RF Industries(RFIL) - 2025 Q4 - Annual Results

Financial Performance - Net sales for Q4 2025 were $22.7 million, a 23% increase from $18.5 million year-over-year and a 15% increase from $19.8 million in Q3 2025[6] - For the full fiscal year 2025, net sales reached $80.6 million, a 24% increase compared to $64.9 million in fiscal year 2024[8] - Net sales for the three months ended October 31, 2025, increased to $22,686 million, up 23.5% from $18,453 million in the same period of 2024[21] - Gross profit for the fiscal year ended October 31, 2025, was $26,736 million, representing a 41.9% increase compared to $18,871 million in 2024[21] - Consolidated net income for Q4 was $174,000, or $0.02 per diluted share, compared to a net loss of $238,000, or $0.02 per diluted share, in the previous year[6] - Consolidated net income for the fiscal year ended October 31, 2025, was $75 million, compared to a loss of $6,599 million in 2024[21] - Non-GAAP net income for the three months ended October 31, 2025, was $2,148 million, compared to $394 million in the same period of 2024[23] - Basic earnings per share for the three months ended October 31, 2025, was $0.02, compared to a loss of $0.02 per share in the same period of 2024[21] Profitability Metrics - Gross profit margin improved to 37%, up approximately 600 basis points from 31% in the prior year quarter[6] - Adjusted EBITDA for Q4 was $2.6 million, representing 11.5% of net sales, exceeding the target of 10%[7] - Adjusted EBITDA for the fiscal year ended October 31, 2025, reached $6,147 million, a substantial increase from $838 million in 2024[25] Operational Efficiency - The backlog at the end of Q4 was $15.5 million, with bookings of $18.5 million, while the current backlog stands at $12.4 million[6] - Inventory decreased by 7% to $13.7 million year-over-year due to improvements in procurement and supply chain processes[6] - The company reduced net debt by $4.6 million compared to the same period last year[8] Future Strategy - The company aims to transition from a product seller to a technology solutions provider, focusing on diversifying end markets and launching new products in fiscal 2026[8] Cash Position - Cash and cash equivalents at year-end were $5.1 million, up from $839,000 in the previous year[19] Expenses - Total operating expenses for the three months ended October 31, 2025, were $7,448 million, up from $5,687 million in 2024, reflecting a 31% increase[21] Tax Provision - The company reported a provision for income taxes of $478 million for the three months ended October 31, 2025, compared to $30 million in the same period of 2024[23] Share Information - The weighted average shares outstanding for diluted earnings was 10,980,051 for the three months ended October 31, 2025[23]