Business
Cemtrex Reports First Quarter 2023 Financial Results
Q1’23 Revenue Increased 27% to $12.0M, Security Segment Revenues Increased 61% to 7.0M in Q1’23 Gross Margin up 790 basis points to 42% in Q1’23 Management to
About this update from Cemtrex Inc.
[{"type":"text","content":"Q1’23 Revenue Increased 27% to $12.0M, Security Segment Revenues Increased 61% to 7.0M in Q1’23\nGross Margin up 790 basis points to 42% in Q1’23 Management to Host Conference Call Today at 5:00 p.m. Eastern Time Brooklyn, NY, Feb. 14, 2023 (GLOBE NEWSWIRE) -- - Cemtrex Inc. (NASDAQ: CETX, CETXP), an advanced security technology and industrial services company, has reported its financial and operational results for the first quarter ended December 31, 2022. Key First Quarter FY 2023 and Subsequent Highlights Revenue for Q1’23 increased 27% to $12.0 million, compared to revenue of $9.4 million for Q1’22.Gross margin up 790 basis points to 42% in Q1’23 from 34% in the prior year quarterOperating loss for Q1’23 declined 41% to $2.0 million from $3.3 million in Q1’22.Completed divestiture of non-core assets to focus on accelerating its Vicon and AIS brands, a transformative business restructuring that will result in approximately $6.2M in operating expense reduction to be realized going forward from Nov 2022.Announced a capitalization restructure, effecting a 1-for-35 reverse stock split.The Company’s common stock regained full compliance with the minimum bid price requirement for continued listing on The Nasdaq Capital Market.Received a $1.5 million order through Vicon Industries, in January, from a current large border protection customer in Texas to expand its security technology system with new security solutions.Appointed Shane Compton as Chief Operating Officer of Vicon, a 20-year industry veteran who will lead operational growth, oversee sales and engineering, and spearhead efficiency initiatives.Cash and equivalents as of December 31, 2022 was $5.8 million. Management Commentary Cemtrex Chairman and CEO, Saagar Govil, commented on the results: “The first quarter of fiscal year 2023 was highlighted by continued topline growth as we grew sales by 27% year over year. Additionally, the different steps we have taken operationally have led to a gross margin improvement of 790 basis points to 42%. We expect to see continued increases in our gross margin over the next couple quarters as we drive improvements in Vicon’s business. Overall operating income improved with the operating loss for the quarter declining by 41%. We are pleased with the progress we are making to drive better operational results since our shift in focus to our ...