | 885 | ||
Total current liabilities | 1,161 | 885 | ||||
Stockholders' equity | ||||||
Common stock | 353 | 348 | ||||
Additional paid-in capital | 2,726 | 2,534 | ||||
Retained earnings | 11,819 | 11,935 | ||||
Total stockholders' equity | 14,898 | 14,817 | ||||
Total liabilities and stockholders' equity | $ | 16,059 | $ | 15,702 | ||
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.