Financial Data and Key Metrics Changes - The company reported record revenue of $7,500,000 for Q1 2025, up from $5,900,000 in Q1 2024, representing a year-over-year increase of approximately 27% [5][7][12] - Gross profit for the quarter was $1,200,000, or about 16.4% of sales, compared to $900,000 or 15.3% of sales in the previous year [8][9] - The company achieved an operating profit of approximately $130,000, a significant improvement from an operating loss of around $260,000 in the prior year [10][11] Business Line Data and Key Metrics Changes - Revenue growth was driven by strong demand for core products, particularly Altic and Traumatic Pactane, despite no sales from Hybri Tech Armor in the current quarter [6][13] - The company has seen increased production output and a strong order backlog, contributing to higher capacity utilization [8][12] Market Data and Key Metrics Changes - Demand for MMC products has returned to strong levels post-COVID, with new opportunities emerging in wind farms and electric power applications [14][15] - The company is exploring significant future growth opportunities in markets such as aerospace and military applications, particularly with fiber reinforced aluminum [17][21] Company Strategy and Development Direction - The company is focused on enhancing profitability through higher asset utilization and improved operating efficiencies [14][23] - Ongoing product development initiatives include six active externally funded research programs, with a focus on hybrid tech and radiation shielding solutions [16][21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about continued revenue growth and margin improvement, supported by a strong demand for products and new market opportunities [6][23] - The company is prepared for its best year ever, with production levels and shipments at record highs [23] Other Important Information - The company ended the quarter with $1,900,000 in cash and $1,000,000 in marketable securities, down from $3,300,000 in cash at the start of 2025 [11] - The company is actively monitoring the tariff environment and its potential impact on raw material costs, noting that materials do not constitute a large percentage of finished products [35][36] Q&A Session Summary Question: Potential for partnerships to market unique technologies - The company has established relationships with partners in hermetic packaging and is exploring further opportunities as commercialization approaches [26][27] Question: Status of radioactive shielding opportunities - The company is receiving market interest for its radiation shielding solutions, particularly for modular walls and lightweight barriers [28][29] Question: Other potential armor opportunities - The company is pursuing additional opportunities, including a phase one army solution for military helicopter flooring [31][32] Question: Current tariff environment impact - The company noted that raw materials like aluminum do not significantly impact overall costs, and they are monitoring supply chain adjustments [34][35][38] Question: Profit margin concerns - Management acknowledged that yield issues from adding a third shift affected margins but are focused on improving these metrics moving forward [40][41][50] Question: Market share and growth attribution - The company believes it is gaining market share and new customers while benefiting from overall market growth in electrical grid expansion and wind farm developments [54][58]

Core Insights - CPS Technologies Corporation reported record revenue of $7.5 million for the first quarter of fiscal 2025, a significant increase from $5.9 million in the same period of 2024, indicating strong demand and operational improvements [4][8] - The company achieved a gross profit of $1.2 million, representing a gross margin of 16.4%, up from 15.3% in the prior year, reflecting enhanced production efficiencies [4][8] - CPS returned to profitability with a net income of $0.1 million, or $0.01 per diluted share, compared to a net loss of $(0.1) million, or $(0.01) per share, in the first quarter of 2024 [5][8] Financial Performance - Revenue for the first quarter of fiscal 2025 was $7.5 million, a 27.1% increase from $5.9 million in the first quarter of fiscal 2024 [4][11] - Gross profit increased to $1.2 million, with a gross margin of 16.4%, compared to $0.9 million and a gross margin of 15.3% in the previous year [4][11] - Operating profit was $0.1 million for the quarter, a turnaround from an operating loss of $(0.3) million in the prior-year period [5][11] Strategic Outlook - The company is focusing on further margin improvement and expanding its target markets, which is expected to strengthen its outlook for fiscal 2025 [3][4] - CPS has initiated three new Phase I Army SBIR contracts during the quarter, contributing to its growth strategy [8] - The management emphasizes the importance of investing in future product lines to meet customer requirements, which is beginning to yield positive results [3][4]

Shares of CPS Technologies Corporation (CPSH) have been unchanged since reporting results for the fourth quarter of 2024. This compares to the S&P 500 index’s 0.7% growth over the same time frame. In the past month, the stock has lost 11.6% compared with the S&P 500’s 8.3% decline.Financial PerformanceCPS Technologies reported a fourth-quarter 2024 loss per diluted share of 7 cents, falling 800% from earnings of 1 cent per diluted share in the prior-year quarter.The company reported total quarterly revenues ...

3 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the fiscal year ended December 28, 2024 or ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934, for the transition period from to Commission file number: 0-16088 CPS TECHNOLOGIES CORP. (Exact Name of Registrant as Specified in its Charter) Delaware (State or Other Jurisdiction of Incorp ...

Financial Performance - Revenue for the fourth quarter of 2024 was $5.9 million, a decrease from $6.7 million in the prior-year period, primarily due to the completion of the HybridTech Armor® contract[5] - Gross loss for the fourth quarter was $0.3 million, representing a gross margin of (4.6)%, compared to a gross profit of $1.1 million and a margin of 17.0% in the same quarter of fiscal 2023[5] - Operating loss for the fourth quarter was $1.3 million, compared to an operating profit of $0.1 million in the prior-year period[7] - The company reported a net loss of $1.0 million, or $(0.07) per diluted share, compared to net income of $0.2 million, or $0.01 per diluted share, in the quarter ended December 30, 2023[7] Revenue Growth - Revenue increased by 40% sequentially from the third quarter of 2024, attributed to the addition of a third shift and increased production capacity[4] Contracts and Sales - The company secured three Phase I SBIR contracts from the U.S. Army, each valued at $250,000, raising the total number of externally funded programs to six[6] - CPS announced its first commercial sale of radiation shielding, marking a significant expansion of its product offerings[6] - The ongoing $13.3 million power module contract supports the company's positive outlook for 2025[4] Assets and Equity - Total current assets decreased to $14.2 million as of December 28, 2024, down from $18.1 million a year earlier[15] - Total stockholders' equity decreased to $14.5 million as of December 28, 2024, compared to $17.3 million at the end of the previous year[15]

Financial Data and Key Metrics Changes - The company's revenue for Q4 2024 was $5.9 million, down from $6.7 million in the same quarter last year, primarily due to the fulfillment of a U.S. Navy armor contract [10][11] - The operating loss for Q4 was approximately $1.3 million, compared to an operating income of about $0.1 million in Q4 2023 [16] - A net loss of $1 million or $0.07 per share was reported, contrasting with a net income of $0.2 million or $0.01 per diluted share in Q4 of fiscal 2023 [17] - The gross loss in Q4 was $0.3 million, representing approximately negative 4.6% of sales, compared to a gross profit of $1.1 million or 17% of sales last year [14] Business Line Data and Key Metrics Changes - Sales declined year-over-year due to the completion of the armor contract, but there was a significant sequential increase of 40% in revenue from Q3 2024 due to increased customer shipments [6][21] - The company is fulfilling a $13.3 million contract with a semiconductor manufacturer for power module components, which is expected to continue through September 2025 [23] - Continued strong demand for power module components and related solutions from both new and existing customers was noted [12] Market Data and Key Metrics Changes - The company is experiencing strong demand for its metal matrix composites and hermetic packaging applications, particularly in high-speed rail, wind turbines, and electric vehicle applications [24][39] - The company is actively seeking new customers in the aerospace industry for its fiber reinforced aluminum (FRA) products [39] Company Strategy and Development Direction - The company aims to expand its product offerings and target new applications in key markets with demanding technical requirements [25] - Plans to add new product lines leveraging proprietary technology, including aluminum infiltrated products, were discussed [27] - The company is optimistic about securing additional armor orders for Navy vessels in fiscal 2025, despite current budget challenges [40] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about a turnaround from Q3 results, with expectations for improved financial performance and operational execution in 2025 [21][38] - The company anticipates improving gross margins and bottom-line results as production volumes increase and one-time expenses are behind them [38] - Management highlighted the importance of ongoing strong customer demand and expanded manufacturing capabilities for future growth [41] Other Important Information - The company has transitioned to a new auditing firm, PKF O'Connor Davies, for its 2024 audit [9][19] - The company reported a significant increase in cash and marketable securities, ending the year with $3.3 million in cash and $1 million in marketable securities, compared to $8.8 million in cash at the start of 2024 [17] Q&A Session Summary Question: What is the market size for radiation shielding in the trucking business? - Management indicated that the market is still in development, with early interest from various applications beyond trucking, including facility management and aerospace [44][48] Question: What kind of revenues might be expected in the next year or two for those applications? - Management stated it is difficult to quantify revenues at this stage due to the diverse markets and the need for certification as a supplier [49][50] Question: Will the company manufacture munitions rounds if accepted by the army? - Management explained that the SBIR funding allows for potential sole source provision if the company can meet the army's needs through the development process [53][56] Question: What is the timeline for the munitions development process? - The SBIR program has a 6-month Phase-1, followed by a potential 24-month Phase-2, depending on the progress made [58][60] Question: What is the status of the Southeast Asian Armor contract? - Management confirmed that development work is ongoing to restore potential for the armor contract, but a timeline for further testing is not currently available [104][106]

Financial Data and Key Metrics Changes - The company's revenue for Q4 2024 was $5.9 million, down from $6.7 million in the same quarter last year, primarily due to the fulfillment of a U.S. Navy armor contract [10][11] - The operating loss for Q4 was approximately $1.3 million compared to an operating income of $0.1 million in Q4 2023 [16] - A net loss of $1 million or $0.07 per share was reported, contrasting with a net income of $0.2 million or $0.01 per diluted share in Q4 2023 [17] Business Line Data and Key Metrics Changes - The company experienced a significant sequential revenue increase of 40% from Q3 2024, attributed to increased customer shipments as production capacity expanded [7][21] - A gross loss of $0.3 million was reported, representing approximately negative 4.6% of sales, compared to a gross profit of $1.1 million or 17% of sales last year [14] - Selling, general, and administrative expenses remained stable at $1.0 million in Q4, similar to the previous year [15] Market Data and Key Metrics Changes - The company is fulfilling a $13.3 million contract with a semiconductor manufacturer for power module components, indicating strong demand in key markets such as high-speed rail, wind turbines, and electric vehicles [23][24] - Continued strong demand for metal matrix composites and hermetic packaging applications was noted, with expectations for further development in the aerospace industry [39] Company Strategy and Development Direction - The company aims to expand its product offerings and target new applications in key markets with demanding technical requirements [25] - Plans to add new product lines leveraging proprietary technology, including aluminum infiltrated products and radiation shielding, were discussed [27][30] - The company is optimistic about securing additional armor orders for naval vessels in fiscal 2025, despite current budget challenges [40] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about a turnaround from Q3 results, with expectations for improved financial performance and operational execution in 2025 [38] - The company anticipates that as production operators gain experience, gross margins and bottom-line results will improve throughout the year [38][41] - Management highlighted the importance of ongoing strong customer demand and expanded manufacturing capabilities as key drivers for growth [41] Other Important Information - The company has transitioned to a new auditing firm, PKF O'Connor Davies, for its 2024 audit [9][19] - The company ended the year with $3.3 million in cash and $1 million in marketable securities, down from $8.8 million in cash at the start of 2024 [17][18] Q&A Session Summary Question: What is the market size for radiation shielding in the trucking business? - Management indicated that the market is still in development, with early interest for applications beyond trucking, including facility management and aerospace [46][48] Question: What kind of revenues might be expected for radiation shielding applications in the next year or two? - Management stated it is difficult to quantify revenues at this stage due to the diverse and sizable markets involved [50] Question: Will the company manufacture munitions rounds if accepted by the army? - Management explained that the process involves proving concepts and potentially transitioning to commercial production if validated by the army [55] Question: What is the timeline for the munitions development process? - The SBIR program has a 6-month Phase-1, followed by a potential 24-month Phase-2 for prototype delivery [60] Question: How is manufacturing performing currently? - Management reported that manufacturing is much improved compared to previous quarters [95] Question: What are the expectations for gross margins moving forward? - Management aims for gross margins of 15% to 20% as operational efficiencies improve [97]

Core Viewpoint - CPS Technologies Corporation is experiencing significant growth and is optimistic about its future, particularly for 2025, driven by new product developments and increased production capacity [3][4]. Financial Performance - Revenue for the fourth quarter of fiscal 2024 was $5.9 million, a decrease from $6.7 million in the prior-year period, primarily due to the conclusion of the HybridTech Armor contract with Kinetic Protection for the U.S. Navy [5][8]. - The company reported a gross loss of $0.3 million, or (4.6) percent of revenue, compared to a gross profit of $1.1 million, or 17.0 percent of revenue, in the same quarter of fiscal 2023 [5]. - Operating loss for the fourth quarter was $1.3 million, contrasting with an operating profit of $0.1 million in the prior-year period [6]. - The net loss was $1.0 million, or $(0.07) per diluted share, compared to net income of $0.2 million, or $0.01 per diluted share, in the quarter ended December 30, 2023 [6][13]. Operational Developments - The company has initiated a third shift of operations, which contributed to a 40% sequential revenue increase from the third quarter of fiscal 2024 [4]. - CPS has secured its first commercial order for radiation shielding and received Army SBIR funding to support Fiber Reinforced Aluminum (FRA), expanding its product portfolio into new markets [3][8]. - The company announced three Phase I SBIR contracts, each valued at $250,000, funded by the U.S. Army, focusing on advanced artillery challenges and enhancing military vehicle fuel efficiency [8]. Outlook - The company is positioning itself for stronger results in 2025, supported by increased demand for core products, including a $13.3 million power module contract [4]. - CPS is optimistic about returning to profitability as revenue continues to rise and operations improve [4].

Core Insights - CPS Technologies Corp. has been awarded a Phase I Small Business Innovation Research (SBIR) contract by the U.S. Army, marking its third contract in 2025, aimed at advancing the Army's Hybrid Electric Powertrain, Power, and Propulsion Systems (HEPPS) initiative [1][2] - The contract provides CPS Technologies with $250,000 in funding for a six-month research effort focused on developing fiber-reinforced aluminum (FRA) components for military vehicles [2] - FRA is expected to significantly reduce wear in hybrid electric systems, extending their lifespan while improving fuel economy and overall system performance [3][4] Company Overview - CPS Technologies is a leader in producing high-performance materials solutions, addressing critical needs in various applications including electric vehicles, wind turbines, and military applications [6] - The company became the exclusive global licensor of FRA technology in March 2024, which is designed for lightweight and wear-resistant applications [4] - CPS is committed to innovation and supporting customers in the transition to clean energy [6] Strategic Partnerships - The partnership with Triton Systems has positioned CPS Technologies to advance FRA technology for military applications, with both companies expressing excitement about the momentum towards market applications [5] - Triton Systems has a history of creating commercial products and independent spin-offs, contributing over $2 billion in shareholder value across its portfolio [7]

Group 1 - CPS Technologies Corp. will hold its fourth quarter 2024 investor conference call on March 13, 2025, at 9:00 A.M. Eastern Time, which is a change from the previously announced date [1] - The call will feature discussions on the company's financial results for the quarter and the year ended December 28, 2024, led by President and CEO Brian Mackey and CFO Chuck Griffith [1] Group 2 - CPS is a leader in technology and manufacturing, focusing on high-performance energy management components that support the electrification of the economy [2] - The company's products are integral to various applications, including electric trains, wind turbines, hybrid and electric vehicles, smart electric grids, and 5G infrastructure [2] - CPS also produces hermetic packages for aerospace and satellite applications, as well as armor products that offer ballistic protection and environmental durability at a lightweight [2]