Group 1: New Contracts and Developments - CPS Technologies Corp. has been awarded a Phase I Small Business Innovation Research (SBIR) contract from the U.S. Army, focusing on optimizing binder jet additive manufacturing for producing dense refractory tungsten alloys [1] - The new SBIR contract is valued at $250,000 and marks CPS's second such contract in 2025 [1] - CPS has received its first commercial purchase order for radiation shielding materials, which is under $100,000, with potential for follow-on orders based on successful test results [2] Group 2: CEO Insights and Market Demand - CEO Brian Mackey expressed enthusiasm about expanding the product portfolio and highlighted the significance of the radiation shielding purchase order as a validation of market demand [3] - The company has initiated its Phase II development effort with ongoing SBIR funding from the Department of Energy, indicating a strong commitment to innovation in radiation shielding [3] - The recent SBIR contract supports the U.S. Army's material needs, particularly for advanced munitions, showcasing CPS's alignment with defense sector requirements [3] Group 3: Company Overview - CPS is recognized as a technology and manufacturing leader in high-performance materials solutions, addressing critical needs across various applications including electric vehicles, wind turbines, and military applications [4] - The company's products are designed for exceptional ballistic protection and environmental durability while maintaining a lightweight profile [4] - CPS is committed to innovation and supporting the transition to clean energy through its advanced material solutions [4]

Core Insights - Consumer Portfolio Services, Inc. reported earnings of $5.1 million, or $0.21 per diluted share, for Q4 2024, reflecting a decrease from the previous year [1][3] - Total revenues for Q4 2024 were $105.3 million, up 14.5% from $92.0 million in Q4 2023 [2][3] - The company experienced a total revenue increase of 11.8% for the full year 2024, reaching $393.5 million compared to $352.0 million in 2023 [3] Financial Performance - Operating expenses for Q4 2024 were $98.0 million, an increase from $82.1 million in Q4 2023 [2] - For the full year 2024, total operating expenses rose to $366.1 million from $290.9 million in 2023 [3] - Pretax income for Q4 2024 was $7.4 million, down from $9.8 million in Q4 2023, while full-year pretax income decreased to $27.4 million from $61.1 million [2][3] Portfolio and Contracts - CPS purchased $457.8 million in new contracts during Q4 2024, compared to $301.8 million in Q4 2023, with total contracts purchased for 2024 amounting to $1.682 billion [4] - The company's receivables reached $3.491 billion as of December 31, 2024, up from $2.970 billion a year earlier [4][12] - Annualized net charge-offs for Q4 2024 were 8.02% of the average portfolio, an increase from 7.74% in Q4 2023 [5][13] Management Commentary - The CEO noted a 24% growth in new loan originations for 2024, contributing to strong revenue growth and expressed optimism for 2025 [6]

Company Overview - Cooper-Standard Holdings Inc. (NYSE: CPS) is an automotive parts manufacturer that has faced challenges since the pandemic, transitioning from profitability on a GAAP Net Income basis between 2010 and 2019 to incurring losses thereafter [1]. Investment Strategy - The investment strategy focuses on identifying companies with a high probability of substantial revenue and earnings growth that are not fully appreciated in current market prices, with a preference for less cyclical and higher growth sectors [1]. Market Position - The company has been unprofitable in recent years, which typically discourages larger positions from long-only investors, indicating a cautious approach towards investing in CPS [1].

Group 1 - CPS Technologies Corp. has been awarded a Phase I Small Business Innovative Research (SBIR) contract from the U.S. Army, valued at $250,000, to develop lightweight yet strong ultra-low temperature sintered ceramic materials for electromagnetic protection [1] - The new supply agreement with a longstanding customer has been finalized, increasing the contract value from approximately $12 million to $13.3 million, covering the period from October 2024 through September 2025 [2] - CEO Brian Mackey expressed optimism about the revised agreement and the SBIR win, indicating that 2025 is expected to be a productive year for the company [3] Group 2 - CPS is recognized as a technology and manufacturing leader in high-performance materials solutions, addressing critical needs in various applications such as electric vehicles, wind turbines, and aerospace [3]

Analyst and Platform Information - The analyst has no stock, option, or derivative positions in any mentioned companies and no plans to initiate such positions within the next 72 hours [1] - The analyst is not receiving compensation for the article other than from Seeking Alpha [1] - Seeking Alpha is not a licensed securities dealer, broker, or US investment adviser, and its analysts may not be licensed or certified by any regulatory body [2] - Seeking Alpha welcomes new contributing analysts and encourages users to share investment ideas for potential publication and earnings [3]

NORTON, Mass., Dec. 05, 2024 (GLOBE NEWSWIRE) -- CPS Technologies Corp. (NASDAQ:CPSH) (“CPS” or the “Company”) today announced the appointment of I. James Cavoli to its Board of Directors. Jim currently serves as president of Swagelok Company, a worldwide manufacturer of fluid system components and engineered assemblies. Jim was appointed chief operating officer of Swagelok Company in 2020 and named president in 2021. During his tenure as president, Jim grew the company’s market cap by 75%. Prior to that he ...

Financial Data and Key Metrics - Q3 revenue was $4.2 million, a decline from $6.3 million YoY, primarily due to the end of the U.S. Navy Armor contract with Kinetic Protection [4][5] - Gross loss of $0.5 million (negative 12% of sales) compared to a gross profit of $1.2 million (20% of sales) last year, driven by lower revenue and third shift startup costs [7] - Operating loss of $1.5 million versus operating income of $0.1 million last year [10] - Net loss of $1.0 million or $0.07 per share compared to net income of $0.2 million or $0.01 per diluted share in Q3 2023 [10] - Cash position at the end of Q3 was $4.7 million, down from $8.8 million at the start of 2024 [11] Business Line Data and Key Metrics - The end of the Kinetic Protection contract reduced revenue by approximately $2 million per quarter [5][6] - A major customer purchased significantly less YoY due to excess inventory, but orders have now resumed [4][14] - Recent wins include a $12 million contract with a semiconductor customer and a $200,000 development contract with the U.S. Navy [15][19] Market Data and Key Metrics - The company is optimistic about Kinetic Protection potentially securing new Armor orders for additional naval vessel classes in fiscal 2025 [21] - The semiconductor contract is expected to boost revenue in fiscal 2025, with components used in high-speed rail, wind turbines, and EV/HEV applications [17][18] Company Strategy and Industry Competition - The company is focused on expanding manufacturing capabilities, including the successful training of a third shift [8][14] - Recent contract wins and improved product throughput position the company for growth in fiscal 2025 [8][15] - The company is actively pursuing SBIR opportunities and bidding on new applications with various U.S. agencies, including DoD and NASA [22] Management Commentary on Operating Environment and Future Outlook - Management is optimistic about Q4 and fiscal 2025, citing improved manufacturing capabilities and recent contract wins [8][15] - The company expects gross margins to improve as volumes increase in Q4 and fiscal 2025 [7] - The company is moving into a new era of expansion and is optimistic about future quarters [25] Other Important Information - The company received a $1.1 million Phase II SBIR award from the Department of Energy for Modular Radiation Shielding [16] - The company is developing Fiber Reinforced Aluminum (FRA) composites, with commercialization expected in fiscal 2025 [23] - A new 5-axis CNC machine is operational, enabling higher production of hermetic packaging and other products [25] Q&A Session Summary - No specific questions or answers were provided during the Q&A session [26][28]

Revenue and Contracts - Revenue for Q3 2024 was $4.2 million, down from $6.3 million in Q3 2023 due to the end of the HybridTech Armor® contract[1][5] - Secured a $1.1 million Phase II contract from the U.S. Department of Energy for modular radiation shielding development[2] - Awarded a $12 million contract from a global semiconductor customer for power module components[3] - Secured a $200K development contract from NAVAIR for metal matrix composite solutions[2] - Book to bill ratio stands at 1.22, indicating strong future revenue potential[4] Financial Performance - Gross margin was (12)% in Q3 2024 compared to 20% in Q3 2023, impacted by lower manufacturing efficiencies and third shift start-up costs[1][6] - Operating loss of $1.5 million in Q3 2024 versus an operating profit of $0.1 million in Q3 2023[2][7] - Net loss of $1.0 million, or $(0.07) per diluted share, in Q3 2024 compared to net income of $0.2 million, or $0.01 per diluted share, in Q3 2023[7] Production and Operations - Third shift production began in Q3 2024, with revenue impact expected in Q4 2024[4] Assets and Liabilities - Cash and cash equivalents decreased to $4,689,004 from $8,813,626, a 46.8% drop[12] - Marketable securities, at fair value, were $1,020,952, previously not recorded[12] - Accounts receivable-trade, net decreased to $3,654,549 from $4,389,155, a 16.7% decline[12] - Total current assets decreased to $14,666,355 from $18,144,251, a 19.2% reduction[12] - Net property and equipment increased to $2,082,309 from $1,556,139, a 33.8% rise[12] - Total liabilities decreased to $3,773,604 from $4,280,142, an 11.8% decline[12] - Total stockholders' equity decreased to $15,449,045 from $17,321,974, a 10.8% drop[13] - Accumulated deficit increased to $(24,895,093) from $(22,754,796), a 9.4% rise[12] - Common shares repurchased at September 28, 2024 cost $340,138, up from $250,138 at December 30, 2023[13] - Total assets decreased to $19,222,649 from $21,602,116, an 11.0% decline[12]

CPS Technologies Corporation (CPSH) faced headwinds from contract completions and elevated operational expenses in third-quarter 2024. Shifts in customer demand and strategic adjustments weighed on the company’s performance, impacting revenues and profitability. However, with its third production shift fully operational and new contracts secured across key sectors, CPS Technologies is positioned for a rebound. Management is optimistic about the road ahead, focusing on leveraging recent developments in gover ...

Revenues of $100.6 million compared to $92.1 million in the prior year periodNet income of $4.8 million, or $0.20 per diluted shareTotal portfolio balance of $3.330 billion, highest in company historyNew contract purchases of $445.9 million, compared to $322.4 million in the prior year period LAS VEGAS, NV, Oct. 31, 2024 (GLOBE NEWSWIRE) -- Consumer Portfolio Services, Inc. (Nasdaq: CPSS) (“CPS” or the “Company”) today announced earnings of $4.8 million, or $0.20 per diluted share, for its third quarter end ...