Business
ARC Group Worldwide Reports Strong Increase in Revenue and Profitability for the Fiscal Second Quarter 2021
ARC Group Worldwide Reports Strong Increase in Revenue and Profitability for the Fiscal Second Quarter 2021.
About this update from Rm2 International, Inc.
[{"type":"text","content":"DELAND, FL / ACCESSWIRE / February 8, 2021 / ARC Group Worldwide, Inc. (OTC PINK:ARCW)("ARC" or the "Company"), a leading global provider of advanced manufacturing, today reports its results for the second fiscal quarter ending December 27, 2020. ARC reports sequential quarterly income growth for fiscal year to date 2021.Highlights for the second quarter of fiscal year 2021 compared to the second quarter fiscal year 2020 for Continuing Operations:Net sales were $14.5 million, increasing by 23.4%;Gross profit was $3.1 million, increasing by 120.5%;Operating expenses were $1.7 million, decreasing by 27.5%;Interest and financing costs were $0.3 million, decreasing by 66.5%;Income from continuing operations was $1.0 million.EBITDA and Adjusted EBITDA was $2.8 million. Adjusted EBITDA is a non-GAAP financial measure, which is reconciled to the most directly comparable GAAP financial measure and more fully defined in the enclosed table.Highlights for the first six months ended December 27, 2020, compared to the first six months ended December 29, 2019 for Continuing Operations:Net sales were $25.9 million, increasing by 15.9%;Gross profit was $5.2 million, increasing by 99.1%;Operating expenses were $3.4 million, decreasing by 25.8%;Interest and financing costs were $0.6 million, decreasing by 66.3%;Income from continuing operations was $1.1 million.EBITDA was $4.7 million.Prior year financials for the fiscal second quarter include the results of ARC Metal Stamping, LLC ("AMS"), which was divested in December 2019 and are presented as discontinued operations.Quarterly Financial SummaryThe following analysis is performed over Sales, Gross Profit, and EBITDA from Continuing Operations for the comparative periods identified unless otherwise noted.Current year fiscal second quarter net sales were $14.5 million, compared to $11.7 million in our prior year same period. Revenue by industry for our precision injection molded components shifted substantially year over year on a quarterly basis but manufacturing agility allowed ARC to re-tool and still drive profitable growth.Defense sector revenue doubled over prior fiscal year same quarter driven by strong plastics manufacturing growth as well as industry related economic and political uncertainty.Aerospace was hardest hit and saw a year over year decrease in rev...