SAN DIEGO, CA / ACCESS Newswire / February 26, 2026 / RF Industries, Ltd, (NASDAQ:RFIL), a national manufacturer and marketer of interconnect products and systems, today announced that it will release its first quarter fiscal year 2026 financial results after the close of the market on Monday, March 16, 2026. The Company will host a conference call and live webcast on March 16, 2026, at 4:30 p.m. ...

Amid a more than six-month consolidation among major AI infrastructure players like Nvidia ((NVDA) and Broadcom, leadership within the broader ecosystem has begun to rotate toward smaller, specialized suppliers as infrastructure needs evlove. One standout example has been Lumentum ((LITE), which has emerged as a major winner during this period, leading the industry in optical networking technology, a critical solution for the high-speed data transmission required by AI compute and data center workloads.Lume ...

Group 1: Market Overview - As of January 22, 2026, two stocks in the information technology sector are signaling potential warnings for momentum-focused investors [1] - The Relative Strength Index (RSI) is a key momentum indicator, with values above 70 indicating that a stock may be overbought [2] Group 2: Company Performance - RF Industries Ltd (NASDAQ:RFIL) reported fourth-quarter financial results with net sales of $22.7 million, reflecting a 23% year-over-year increase [4] - The CEO of RF Industries expressed satisfaction with the company's performance, highlighting diverse contributions across various customer segments and products [4] - RF Industries' stock has surged approximately 82% over the past five days, reaching a 52-week high of $12.12, with an RSI value of 90.9 [4] - Ultra Clean Holdings Inc (NASDAQ:UCTT) has also seen significant stock performance, gaining around 82% over the past month and achieving a 52-week high of $47.22 [4] - Needham analyst Charles Shi maintained a Buy rating for Ultra Clean and raised the price target from $35 to $50, with the stock closing at $47.20 after a 6.6% increase [4] - Ultra Clean's RSI value stands at 89.8 [4]

分组1 - The focus is on producing objective, data-driven research primarily about small- to mid-cap companies, which are often overlooked by many investors [1] - Occasionally, large-cap companies are analyzed to provide a broader perspective on the equity markets [1] 分组2 - No stock, option, or similar derivative positions are held in any of the companies mentioned, but there may be plans to initiate a beneficial long position in RFIL within the next 72 hours [2] - The article expresses the author's own opinions and is not influenced by compensation from any company mentioned [2]

Core Insights - RF Industries (RFIL) reported fourth-quarter fiscal 2025 non-GAAP earnings of 20 cents per share, exceeding the Zacks Consensus Estimate by 233% and up from 4 cents in the same quarter last year [1][9] - Total revenues increased by 23% year over year to $22.7 million, surpassing the consensus mark by 17.06%, driven by a higher-margin product mix and increased customer demand across diversified markets [1][9] Financial Performance - The gross margin expanded by 600 basis points year over year to 37% [4][9] - Adjusted EBITDA rose to $2.6 million from $0.91 million year over year [4][9] - Non-GAAP net income increased to $2.1 million from $0.4 million, with adjusted net earnings rising to 20 cents per diluted share from 4 cents [5][9] Backlog and Operating Details - RFIL's backlog was $15.5 million on bookings of $18.5 million, which decreased to $12.4 million as of January 14, 2026 [3] - Operating margin expanded by 350 basis points year over year to 4% [5] Balance Sheet - As of October 31, 2025, cash and cash equivalents totaled $5.08 million, up from $3 million as of July 31, 2025 [6] - The company had working capital of $14.1 million and a current ratio of approximately 1.7:1, with current assets of $35 million and current liabilities of $20.9 million [6] - Cash flow from operations was $4.6 million during the trailing 12 months, compared to $3.17 million in the previous year [6] Market Reaction - Following the results, RFIL shares jumped 21.36% in pre-market trading [2]

Core Insights - RF Industries Ltd. reported strong financial results for the fourth quarter and fiscal year ending October 31, 2025, leading to a significant increase in stock price [1][6] Financial Performance - Earnings per share (EPS) for the fourth quarter were $0.20, exceeding the estimated $0.09 [2][6] - Revenue reached approximately $22.7 million, surpassing expectations and marking a 23% increase from $18.5 million in the same period last year [2][6] - Consolidated net income improved to $174,000, compared to a net loss of $238,000 in the same quarter of the previous year [3] - Non-GAAP net income was reported at $2.1 million, or 20 cents per diluted share, compared to $394,000, or 4 cents per share, in the fourth quarter of 2024 [3] Profitability Metrics - Gross profit margin improved to 37%, up approximately 600 basis points from 31% in the same quarter of the previous year [4] - Adjusted EBITDA increased to $2.6 million, compared to $908,000 a year earlier [4] - Operating income rose significantly to $903,000, compared to $96,000 year-over-year [4] Market Valuation - The price-to-earnings (P/E) ratio is approximately 1014.35, while the price-to-sales ratio stands at about 0.95, indicating the market values the company nearly at its annual sales [5] - The enterprise value to sales ratio is approximately 1.22, reflecting the company's total valuation in relation to its sales [5] - The debt-to-equity ratio is approximately 0.76, indicating a moderate level of debt compared to equity [5] - A current ratio of about 1.67 suggests a good level of liquidity to cover short-term liabilities [5]

Core Viewpoint - RF Industries Ltd. reported strong financial results for the fourth quarter of fiscal 2025, leading to a significant increase in share price during after-hours trading. Group 1: Q4 Financial Performance - The company reported fourth-quarter net sales of $22.7 million, a 23% increase from $18.5 million a year earlier and a 15% increase from $19.8 million in the previous quarter [2] - Consolidated net income for the quarter 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 same quarter of the prior year [2] - Non-GAAP net income was $2.1 million, or $0.20 per diluted share, compared to $394,000, or $0.04 per share, in the fourth quarter of 2024 [3] - Gross profit margin reached 37%, an increase of approximately 600 basis points from 31% in the same quarter of the prior year [3] - Adjusted EBITDA was $2.6 million, up from $908,000 a year earlier [3] Group 2: Full-Year Performance - For fiscal 2025, net sales totaled $80.6 million, a 24% increase from $64.9 million in fiscal 2024 [4] - Net debt decreased by $4.6 million year over year [4] Group 3: Trading Metrics and Technical Analysis - RF Industries Ltd.'s Relative Strength Index (RSI) is at 71.22, indicating strong momentum [5] - The company's market capitalization is $76.91 million, with shares trading between a 52-week high of $9.56 and a low of $3.39 [5] - Over the past 12 months, shares have risen 75.43%, indicating a strong upward trend [5] - The stock is currently trading at 61.91% of its 52-week range, suggesting potential resistance near the upper end of that range [6] - Benzinga's Edge Stock Rankings indicate a positive price trend across all time frames for RFIL stock [6]

Financial Data and Key Metrics Changes - Net sales grew 23% year over year to $22.7 million in Q4 2025, with full-year revenue increasing 24% to $80.6 million compared to fiscal 2024 [4][5][19] - Gross profit margin for Q4 was 37%, exceeding the 30% target, and for the full year, it was 33%, up from 29% in the prior year [4][5][18][19] - Adjusted EBITDA for Q4 was $2.6 million, compared to $908,000 in Q4 2024, and for the full year, it was $6.1 million, a significant increase from $838,000 in fiscal 2024 [18][19][21] Business Line Data and Key Metrics Changes - The company has shifted from being a product seller to a technology solutions provider, which has diversified its customer base and end markets [6][7] - Key initiatives include deepening relationships with existing customers, leveraging successes in established markets to penetrate new ones, and expanding value propositions for channel partners [8][10] Market Data and Key Metrics Changes - Demand in targeted end markets, including aerospace, stadiums, and transportation, remains strong, with over 130 projects supported in these categories [14][15] - The aerospace and defense market continues to perform well, driven by collaboration with customers to meet stringent requirements [15] Company Strategy and Development Direction - The company aims to diversify end markets, drive customer penetration, and launch new products to sustain strong sales growth and profitability in fiscal 2026 [6][11] - The focus is on operational excellence and innovation aligned with market demand, with a disciplined approach to resource allocation [16][17] Management's Comments on Operating Environment and Future Outlook - Management acknowledges uncertainties in the overall environment but remains confident in executing the long-term strategic plan [6][12] - The expectation for fiscal 2026 is another year of growth, with a similar trajectory to fiscal 2025, despite anticipated seasonality in Q1 [28][29] Other Important Information - The company reduced net debt by $4.6 million compared to last year, with a current ratio of approximately 1.7 to 1 [21][22] - Inventory levels were managed down to $13.7 million from $14.7 million last year, reflecting operational excellence [22][23] Q&A Session Summary Question: Growth trajectory for fiscal 2026 - Management expects another year of growth, with Q1 likely being the lowest quarter of the year due to seasonality [28][29] Question: Breakdown of gross margin expansion - The gross margin increase is attributed to a combination of product mix and higher sales volume, with significant cash flow impact as sales exceed $20 million [31][32] Question: Cost increases and mitigation strategies - Cost increases are nominal and include labor and benefits, with some mitigation possible through pricing and improved sales numbers [38][39] Question: Revenue contribution from diversified markets - Approximately 50% of sales now come from telecom and wireless, with the remaining from transportation, aerospace, and other sectors [53][54] Question: Backlog and bookings analysis - Backlog is expected to hit a low point in Q1 and then increase as project-based work resumes, with Q4 bookings aligning with expectations [55][56][59]

Financial Data and Key Metrics Changes - Net sales grew 23% year-over-year to $22.7 million in Q4 2025, with full-year revenue increasing 24% to $80.6 million compared to fiscal 2024 [4][5][19] - Gross profit margin for Q4 was 37%, exceeding the 30% target, and for the full year, it was 33%, up from 29% in the prior year [4][5][18][19] - Adjusted EBITDA for Q4 was $2.6 million, compared to $908,000 in Q4 2024, and for the full year, it was $6.1 million, a significant increase from $838,000 in fiscal 2024 [18][21] Business Line Data and Key Metrics Changes - The company has shifted from being a product seller to a technology solutions provider, which has diversified its customer base and end markets [6][7] - Key initiatives include deepening relationships with existing customers, leveraging successes in established markets to penetrate new ones, and expanding value propositions for channel partners [8][10] Market Data and Key Metrics Changes - Demand in targeted end markets, including aerospace, stadiums, and transportation, remains strong, with over 130 projects supported in these categories [14][15] - The aerospace and defense market continues to perform well, driven by collaboration with customers to meet stringent requirements [15] Company Strategy and Development Direction - The company aims to diversify end markets, drive customer penetration, and launch new products to sustain strong sales growth and profitability in fiscal 2026 [6][11] - The focus is on operational excellence, innovation aligned with market demand, and building a predictable and scalable business model [16][17] Management's Comments on Operating Environment and Future Outlook - Management acknowledges uncertainties in the overall environment but remains committed to executing the long-term strategic plan [6][12] - The expectation for fiscal 2026 is another year of growth, with a similar trajectory to fiscal 2025, despite anticipated seasonality in Q1 [28][29] Other Important Information - The company reduced net debt by $4.6 million compared to last year, with a current ratio of approximately 1.7 to 1 [21][22] - Inventory levels were managed down to $13.7 million from $14.7 million last year, reflecting operational excellence [22][23] Q&A Session Summary Question: Growth trajectory for fiscal 2026 - Management expects another year of growth, with Q1 likely being the lowest quarter of the year due to seasonality [28][29] Question: Breakdown of gross margin expansion - The gross margin increase is attributed to a combination of product mix and higher sales volume, with significant cash flow impact as sales exceed $20 million [31][32] Question: Cost increases and mitigation strategies - Cost increases are nominal and include labor and benefits, with some mitigation possible through pricing and improved sales numbers [38][39] Question: Impact of new products and solutions - Key product lines expected to contribute significantly include integrated systems, DAC, and small cell solutions, alongside strong performance in custom cabling [41][42] Question: Revenue diversification and backlog - Approximately 50% of revenue now comes from non-telecom sectors, with a healthy backlog expected to increase as project-based work resumes [53][56] Question: Capital allocation priorities - The current priority is to reduce net debt, with discussions ongoing regarding potential acquisitions or shareholder returns [66][67]

Financial Data and Key Metrics Changes - In Q4 2025, net sales increased by 23% year-over-year to $22.7 million, with full-year net sales reaching $80.6 million, a 24% increase compared to fiscal 2024 [4][5][20] - Gross profit margin for Q4 was 37%, exceeding the target of 30%, while the full-year gross profit margin improved to 33% from 29% in the prior year [4][5][19][20] - Adjusted EBITDA for Q4 was $2.6 million, significantly up from $908,000 in Q4 2024, and full-year adjusted EBITDA was $6.1 million compared to $838,000 in fiscal 2024 [5][20][21] Business Line Data and Key Metrics Changes - The company has shifted from being a downstream component supplier to a technology solutions provider, which has diversified its customer base and end markets [6][7][9] - Key initiatives include deepening relationships with existing customers, leveraging successes in established markets to penetrate new ones, and expanding value propositions for channel partners [9][10][11] Market Data and Key Metrics Changes - Demand in targeted end markets, including aerospace, stadiums, and transportation, remains strong, with over 130 projects supported in these categories [14][15][16] - The aerospace and defense market continues to perform well, driven by collaboration with customers to meet stringent requirements [16] Company Strategy and Development Direction - The company aims to diversify end markets, enhance customer penetration, and launch new products to sustain strong sales growth and profitability in fiscal 2026 [6][12] - The focus is on operational excellence and constant improvement to maintain momentum and predictability in business operations [17][18] Management's Comments on Operating Environment and Future Outlook - Management acknowledges ongoing uncertainties and cost increases but remains optimistic about executing the long-term strategic plan [6][12] - The expectation for fiscal 2026 is another year of growth, with a similar trajectory to fiscal 2025, despite seasonal fluctuations in Q1 [27][28] Other Important Information - The company has reduced net debt by $4.6 million compared to the previous year, with a current ratio of approximately 1.7 to 1 [21][22][23] - Inventory levels have been managed effectively, decreasing from $14.7 million to $13.7 million [22][24] Q&A Session Summary Question: Growth trajectory for fiscal 2026 - Management expects another year of growth, with Q1 likely being the lowest quarter of the year due to seasonality [27] Question: Breakdown of gross margin improvement - The improvement in gross margin is attributed to a combination of product mix and higher sales volume, particularly as sales exceed $20 million per quarter [28][30] Question: Future EBITDA targets - While no specific new target is set, the goal is to maintain EBITDA above 10% as sales grow [31][33] Question: Impact of cost increases - Cost increases are nominal and include labor and benefits, which the company aims to mitigate through pricing and improved sales [34][35] Question: Revenue contribution from various markets - Approximately 50% of revenue now comes from telecommunications and wireless, with the remaining half from transportation, aerospace, and other sectors [47] Question: Backlog and bookings - Backlog is expected to hit a low point in Q1 and then increase as project-based work resumes [50][52]