M-tron Industries(MPTI) - 2025 Q1 - Quarterly Results

Financial Performance - Revenue for Q1 2025 was $12.7 million, a 13.8% increase from $11.2 million in Q1 2024[4] - Net income increased to $1.6 million, or $0.56 per diluted share, compared to $1.5 million, or $0.53 per diluted share in Q1 2024[6] - Adjusted EBITDA rose to $2.5 million in Q1 2025, up from $2.3 million in Q1 2024[7] - Income before income taxes for Q1 2025 was $2,114,000, up from $1,863,000 in Q1 2024, representing a growth of 13.5%[28] - The company reported a total EBITDA of $2,253,000 for Q1 2025, which is an increase from $2,055,000 in Q1 2024, showing a growth of 9.6%[28] - Interest income for Q1 2025 was $111,000, significantly higher than $32,000 in Q1 2024, marking an increase of 246.9%[28] - Non-cash stock compensation increased to $249,000 in Q1 2025 from $207,000 in Q1 2024, reflecting a rise of 20.3%[28] - Depreciation expenses for Q1 2025 were $250,000, slightly up from $219,000 in Q1 2024, indicating a growth of 14.2%[28] - The Adjusted EBITDA margin for Q1 2025 was 19.7%, compared to 20.2% in Q1 2024[30] - Total adjustments to income before income taxes in Q1 2025 amounted to $139,000, compared to $192,000 in Q1 2024[30] - The company’s income before income taxes has shown consistent growth over the past four quarters, indicating a positive trend in operational performance[30] - The company continues to focus on non-GAAP financial measures to provide a clearer picture of its operational results and trends[28] Cost and Expenses - Gross margin was 42.5% in Q1 2025, slightly down from 42.7% in Q1 2024 due to higher manufacturing costs and federal tariffs[5] - Manufacturing cost of sales for Q1 2025 was $7.3 million, up from $6.4 million in Q1 2024[24] - Engineering, selling, and administrative expenses rose to $3.4 million in Q1 2025 from $3.0 million in Q1 2024[24] Backlog and Assets - Backlog increased by $9.4 million, or 20.3%, to $55.5 million as of March 31, 2025, compared to $46.1 million a year earlier[8] - Total assets as of March 31, 2025, were $37.8 million, an increase from $36.5 million at the end of 2024[26] Dividends and Shareholder Value - The company distributed a dividend of warrants on April 25, 2025, reflecting its commitment to enhancing stockholder value[3] Tariffs and Market Impact - The initial impact of federal tariffs on imports was noted, but no effect on product demand has been observed to date[10]