ETC Announces Fiscal 2026 Second Quarter Results
Environmental Tectonics Corporation (OTCID: ETCC) reported results for the thirteen weeks ended August 29, 2025 (2026 fiscal Q2). Net sales rose 20.5% to $17.0M, driven by ATS and Sterilizer Systems, while gross profit increased 18.8% to $5.0M. Operating income grew 26.0% to $2.5M. Net income was $1.48M ($0.08 diluted), down from $1.70M a year earlier due to a $0.4M non-cash tax expense. The company exits the quarter with a $62M backlog and reports higher interest expense tied to recent leaseback financing.
Environmental Tectonics Corporation (OTCID: ETCC) ha riportato i risultati per le tredici settimane chiuse il 29 agosto 2025 (secondo trimestre fiscale 2026). Le vendite nette sono aumentate del 20,5% a $17,0M, trainate da ATS e Sterilizer Systems, mentre l'utile lordo è salito dell'18,8% a $5,0M. L'utile operativo è cresciuto del 26,0% a $2,5M. L'utile netto è stato di $1,48M (diluito $0,08), in calo rispetto a $1,70M dell'anno precedente a causa di una spesa fiscale non monetaria di $0,4M. L'azienda chiude il trimestre con un backlog di $62M e riporta un maggior onere degli interessi legato al recente finanziamento tramite leaseback.
Environmental Tectonics Corporation (OTCID: ETCC) informó resultados para las trece semanas terminadas el 29 de agosto de 2025 (segundo trimestre fiscal 2026). Las ventas netas subieron un 20,5% a $17.0M, impulsadas por ATS y Sterilizer Systems, mientras que la utilidad bruta aumentó un 18,8% a $5.0M. La utilidad operativa creció un 26,0% a $2.5M. La utilidad neta fue de $1.48M (diluida $0.08), frente a $1.70M del año anterior debido a un gasto fiscal no en efectivo de $0.4M. La compañía cierra el trimestre con un backlog de $62M e informa un mayor gasto por intereses asociado al financiamiento reciente de leaseback.
Environmental Tectonics Corporation (OTCID: ETCC)는 2025년 8월 29일 종료된 13주(2026 회계연도 2분기) 실적을 발표했습니다. 순매출은 ATS 및 Sterilizer Systems의 견인으로 20.5% 증가하여 $17.0M에 도달했고, 총이익은 18.8% 증가한 $5.0M입니다. 영업이익은 26.0% 증가한 $2.5M로 증가했습니다. 순이익은 $1.48M로, 비현금 세금비용 $0.4M으로 인해 전년 동기의 $1.70M에서 감소했습니다. 회사는 분기말에 $62M의 잔여계약(backlog)을 남기고 최근 리스백(financing)으로 인한 이자비용 증가를 보고합니다.
Environmental Tectonics Corporation (OTCID: ETCC) a publié les résultats pour les treize semaines closes le 29 août 2025 (deuxième trimestre fiscal 2026). Les ventes nettes ont augmenté de 20,5% à $17,0M, soutenues par ATS et Sterilizer Systems, tandis que le bénéfice brut a progressé de 18,8% pour atteindre $5,0M. Le résultat opérationnel a augmenté de 26,0% à $2,5M. Le résultat net s'est élevé à $1,48M (0,08$ dilué), en baisse par rapport à 1,70$ de l'année précédente en raison d'une dépense fiscale non monétaire de 0,4$M. L'entreprise termine le trimestre avec un backlog de 62 M$ et signale une augmentation des frais d'intérêts liés au financement récent par loyer-back.
Environmental Tectonics Corporation (OTCID: ETCC) meldete Ergebnisse für die dreizehn Wochen zum 29. August 2025 (2026 fiskalisches Q2). Nettoumsatz stieg um 20,5% auf $17.0M, angetrieben von ATS und Sterilizer Systems, während Bruttogewinn um 18,8% auf $5.0M zulegte. Operatives Ergebnis wuchs um 26,0% auf $2.5M. Nettoeinkommen betrug $1.48M ($0.08 verwässert), nach $1.70M im Vorjahr aufgrund einer nicht zahlungswirksamen Steueraufwendung von $0.4M. Das Unternehmen schließt das Quartal mit einem $62M Backlog ab und meldet höhere Zinsaufwendungen im Zusammenhang mit der jüngsten Sale-and-Leaseback-Finanzierung.
Environmental Tectonics Corporation (OTCID: ETCC) أعلنت النتائج للـ13 أسبوعاً المنتهية في 29 أغسطس 2025 (الربع الثاني من السنة المالية 2026). المبيعات الصافية ارتفعت بنسبة 20.5% إلى $17.0M، مدفوعة من قِبل ATS و Sterilizer Systems، بينما الربح الإجمالي زاد بنسبة 18.8% إلى $5.0M. الدخل من العمليات نما بنسبة 26.0% ليصل إلى $2.5M. صافي الدخل كان $1.48M (مخفف 0.08 دولار)، منخفضاً عن 1.70 مليون دولار في العام السابق بسبب مصروف ضريبي غير نقدي قدره 0.4 مليون دولار. تنهي الشركة الربع باحتياطي طلبات بقيمة $62M وتُ بلغ عن زيادة في مصروف الفوائد المرتبط بالتمويل الأخير لإعادة التأجير.
Environmental Tectonics Corporation (OTCID: ETCC) 公布了截至2025年8月29日的十三周（2026财年第二季度）的业绩。净销售额同比上升20.5%，至$17.0M，主要受ATS和Sterilizer Systems推动，毛利增长18.8%，至$5.0M。经营利润增长26.0%，至$2.5M。净利润为$1.48M（摊薄每股0.08美元），较去年同期的1.70百万美元下降，原因是0.4百万美元的非现金税费支出。公司以$62M backlog收尾本季度，并报告与最近的租回融资相关的利息支出上升。
- Net sales +20.5% to $16.97M in 2026 fiscal Q2
- Operating income +26.0% to $2.49M in 2026 fiscal Q2
- Gross profit +18.8% to $4.98M in 2026 fiscal Q2
- Order backlog $62M at quarter end
- ATS sales +30.9% year-over-year in the quarter
- Net income down 12.7% to $1.48M in 2026 fiscal Q2
- Gross margin down 0.4 ppt to 29.4% in 2026 fiscal Q2
- Interest expense up 132.6% to $0.54M in 2026 fiscal Q2
- Income tax provision increased $0.4M (non-cash NOL utilization)
SOUTHAMPTON, Pa., Oct. 14, 2025 (GLOBE NEWSWIRE) -- Environmental Tectonics Corporation (OTCID: ETCC) (“ETC” or the “Company”) today reported its financial results for the thirteen week period ended August 29, 2025 (the “2026 second fiscal quarter”).
Robert L. Laurent, Jr., ETC’s Chief Executive Officer and President stated, “We are pleased with the
Fiscal 2026 Second Quarter Results of Operations
Net Income
Net income was
Net Sales
Net sales in the 2026 fiscal second quarter were
Gross Profit
Gross profit for the 2026 fiscal second quarter of
Operating Expenses
Operating expenses, including sales and marketing, general and administrative, and research and development, for the 2026 fiscal second quarter were
Operating income for the 2026 fiscal second quarter was
Interest Expense, Net
Interest expense, net, for the 2026 fiscal second quarter was
Income Tax Provision
Income tax provision for the 2026 fiscal second quarter was
2026 Fiscal First Half Results of Operations
Net Income
Net income was
Net Sales
Net sales in the 2026 fiscal first half were
Gross Profit
Gross profit for the 2026 fiscal first half of
Operating Expenses
Operating expenses, including sales and marketing, general and administrative, and research and development, for the 2026 fiscal first half were
Operating Income
Operating income for the 2026 fiscal first half was
Interest Expense, Net
Interest expense, net for the 2026 fiscal first half was
Cash Flows from Operating, Investing, and Financing Activities
During the 2026 fiscal first half, the Company used
Cash used for investing activities was
The Company’s financing activities used
About ETC
ETC was incorporated in 1969 in Pennsylvania. For over five decades, we have provided our customers with products, services, and support. Innovation, continuous technological improvement and enhancement, and product quality are core values that are critical to our success. We are a significant supplier and innovator in the following areas: (i) software driven products and services used to create and monitor the physiological effects of flight, including high performance jet tactical flight simulation, fixed and rotary wing upset prevention and recovery and spatial disorientation, and both suborbital and orbital commercial human spaceflight, collectively, Aircrew Training Systems (“ATS”); (ii) altitude (hypobaric) chambers; (iii) hyperbaric chambers for multiple persons (multiplace chambers); (iv) Advanced Disaster Management Simulators (“ADMS”); (v) steam and gas (ethylene oxide) sterilizers (“Sterilizer Systems” or "Sterilizers”); and (vi) Environmental Testing and Simulation Systems (“ETSS”).
We operate in two primary business segments, Aerospace Solutions (“Aerospace”) and Commercial/Industrial Systems (“CIS”). Aerospace encompasses the design, manufacture, and sale of: (i) ATS products; (ii) altitude (hypobaric) chambers; (iii) hyperbaric chambers for multiple persons (multiplace chambers); and (iv) ADMS, as well as integrated logistics support (“ILS”) for customers who purchase these products or similar products manufactured by other parties. These products and services provide customers with an offering of comprehensive solutions for improved readiness and reduced operational costs. Sales of our Aerospace products are made principally to U.S. and foreign government agencies and to civil aviation organizations. CIS encompasses the design, manufacture, and sale of: (i) steam and gas (ethylene oxide) sterilizers; and (ii) ETSS; as well as parts and service support for customers who purchase these products or similar products manufactured by other parties. Sales of our CIS products are made principally to the healthcare, pharmaceutical, and automotive industries.
ETC-PZL Aerospace Industries Sp. z o.o. (“ETC-PZL”), our
The majority of our net sales are generated from long-term contracts with foreign and U.S. governments and agencies (including foreign military sales (“FMS”) contracted through the U.S. Government) for the research, design, development, manufacture, integration, and sustainment of ATS products, including Chambers and the simulators manufactured and sold through ETC-PZL, collectively, ATS as well as long-term contracts with domestic and international customers for the sale of Sterilizer systems. The Company also enters into long-term contracts with domestic customers for the sale of ETSS. Net sales of ADMS are generally much shorter term in nature and vary between domestic and international customers. We generally provide our products and services under fixed-price contracts.
ETC’s unique ability to offer complete systems, designed and produced to high technical standards, sets it apart from its competition. ETC’s headquarters is located in Southampton, PA. For more information about ETC, visit http://www.etcusa.com/. The information contained on our website is not incorporated by reference in this news release.
Forward-looking Statements
This news release contains forward-looking statements, which are based on management’s expectations and are subject to uncertainties and changes in circumstances. Words and expressions reflecting something other than historical fact are intended to identify forward-looking statements, and these statements may include words such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “future”, “predict”, “potential”, “intend”, or “continue”, and similar expressions. We base our forward-looking statements on our current expectations and projections about future events or future financial performance. Our forward-looking statements are subject to known and unknown risks, uncertainties and assumptions about ETC and its subsidiaries that may cause actual results to be materially different from any future results implied by these forward-looking statements. We caution you not to place undue reliance on these forward-looking statements. Except as required by law, we assume no obligation to update or revise any forward looking statements.
| Table A | |||||||||||||||
| Environmental Tectonics Corporation | |||||||||||||||
| Summary Table of Results | |||||||||||||||
| (unaudited) | |||||||||||||||
| Thirteen weeks ended | Variance | ||||||||||||||
| (in thousands, except per share information) | August 29, 2025 | August 23, 2024 | ($) | (%) | |||||||||||
| Net sales | $ | 16,967 | $ | 14,083 | $ | 2,884 | 20.5 | ||||||||
| Cost of goods sold | 11,983 | 9,886 | 2,097 | 21.2 | |||||||||||
| Gross Profit | 4,984 | 4,197 | 787 | 18.8 | |||||||||||
| Gross profit margin % | 29.4% | 29.8% | - | - | |||||||||||
| Operating expenses | 2,491 | 2,219 | 272 | 12.3 | |||||||||||
| Operating income | 2,493 | 1,978 | 515 | 26.0 | |||||||||||
| Operating margin % | 14.7% | 14.0% | 0.7% | 5.0% | |||||||||||
| Interest expense, net | 542 | 233 | 309 | 132.6 | |||||||||||
| Other expense, net | 23 | 29 | (6 | ) | -20.7 | ||||||||||
| Income before income taxes | 1,928 | 1,716 | 212 | 12.4 | |||||||||||
| Pre-tax margin % | 11.4% | 12.2% | - | - | |||||||||||
| Income tax provision | 448 | 20 | 428 | 2140.0 | |||||||||||
| Net income | 1,480 | 1,696 | (216 | ) | -12.7 | ||||||||||
| Preferred Stock dividends | (121 | ) | (121 | ) | - | 0.0 | |||||||||
| Income attributable to common and | |||||||||||||||
| participating shareholders | $ | 1,359 | $ | 1,575 | $ | (216 | ) | -13.7 | |||||||
| Per share information: | |||||||||||||||
| Basic earnings per common and participating share: | |||||||||||||||
| Distributed earnings per share: | |||||||||||||||
| Common | $ | - | $ | - | $ | - | |||||||||
| Preferred | $ | 0.02 | $ | 0.02 | $ | - | 0.0 | ||||||||
| Undistributed earnings per share: | |||||||||||||||
| Common | $ | 0.09 | $ | 0.10 | $ | (0.01 | ) | -10.0 | |||||||
| Preferred | $ | 0.09 | $ | 0.10 | $ | (0.01 | ) | -10.0 | |||||||
| Diluted earnings per share | $ | 0.08 | $ | 0.09 | $ | (0.01 | ) | -11.1 | |||||||
| Total basic weighted average common and participating shares | 15,704 | 15,569 | |||||||||||||
| Total diluted weighted average shares | 16,628 | 16,725 | |||||||||||||
| Table B | |||||||||||||||
| Environmental Tectonics Corporation | |||||||||||||||
| Summary Table of Results | |||||||||||||||
| (unaudited) | |||||||||||||||
| (in thousands, except per share information) | Twenty-six weeks ended | Variance | |||||||||||||
| August 29, 2025 | August 23, 2024 | ($) | (%) | ||||||||||||
| Net sales | $ | 34,568 | $ | 27,575 | $ | 6,993 | 25.4 | ||||||||
| Cost of goods sold | 24,922 | 18,851 | 6,071 | 32.2 | |||||||||||
| Gross Profit | 9,646 | 8,724 | 922 | 10.6 | |||||||||||
| Gross profit margin % | 27.9% | 31.6% | - | - | |||||||||||
| Operating expenses | 4,989 | 5,194 | (205 | ) | -3.9 | ||||||||||
| Operating income | 4,657 | 3,530 | 1,127 | 31.9 | |||||||||||
| Operating margin % | 13.5% | 12.8% | 0.7% | 5.5% | |||||||||||
| Interest expense, net | 1,105 | 349 | 756 | 216.6 | |||||||||||
| Other (income) expense, net | (55 | ) | 85 | (140 | ) | -164.7 | |||||||||
| Income before income taxes | 3,607 | 3,096 | 511 | 16.5 | |||||||||||
| Pre tax margin % | 10.4% | 11.2% | -0.8 | % | - | ||||||||||
| Income tax provision (benefit) | 837 | 40 | 797 | 1992.5 | |||||||||||
| Net income | 2,770 | 3,056 | (286 | ) | -9.4 | ||||||||||
| Preferred Stock Dividends | (242 | ) | (242 | ) | - | 0.0 | |||||||||
| Income attributable to common and | |||||||||||||||
| participating shareholders | $ | 2,528 | $ | 2,814 | $ | (286 | ) | -10.2 | |||||||
| Per share information: | |||||||||||||||
| Basic earnings per common and participating share: | |||||||||||||||
| Distributed earnings per share: | |||||||||||||||
| Common | $ | - | $ | - | |||||||||||
| Preferred | $ | 0.04 | $ | 0.04 | $ | - | 0.0 | ||||||||
| Undistributed earnings per share: | |||||||||||||||
| Common | $ | 0.16 | $ | 0.18 | $ | (0.02 | ) | -11.1 | |||||||
| Preferred | $ | 0.16 | $ | 0.18 | $ | (0.02 | ) | -11.1 | |||||||
| Diluted earnings per share | $ | 0.15 | $ | 0.17 | $ | (0.02 | ) | -11.8 | |||||||
| Total basic weighted average common and | |||||||||||||||
| participating shares | 15,684 | 15,569 | |||||||||||||
| Total diluted weighted average shares | 16,649 | 16,725 | |||||||||||||
Contact: Tim Kennedy, CFO Phone: (215) 355-9100 x1531 E-mail: tkennedy@etcusa.com
FAQ
What were ETCC Q2 2026 net sales and how did they change versus Q2 2025?
How much backlog did ETCC report at the end of fiscal Q2 2026?
Why did ETCC net income decline in Q2 2026 despite higher sales?
How did ETCC operating income and gross profit perform in Q2 2026?
What drove ETCC revenue growth in the 2026 fiscal second quarter?
Did ETCC report any financing-related cost changes in Q2 2026?
