Business
ETC Announces Fiscal 2022 Full Year and Fourth Quarter Results
ETC Announces Fiscal 2022 Full Year and Fourth Quarter Results.
About this update from Environmental Tectonics Corp.
[{"type":"text","content":"\n SOUTHAMPTON, Pa., June 09, 2022 (GLOBE NEWSWIRE) -- Environmental Tectonics Corporation (OTC Pink: ETCC) (“ETC” or the “Company”) today reported its financial results for the fifty-two week period ended February 25, 2022 (“fiscal 2022”) and the thirteen week period ended February 25, 2022 (the “2022 fourth quarter”). Robert L. Laurent, Jr., ETC’s Chief Executive Officer and President stated, “ETC’s fiscal 2022 results, though below historical levels, improved over the prior year, but those results were once again affected by worldwide travel restrictions that made sales activities challenging. Fiscal 2022 results reflect a net sales increase of 17.7%, gross profit increase of 241.6%, a 14 % reduction in operating expense and other income of $5.2 million, leading to a return to net income $1.8 million. We enter fiscal 2023 with significant prospects.” Fiscal 2022 Results of Operations Bookings / Sales Backlog Bookings in fiscal 2022 were $19.6 million, leaving our sales backlog as of February 25, 2022, which represents the sales we expect to recognize for our products and services for which control has not yet transferred to the customer, at $19.3 million compared to $16.0 million as of February 26, 2021. We expect to recognize as revenue approximately 86% of the total sales backlog as of February 25, 2022 over the next twelve (12) months and approximately 94% over the next twenty-four (24) months, with the remainder to be recognized thereafter. Of the February 25, 2022 sales backlog, $8.7 million, or 45.1%, pertains to International contracts within the Aerospace segment. Net Earnings Attributable to ETC Net earnings attributable to ETC was $1.8 million, or $0.08 diluted earnings per share, in fiscal 2022, compared to net loss of 7.5 million during fiscal 2021, equating to $0.51 diluted loss per share. The $9.3 million favorable variance is due to the combined effect of a $3.1 million increase in gross profit on sales growth, in addition to favorable $1.2 million decrease in operating expenses. The remaining favorability in 2022 was a result of the Paycheck Protection Program (PPP) loan forgiveness of $2.45 million along with the US Government’s Employee Retention Credit (ERC) of $2.78 million. Net Sales Net sales for fiscal 2022 were $19.1 million,...