Core Points - CPS Technologies Corp. announced a public offering of 3,000,000 shares of common stock at a price of $3.00 per share, aiming for gross proceeds of approximately $9.0 million before expenses [1][2] - The net proceeds will be used for general corporate purposes, including working capital, capital expenditures, and repayment of existing debt [1] - Roth Capital Partners is the sole book-running manager for the offering, which is expected to close on or about October 8, 2025, subject to customary conditions [2] Company Overview - CPS Technologies Corp. specializes in high-performance material solutions for various applications, including electric vehicles, wind turbines, and military ships [5] - The company focuses on innovation and aims to support the transition to clean energy through its advanced materials [5] - CPS's products are utilized in critical sectors such as aerospace, 5G infrastructure, and ballistic protection [5]

Core Viewpoint - CPS Technologies Corp. plans to offer shares of its common stock in an underwritten public offering, with a potential 45-day option for underwriters to purchase an additional 15% of the shares offered [1][2]. Company Overview - CPS Technologies Corp. is a leader in technology and manufacturing, focusing on high-performance material solutions for various applications, including electric trains, wind turbines, hybrid and electric vehicles, Navy ships, and 5G infrastructure [5]. - The company aims to pioneer the next generation of high-performance materials and address significant engineering challenges, particularly in the transition to clean energy [5]. Offering Details - Roth Capital Partners is the sole book-running manager for the offering, and a shelf registration statement was filed with the SEC on September 20, 2024, and declared effective on October 17, 2024 [2]. - A preliminary prospectus supplement and accompanying prospectus will be filed with the SEC, and copies will be available through Roth Capital Partners or the SEC's website [3].

Core Insights - CPS Technologies Corp. has secured a Phase II Small Business Technology Transfer contract worth $1.15 million from the U.S. Army, focusing on the development of a controlled fragmentation tungsten warhead [1] - The contract signifies a continuation of successful work from a previous Phase I program, led by Dr. Mark Occhionero, utilizing CPSH's proprietary injection molding process for tungsten components [2] - The partnership with the New Mexico Institute of Mining and Technology's Energetic Materials Research and Testing Center will enhance research efforts and technical foundation [3] Strategic Developments - This contract marks CPSH's fifth federally funded project in 2025 and the third successful transition from Phase I to Phase II since June 2024, indicating the company's growing reputation in U.S. defense initiatives [4] - The contract highlights the long-term value of CPSH's manufacturing capabilities, diversifying revenue streams beyond electric vehicles, Navy ships, 5G infrastructure, aerospace, and ballistic armor products [5] - Success in securing government contracts positions CPSH for sustained growth and strengthens its competitive edge, validating its technological advantages [6] Financial Performance - CPSH reported record revenues of $8.1 million in Q2 2025, a 61% increase from the same quarter last year, alongside a net income of $100,000, a significant recovery from a $900,000 net loss in Q2 2024 [7] - Management anticipates 2025 to be the best revenue year on record, driven by strong demand and operational efficiency improvements, with a 4-6 month visibility on orders [8] Future Outlook - The dual strategy of securing high-value defense contracts and achieving record financial performance indicates a transformative year ahead for CPS Technologies [9] - Management's confidence suggests that 2025 may represent a pivotal shift for CPSH from a niche material supplier to a key player in defense and technology partnerships [10]

Core Insights - CPS Technologies Corp. has been awarded a Phase I Small Business Innovation Research (SBIR) contract from the U.S. Department of Energy, valued at approximately $125,000, marking its sixth federally funded research award of 2025 and the first contract with the DOE this year [1][2][3] Group 1: Contract Details - The project aims to develop a high-performance, sustainable impact limiter to enhance the safety of transporting spent nuclear fuel and high-level radioactive waste [2] - The contract has a performance period extending until April 2026 [1] Group 2: Company Leadership and Innovation - The award highlights CPS's capability to translate expertise in materials science into practical technologies, reinforcing its relationship with the DOE [3] - CPS is committed to innovation in high-performance materials solutions across various sectors, including clean energy [4]

Core Insights - CPS Technologies Corp. has been awarded a Phase II Small Business Technology Transfer (STTR) contract by the U.S. Army Combat Capabilities Development Command, with funding of $1.15 million to develop a controlled fragmentation tungsten warhead, focusing initially on a 40mm variant [1][3] - This contract represents the company's fifth federally funded project in 2025 and its third successful transition from Phase I to Phase II since June 2024 [1] Company Overview - CPS Technologies specializes in high-performance material solutions across various applications, including electric trains, wind turbines, hybrid vehicles, Navy ships, and 5G infrastructure [4] - The company is committed to innovation and aims to pioneer the next generation of high-performance materials to address complex engineering challenges [4] Project Details - Dr. Mark Occhionero will continue as the principal investigator for the project, leveraging CPS's proprietary injection molding process to produce detailed tungsten features, which is a cost-effective alternative to traditional machining [2][3] - The New Mexico Institute of Mining and Technology's Energetic Materials Research and Testing Center will serve as a subcontractor during Phase II, enhancing the project's research and testing capabilities [3]

Core Insights - CPS Technologies Corporation (CPSH) has experienced a significant stock price increase of 19.5% following the release of its second-quarter 2025 results, outperforming the S&P 500's 1.4% growth during the same period [1] - The company reported record revenues of $8.1 million for the quarter, a 61% increase from $5 million in the same quarter last year, indicating strong revenue growth [2] - CPSH achieved a net income of $0.1 million, or 1 cent per diluted share, compared to a net loss of $0.9 million, or 7 cents per share, in the prior-year period, marking a significant turnaround [3] Revenue & EPS Performance - For the quarter ended June 28, 2025, CPSH's revenues reached $8.1 million, a record high, reflecting a 61% increase from the previous year's $5 million [2] - Year-to-date revenues were reported at $15.6 million, a 42% increase from $10.9 million in the first half of 2024 [3] - The gross profit improved to $1.3 million, representing 16.5% of sales, compared to a gross loss of $0.2 million (-5% margin) in the previous year [2] Other Key Business Metrics - Operating profit was recorded at $0.1 million, a notable improvement from the $1.3 million operating loss in the same quarter of 2024 [4] - Selling, general and administrative (SG&A) expenses increased slightly to $1.2 million from $1.1 million a year earlier, attributed to higher commissions and variable compensation [4] - The balance sheet showed $2.4 million in cash and $1 million in marketable securities, down from $3.3 million and $1 million, respectively, at the end of 2024 [5] Management Commentary - CEO Brian Mackey noted that the second quarter of 2025 marked the company's second consecutive profitable quarter, with an 8% sequential growth from the first quarter [6] - Management emphasized strong demand across core product lines and progress in commercializing new materials, alongside a focus on improving bottom-line performance [6] Factors Influencing Results - The company benefited from increased production capacity after adding a third production shift in late 2024, which helped meet growing demand [7] - CPSH secured additional funding under the federal Small Business Innovation Research (SBIR) program, contributing to revenue growth [7] - Improved production yields compared to the previous year positively impacted margins [7] Cost Considerations - Inflationary pressures and tariffs have affected input pricing, with domestic suppliers raising prices due to tariffs on foreign competitors [8] - Despite these challenges, CPSH has managed to pass most cost increases onto customers [8] Guidance - Management expressed confidence that 2025 will be the best revenue year ever, anticipating strong revenue momentum and improved profitability in the second half [9] - CEO Mackey indicated a 4-6 month visibility window on orders, highlighting continued robust demand across customer categories [9] Other Developments - CPSH announced its fourth SBIR contract of 2025, focused on reducing the weight of the Amphibious Combat Vehicle for the U.S. Marine Corps, valued initially at $140,000 with a potential $100,000 extension [10] - The company received its first purchase order for its AlMax fiber-reinforced aluminum composite, showcasing its innovation in materials [11] - CPSH filed a non-provisional patent application related to radiation shielding materials, expanding its innovation pipeline [11] Summary - CPS Technologies delivered record revenues and returned to profitability in the second quarter of 2025, with significant year-over-year improvements across revenues, margins, and earnings [12] - Despite challenges from tariffs and input costs, strong demand trends, a growing defense contract portfolio, and promising new product commercialization have bolstered investor sentiment [12]

Core Insights - Consumer Portfolio Services, Inc. reported earnings of $4.8 million, or $0.20 per diluted share, for Q2 2025, reflecting an increase from $4.7 million, or $0.19 per diluted share, in Q2 2024 [1][2] Financial Performance - Revenues for Q2 2025 were $109.8 million, up $13.9 million, or 14.5%, from $95.9 million in Q2 2024 [2][10] - Total operating expenses for Q2 2025 were $102.8 million, compared to $89.2 million in the same period of 2024 [2][12] - Pretax income for Q2 2025 increased to $7.0 million from $6.7 million in Q2 2024 [2][10] - For the six months ended June 30, 2025, total revenues were $216.6 million, an increase of approximately $29.0 million, or 15.5%, compared to $187.6 million for the same period in 2024 [3] - Net income for the six months ended June 30, 2025, rose to $9.5 million from $9.3 million in the prior year [3][12] Portfolio and Contracts - During Q2 2025, CPS purchased $433.0 million of new contracts, slightly up from $431.9 million in Q2 2024 [4][14] - The company's receivables totaled $3.708 billion as of June 30, 2025, an increase from $3.615 billion as of March 31, 2025, and from $3.173 billion as of June 30, 2024 [4][14] Credit Quality - Annualized net charge-offs for Q2 2025 were 7.45% of the average portfolio, compared to 7.26% for Q2 2024 [5][15] - Delinquencies greater than 30 days were 13.14% of the total portfolio as of June 30, 2025, down from 13.29% as of June 30, 2024 [5][15] Management Commentary - The CEO highlighted improvements in earnings and operating efficiencies, emphasizing a focus on credit quality and loan performance as the portfolio grows [6]

Core Insights - Cps Technologies reported record revenue of $8.1 million for Q2 FY2025, a 62% increase from $5.0 million in Q2 FY2024, marking a return to profitability with earnings per share of $0.01 [1][2] - The company achieved significant improvements in gross margin, rising to 16.5% from a negative 4.6% year-over-year, driven by increased sales volumes and operational efficiencies [2][6] - Management emphasized ongoing operational upgrades as a priority to enhance margins and profitability, with expectations for continued strong revenue through the remainder of fiscal 2025 [10] Financial Performance - Revenue for Q2 FY2025 reached $8.1 million, up from $5.0 million in the prior year, attributed to increased shipments and production rates [5] - Gross profit turned positive at $1.3 million, compared to a gross loss in the prior year, with gross margin improving by 21.1 percentage points [2][6] - Operating profit was $0.1 million, a turnaround from a $1.3 million loss in the previous year, while net income also improved to $0.1 million from a $0.9 million loss [2][6] Product Development and Innovation - Cps Technologies focuses on advanced metal matrix composites, particularly AlSiC, which offers benefits in conductivity, weight, and reliability for sectors like defense and energy [3] - The company is expanding its product catalog with new materials such as AlMax™ and Fiber Reinforced Aluminum (FRA), which are critical for maintaining competitive advantage [4][8] - Recent contracts, including four Small Business Innovation Research (SBIR) contracts, validate the company's research capabilities and enhance its profile in defense markets [8] Operational Insights - The company has seen a rise in inventories to $5.2 million and accounts receivable to $5.6 million, reflecting increased sales activity [9] - Management noted that the order backlog and diversification across sectors like transportation and aerospace have been key to revenue growth [5] - The addition of a third production shift has been instrumental in meeting demand from the electronics, energy, and defense sectors [5][6] Management Outlook - Management anticipates strong revenue for the remainder of fiscal 2025, with a focus on improving gross margins and overall profitability [10] - Key initiatives include enhancing yield following the third shift expansion and optimizing the product mix to improve profitability [10] - No detailed financial guidance was provided, but investors are encouraged to monitor progress in margin expansion and commercialization of new materials [11]

[Financial Statements](index=1&type=section&id=Financial%20Statements) CPS Technologies Corporation demonstrated a significant financial turnaround, moving from net losses to profitability and strengthening its balance sheet with increased assets and equity [Statements of Operations (Unaudited)](index=1&type=section&id=Statements%20of%20Operations%20%28Unaudited%29) CPS Technologies Corporation reported a significant turnaround in its financial performance for the three and six months ended June 28, 2025, compared to the prior year, moving from a net loss to net income, driven by substantial growth in product sales and improved gross profit margins Key Financial Highlights (Statements of Operations) | Metric | Three Months Ended June 28, 2025 | Three Months Ended June 29, 2024 | Change (YoY) | | :--------------------------------- | :------------------------------- | :------------------------------- | :----------- | | Product sales | $8,078,657 | $5,030,313 | +60.6% | | Gross profit | $1,336,316 | $(229,992) | Turnaround | | Income (loss) from operations | $136,927 | $(1,314,987) | Turnaround | | Net income (loss) | $103,833 | $(954,304) | Turnaround | | Net income (loss) per basic common share | $0.01 | $(0.07) | Turnaround | | Metric | Six Months Ended June 28, 2025 | Six Months Ended June 29, 2024 | Change (YoY) | | :--------------------------------- | :------------------------------- | :------------------------------- | :----------- | | Product sales | $15,584,578 | $10,942,947 | +42.4% | | Gross profit | $2,567,317 | $676,318 | +279.6% | | Income (loss) from operations | $266,578 | $(1,574,599) | Turnaround | | Net income (loss) | $199,795 | $(1,097,458) | Turnaround | | Net income (loss) per basic common share | $0.01 | $(0.08) | Turnaround | - Product sales increased significantly by **60.6%** for the three months ended June 28, 2025, and by **42.4%** for the six months ended June 28, 2025, compared to the respective prior-year periods[2](index=2&type=chunk) - The company achieved a positive gross profit of **$1,336,316** for the three months and **$2,567,317** for the six months ended June 28, 2025, reversing losses from the prior year[2](index=2&type=chunk) [Balance Sheets (Unaudited)](index=2&type=section&id=Balance%20Sheets%20%28Unaudited%29) As of June 28, 2025, CPS Technologies Corp. reported an increase in total assets and stockholders' equity compared to December 28, 2024, primarily driven by increases in accounts receivable and inventories, despite a decrease in cash and cash equivalents Key Financial Highlights (Balance Sheets) | Metric | June 28, 2025 | December 28, 2024 | Change | | :--------------------------------- | :---------------- | :------------------ | :----- | | **Assets:** | | | | | Cash and cash equivalents | $2,374,037 | $3,280,687 | $(906,650) | | Accounts receivable-trade | $5,602,703 | $4,858,208 | +$744,495 | | Inventories, net | $5,198,246 | $4,331,066 | +$867,180 | | Total current assets | $14,899,576 | $14,159,016 | +$740,560 | | Total Assets | $19,369,770 | $18,876,946 | +$492,824 | | **Liabilities:** | | | | | Accounts payable | $3,286,223 | $3,053,712 | +$232,511 | | Total current liabilities | $4,461,070 | $4,307,550 | +$153,520 | | Total liabilities | $4,492,347 | $4,364,827 | +$127,520 | | **Stockholders' Equity:** | | | | | Total stockholders' equity | $14,877,423 | $14,512,119 | +$365,304 | - Total assets increased by **$492,824** to **$19,369,770** as of June 28, 2025, from **$18,876,946** at December 28, 2024[4](index=4&type=chunk) - Stockholders' equity grew by **$365,304** to **$14,877,423**, reflecting the company's improved financial position[4](index=4&type=chunk)

Financial Data and Key Metrics Changes - The company achieved a record revenue of $8.1 million for Q2, representing a 61% increase compared to $5 million in the same quarter last year [6][4] - Gross profit for the quarter was $1.3 million, approximately 16.5% of sales, compared to a gross loss of $200,000 last year [6][8] - The company reported an operating profit of about $137,000 in Q2, compared to an operating loss of approximately $1.3 million last year [8] - Net income was just over $100,000 or $0.01 per share, versus a net loss of about $900,000 or $0.07 per share in the previous year [8] Business Line Data and Key Metrics Changes - The company has broadened its core product offerings and anticipates continued strong revenue results driven by strong customer demand and improved manufacturing output [6][4] - Manufacturing capacity has increased significantly, with the addition of a third shift to meet growing demand [11][8] Market Data and Key Metrics Changes - The company is experiencing strong demand across various markets, including defense spending and material science solutions [5][4] - The federal budget for fiscal 2026 prioritizes defense spending, which is expected to benefit the company’s ballistic solutions [18] Company Strategy and Development Direction - The company is focused on increasing manufacturing efficiencies to improve profitability and returns for shareholders [16][21] - Ongoing innovation in material science is a key area of focus, with new technologies being brought to market and development contracts being secured [11][14] - The company is committed to expanding gross margins and improving overall performance [15][21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about future revenue opportunities, citing a strong order pipeline and ongoing demand [24][4] - The company is actively pursuing additional SBIR contracts and has a solid backlog to meet robust demand [19][20] Other Important Information - The company recently won its fourth SBIR development contract of the year, focusing on reducing the weight of military vehicles [11] - The first purchase order for Almax Materials has been received, indicating commercial traction for the newly licensed fiber reinforced aluminum composites [13][14] Q&A Session Summary Question: Visibility into future revenues and sales cycle - Management indicated that the ordering cycle varies, with some customers placing orders a few months out, while others are in the four to six month timeframe [23][24] Question: Impact of data center spending on the company - Management acknowledged the growing interest in high voltage DC projects, which could provide new opportunities for the company, separate from its core markets [27][29] Question: Status of a terminated radiation shielding contract - Management confirmed that the specific contract has been fully canceled, but remains optimistic about future opportunities in radiation shielding [33][34] Question: Capacity constraints with increased production - Management noted that while demand remains robust, plans are underway to address potential capacity constraints [37][38] Question: Licensing of fiber reinforced aluminum technology - Management clarified that the company is the exclusive global licensee and is working to enhance the material's capabilities beyond the original development [40][41]