CPS Technologies Announces Third Quarter 2025 Financial Results

Core Insights - CPS Technologies Corporation reported strong financial performance for the third quarter of fiscal 2025, with expectations for the best sales year ever in 2025 [1][2] - The company achieved revenue of $8.8 million, more than doubling the $4.2 million from the prior-year period, marking the third consecutive quarter of record revenue [2][6] - Gross profit improved to $1.5 million, representing a gross margin of 17.1%, compared to a gross loss of $(0.5) million in the same quarter of the previous year [2][6] - Operating profit was $0.3 million, a significant turnaround from an operating loss of $(1.5) million in the prior-year period [3][6] - Net income for the quarter was $0.2 million, or $0.01 per diluted share, compared to a net loss of $(1.0) million, or $(0.07) per diluted share, in the same quarter last year [3][6] Financial Performance - Revenue for the third quarter was $8.8 million, up from $4.2 million year-over-year, driven by higher production rates and increased shipments [2][6] - Gross profit was $1.5 million, or 17.1% of revenue, compared to a gross loss of $(0.5) million, or (12.3)% of revenue, in the prior-year period [2][6] - Operating profit was $0.3 million, compared to an operating loss of $(1.5) million in the prior-year period [3][6] - Net income was $0.2 million, or $0.01 per diluted share, versus a net loss of $(1.0) million, or $(0.07) per diluted share, in the same quarter last year [3][6] Contracts and Growth Opportunities - CPS secured two new government-funded research contracts in 2025, bringing the total to six, which will enhance the company's technology portfolio and long-term outlook [1][6] - A follow-on contract worth $15.5 million was announced with a major multinational semiconductor manufacturer, representing a 16.5% year-over-year increase in business from this customer [6] - The company also received a Phase I SBIR contract from the U.S. Department of Energy valued at approximately $125,000 and a Phase II STTR contract with the U.S. Army worth $1.15 million [6] Capital and Expansion - CPS closed a public offering that generated net proceeds of $9.5 million, aimed at expanding production capabilities through relocation to a larger facility [6] - The company is focused on margin expansion and improving manufacturing operations to maintain a solid growth trajectory [1][6]