ETC Announces Fiscal 2026 First Quarter Results
Environmental Tectonics Corporation (OTC Pink: ETCC) reported its Q1 FY2026 financial results, showing mixed performance. The company achieved net sales of $17.6 million, a 30.5% increase from the prior year, primarily driven by a 74.9% increase in Aircrew Training Systems (ATS) sales. Net income was $1.3 million ($0.07 per diluted share), slightly down from $1.4 million ($0.08 per diluted share) in Q1 FY2025.
Operating income increased by 39.4% to $2.2 million, benefiting from higher ATS sales and reduced operating expenses. The company maintained a strong sales backlog of $73 million. Gross profit margin was 26.5%, though excluding lower-margin aeromedical center building revenue, core business margin improved to 34.3%.
Environmental Tectonics Corporation (OTC Pink: ETCC) ha riportato i risultati finanziari del primo trimestre dell'anno fiscale 2026, mostrando una performance mista. L'azienda ha raggiunto vendite nette per 17,6 milioni di dollari, con un aumento del 30,5% rispetto all'anno precedente, principalmente grazie a un incremento del 74,9% nelle vendite di Sistemi di Addestramento Equipaggi (ATS). Il reddito netto è stato di 1,3 milioni di dollari (0,07 dollari per azione diluita), leggermente inferiore rispetto a 1,4 milioni di dollari (0,08 dollari per azione diluita) nel primo trimestre dell'anno fiscale 2025.
Il reddito operativo è aumentato del 39,4% raggiungendo 2,2 milioni di dollari, beneficiando dell'aumento delle vendite ATS e della riduzione delle spese operative. L'azienda ha mantenuto un solido portafoglio ordini di 73 milioni di dollari. Il margine di profitto lordo è stato del 26,5%, anche se escludendo i ricavi a margine inferiore derivanti dalla costruzione di centri aeromedici, il margine del core business è migliorato al 34,3%.
Environmental Tectonics Corporation (OTC Pink: ETCC) informó sus resultados financieros del primer trimestre del año fiscal 2026, mostrando un desempeño mixto. La compañía alcanzó ventas netas de 17,6 millones de dólares, un aumento del 30,5% respecto al año anterior, impulsado principalmente por un incremento del 74,9% en las ventas de Sistemas de Entrenamiento para Tripulaciones Aéreas (ATS). El ingreso neto fue de 1,3 millones de dólares (0,07 dólares por acción diluida), ligeramente inferior a los 1,4 millones de dólares (0,08 dólares por acción diluida) en el primer trimestre del año fiscal 2025.
El ingreso operativo aumentó un 39,4% hasta 2,2 millones de dólares, beneficiándose del aumento en las ventas de ATS y la reducción de gastos operativos. La compañía mantuvo una sólida cartera de pedidos de 73 millones de dólares. El margen bruto fue del 26,5%, aunque excluyendo los ingresos de menor margen provenientes de la construcción de centros aeromédicos, el margen del negocio principal mejoró al 34,3%.
Environmental Tectonics Corporation (OTC Pink: ETCC)는 2026 회계연도 1분기 재무 실적을 발표했으며, 혼합된 성과를 보였습니다. 회사는 순매출 1,760만 달러를 기록했으며, 이는 전년 대비 30.5% 증가한 수치로, 주로 항공 승무원 교육 시스템(ATS) 매출이 74.9% 증가한 데 힘입은 결과입니다. 순이익은 130만 달러(희석 주당 0.07달러)로, 2025 회계연도 1분기의 140만 달러(희석 주당 0.08달러)보다 약간 감소했습니다.
영업이익은 39.4% 증가한 220만 달러로, ATS 매출 증가와 운영비용 절감의 혜택을 받았습니다. 회사는 강력한 73백만 달러의 판매 잔고를 유지했습니다. 총 이익률은 26.5%였으나, 수익률이 낮은 항공의료 센터 건설 수익을 제외하면 핵심 사업의 이익률이 34.3%로 개선되었습니다.
Environmental Tectonics Corporation (OTC Pink : ETCC) a publié ses résultats financiers du premier trimestre de l'exercice 2026, montrant une performance mitigée. La société a réalisé un chiffre d'affaires net de 17,6 millions de dollars, soit une hausse de 30,5 % par rapport à l'année précédente, principalement grâce à une augmentation de 74,9 % des ventes des systèmes de formation des équipages (ATS). Le résultat net s'élève à 1,3 million de dollars (0,07 dollar par action diluée), en légère baisse par rapport à 1,4 million de dollars (0,08 dollar par action diluée) au premier trimestre de l'exercice 2025.
Le résultat d'exploitation a augmenté de 39,4 % pour atteindre 2,2 millions de dollars, bénéficiant de la hausse des ventes ATS et de la réduction des charges d'exploitation. La société a maintenu un solide carnet de commandes de 73 millions de dollars. La marge brute était de 26,5 %, bien qu'en excluant les revenus à faible marge liés à la construction de centres aéromédicaux, la marge du cœur de métier s'est améliorée à 34,3 %.
Environmental Tectonics Corporation (OTC Pink: ETCC) berichtete über die Finanzergebnisse des ersten Quartals des Geschäftsjahres 2026 und zeigte eine gemischte Leistung. Das Unternehmen erzielte Nettoverkäufe von 17,6 Millionen US-Dollar, was einer Steigerung von 30,5 % gegenüber dem Vorjahr entspricht, hauptsächlich getrieben durch einen Anstieg der Verkäufe von Aircrew Training Systems (ATS) um 74,9 %. Der Nettoertrag betrug 1,3 Millionen US-Dollar (0,07 US-Dollar pro verwässerter Aktie), was leicht unter den 1,4 Millionen US-Dollar (0,08 US-Dollar pro verwässerter Aktie) im ersten Quartal des Geschäftsjahres 2025 lag.
Das Betriebsergebnis stieg um 39,4 % auf 2,2 Millionen US-Dollar, begünstigt durch höhere ATS-Verkäufe und reduzierte Betriebskosten. Das Unternehmen hielt einen starken Auftragsbestand von 73 Millionen US-Dollar. Die Bruttogewinnmarge lag bei 26,5 %, wobei die Kernmarge des Geschäfts ohne Umsätze mit geringerer Marge aus dem Bau von aeromedizinischen Zentren auf 34,3 % anstieg.
- Operating income increased 39.4% to $2.2 million
- Net sales grew 30.5% to $17.6 million year-over-year
- Strong sales backlog of $73 million
- Core business gross profit margin improved to 34.3% (excluding aeromedical center revenue)
- Operating expenses decreased by 16% to $2.5 million
- Net income decreased 5.3% to $1.3 million year-over-year
- Interest expense increased 385.3% to $0.6 million
- Cash flows from operations declined by $5.6 million to negative $2.7 million
- Income tax provision increased significantly to $0.4 million from $0.02 million
SOUTHAMPTON, Pa., July 11, 2025 (GLOBE NEWSWIRE) -- Environmental Tectonics Corporation (OTC Pink: ETCC) (“ETC” or the “Company”) today reported its financial results for the thirteen week period ended May 30, 2025 (the “2026 first fiscal quarter”).
Robert L. Laurent, Jr., ETC’s Chief Executive Officer and President stated, “We are pleased with the
Fiscal 2026 First Quarter Results of Operations
Net Income
Net income was
Net Sales
Net sales in the 2026 first fiscal quarter were
Gross Profit
Gross profit for the 2026 first fiscal quarter was
Operating Expenses
Operating expenses, including sales and marketing, general and administrative, and research and development, for the 2026 first fiscal quarter were
Operating income for the 2026 fiscal first quarter was
Interest Expense, Net
Interest expense, net, for the 2026 first fiscal quarter was
Income Tax Provision
Income tax provision for the 2026 first fiscal quarter was
Cash Flows from Operating, Investing, and Financing Activities
During the 2026 first fiscal quarter, cash flows used in operating activities were
Cash used for investing activities primarily relates to funds used for capital expenditures of equipment and software development. The Company’s investing activities used
The Company’s financing activities provided
About ETC
ETC was incorporated in 1969 in Pennsylvania. For over five decades, we have provided our customers with products, services, and support. Innovation, continuous technological improvement and enhancement, and product quality are core values that are critical to our success. We are a significant supplier and innovator in the following areas: (i) software driven products and services used to create and monitor the physiological effects of flight, including high performance jet tactical flight simulation, fixed and rotary wing upset prevention and recovery and spatial disorientation, and both suborbital and orbital commercial human spaceflight, collectively, Aircrew Training Systems (“ATS”); (ii) altitude (hypobaric) chambers; (iii) hyperbaric chambers for multiple persons (multiplace chambers); (iv) Advanced Disaster Management Simulators (“ADMS”); (v) steam and gas (ethylene oxide) sterilizers (“Sterilizer Systems” or “Sterilizers”); and (vi) Environmental Testing and Simulation Systems (“ETSS”).
We operate in two primary business segments, Aerospace Solutions (“Aerospace”) and Commercial/Industrial Systems (“CIS”). Aerospace encompasses the design, manufacture, and sale of: (i) ATS products; (ii) altitude (hypobaric) chambers; (iii) hyperbaric chambers for multiple persons (multiplace chambers); and (iv) ADMS, as well as integrated logistics support (“ILS”) for customers who purchase these products or similar products manufactured by other parties. These products and services provide customers with an offering of comprehensive solutions for improved readiness and reduced operational costs. Sales of our Aerospace products are made principally to U.S. and foreign government agencies and to civil aviation organizations. CIS encompasses the design, manufacture, and sale of: (i) steam and gas (ethylene oxide) sterilizers; and (ii) ETSS; as well as parts and service support for customers who purchase these products or similar products manufactured by other parties. Sales of our CIS products are made principally to the healthcare, pharmaceutical, and automotive industries.
ETC-PZL Aerospace Industries Sp. z o.o. (“ETC-PZL”), our
The majority of our net sales are generated from long-term contracts with foreign and U.S. governments and agencies (including foreign military sales (“FMS”) contracted through the U.S. Government) for the research, design, development, manufacture, integration, and sustainment of ATS products, including Chambers and the simulators manufactured and sold through ETC-PZL, collectively, ATS as well as long-term contracts with domestic and international customers for the sale of Sterilizer systems. The Company also enters into long-term contracts with domestic customers for the sale of ETSS. Net sales of ADMS are generally much shorter term in nature and vary between domestic and international customers. We generally provide our products and services under fixed-price contracts.
ETC’s unique ability to offer complete systems, designed and produced to high technical standards, sets it apart from its competition. ETC’s headquarters is located in Southampton, PA. For more information about ETC, visit http://www.etcusa.com/. The information contained on our website is not incorporated by reference in this news release.
Forward-looking Statements
This news release contains forward-looking statements, which are based on management’s expectations and are subject to uncertainties and changes in circumstances. Words and expressions reflecting something other than historical fact are intended to identify forward-looking statements, and these statements may include words such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “future”, “predict”, “potential”, “intend”, or “continue”, and similar expressions. We base our forward-looking statements on our current expectations and projections about future events or future financial performance. Our forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about ETC and its subsidiaries that may cause actual results to be materially different from any future results implied by these forward-looking statements. We caution you not to place undue reliance on these forward-looking statements. Except as required by law, we assume no obligation to update or revise any forward looking statements.
| Contact: | Tim Kennedy, CFO |
| Phone: | (215) 355-9100 x1531 |
| E-mail: | tkennedy@etcusa.com |
- Financial Table Follows -
| Table A | |||||||||||||||
| ENVIRONMENTAL TECTONICS CORPORATION | |||||||||||||||
| SUMMARY TABLE OF RESULTS | |||||||||||||||
| (in thousands, except per share information) | |||||||||||||||
| (unaudited) | |||||||||||||||
| Thirteen weeks ended | Variance | ||||||||||||||
| (in thousands, except per share information) | May 30, 2025 | May 24, 2024 | ($) | (%) | |||||||||||
| Net sales | $ | 17,601 | $ | 13,492 | $ | 4,109 | 30.5 | ||||||||
| Cost of goods sold | 12,939 | 8,965 | 3,974 | 44.3 | |||||||||||
| Gross Profit | 4,662 | 4,527 | 135 | 3.0 | |||||||||||
| Gross profit margin % | 26.5 | % | 33.6 | % | -7.1 | % | -21.1 | % | |||||||
| Operating expenses | 2,498 | 2,975 | (477 | ) | -16.0 | ||||||||||
| Operating income | 2,164 | 1,552 | 612 | 39.4 | |||||||||||
| Operating margin % | 12.3 | % | 11.5 | % | 0.8 | % | 6.9 | % | |||||||
| Interest expense, net | 563 | 116 | 447 | 385.3 | |||||||||||
| Other (income) expense, net | (78 | ) | 55 | (133 | ) | -241.8 | |||||||||
| Income before income taxes | 1,679 | 1,381 | 298 | 21.6 | |||||||||||
| Pre-tax margin % | 9.5 | % | 10.2 | % | -0.7 | % | -6.9 | % | |||||||
| Income tax provision | 390 | 20 | 370 | 1850.0 | |||||||||||
| Net income | 1,289 | 1,361 | (72 | ) | -5.3 | ||||||||||
| Preferred Stock dividends | (121 | ) | (121 | ) | - | 0.0 | |||||||||
| Income attributable to common and | |||||||||||||||
| participating shareholders | $ | 1,168 | $ | 1,240 | $ | (72 | ) | -5.8 | |||||||
| Per share information: | |||||||||||||||
| Basic earnings per common and participating share: | |||||||||||||||
| Distributed earnings per share: | |||||||||||||||
| Common | $ | - | $ | - | $ | - | |||||||||
| Preferred | $ | 0.02 | $ | 0.02 | $ | - | 0.0 | ||||||||
| Undistributed earnings per share: | |||||||||||||||
| Common | $ | 0.07 | $ | 0.08 | $ | (0.01 | ) | -12.5 | |||||||
| Preferred | $ | 0.07 | $ | 0.08 | $ | (0.01 | ) | -12.5 | |||||||
| Diluted earnings per share | $ | 0.07 | $ | 0.08 | $ | (0.01 | ) | -12.5 | |||||||
| Total basic weighted average common and participating shares | 15,665 | 15,569 | |||||||||||||
| Total diluted weighted average shares | 16,998 | 16,062 | |||||||||||||
FAQ
What were ETCC's Q1 2026 earnings per share?
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What was ETCC's gross profit margin in Q1 2026?
