SCI Engineered Materials, Inc. Reports 2025 First Quarter Results
Rhea-AI Summary
Positive
- Strong cash position with $7.3 million in cash and $3 million in marketable securities
- Zero debt on balance sheet
- Introduction of new indium tin oxide product
- Increased interest in domestic manufacturing capabilities
- 9% increase in cash and marketable securities from December 2024
- Reduced operating expenses by 3%
Negative
- Revenue declined 58% year-over-year to $3.5 million
- Net income decreased 43% to $309,717
- Gross profit fell 24% to $1.07 million
- EPS dropped from $0.12 to $0.07
- Higher G&A expenses due to additional staff and increased costs
News Market Reaction
On the day this news was published, SCIA declined 5.24%, reflecting a notable negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
COLUMBUS, OH / ACCESS Newswire / May 2, 2025 / SCI Engineered Materials, Inc. ("SCI" or "Company") (OTCQB:SCIA), today reported financial results for the three months ended March 31, 2025.
Jeremy Young, President and Chief Executive Officer, commented "We continued to adapt to fast-changing market conditions throughout the first three months of 2025. Our initiatives included actively managing costs and operating expenses, maintaining greater contact with client companies, adding new customers, and pursuing opportunities to increase the Company's revenue.
There were positive developments during the first quarter of 2025 that should benefit SCI's future performance. Our ongoing commitment to leveraging R&D activities led to the introduction of an indium tin oxide product, which is innovative and desired by current and potential customers seeking an alternative to current materials. Additionally, interest in the Company's capabilities to domestically manufacture products and/or provide specialized bonding services is growing and has accelerated following the announcement of global tariffs last month."
Revenue
Revenue for the three months ended March 31, 2025, was
Gross profit
Gross profit was
Operating expenses
The Company's operating expenses decreased
Net interest income
Net interest income increased
Income taxes
Income tax expense decreased
Net income
Net income was
Cash and cash equivalents
Cash and cash equivalents were
Debt outstanding
Total debt outstanding was
About SCI Engineered Materials, Inc.
SCI Engineered Materials is a global supplier and manufacturer of advanced materials for PVD thin film applications and works closely with end users and OEMs to develop innovative, customized solutions. Additional information is available at www.sciengineeredmaterials.com or follow SCI Engineered Materials, Inc. at:
https://www.linkedin.com/company/sci-engineered-materials.-inc
https://www.facebook.com/sciengineeredmaterials/
This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Those statements include, but are not limited to, all statements regarding intent, beliefs, expectations, projections, customer guidance, forecasts, plans of the Company and its management. These forward-looking statements involve numerous risks and uncertainties, including without limitation, other risks and uncertainties detailed from time to time in the Company's Securities and Exchange Commission filings, including the Company's Annual Report on Form 10-K for the year ended December 31, 2024. One or more of these factors has affected and could affect the Company's projections in the future. Therefore, there can be no assurances that the forward-looking statements included in this press release will prove to be accurate. Due to the significant uncertainties in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company, or any other persons, that the objectives and plans of the Company will be achieved. All forward-looking statements made in this press release are based on information presently available to the management of the Company. The Company assumes no obligation to update any forward-looking statements.
Contact: Robert Lentz
614-439-6006
SCI ENGINEERED MATERIALS, INC.
BALANCE SHEETS
ASSETS
MARCH 31, | DECEMBER 31, | |||||||
2025 | 2024 | |||||||
(UNAUDITED) | ||||||||
Current Assets | ||||||||
Cash and cash equivalents | $ | 7,353,420 | $ | 6,753,403 | ||||
Investments - marketable securities, short term | 509,478 | 509,478 | ||||||
Accounts receivable, less allowance for doubtful acccounts | 698,668 | 775,288 | ||||||
Inventories | 1,191,064 | 1,432,914 | ||||||
Prepaid purchase orders and expenses | 143,022 | 238,834 | ||||||
Total current assets | 9,895,652 | 9,709,917 | ||||||
Property and Equipment, at cost | 9,974,822 | 9,904,028 | ||||||
Less accumulated depreciation | (7,723,048 | ) | (7,632,946 | ) | ||||
Property and equipment, net | 2,251,774 | 2,271,082 | ||||||
Investments, net - marketable securities, long term | 2,499,000 | 2,249,000 | ||||||
Right of use asset, net | 1,195,470 | 1,236,572 | ||||||
Other assets | 65,160 | 66,394 | ||||||
Total other assets | 3,759,630 | 3,551,966 | ||||||
TOTAL ASSETS | $ | 15,907,056 | $ | 15,532,965 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
Current Liabilities | ||||||||
Operating lease, short term | $ | 184,183 | $ | 174,863 | ||||
Accounts payable | 458,277 | 419,209 | ||||||
Customer deposits | 538,035 | 337,873 | ||||||
Accrued expenses | 314,366 | 532,260 | ||||||
Total current liabilities | 1,494,861 | 1,464,205 | ||||||
Deferred tax liability | 205,789 | 121,649 | ||||||
Operating lease, long term | 1,011,287 | 1,061,709 | ||||||
Total liabilities | 2,711,937 | 2,647,563 | ||||||
Total Shareholders' Equity | 13,195,119 | 12,885,402 | ||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 15,907,056 | $ | 15,532,965 | ||||
SCI ENGINEERED MATERIALS, INC.
STATEMENTS OF INCOME
(UNAUDITED)
THREE MONTHS ENDED MARCH 31, | ||||||||
2025 | 2024 | |||||||
Revenue | $ | 3,500,232 | $ | 8,403,095 | ||||
Cost of revenue | 2,427,418 | 6,987,979 | ||||||
Gross profit | 1,072,814 | 1,415,116 | ||||||
General and administrative expense | 547,821 | 482,261 | ||||||
Research and development expense | 102,267 | 185,235 | ||||||
Marketing and sales expense | 120,187 | 129,352 | ||||||
Income from operations | 302,539 | 618,268 | ||||||
Interest income, net | 98,130 | 87,056 | ||||||
Income before provision for income taxes | 400,669 | 705,324 | ||||||
Income tax expense | 90,952 | 160,000 | ||||||
NET INCOME | $ | 309,717 | $ | 545,324 | ||||
Earnings per share - basic and diluted | ||||||||
Income per common share | ||||||||
Basic | $ | 0.07 | $ | 0.12 | ||||
Diluted | $ | 0.07 | $ | 0.12 | ||||
Weighted average shares outstanding | ||||||||
Basic | 4,568,127 | 4,534,801 | ||||||
Diluted | 4,572,491 | 4,567,707 | ||||||
SCI ENGINEERED MATERIALS, INC.
CONDENSED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 2025 AND 2024
(UNAUDITED)
2025 | 2024 | |||||||
CASH PROVIDED BY (USED IN): | ||||||||
Operating activities | $ | 933,353 | $ | (11,694 | ) | |||
Investing activities | (333,336 | ) | (176,534 | ) | ||||
Financing activities | - | (20,439 | ) | |||||
NET INCREASE (DECREASE) IN CASH | 600,017 | (208,667 | ) | |||||
CASH - Beginning of period | 6,753,403 | 5,673,994 | ||||||
CASH - End of period | $ | 7,353,420 | $ | 5,465,327 | ||||
SOURCE: SCI Engineered Materials, Inc.
View the original press release on ACCESS Newswire
FAQ
What was SCIA's revenue and earnings per share in Q1 2025?
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