CVD Equipment Corporation Reports Second Quarter 2024 Financial Results
"Overall, we are disappointed with CVD's operating performance in the first half of the year, as order and revenue levels continue to fluctuate given the nature of the emerging growth end markets we serve. We'll stay the course on strategic efforts to build critical customer relationships, achieve profitability, carefully manage our costs and cash flow while simultaneously focusing on growth and return on investment."
Second Quarter 2024 Financial Performance
-
Revenue of
$6.3 million , an increase of 25.2% year over year primarily due to higher system revenues and an increase in SDC revenues -
Backlog as of
June 30, 2024 of$24.0 million , a decrease from$27.1 million atMarch 31, 2024 - Our gross profit margin percentage declined to 25.4% as compared to the prior year quarter due to a less profitable mix of contracts
-
Operating loss of
$0.9 million -
Net loss of
$0.8 million or$0.11 per basic and diluted share, compared to a net loss of$1.1 million or$0.16 per basic and diluted share during the prior year second quarter -
Operating loss and net loss for the prior year second quarter both included non-recurring charges of
$0.3 million consisting of a loss on the sale of our Tantaline subsidiary of$0.2 million and an impairment charge of$0.1 million resulting from our decision to wind down our MesoScribe business -
Cash and cash equivalents as of
June 30, 2024 of$10.0 million
Second Quarter 2024 Operational Performance
-
Orders for the first quarter were
$3.2 million primarily driven by demand in our SDC segment for gas delivery equipment. Orders for the first six months of 2024 were$16.9 million as compared to$15.8 million for the first six months of 2023. - We continue to make investments in both research and development and sales and marketing focused on our three key strategic markets.
Management Conference Call and Webcast
The Company will hold a conference call to discuss its results today at
A live and archived webcast of the call will also be available on the company's website at www.cvdequipment.com/events. The archived webcast will be available at the same location approximately two hours following the end of the live event.
About
The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by
CVD EQUIPMENT CORPORATION AND SUBSIDIARIES |
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Condensed Consolidated Statements of Operations |
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(In thousands, except per share data – Unaudited) |
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Three Months Ended
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Six Months Ended
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2024 |
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2023 |
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2024 |
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2023 |
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Revenue |
|
$ |
6,345 |
|
|
$ |
5,069 |
|
|
$ |
11,267 |
|
|
$ |
13,764 |
Cost of revenue |
|
|
4,736 |
|
|
|
3,681 |
|
|
|
8,799 |
|
|
|
9,943 |
Gross profit |
|
|
1,609 |
|
|
|
1,388 |
|
|
|
2,468 |
|
|
|
3,821 |
Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and development |
|
|
665 |
|
|
|
559 |
|
|
|
1,410 |
|
|
|
1,161 |
Selling |
|
|
426 |
|
|
|
428 |
|
|
|
845 |
|
|
|
847 |
General and administrative and other |
|
|
1,416 |
|
|
|
*1,633 |
|
|
|
2,739 |
|
|
|
*3,233 |
Total operating expenses |
|
|
2,507 |
|
|
|
2,620 |
|
|
|
4,994 |
|
|
|
5,241 |
Operating loss |
|
|
(898) |
|
|
|
(1,232) |
|
|
|
(2,233) |
|
|
|
(1,420) |
Net loss |
|
$ |
(761) |
|
|
$ |
(1,113) |
|
|
$ |
(2,233) |
|
|
$ |
(1,142) |
Basic and diluted loss per share |
|
$ |
(0.11) |
|
|
$ |
(0.16) |
|
|
$ |
(0.33) |
|
|
$ |
(0.17) |
* Includes loss on sale of Tantaline subsidiary of |
CVD EQUIPMENT CORPORATION AND SUBSIDIARIES |
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Condensed Consolidated Balance Sheets |
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(In thousands - Unaudited) |
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Assets |
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Current assets |
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|
|
|
|
|
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Cash and cash equivalents |
|
$ |
10,031 |
|
|
$ |
14,025 |
Accounts receivable, net |
|
|
4,951 |
|
|
|
1,906 |
Contract assets |
|
|
1,554 |
|
|
|
1,604 |
Inventories |
|
|
4,658 |
|
|
|
4,454 |
Other current assets |
|
|
592 |
|
|
|
852 |
Total current assets |
|
|
21,786 |
|
|
|
22,841 |
Property, plant and equipment, net |
|
|
12,041 |
|
|
|
12,166 |
Other assets |
|
|
18 |
|
|
|
18 |
Total assets |
|
$ |
33,845 |
|
|
$ |
35,025 |
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|
|
|
|
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Liabilities and Stockholders' Equity |
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|
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Current liabilities |
|
$ |
9,116 |
|
|
$ |
8,554 |
Long-term debt, net of current portion |
|
|
225 |
|
|
|
268 |
Total stockholders’ equity |
|
|
24,504 |
|
|
|
26,203 |
Total liabilities and stockholders’ equity |
|
$ |
33,845 |
|
|
$ |
35,025 |
This earnings release should be read in conjunction with the Company’s filings with the
View source version on businesswire.com: https://www.businesswire.com/news/home/20240813282200/en/
For further information about this topic please contact:
Phone: (631) 981-7081
Email: investorrelations@cvdequipment.com
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