Cemtrex Reports Full Fiscal Year 2025 Financial Results

Core Insights - Cemtrex, Inc. achieved a full-year operating profit and reported revenue of $76.5 million for fiscal year 2025, marking a 14% increase year-over-year from $66.9 million in fiscal year 2024 [1][6] - The company returned to positive operating income of $0.5 million, an improvement of $5.8 million from an operating loss of $5.3 million in the previous year [6][10] Financial Performance - Revenue for the Security segment reached $38.4 million, a 20% increase from $31 million in fiscal year 2024 [6] - Revenue for the Industrial Services segment increased to $38 million, up 9% from $34.8 million in fiscal year 2024 [6] - Gross profit for fiscal year 2025 was $32.3 million, representing 42% of revenues, compared to $27.5 million or 41% of revenues in fiscal year 2024 [6] Segment Performance - The Industrial Services segment experienced revenue growth due to sustained demand across manufacturing, infrastructure, and industrial end markets [4] - The Security segment's revenue growth was supported by enterprise and government customers [5] Balance Sheet and Liquidity - The company reduced outstanding debt by approximately $7.8 million and improved liquidity by about $9 million, enhancing financial flexibility for operations and growth initiatives [7] - Capital and balance sheet actions were taken to remove structural constraints and position the company for future growth [8] Growth Strategy - Cemtrex is pursuing two acquisitions, one under contract and the other under a letter of intent, which are expected to close soon [9] - The company plans to continue pursuing additional acquisitions in 2026 to enhance scale, margins, and operating leverage [9] - Management views fiscal year 2025 as a culmination of a significant operating transformation, with revenue growth from approximately $45 million in fiscal year 2022 to over $76 million in fiscal year 2025 [10] Future Outlook - The company aims to scale operating leverage as the core business is now profitable, with a focus on integrating acquisitions and organic growth to compound operating income [11]