Dj Cps Technologies 1Q Eps 1C >Cpsh

NORTON, Mass., April 30, 2025 (GLOBE NEWSWIRE) — CPS Technologies Corporation (“CPS” or the “Company”) today announced financial results for the fiscal first quarter ended March 29, 2025.

First Quarter Highlights

• Revenue of $7.5 million for the first quarter of 2025, reflecting the Company’s best sales quarter ever, even without any HybridTech Armor® business, versus $5.9 million in the first quarter of 2024
• Gross margin of 16.4 percent versus 15.3 percent in the prior-year period, reflecting improved operating leverage tied to higher revenue
• Operating profit of $0.1 million for the quarter ended March 29, 2025 compared to an operating loss of $(0.3) million in the prior-year period
• The Company’s performance also reflects the dramatic improvements that have occurred since the fourth quarter of 2024, when revenue was $5.9 million and gross margins were negative 2 percent
• As previously shared, three new Phase I Army SBIR contracts were initiated during the quarter

“What started as a very real turnaround last quarter is continuing into fiscal 2025, with the Company posting record revenue, driven accelerating demand from multiple customers,” said Brian Mackey, President and CEO. “Despite the completion of the aircraft carrier contract, the overall growth of our existing product lines has surpassed our previous revenue numbers. I’m pleased to see the return to bottom line profitability as well. While our profitability is positive, we continue to work on further margin improvement for the second quarter and beyond. Higher production volumes, recent SBIR wins, and a strategy meant to broaden our target markets and book of business are having the intended effect of strengthening the outlook for fiscal 2025. Our strategy of using our core offerings to invest in the product lines of the future in response to customer requirements, is beginning to bear fruit.”

Results of Operations

CPS reported revenue of $7.5 million in the first quarter of fiscal 2025 versus $5.9 million in the first quarter of 2024, reflecting higher production rates and shipments across the board. Gross profit was $1.2 million, or 16.4 percent of revenue, versus $0.9 million, or 15.3 percent of revenue, in the fiscal 2024 first quarter, which had lower revenue and reduced production efficiencies and was also impacted by quality control testing.

Operating profit was $0.1 million in the fiscal 2025 first quarter compared with an operating loss of $(0.3) million in the prior-year period. Reported net income was $0.1 million, or $0.01 per diluted share, versus a net loss of $(0.1) million, or $(0.01) per share, in the quarter ended March 30, 2024.

Conference Call

The Company will be hosting its first quarter 2025 earnings call tomorrow, May 1, 2025, at 9:00am Eastern. Those interested in participating in the conference call should dial the following: 

Call in Number: 1-844-943-2942

Participant Passcode: 970717

The Company encourages those who wish to participate to call in 10 minutes before the scheduled start time to ensure the operator can connect all participants.

About CPS

CPS is a technology and manufacturing leader in producing high-performance materials solutions for its customers. The company’s products and intellectual property address critical needs in a variety of applications, including electric trains and subway cars, wind turbines, hybrid vehicles, electric vehicles, Navy ships, the smart electric grid, 5G infrastructure and others. CPS hermetic packages can be found in many Aerospace and Satellite applications. CPS’ armor products provide exceptional ballistic protection and environmental durability at very light weight. CPS is committed to innovation and to supporting our customers in building solutions for the transition to clean energy. The Company articulates its Vision as follows: “To pioneer the next generation of high-performance materials and solve the world’s toughest engineering challenges.”

Safe Harbor

Statements made in this document that are not historical facts or which apply prospectively, including those relating to 2025 financial results, are forward-looking statements that involve risks and uncertainties. These forward-looking statements are identified by the use of terms and phrases such as "will," "intends," "believes," "expects," "plans," "anticipates" and similar expressions. Investors should not rely on forward looking statements because they are subject to a variety of risks and uncertainties and other factors that could cause actual results to differ materially from the company's expectation. Additional information concerning risk factors is contained from time to time in the company's SEC filings, including its Annual Report on Form 10-K and other periodic reports filed with the SEC. Forward-looking statements contained in this press release speak only as of the date of this release. Subsequent events or circumstances occurring after such date may render these statements incomplete or out of date. The company expressly disclaims any obligation to update the information contained in this release.

CPS Technologies Corporation                                  

111 South Worcester Street

Norton, MA 02766

www.cpstechnologysolutions.com

Investor Relations:

Chris Witty

646-438-9385

cwitty@darrowir.com

NORTON, Mass., April 28, 2025 (GLOBE NEWSWIRE) — CPS Technologies Corp. today released instructions for its first quarter 2025 investor conference call which will be held on Thursday May 1, 2025 at 9:00 A.M. (Eastern). Brian Mackey, President and CEO and Chuck Griffith, Chief Financial Officer will discuss the Company’s financial results for the quarter ended March 29, 2025.

Those interested in participating in the conference call should dial:

1-844-943-2942

Participant Passcode: 970717

About CPS

CPS is a technology and manufacturing leader in producing high-performance energy management components that facilitate the electrification of the economy. Our products and intellectual property include critical pieces of the technology puzzle for electric trains and subway cars, wind turbines, hybrid vehicles, electric vehicles, the smart electric grid, 5G infrastructure and others. CPS hermetic packages can be found in many Aerospace and Satellite applications. CPS' armor products provide exceptional ballistic protection and environmental durability at very light weight. CPS is committed to innovation and to supporting our customers in building solutions for the transition to clean energy.

CPS Technologies Corporation                                      

111 South Worcester Street

Norton, MA 02766

www.cpstechnologysolutions.com 

Investor Relations:

Chris Witty

646-438-9385

cwitty@darrowir.com

Thursday, April 24, 2025

Today's Research Daily features new research reports on Costco (COST), American Express (AXP), Goldman Sachs (GS) and others, including two micro-cap stocks Willis Lease Finance Corporation (WLFC) and CPS Technologies Corporation (CPSH). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.

These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.

You can see all of today’s research reports here >>>

Q1 Earnings Season Scorecard 

Including all of this morning's results, we now have Q1 results from 157 S&P 500 members. Total earnings for these companies are up +13.3% from the same period last year on +4.1% higher revenues, with 72% beating EPS estimates and 63.1% beating revenue estimates.

For more details about the Q1 earnings season and evolving expectations for the coming periods, please check out our weekly Earnings Trends report here >>>Tech Estimates Come Under Pressure: What to Expect?

Ahead of Wall Street

The daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market's open and attempts to make sense of that morning's economic releases and how they will affect that day's market action.

You can read today's AWS here >>> A Busy Morning: Jobless Claims, Durable Goods & Q1 Earnings

Today's Featured Research Reports

Costco shares have outperformed the Zacks Retail - Discount Stores industry over the past year (+36.1% vs. +17.5%). The company being a consumer defensive stock, Costco has been surviving the market turmoil pretty well. The discount retailer’s key strengths are strategic investments, a customer-centric approach, merchandise initiatives, and an emphasis on membership growth.

These factors have been helping it register decent sales and earnings numbers. The Zacks analyst expect Costco to register an 11.3% adjusted earnings per share improvement in fiscal 2025 on 7.2% revenue growth. This outlook reflects Costco’s ability to navigate the challenging operating environment, generate solid sales, and register high membership renewal rates.

A favorable product mix, steady store traffic, pricing power, and strong liquidity position should help Costco keep outperforming. While trading at a premium to its peers, its long-term growth prospects should help the stock see a solid upside.

(You can read the full research report on Costco here >>>)

Shares of American Express have outperformed the Zacks Financial - Miscellaneous Services industry over the past year (+11.1% vs. -0.3%). The company beats first quarter earnings estimates. It’s growth initiatives, like launching new products, reaching new agreements and forging alliances are aiding its card member spending and revenues.

Consumer spending on travel and entertainment, which carries higher margins, is still resilient. Its focus on Millennials and Gen-Z consumers, who exhibit strong dining preferences, will position the company for long-term growth. Its solid cash-generation abilities enable the pursuit of business investments.

However, with higher utilization of its cards, costs in the form of card member services and card member rewards are likely to go up. In 1Q25, total expenses rose 10% YoY.Its current debt level induces an increase in interest expenses. As such, the stock warrants a cautious stance.

(You can read the full research report on American Express here >>>)

Goldman Sachs shares have outperformed the Zacks Financial - Investment Bank industry over the past year (+29.5% vs. +19.2%). The company’s first-quarter 2025 results benefited from solid growth in the Global Banking & Markets division. Goldman Sachs’ refocus on the core strengths of investment banking (IB) and trading businesses through restructuring initiatives will boost its presence in the overseas markets.

The company's decent cash levels and solid credit profile will support capital distribution moves. Moreover, its strategic acquisitions and expansion in the private equity credit line will help diversify the fee-revenue base and offer top-line stability for the company. Its earnings beat estimates in the trailing four quarters.

However, given the current geopolitical concerns, the company’s high dependence on overseas revenues is worrisome. Also, rising expenses may limit its bottom-line growth.

(You can read the full research report on Goldman Sachs here >>>)

Shares of Willis Lease Finance have outperformed the Zacks Transportation - Equipment and Leasing industry over the past year (+187.9% vs. -35%). This microcap company with market capitalization of $888.13 million is well-positioned in the expanding global aircraft leasing market, benefiting from strong air travel demand and a $3 billion portfolio with 81% narrowbody engines.

Record 2024 results underscore robust leasing performance. Its vertically integrated model, including in-house MROs and parts sales, enhances asset lifecycle value and margin efficiency. Strategic investments in SAF production and aftermarket services add future growth drivers. A new dividend policy signals balance sheet strength and confidence in cash flows.

However, WLFC faces elevated debt and rising finance costs. Persistent OEM delays and MRO bottlenecks constrain asset deployment. Heavy reliance on narrowbody engines and short-term leases increases cyclicality and concentration risks. Escalating maintenance costs and growing competition, alongside tightening regulations, further challenge long-term margins and strategic agility.

(You can read the full research report on Willis Lease Finance here >>>)

CPS Technologies’ shares have outperformed the Zacks Electronics - Miscellaneous Components industry over the past six months (+10.2% vs. -18.4%). This microcap company with market capitalization of $21.64 million offers long-term potential through contract wins, expanding applications in semiconductors, defense and clean energy, and increasing traction from SBIR-funded innovations.

A $13.3-million semiconductor contract and multiple government awards support top-line visibility and validate CPSH’s materials technology. Its third production shift improves capacity and sets the stage for margin recovery. Commercial traction in radiation shielding and fiber-reinforced aluminum highlights successful R&D conversion.

However, risks include high margin sensitivity to volume fluctuations, operational inefficiencies during labor scale-up, inventory risks from the build-to-order model, and limited long-term contract coverage. Without sustained high utilization and stronger contract visibility, profitability may remain volatile despite a growing innovation pipeline.

(You can read the full research report on CPS Technologies here >>>)

Other noteworthy reports we are featuring today include ServiceNow, Inc. (NOW), Amgen Inc. (AMGN) and Amphenol Corporation (APH).

Director of Research

Sheraz Mian

Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>

Today's Must Read

Decent Comparable Sales Run to Fuel Costco's (COST) Top Line

Resilient Card Member Spend Aid AmEx (AXP), Expenses High

Business Diversification Aids Goldman (GS) Amid Cost Woes

Featured Reports

Growing Customer Base Drives ServiceNow's (NOW) Prospects

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End-Market Strength & Diversification Aids Amphenol (APH)

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New Upgrades

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Strength in Home & Building Products Unit Aids Griffon (GFF)

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New Downgrades

Supply Chain Issues & Shortage of Labor to Hit Hexcel (HXL)

Per the Zacks analyst, persistent supply chain constraints may hurt Hexcel. Shortage of skilled labor, also continues to pose a threat for the company's overall growth.

Low Volumes & Elevated Costs to Hurt Timken (TKR)

Per the Zacks analyst, low volume in its segments reflecting weak demand in most end markets as well as higher manufacturing and other costs will weigh on Timken's results.

Cost Inflation Weighs on General Mills' (GIS) Performance

Per the Zacks analyst, General Mills is seeing elevated cost inflation. In the third quarter of fiscal 2025, its adjusted gross margin fell 60 basis points due to higher input costs and other factors.

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research