RCM Technologies, Inc. Announces Fourth Quarter And Fiscal Year 2025 Results
Rhea-AI Summary
RCM Technologies (Nasdaq: RCMT) reported strong quarterly and annual results for the periods ended January 3, 2026. Q4 revenue was $86.5M, up 12.4% year-over-period; Q4 GAAP net income was $6.1M, $0.80 diluted EPS. Q4 adjusted EBITDA was $9.3M, up 49.0%.
For the fifty-three weeks, revenue was $319.4M, up 14.7%; GAAP net income was $16.3M, $2.14 diluted EPS; adjusted EBITDA was $30.7M, up 18.9%. The company will not hold a conference call; see the Form 10-K for more detail.
Positive
- Q4 revenue +12.4% to $86.5M versus prior quarter
- Q4 gross profit +12.6% to $24.3M
- Q4 adjusted EBITDA +49.0% to $9.3M
- FY revenue +14.7% to $319.4M
- FY adjusted EBITDA +18.9% to $30.7M
Negative
- Cash balance -38% QoQ to $2.9M from $4.7M
- Life Sciences revenue -16.1% QoQ to $8.1M from $9.6M
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Nov 05 | Q3 2025 earnings | Positive | -5.0% | Strong Q3 revenue and EBITDA growth with higher adjusted EPS. |
| Aug 06 | Q2 2025 earnings | Positive | -4.7% | Double‑digit revenue growth and higher GAAP and adjusted earnings. |
| May 07 | Q1 2025 earnings | Positive | +15.9% | Strong revenue, EBITDA and cash flow with net debt reduction. |
| Mar 12 | FY 2024 earnings | Negative | -13.4% | Revenue up but GAAP net income and EBITDA declined year over year. |
| Nov 07 | Q3 2024 earnings | Neutral | +4.2% | Modest revenue and gross profit growth with lower GAAP EPS. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Earnings releases have generally shown solid growth, but share reactions have been mixed, with several strong quarters sold off and occasional sharp rallies on positive reports.
Over the last five earnings cycles, RCM Technologies has consistently reported revenue growth and maintained profitability, with quarters such as Q1–Q3 2025 showing double‑digit revenue gains and rising adjusted EBITDA. However, the stock reaction has been uneven: strong Q2 and Q3 2025 results saw ~5% next‑day declines, while Q1 2025 triggered a 15.9% gain. Fiscal 2024 results highlighted slower growth and earnings pressure, which drew a -13.45% move. Today’s FY 2025 report adds another year of higher revenue, margins, and adjusted EPS into that backdrop.
Key Terms
ebitda financial
non-gaap financial
adjusted ebitda financial
adjusted operating income financial
equity compensation financial
contingent consideration financial
operating income financial
deferred tax assets financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
PENNSAUKEN, N.J., April 03, 2026 (GLOBE NEWSWIRE) -- RCM Technologies, Inc. (NasdaqGM: RCMT), a premier provider of solutions designed to enhance the operational performance of its customers through the deployment of advanced engineering, specialty healthcare, and information technology services, today announced financial results for the fourteen and fifty-three weeks ended January 3, 2026.
RCM Technologies reported revenue of
RCM Technologies reported revenue of
The Company will not be holding a conference call to discuss these results. Additional information can be found in the Company’s Form 10-K.
About RCM
RCM Technologies (NasdaqGM: RCMT) is a business and technology solutions provider with world-class talent in key market segments. We help design, build, and enable the Industries of Tomorrow, Today. Operating at the intersection of resources, critical infrastructure and modernization of industries, RCM is a provider of services in Healthcare, Engineering, Aerospace & Defense, Process & Industrial, Life Sciences and Data & Solutions. www.rcmt.com.
The statements contained in this release that are not purely historical are forward-looking statements within the Private Securities Litigation Reform Act of 1995. They are subject to various risks, uncertainties, and other factors that could cause the Company’s actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking statements. These statements often include words such as “may,” “will,” “expect,” “anticipate,” “continue,” “estimate,” “project,” “intend,” “believe,” “plan,” “seek,” “could,” “can,” “should,” “are confident” or similar expressions. In addition, statements that are not historical should also be considered forward-looking statements. These statements are based on assumptions that we have made in light of our experience in the industry, and our perceptions of historical trends, current conditions, expected future developments, and other factors we believe are appropriate in these circumstances. Forward-looking statements include, but are not limited to, those relating to demand for the Company’s services, expectations regarding our future revenues and other financial results, such as cash flows, our pipeline, and potential project wins, and our expectations for investment and growth in our business. Such statements are based on current expectations that involve several known and unknown risks, uncertainties, and other factors, which may cause actual events to be materially different from those expressed or implied by such forward-looking statements. Risk, uncertainties, and other factors may emerge from time to time that could cause the Company’s actual results to differ from those indicated by the forward-looking statements. Investors are directed to consider such risks, uncertainties, and other factors described in documents filed by the Company with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. The Company assumes no obligation (and expressly disclaims any such obligation) to update any forward-looking statements contained in this release as a result of new information or future events or developments, except as may be required by law.
Tables to Follow
| RCM Technologies, Inc. Condensed Consolidated Statements of Operations (Unaudited) (In thousands, except share and per share amounts) | ||||
| Fourteen and Thirteen Weeks Ended | ||||
| January 3, 2026 | December 28, 2024 | |||
| Revenue | ||||
| Cost of services | 62,198 | 55,343 | ||
| Gross profit | 24,278 | 21,569 | ||
| Selling, general and administrative | 15,753 | 16,025 | ||
| Depreciation and amortization of property and equipment | 554 | 407 | ||
| Impairment of intangible assets | - | 547 | ||
| Potential stock issuance and financing transactions | - | 64 | ||
| Remeasurement of contingent consideration | - | (1,759 | ) | |
| Operating income | 7,971 | 6,285 | ||
| Other expense, net | 780 | 516 | ||
| Income before income taxes | 7,191 | 5,769 | ||
| Income tax expense | 1,087 | 2,902 | ||
| Net income | ||||
| Diluted net earnings per share data | ||||
| Diluted weighted average shares outstanding | 7,587,448 | 7,733,142 | ||
| Fifty-Three and Fifty-Two Weeks Ended | ||||
| January 3, 2026 | December 28, 2024 | |||
| Revenue | ||||
| Cost of services | 231,461 | 198,602 | ||
| Gross profit | 87,943 | 79,778 | ||
| Selling, general and administrative | 60,932 | 56,787 | ||
| Depreciation and amortization of property and equipment | 1,918 | 1,419 | ||
| Amortization of acquired intangible assets | - | 136 | ||
| Impairment of intangible assets | - | 547 | ||
| Potential stock issuance and financing transactions | - | 323 | ||
| Remeasurement of contingent consideration | - | (1,759 | ) | |
| Operating income | 25,093 | 22,325 | ||
| Other expense, net | 3,021 | 2,135 | ||
| Income before income taxes | 22,072 | 20,190 | ||
| Income tax expense | 5,738 | 6,863 | ||
| Net income | ||||
| Diluted net earnings per share data | ||||
| Diluted weighted average shares outstanding | 7,635,740 | 7,939,381 | ||
| RCM Technologies, Inc. Supplemental Operating Results on a Non-GAAP Basis (Unaudited) (In thousands) |
The following non-GAAP measures, which adjust for the categories of expenses described below, are non-GAAP financial measures. Our management believes that these non-GAAP financial measures (“Adjusted operating income,” “EBITDA,” “Adjusted EBITDA,” “Adjusted net income” and “Adjusted diluted net earnings per share”) are useful information for investors, shareholders, and other stakeholders of our Company in gauging our results of operations on an ongoing basis and to enhance investors’ overall understanding of our current financial performance and period-to-period comparisons. Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income, and Adjusted diluted net earnings per share should not be considered alternatives to operating income or net income, as the case may be, as an indicator of performance. In addition, Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income, and Adjusted diluted net earnings per share do not take into account changes in certain assets and liabilities and interest and income taxes that can affect cash flows. We do not intend the presentation of these non-GAAP measures to be considered in isolation or as a substitute for results prepared in accordance with GAAP. These non-GAAP measures should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP.
The following unaudited table presents the Company’s GAAP operating income and GAAP net income and the corresponding adjustments used to calculate Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income, and Adjusted diluted net earnings per share for the fourteen and fifty-three weeks ended January 3, 2026, and the thirteen and fifty-two weeks ended December 28, 2024.
| Fourteen and Thirteen Weeks Ended | Fifty-Three and Fifty-Two Weeks Ended | |||||||
| January 3, 2026 | December 28, 2024 | January 3, 2026 | December 28, 2024 | |||||
| GAAP operating income | ||||||||
| Adjustments | ||||||||
| Remeasurement of contingent consideration | - | (1,759 | ) | - | (1,759 | ) | ||
| Equity compensation | 793 | 710 | 3,732 | 2,864 | ||||
| Potential stock issuance and financing transaction | - | 64 | - | 323 | ||||
| Impairment of intangible assets | - | 547 | - | 547 | ||||
| Adjusted operating income (non-GAAP) | ||||||||
| GAAP net income | ||||||||
| Income tax expense | 1,087 | 2,902 | 5,738 | 6,863 | ||||
| Interest expense, net | 784 | 664 | 2,669 | 2,215 | ||||
| Depreciation of property and equipment | 554 | 407 | 1,918 | 1,419 | ||||
| Amortization of acquired intangible assets | - | - | - | 136 | ||||
| EBITDA (non-GAAP) | ||||||||
| Adjustments | ||||||||
| Remeasurement of contingent consideration | - | (1,759 | ) | - | (1,759 | ) | ||
| (Gain) loss on foreign currency transactions | (4 | ) | (148 | ) | 352 | (80 | ) | |
| Equity compensation | 793 | 710 | 3,732 | 2,864 | ||||
| Potential stock issuance and financing transaction | - | 64 | - | 323 | ||||
| Impairment of intangible assets | - | 547 | - | 547 | ||||
| Adjusted EBITDA (non-GAAP) | ||||||||
| RCM Technologies, Inc. Supplemental Operating Results on a Non-GAAP Basis (Continued) (Unaudited) (In thousands, except per share amounts) | ||||||||||||
| Fourteen and Thirteen Weeks Ended | Fifty-Three and Fifty-Two Weeks Ended | |||||||||||
| January 3, 2026 | December 28, 2024 | January 3, 2026 | December 28, 2024 | |||||||||
| GAAP net income | ||||||||||||
| Adjustments | ||||||||||||
| Remeasurement of contingent consideration | - | (1,759 | ) | - | (1,759 | ) | ||||||
| (Gain) loss on foreign currency transactions | (4 | ) | (148 | ) | 352 | (80 | ) | |||||
| Equity compensation | 793 | 710 | 3,732 | 2,864 | ||||||||
| Potential stock issuance and financing transaction | - | 64 | - | 323 | ||||||||
| Impairment of intangible assets | - | 547 | - | 547 | ||||||||
| Tax impact from normalized rate | (1,068 | ) | 1,503 | (1,324 | ) | 900 | ||||||
| Adjusted net income (non-GAAP) | ||||||||||||
| GAAP diluted net earnings per share | ||||||||||||
| Adjustments | ||||||||||||
| Remeasurement of contingent consideration | - | ( | ) | - | ( | ) | ||||||
| (Gain) loss on foreign currency transactions | ( | ) | ( | ) | ( | ) | ||||||
| Equity compensation | ||||||||||||
| Potential stock issuance and financing transaction | - | - | ||||||||||
| Impairment of intangible assets | - | - | ||||||||||
| Tax impact from normalized rate(a) | ( | ) | ( | ) | ( | ) | ||||||
| Adjusted diluted net earnings per share (non-GAAP) | ||||||||||||
| (a) | Amount reflects an adjustment to income tax expense applied to non-GAAP adjusted consolidated taxable income. The Company used an estimated effective income tax rate of |
| RCM Technologies, Inc. Summary of Selected Income Statement Data (Unaudited) (In thousands) | ||||||||||||
| Fourteen Weeks Ended January 3, 2026 | ||||||||||||
| Specialty Health Care | Engineering | Life Sciences, Data and Solutions | Consolidated | |||||||||
| Revenue | ||||||||||||
| Cost of services | 34,067 | 22,608 | 5,523 | 62,198 | ||||||||
| Gross profit | ||||||||||||
| Gross profit margin | 29.0 | % | 25.6 | % | 31.6 | % | 28.1 | % | ||||
| Thirteen Weeks Ended December 28, 2024 | ||||||||||||
| Specialty Health Care | Engineering | Life Sciences, Data and Solutions | Consolidated | |||||||||
| Revenue | ||||||||||||
| Cost of services | 28,474 | 21,098 | 5,771 | 55,343 | ||||||||
| Gross profit | ||||||||||||
| Gross profit margin | 30.6 | % | 19.7 | % | 40.0 | % | 28.0 | % | ||||
| Fifty-Three Weeks Ended January 3, 2026 | ||||||||||||
| Specialty Health Care | Engineering | Life Sciences, Data and Solutions | Consolidated | |||||||||
| Revenue | ||||||||||||
| Cost of services | 116,702 | 93,104 | 21,655 | 231,461 | ||||||||
| Gross profit | ||||||||||||
| Gross profit margin | 28.9 | % | 22.7 | % | 37.8 | % | 27.5 | % | ||||
| Fifty-Two Weeks Ended December 28, 2024 | ||||||||||||
| Specialty Health Care | Engineering | Life Sciences, Data and Solutions | Consolidated | |||||||||
| Revenue | ||||||||||||
| Cost of services | 100,146 | 73,916 | 24,540 | 198,602 | ||||||||
| Gross profit | ||||||||||||
| Gross profit margin | 29.8 | % | 23.4 | % | 37.5 | % | 28.7 | % | ||||
| RCM Technologies, Inc. Consolidated Balance Sheets (Unaudited) (In thousands, except share amounts) | ||||||
| January 3, | December 28, | |||||
| 2026 | 2024 | |||||
| Current assets: | ||||||
| Cash and cash equivalents | ||||||
| Accounts receivable, net of provision for credit losses of | 81,243 | 77,960 | ||||
| Transit accounts receivable | 8,017 | 7,315 | ||||
| Prepaid expenses and other current assets | 7,704 | 7,034 | ||||
| Total current assets | 99,886 | 97,038 | ||||
| Property and equipment, net | 7,265 | 7,368 | ||||
| Other assets: | ||||||
| Deposits | 261 | 230 | ||||
| Deferred tax assets, foreign | 6 | 120 | ||||
| Goodwill | 22,147 | 22,147 | ||||
| Operating right of use asset | 4,832 | 5,174 | ||||
| Total other assets | 27,246 | 27,671 | ||||
| Total assets | ||||||
| Current liabilities: | ||||
| Accounts payable and accrued expenses | ||||
| Transit accounts payable | 16,247 | 23,870 | ||
| Accrued payroll and related costs | 10,784 | 9,929 | ||
| Finance lease payable | 843 | 698 | ||
| Income taxes payable | 391 | 346 | ||
| Operating right of use liability | 1,209 | 1,046 | ||
| Contingent consideration from acquisitions | - | 212 | ||
| Deferred revenue | 14,761 | 4,163 | ||
| Total current liabilities | 53,884 | 53,633 | ||
| Deferred income taxes, net, domestic | 5,673 | 4,526 | ||
| Finance lease payable, net of current position | 380 | 1,112 | ||
| Operating right of use liability, net of current position | 3,813 | 4,355 | ||
| Borrowings under line of credit | 24,673 | 34,967 | ||
| Total liabilities | 88,423 | 98,593 | ||
| Contingencies (note 16) and Commitments (note 18) | ||||
| Stockholders’ equity: | ||||
| Preferred stock, | ||||
| no shares issued or outstanding | - | - | ||
| Common stock, | ||||
| 18,004,241 shares issued and 7,351,400 shares outstanding at January 3, 2026 and 17,838,372 shares issued and 7,602,113 shares outstanding at December 28, 2024 | 900 | 890 | ||
| Additional paid-in capital | 122,244 | 118,845 | ||
| Accumulated other comprehensive loss | (2,814 | ) | (2,920 | ) |
| Accumulated deficit | 10,396 | (5,938 | ) | |
| Treasury stock, 10,652,841 shares at January 3, 2026 and 10,236,259 shares at December 28, 2024 | (84,752 | ) | (77,393 | ) |
| Stockholders’ equity | 45,974 | 33,484 | ||
| Total liabilities and stockholders’ equity |
| RCM Technologies, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) (In thousands) | ||||
| Fourteen and Thirteen Weeks Ended | ||||
| January 3, 2026 | December 28, 2024 | |||
| Net income | ||||
| Adjustments to reconcile net income to cash used in operating activities | 3,911 | 2,693 | ||
| Changes in operating assets and liabilities: | ||||
| Accounts receivable | 1,097 | (2,064 | ) | |
| Prepaid expenses and other current assets | (3,541 | ) | (1,917 | ) |
| Net of transit accounts receivable and payable | 1,005 | (5,345 | ) | |
| Accounts payable and accrued expenses | (3,415 | ) | 1,861 | |
| Accrued payroll and related costs | (2,012 | ) | (1,698 | ) |
| Operating lease liabilities | (396 | ) | (280 | ) |
| Income taxes payable | 144 | 140 | ||
| Deferred revenue | 8,530 | 2,121 | ||
| Deposits | 18 | (15 | ) | |
| Total adjustments | 5,341 | (4,504 | ) | |
| Net cash provided by (used in) operating activities | ( | ) | ||
| Net cash used in investing activities | (197 | ) | (983 | ) |
| Net cash (used in) provided by financing activities | (9,567 | ) | 4,307 | |
| Effect of exchange rate changes on cash and cash equivalents | (68 | ) | (114 | ) |
| Increase in cash and cash equivalents | ||||
| Fifty-Three and Fifty-Two Weeks Ended | ||||||
| January 3, 2026 | December 28, 2024 | |||||
| Net income | ||||||
| Adjustments to reconcile net income to cash used in operating activities | 8,991 | 6,893 | ||||
| Changes in operating assets and liabilities: | ||||||
| Accounts receivable | (4,152 | ) | (7,271 | ) | ||
| Prepaid expenses and other current assets | (676 | ) | (2,392 | ) | ||
| Net of transit accounts receivable and payable | (8,325 | ) | (5,656 | ) | ||
| Accounts payable and accrued expenses | (3,484 | ) | 1,101 | |||
| Accrued payroll and related costs | 848 | (1,265 | ) | |||
| Operating lease liabilities | (1,205 | ) | (966 | ) | ||
| Income taxes payable | 36 | 34 | ||||
| Deferred revenue | 10,628 | 2,282 | ||||
| Deposits | (30 | ) | 83 | |||
| Total adjustments | 2,631 | (7,157 | ) | |||
| Net cash provided by operating activities | 18,965 | 6,170 | ||||
| Net cash used in investing activities | (1,595 | ) | (2,572 | ) | ||
| Net cash used in financing activities | (19,038 | ) | (4,828 | ) | ||
| Effect of exchange rate changes on cash and cash equivalents | (139 | ) | (325 | ) | ||
| Decrease in cash and cash equivalents | ( | ) | ( | ) | ||
| RCM Technologies, Inc. | Tel: 856.356.4500 | Corporate Contacts: |
| 2500 McClellan Avenue | info@rcmt.com | Bradley S. Vizi |
| Pennsauken, NJ 08109 | www.rcmt.com | Executive Chairman |
| Kevin D. Miller | ||
| Chief Financial Officer |
