Business
Cemtrex Reports Fourth Quarter and Full Fiscal Year 2022 Financial Results
Fiscal Full Year 2022 Revenue Increased 17% to a $50.3M Strategic Divestiture of Non-Core Assets and Transformative Restructuring to Accelerate Vicon and AIS
About this update from Cemtrex Inc.
[{"type":"text","content":"Fiscal Full Year 2022 Revenue Increased 17% to a $50.3M\nStrategic Divestiture of Non-Core Assets and Transformative Restructuring to Accelerate Vicon and AIS Brands Reducing Overhead by $6.2M Management to Host Conference Call January 5, 2023 at 5:00 p.m. Eastern Time Brooklyn, NY, Dec. 28, 2022 (GLOBE NEWSWIRE) -- - December 28, 2022 - Cemtrex Inc. (NASDAQ: CETX, CETXP), an advanced security technology and industrial services company, has reported its financial and operational results for the fourth quarter and fiscal year ended September 30, 2022. Key Fourth Quarter 2022 and Subsequent Highlights Completed divestiture of non-core assets to focus on accelerating its Vicon and AIS brands, a transformative business restructuring that will result in operating expense reduction of over $5.2 million per year on a go forward basis.The Company has also identified another $1M in corporate overhead from legal, accounting, and development expenses that were incurred in FY 2022 that will not be incurred in FY 2023. This will result in approximately $6.2M in operating expense reduction to be realized going forward from Nov 2022.Revenue for the full year of 2022 increased 17% to $50.3 million, compared to revenue of $43.1 million for the full year of 2021.Gross margin up 634 basis points to 40% in Q4’22 from 33% in the prior year quarterCash and equivalents as of September 30th, 2022 was $10.6MAppointed Shane Compton as Chief Operating Officer of Vicon, a 20-year operations veteran who will lead operational growth, oversee sales and engineering, and spearhead efficiency initiatives. Management Commentary Cemtrex Chairman and CEO, Saagar Govil, commented on the results: “2022 was a transformative year for Cemtrex, marked by our decision to undertake a significant restructuring in which we divested the Smartdesk and VR subsidiaries to focus exclusively on our Vicon Industries and Advanced Industrial Services (AIS) businesses. We continue to see escalating demand for these businesses and believe this shift in focus to capture significant near-term opportunities will help us to reach positive operating income by 2024 and maximize shareholder value over the next several years. “Year over year improving revenues in our Advanced Technologies segment were led by Vicon, with strong demand from major customers for its award winning, Roughneck camera...