Business
ETC Announces Fiscal 2022 Second Quarter Results
ETC Announces Fiscal 2022 Second Quarter Results.
About this update from Environmental Tectonics Corp.
[{"type":"text","content":"\n SOUTHAMPTON, Pa., Oct. 08, 2021 (GLOBE NEWSWIRE) -- Environmental Tectonics Corporation (OTC Pink: ETCC) (“ETC” or the “Company”) today reported its financial results for the thirteen week period ended August 27, 2021 (the “2022 second quarter”) and the twenty-six week period ended August 27, 2021 (the “2022 first half”). Robert L. Laurent, Jr., ETC’s Chief Executive Officer and President stated, “While our revenues have not quite rebounded to pre-pandemic levels, we are pleased that our operating cost management efforts have allowed us to minimize our losses the best we can during these challenging times.” Fiscal 2022 Second Quarter Results of Operations Net Loss Attributable to ETCNet loss attributable to ETC was $1.4 million, or $0.10 diluted loss per share, in the 2022 second quarter, compared to $1.7 million during the 2021 second quarter, equating to $0.12 diluted loss per share. The $0.3 million variance is due to the combined effect of a $0.5 million decrease in operating expenses, offset, in part, by a $0.1 million decrease in gross profit and a $0.1 million increase in other expense, net. Net SalesNet sales for both the 2022 second quarter and the 2021 second quarter were $4.4 million. Although net sales remained flat, there was a shift in sales within Aeromedical Training Solutions from U.S. Government to International. There were also decreases in Simulation and ETSS sales to International customers that were offset by an increase in Domestic Sterilizers sales. Net sales were negatively impacted in both the 2022 second quarter and the 2021 second quarter due to the combination of a lower backlog entering fiscal 2021 compounded with the ongoing effects of the COVID-19 global pandemic, which has impacted the Company’s ability to generate bookings, especially internationally. Gross ProfitGross profit for the 2022 second quarter was $0.7 million compared to $0.8 million in the 2021 second quarter, a decrease of $0.1 million, or 6.7%. The decrease in gross profit was due primarily to the slight shift in net sales from Aerospace Solutions to CIS. Gross profit margin as a percentage of net sales decreased to 16.5% for the 2022 second quarter compared to 17.8% for the 2021 second quarter. Operating ExpensesOperating expenses, including sales and marke...