Business
OPTICAL CABLE CORPORATION REPORTS THIRD QUARTER OF 2022 FINANCIAL RESULTS
OCC® Achieves Year-over-Year Increases in Net Sales and Gross Profit in the Third Quarter and First Nine Months of Fiscal Year 2022 ROANOKE, Va. , Sept. 12,
About this update from Optical Cable Corporation
[{"type":"text","content":"OCC® Achieves Year-over-Year Increases in Net Sales and Gross Profit in the Third Quarter and First Nine Months of Fiscal Year 2022\nROANOKE, Va. , Sept. 12, 2022 /PRNewswire/ -- Optical Cable Corporation (Nasdaq GM: OCC) (\"OCC®\" or the \"Company\") today announced financial results for its third quarter ended July 31, 2022.\n\n \n \n \n \n \n \n\n \nThird Quarter 2022 Financial ResultsConsolidated net sales for the third quarter of fiscal year 2022 increased 11.2% to $17.4 million, compared to net sales of $15.6 million for the same period last year. The Company experienced an increase in net sales in its specialty markets, including the wireless carrier market, in the third quarter of fiscal 2022, compared to the same period last year. The increase was partially offset by a decrease in net sales in the enterprise market.\nDuring the third quarter of fiscal year 2022, the Company continued to see product demand, sales and production volume increase compared to the same period last year. Its sales order backlog/forward load exceeded $15.0 million at the end of the third quarter of fiscal year 2022—remaining approximately three-to-five times higher than typical levels—as product demand continues to be robust. \nProduction volumes continued to be tempered during the third quarter of fiscal year 2022 by supply chain and labor constraints, hindering further net sales increases. The Company experienced improvement in production labor recruitment during the third quarter of fiscal year 2022, from which the Company expects to benefit in the future. The training of new production employees impacts production volumes (and labor costs) until those employees are fully trained and operating at capacity.\nGross profit increased 17.6% to $4.8 million in the third quarter of fiscal year 2022, compared to gross profit of $4.1 million for the same period last year.\nGross profit margin, or gross profit as a percentage of net sales, was 27.7% in the third quarter of fiscal year 2022 compared to 26.2% in the third quarter of fiscal year 2021. \nGross profit margins during the third quarter of fiscal year 2022 were impacted by increases in production labor and material costs, partially offset by necessary prospective price increases on new sales orders for many of the Company's products. \nSG&A expenses increased to $5.0 million during the third ...