NORTON, Mass., March  12, 2025  (GLOBE NEWSWIRE) -- CPS Technologies Corporation (NASDAQ:CPSH) (“CPS” or the “Company”) today announced financial results for the fiscal fourth quarter ended December 28, 2024.

Fourth Quarter Summary

Revenue of $5.9 million for the fourth quarter of 2024 versus $6.7 million in the prior-year period, reflecting the previously-announced fulfillment of the Company’s HybridTech Armor® contract with Kinetic Protection for the U.S. Navy; revenue rose significantly relative to the third quarter of 2024, due to higher production rates and associated customer shipments. In addition, fourth quarter revenue was slightly higher than first quarter revenue, demonstrating that the Company has fully replaced its armor contract with revenue from other products.

After the end of the quarter, the Company announced three Phase I SBIR contracts, raising the number of externally funded programs to six, including five SBIRs. All three new contracts are funded by the U.S. Army, with each valued at $250,000 over six months. Two of them address advanced challenges related to artillery, and the third aims to enhance fuel efficiency and extend the operational range of military vehicles using the Company’s Fiber Reinforced Aluminum (FRA).

The Company also recently announced its first commercial sale of radiation shielding, signifying the first new successful expansion of its product offerings in many years.

“As we enter 2025, we are achieving critical milestones as we execute our plan to leverage our unique materials capabilities and bring new products to market,” said Brian Mackey, President and CEO. “These efforts – led by our first commercial order for radiation shielding as well as Army SBIR funding in support of Fiber Reinforced Aluminum (FRA) – will expand our product portfolio into promising new areas, including vehicles, aircraft, munitions, and industrial applications. Our highly successful approach to externally funded research awards validates our ability to develop unique new offerings with critical material properties for demanding operating conditions.

“Revenue rose 40% sequentially from the third quarter, due in large measure to an added third shift and increased production capacity. With improved top-line performance in the fourth quarter versus earlier periods in fiscal 2024, as well as higher backlog, we are positioning the company for stronger results going forward. The increased demand for our core products, including our ongoing $13.3 million power module contract, bolsters our outlook for 2025. As revenue continues to rise and our operations improve, we are well on our way to being profitable once again. The future looks bright for CPS.”

Results of Operations
 CPS reported revenue of $5.9 million in the fourth quarter of fiscal 2024 versus $6.7 million in the prior-year period, reflecting the end to the Company’s HybridTech Armor® contract with Kinetic Protection for the U.S. Navy. Gross loss was $0.3 million, or (4.6) percent of revenue, versus gross profit of $1.1 million, or 17.0 percent of revenue, in the fiscal 2023 fourth quarter, with the lower gross margin year-over-year largely due to lower volumes and reduced economies of scale, along with training and startup expenses related to the initiation of a third shift of operations.

Operating loss was $1.3 million in the fiscal 2024 fourth quarter compared with operating profit of $0.1 million in the prior-year period. Reported net loss was $1.0 million, or $(0.07) per diluted share, versus net income of $0.2 million, or $0.01 per diluted share, in the quarter ended December 30, 2023.

Conference Call
 The Company will be hosting its fourth quarter 2024 earnings call tomorrow, March 13, 2024, at 9:00am Eastern. Those interested in participating in the conference call should dial the following: 
 Call in Number: 1-800-346-2923 
 Participant Passcode: 785874

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.

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 
[email protected]

CPS TECHNOLOGIES CORPORATION
Statements of Operations (Unaudited)  Three Months Ended Year Ended  December 28,
2024   December 30,
2023   December 28,
2024   December 30,
2023  Revenues: Product sales$5,933,283  $6,747,199  $21,123,346  $27,550,646 Total revenues$5,933,283  $6,747,199  $21,123,346  $27,550,646  Cost of product sales 6,204,808   5,598,616   21,241,984   20,725,237 Gross Profit (Loss) (271,525)  1,148,583   (118,638)  6,825,409  Selling, general, and
 administrative expense 1,047,459   1,004,948   4,262,290   5,126,046 Income (Loss) from
operations (1,318,984)  143,635   (4,380,928)  1,699,363   Interest/Other income
(expense) 45,134   80,823   286,979   253,018 Net income (Loss) before
 income tax (1,273,850)  224,458   (4,093,949)  1,952,381  Income tax provision
(benefit) (278,697)  84,948   (958,500)  582,085 Net income$(995,153) $139,510  $(3,135,449) $1,370,296  Wtd. Avg. basic common
shares outstanding - diluted 14,525,960   14,617,473    14,522,513   14,628,811  Net income per
 basic common share $(0.07) $0.01  $(0.22) $0.09

CPS TECHNOLOGIES CORP.
Balance Sheets (Unaudited)  December 28,
2024    December 30,
2023 ASSETS  Current assets: Cash and cash equivalents$3,280,687  $8,813,626 Marketable securities, at fair value 1,031,001   – Accounts receivable-trade, net 4,858,208   4,389,155 Accounts receivable-other 177,068   83,191 Inventories 4,331,066   4,581,930 Prepaid expenses and other current assets 480,986   276,349 Total current assets 14,159,016   18,144,251 Property and equipment: Production equipment 10,382,379   11,271,982 Furniture and office equipment 891,921   952,883 Leasehold improvements 997,830   985,649 Total cost 12,272,130   13,210,514 Accumulated depreciation and amortization (10,377,756)  (11,936,004) Construction in progress 108,874   281,629 Net property and equipment 2,003,248   1,556,139 Right-of-use lease asset 186,000   332,000 Deferred taxes, net 2,528,682   1,569,726 Total assets$18,876,946  $21,602,116

LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Notes payable, current portion$8,130  $46,797 Accounts payable 3,053,712   2,535,086 Accrued expenses 913,279   1,075,137 Deferred revenue 172,429   251,755 Lease liability, current portion 160,000   160,000  Total current liabilities 4,307,550   4,068,775  Notes payable less current portion -   8,090 Deferred revenue – long term 31,277   31,277 Long term lease liability 26,000   172,000  Total liabilities 4,364,827   4,280,142 Commitments & Contingencies Stockholders’ Equity: Common stock, $0.01 par value, authorized 20,000,000 shares;
issued 14,661,487 and 14, 601,487 shares; outstanding 14,525,960
and 14, 519,215; at December 28, 2024 and December 30, 2023,
respectively 146,615   146,015 Preferred stock, no shares issued or outstanding –   – Additional paid-in capital 40,580,387   40,180,893 Accumulated other comprehensive income 15,500   – Accumulated deficit (25,890,245)  (22,754,796) Less cost of 135,527 and 82,272 common shares repurchased at
December 28, 2024 and December 30, 2023, respectively (340,138)  (250,138)  Total stockholders’ equity 14,512,119   17,321,974  Total liabilities and stockholders’ equity$18,876,946  $21,602,116