TechPrecision .(TPCS) - 2026 Q3 - Quarterly Results

Revenue Performance - Revenue for the third quarter was $7.1 million, a 7% decrease primarily due to lower revenue at Stadco[6]. - Year-to-date revenue was $23.6 million, a 4% decrease primarily due to lower revenue at Ranor[6]. - Consolidated revenue for the three months ended December 31, 2025, was $7,094,000, a decrease of 7% compared to $7,622,000 for the same period in 2024[22]. - Ranor segment revenue for the three months ended December 31, 2025, was $4,362,000, representing 62% of total revenue, a slight increase from $4,310,000 in 2024[22]. - Stadco segment revenue decreased by 10% to $2,984,000 for the three months ended December 31, 2025, down from $3,312,000 in 2024[22]. Cost and Profitability - Cost of revenue was $6.7 million, a 1% increase attributed to an unfavorable product mix at Stadco[6]. - Cost of revenue for the nine months ended was $19.7 million, a 12% decrease due to a favorable product mix at Ranor and Stadco[6]. - Gross profit decreased by 62% to $0.4 million, significantly impacted by lower revenue at Stadco[6]. - Gross profit for the nine months ended December 31, 2025, increased by 72% to $3,869,000 from $2,244,000 in 2024[22]. - Consolidated gross profit for the three months ended December 31, 2025, was $381,000, a significant decrease of 62% from $991,000 in 2024[22]. - Ranor's gross profit margin improved to 22% for the three months ended December 31, 2025, compared to 20% in 2024[22]. Net Loss and EBITDA - The company reported a net loss of $1.5 million for the third quarter, compared to a net loss of $0.8 million in the same period a year ago[6]. - Net loss for the nine months ended December 31, 2025, was $1,245,000, an improvement from a net loss of $2,860,000 in 2024[23]. - EBITDA for the three months ended December 31, 2025, was $(658,000), a decline of $709,000 compared to $51,000 in 2024[24]. Working Capital and Debt - Working capital was negative $0.5 million as of December 31, 2025, with total debt amounting to $6.7 million[7]. Expenses - SG&A expenses increased by 3% due to higher compensation costs, offsetting a decrease in advisory and office costs[6]. - Interest expense decreased by 18% due to lower scheduled interest payments on term loans[6]. Customer Backlog - Customer backlog reached $46.0 million as of December 31, 2025, with expectations for delivery over the next one to three fiscal years[4]. Cash Position - Cash and cash equivalents at the end of the period were $50,000, down from $165,000 at the end of the same period in 2024[23].