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Innovative Solutions and Support(ISSC) - 2024 Q3 - Quarterly Results
ISSCInnovative Solutions and Support(ISSC)2024-08-12 17:25

Financial Performance - Net revenue for Q3 2024 was 11.8million,representinga47.811.8 million, representing a 47.8% increase year-over-year[2] - Gross profit reached 6.3 million, up 32.6%, with a gross margin of 53.4%[2][5] - Net income was 1.6million,or1.6 million, or 0.09 per diluted share; adjusted net income was 1.9million,or1.9 million, or 0.11 per diluted share[2] - Adjusted EBITDA for Q3 2024 was 3.1million,a613.1 million, a 61% increase from the previous year, with an adjusted EBITDA margin of 26.1%[2][6] - Total net sales for the three months ended June 30, 2024, were 11,765,635, a 47.5% increase from 7,959,208inthesameperiodlastyear[20]−AdjustedEBITDAforthethreemonthsendedJune30,2024,was7,959,208 in the same period last year[20] - Adjusted EBITDA for the three months ended June 30, 2024, was 3,075,926, representing a 73.5% increase from 1,911,387inthesameperiodlastyear[21]−NetincomefortheninemonthsendedJune30,2024,was1,911,387 in the same period last year[21] - Net income for the nine months ended June 30, 2024, was 3,818,186, up from 3,393,133inthesameperiodlastyear,indicatinga12.53,393,133 in the same period last year, indicating a 12.5% growth[20] - Basic net income per common share for the three months ended June 30, 2024, was 0.09, up from 0.08inthesameperiodlastyear[20]CashFlowandDebt−Year−to−datefreecashflowincreasedto0.08 in the same period last year[20] Cash Flow and Debt - Year-to-date free cash flow increased to 4.8 million, up from 0.8millioninthesameperiodlastyear[2][8]−TotaldebtasofJune30,2024,was0.8 million in the same period last year[2][8] - Total debt as of June 30, 2024, was 9.9 million, with net leverage reduced to 0.8x from 2.1x at the end of Q4 2023[8] - Cash and availability under the credit line increased to approximately 21millionasofJune30,2024[4][8]−Thecompanyreportedanetleverageratioof0.8xforthethreemonthsendedJune30,2024,downfrom2.6xinthesameperiodlastyear[24]−OperatingcashflowfortheninemonthsendedJune30,2024,was21 million as of June 30, 2024[4][8] - The company reported a net leverage ratio of 0.8x for the three months ended June 30, 2024, down from 2.6x in the same period last year[24] - Operating cash flow for the nine months ended June 30, 2024, was 5,350,891, compared to 937,925 in the same period last year[23] Operating Expenses and R&D - Operating expenses were 4.2 million, representing 36.1% of revenue, down from 40.8% in the same period last year[6] - Research and development expenses for the three months ended June 30, 2024, increased to 1,099,367from1,099,367 from 851,296 in the same period last year, a rise of 29.1%[20] Shareholder Equity and Liabilities - Total shareholders' equity increased to 43,181,125asofJune30,2024,from43,181,125 as of June 30, 2024, from 38,636,984 as of September 30, 2023[19] - The company’s total current liabilities as of June 30, 2024, were 16,152,889,comparedto16,152,889, compared to 6,398,959 as of September 30, 2023[18] Future Outlook - The company anticipates continued growth opportunities in fiscal 2025 from the integration of Honeywell product lines[4][16] Orders and Backlog - New orders in Q3 2024 totaled 10.6million,withabacklogof10.6 million, with a backlog of 9.3 million as of June 30, 2024[7] Gross Profit - Gross profit for the nine months ended June 30, 2024, was 17,385,346,comparedto17,385,346, compared to 13,198,600 for the same period in 2023, reflecting a 31.5% increase[20]