Espey Mfg. & Electronics Corp. reports second quarter results

Rhea-AI Summary

Espey Mfg. & Electronics Corp. (NYSE American: ESP) reported strong financial results for the second quarter of fiscal year 2023, with net sales of $8.8 million, up from $7.5 million in the same quarter last year. Net income surged to $1.1 million ($0.47 per diluted share) compared to just $21,201 ($0.01 per diluted share) a year prior. For the first half of fiscal 2023, net sales totaled $17.4 million, an increase from $15 million year-over-year, and net income rose to $1.9 million ($0.78 per diluted share) from $327,262 ($0.14 per diluted share). The company’s backlog reached $78.3 million as of December 31, 2022.

Positive

• Net sales increased by 18% in Q2 2023 compared to Q2 2022.
• Net income for Q2 2023 rose significantly to $1.1 million, a major increase from the previous year's $21,201.
• First half net income rose to $1.9 million, up from $327,262 in the same period last year.
• Backlog increased to $78.3 million, indicating strong demand.

Negative

• New orders decreased slightly to $19 million compared to $19.5 million in the first half of fiscal 2022.
• Ongoing supply chain issues persist, posing potential challenges.

SARATOGA SPRINGS, N.Y., Feb. 13, 2023 (GLOBE NEWSWIRE) -- Espey Mfg. & Electronics Corp. (NYSE American: ESP) announces results for the first six months of fiscal year 2023.

Net sales for the second quarter of fiscal year 2023, October 1 to December 31, 2022, were $8,804,109 compared with last year's second quarter net sales of $7,458,050. Net income for the quarter was $1,146,042, $0.47 per diluted share, as compared to net income of $21,201, $0.01 per diluted share for the same quarter last year.

For the first six months of fiscal year 2023, July 1 to December 31, 2022, net sales were $17.4 million, compared with $15 million for the first six months of fiscal year 2022. Net income for the period was $1,914,308, $0.78 per diluted share, compared with net income of $327,262, $0.14 per diluted share, for the same period last year.

The backlog for the Company was $78.3 million at December 31, 2022, compared with last year's backlog of $70.1 million at December 31, 2021. New orders in the first six months of fiscal year 2023 were $19 million, compared with new orders in the first six months of fiscal year 2022 of $19.5 million.

Mr. David O’Neil, President and CEO, commented,

We had another successful quarter. Production operations are smoothing out and our supply chain issues remain but are being managed well. We made good progress on our engineering design efforts during the quarter, however, we still have hurdles to clear in the coming months. We continue to work well with our customers to resolve any engineering related issues. With an increase in sales and income for the first six months of the year, we are positioned well to finish the full year with overall strong financial results.

Espey's primary business is the development, design, and production of specialized military and industrial power supplies/transformers. The Company can be found on the Internet at www.espey.com.

For further information, contact Ms. Katrina Sparano (518)245-4400.

This press release may contain certain statements that are "forward-looking statements" and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent the Company's current expectations or beliefs concerning future events. The matters covered by these statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements. The Company wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made.

FAQ

What were Espey Mfg. & Electronics' earnings results for Q2 2023?

In Q2 2023, Espey reported net sales of $8.8 million and net income of $1.1 million ($0.47 per diluted share).

How did the backlog change for Espey Mfg. & Electronics as of December 31, 2022?

As of December 31, 2022, the backlog increased to $78.3 million compared to $70.1 million the previous year.

What is the outlook for Espey Mfg. & Electronics following the latest earnings report?

Despite ongoing supply chain issues, Espey Mfg. & Electronics is positioned to finish the year with strong financial results.

What were the total net sales for the first six months of fiscal year 2023?

Total net sales for the first six months of fiscal year 2023 were $17.4 million, up from $15 million during the same period last year.