SigmaTron International, Inc. Reports Financial Results for the Third Quarter of Fiscal 2025

Core Insights - SigmaTron International, Inc. reported a significant revenue decline of 26% year-over-year for the fiscal quarter ended January 31, 2025, with revenues at $71.1 million compared to $95.9 million in the same quarter of the previous year [2] - Despite the revenue drop, the company achieved a net income of $3.9 million for the quarter, a notable increase from $0.6 million in the prior year, largely due to a gain from a sale/leaseback transaction [2][4] - For the nine-month period ending January 31, 2025, revenues decreased by 21% to $230.6 million, with a net loss of $8.9 million compared to a net income of $0.9 million in the same period last year [3] Financial Performance - The company’s net sales for the three months ended January 31, 2025, were $71.1 million, down from $95.9 million in the same period of 2024, while for the nine months, sales were $230.6 million compared to $292.7 million [10] - Gross profit for the three months was $5.6 million, down from $9.9 million year-over-year, and for the nine months, gross profit was $18.9 million compared to $29.3 million [11] - The basic and diluted income per share for the quarter was $0.63, up from $0.10 in the prior year, while for the nine months, the loss per share was $1.44 compared to a profit of $0.15 [11] Operational Insights - The CEO noted that the third quarter typically experiences lower revenue due to the holiday period, and the company is seeing signs of a potential recovery in the electronic component marketplace [4][5] - The company has been actively reducing its cost structure, which has contributed to an operating profit in January 2025, and anticipates higher revenue in the fourth quarter based on current backlog [5] - The company is addressing trade issues and potential tariff changes that could impact operations, while also working on strategic initiatives with Lincoln International [6] Company Overview - SigmaTron operates as an independent provider of electronic manufacturing services, with facilities in the U.S., Mexico, China, and Vietnam, focusing on printed circuit board assemblies and fully assembled electronic products [7][8] - The company maintains an International Procurement Office and a Sustainability Center in Taipei, Taiwan, and provides design services in Elk Grove Village, Illinois [8]