Business
TechPrecision Corporation Reports First Quarter Fiscal 2022 Financial Results
Improved throughput boosts gross profit and gross marginWESTMINSTER, MA / ACCESSWIRE / August 12, 2021 / TechPrecision Corporation (OTCQB:TPCS)
About this update from Techprecision Corporation
[{"type":"text","content":"Improved throughput boosts gross profit and gross marginWESTMINSTER, MA / ACCESSWIRE / August 12, 2021 / TechPrecision Corporation (OTCQB:TPCS) (\"TechPrecision\" or \"the Company\"), an industry-leading manufacturer of precision, large-scale fabricated and machined metal components and tested systems with customers in the defense and precision industrial sectors, today reported financial results for the Fiscal 2022 first quarter ended June 30, 2021.First quarter net sales were $3.4 million or 4% higher when compared to $3.3 million in the same quarter a year ago. Gross profit was 20% higher at $0.8 million when compared to gross profit of $0.7 million for the first quarter a year ago.\"Our results for the first quarter of fiscal 2022 were better than the first quarter of fiscal 2021 due to a favorable and more profitable project mix with our defense and precision industrial customers, and lower unabsorbed overhead costs.\" stated Alexander Shen, TechPrecision's Chief Executive Officer.\"This is the second consecutive quarter with improved gross margins,\" added Mr. Shen. \"We expect to carry these improvements into the remainder of fiscal 2022 and beyond.\"On May 12, 2021, as authorized by Section 1106 of the CARES Act, the Small Business Administration remitted to Berkshire Bank, the lender of record, a payment of principal in the amount of $1,317,100, for forgiveness of the Company's Paycheck Protection Program (PPP) loan. The funds credited to the bank paid this loan off in full. Loan forgiveness is recorded as a gain in the consolidated statement of operations.First Quarter of Fiscal 2022 Financial ResultsNet sales were $3.4 million, or 4% higher when compared to the same quarter a year ago,Cost of sales were $2.6 million, slightly lower than the same quarter a year ago.Gross profit was $833,000, an increase of 20% compared to $697,000 in the same quarter last year.SG&A decreased by $61,000, or 8%, primarily on lower compensation and outside advisory expenses, which more than offset an increase in travel costs as COVID-19 restrictions began to subside.Operating income was $100,000, compared to an operating loss of $96,000, in the same quarter a year ago.We recorded a gain of $1.3 million from the PPP loan forgiveness.Net income was $1.4 million, compared to a net loss of $116,000 for the same period a year ago.EBITDA* was $...