EX-99.1 2 ex_822498.htm EXHIBIT 99.1 ex_822498.htm

Exhibit 99.1

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M-tron Industries, Inc. Reports Continued Strength in Second Quarter 2025 Results

 

Revenues increased 12.5%, or $1.5 million, to $13.3 million for the three months ended June 30, 2025 from $11.8 million for the three months ended June 30, 2024

Net income per diluted share decreased 15.9%, or $0.10, to $0.53 for the three months ended June 30, 2025 from $0.63 for the three months ended June 30, 2024

Backlog increased 35.0%, or $15.9 million, to $61.2 million as of June 30, 2025 from $45.3 million as of June 30, 2024

 

ORLANDO, Florida (August 12, 2025— M-tron Industries, Inc. (NYSE American: MPTI, MPTI WS) ("Mtron" or the "Company"), a U.S.-based designer and manufacturer of highly-engineered electronic components and solutions for the aerospace and defense, avionics, and space industries, announced strong financial results for the three and six months ended June 30, 2025.

 

"We're pleased to report strong revenue growth, an indicator of the value our products and solutions are delivering to our customers," said Cameron Pforr, Interim Chief Executive Officer. "Even more encouraging is the significant increase in our backlog, which reflects the strength of our pipeline and growing demand across our markets. This momentum positions us well for sustained performance in the second half of 2025 and beyond."

 

   

Three Months Ended June 30,

         

Six Months Ended June 30,

       
   

2025

 

2024

 

% Change

 

2025

 

2024

 

% Change

U.S. GAAP Financial Measures

                                               

Revenues

  $ 13,282     $ 11,808       12.5 %   $ 26,014     $ 22,993       13.1 %

Gross margin

    43.6 %     46.6 %     -6.4 %     43.0 %     44.7 %     -3.7 %

Net income

  $ 1,560     $ 1,744       -10.6 %   $ 3,190     $ 3,230       -1.2 %

Net income per diluted share

  $ 0.53     $ 0.63       -15.9 %   $ 1.09     $ 1.16       -6.2 %
                                                 

Non-GAAP Financial Measures (a)

                                               

Adjusted EBITDA

  $ 2,419     $ 2,523       -4.1 %   $ 4,921     $ 4,785       2.8 %

(a)

A reconciliation of non-GAAP financial measures to the most comparable GAAP measure is provided at the end of this press release.

 

 

 

 

Results from Operations

 

Second Quarter 2025

Revenue was $13.3 million for the three months ended June 30, 2025 compared with $11.8 million for the three months ended June 30, 2024. The increase was primarily due to continued strong defense program product and solution shipments.

 

Gross margin was 43.6% for the three months ended June 30, 2025 compared with 46.6% for the three months ended June 30, 2024. The decrease was primarily due to product mix and the impact of tariffs partially offset by higher revenues.

 

Net income was $1.6 million, or $0.53 per diluted share, for the three months ended June 30, 2025 compared with $1.7 million, or $0.63 per diluted share, for the three months ended June 30, 2024. The decrease was primarily due to lower gross margins discussed above as well as higher Engineering, selling and administrative expenses from increased investment in research and development, higher sales commissions related to an increase in revenues, and an increase in administrative and corporate expenses consistent with the overall growth in the business.

 

Adjusted EBITDA was $2.4 million for the three months ended June 30, 2025 compared with $2.5 million for the three months ended June 30, 2024. The decrease was primarily due to lower gross margins as well as the increase in Engineering, selling and administrative discussed above.

 

Fiscal Year to Date 2025

Revenue was $26.0 million for the six months ended June 30, 2025 compared with $23.0 million for the six months ended June 30, 2024. The increase was primarily due to continued strong defense program product and solution shipments.

 

Gross margin was 43.0% for the six months ended June 30, 2025 compared with 44.7% for the six months ended June 30, 2024. The decrease was primarily due to product mix and the impact from tariffs partially offset by higher revenues.

 

Net income was $3.2 million, or $1.09 per diluted share, for the six months ended June 30, 2025 compared with $3.2 million, or $1.16 per diluted share, for the six months ended June 30, 2024. The decrease was primarily due to lower gross margins discussed above as well as higher Engineering, selling and administrative expenses from increased investment in research and development, higher sales commissions related to an increase in revenues, and an increase in administrative and corporate expenses consistent with the overall growth in the business.

 

Adjusted EBITDA was $4.9 million for the six months ended June 30, 2025 compared with $4.8 million, or $1.72 per diluted share, for the six months ended June 30, 2024. The increase was primarily due to a substantial increase in revenue partially offset by reduced gross margins and increase in Engineering, selling and administrative discussed above.

 

Backlog

 

Backlog was $61.2 million as of June 30, 2025 compared to $47.2 million as of December 31, 2024 and $45.3 million as of June 30, 2024. The increase in backlog reflects broad demand for our products including continued purchasing under several large aerospace and defense programs, the initiation of orders for new aerospace and defense programs, and a recent uptick in avionics and space industry orders.

 

Investor Call

 

Management, including Mr. Pforr, will host a conference call with the investment community on Wednesday, August 13, 2025, to discuss the Company's second quarter 2025 results and to respond to investor questions.

 

The call will begin at 10:30 a.m. Eastern Time (U.S. and Canada) on Wednesday August 13, 2025, and can be accessed using the dial-in details below:

Toll-Free Dial-in Number:

(800) 715-9871

Toll Dial-in Number:

+1 (646) 307-1963

Conference ID:

4709075

 

An archive will be available after the call on the Investor Relations section of Mtron's website at ir.mtron.com, along with Mtron's earnings release.

 

 

 

 

About Mtron

 

M-tron Industries, Inc. (NYSE American: MPTI) designs, manufactures, and markets highly engineered, high reliability frequency and spectrum control products and solutions. As an engineering-centric company, Mtron provides close support to its customers throughout our products' entire life cycle, including product design, prototyping, production, and subsequent product upgrades. Mtron has design and manufacturing facilities in Orlando, Florida, and Yankton, South Dakota, a sales office in Hong Kong, and a manufacturing facility in Noida, India. For more information, visit www.mtron.com.

 

Cautionary Note Concerning Forward Looking Statements

 

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, such as those pertaining to the uncertain financial impact of COVID-19 and the Company’s financial condition, results of operations, business strategy and financial needs. All statements other than statements of current or historical fact contained in this press release are forward-looking statements. The words "believe," "expect," "anticipate," "should," "plan," "will," "may," "could," "intend," "estimate," "predict," "potential," "continue" or the negative of these terms and similar expressions, as they relate to Mtron, are intended to identify forward-looking statements.

 

These forward-looking statements are largely based on current expectations and projections about future events and financial trends that may affect the financial condition, results of operations, business strategy and financial needs of the Company. They can be affected by inaccurate assumptions, including the risks, uncertainties and assumptions described in the filings made by Mtron with the Securities and Exchange Commission, including those risks set forth under the heading "Risk Factors" in the Company’s Annual Report on Form 10-K as filed with the SEC on March 27, 2025. In light of these risks, uncertainties and assumptions, the forward-looking statements in this press release may not occur and actual results could differ materially from those anticipated or implied in the forward-looking statements. When you consider these forward-looking statements, you should keep in mind these risk factors and other cautionary statements in this press release.

 

These forward-looking statements speak only as of the date of this press release. Mtron undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Accordingly, readers are cautioned not to place undue reliance on these forward-looking statements. For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

 

###

 

Contact:

 

M-tron Industries, Inc. Investor Relations

ir@mtron.com

 

Cameron Pforr

Interim Chief Executive Officer

 

 

 

 

 

M-tron Industries, Inc.

Quarterly Summary

(Unaudited)

 

   

2022

 

2023

 

2024

 

2025

(in thousands)

 

Q1

 

Q2

 

Q3

 

Q4

 

Q1

 

Q2

 

Q3

 

Q4

 

Q1

 

Q2

 

Q3

 

Q4

 

Q1

 

Q2

Revenues

  $ 7,691     $ 7,064     $ 8,417     $ 8,673     $ 9,367     $ 10,140     $ 10,888     $ 10,773     $ 11,185     $ 11,808     $ 13,214     $ 12,805     $ 12,732     $ 13,282  

Y/Y

                                    21.8 %     43.5 %     29.4 %     24.2 %     19.4 %     16.4 %     21.4 %     18.9 %     13.8 %     12.5 %
                                                                                                                 

Gross margin

    37.3 %     37.5 %     32.4 %     35.7 %     34.1 %     41.6 %     42.8 %     43.6 %     42.7 %     46.6 %     47.8 %     47.2 %     42.5 %     43.6 %

Y/Y

                                    -8.6 %     10.9 %     32.1 %     22.1 %     25.2 %     12.0 %     11.7 %     8.3 %     -0.5 %     -6.4 %
                                                                                                                 

Net income (a)

  $ 619     $ 486     $ 503     $ 190     $ 553     $ 1,277     $ 1,586     $ 73     $ 1,486     $ 1,744     $ 2,267     $ 2,139     $ 1,630     $ 1,560  

Y/Y

                                    -10.7 %     162.8 %     215.3 %     -61.6 %     168.7 %     36.6 %     42.9 %     2830.1 %     9.7 %     -10.6 %
                                                                                                                 

Adjusted EBITDA (b)

  $ 1,177     $ 841     $ 876     $ 1,114     $ 1,028     $ 1,931     $ 2,336     $ 2,397     $ 2,262     $ 2,523     $ 3,300     $ 3,056     $ 2,502     $ 2,419  

Y/Y

                                    -12.7 %     129.6 %     166.7 %     115.2 %     120.0 %     30.7 %     41.3 %     27.5 %     10.6 %     -4.1 %

(a)

Q1 2022 - Q3 2022 do not include any public company costs as these periods were pre-IPO.

(b)

A reconciliation of non-GAAP financial measures to the most comparable GAAP measure is provided at the end of this press release.

 

 

 

 

M-tron Industries, Inc.

Condensed Consolidated Statements of Operations

(Unaudited)

 

   

Three Months Ended June 30,

 

Six Months Ended June 30,

(in thousands, except share data)

 

2025

 

2024

 

2025

 

2024

Revenues

  $ 13,282     $ 11,808     $ 26,014     $ 22,993  

Costs and expenses:

                               

Manufacturing cost of sales

    7,490       6,307       14,816       12,713  

Engineering, selling and administrative

    3,948       3,394       7,341       6,384  

Total costs and expenses

    11,438       9,701       22,157       19,097  

Operating income

    1,844       2,107       3,857       3,896  

Other income (expense):

                               

Interest income, net

    124       44       235       76  

Other income (expense), net

    27       (5 )     17       37  

Total other income, net

    151       39       252       113  

Income before income taxes

    1,995       2,146       4,109       4,009  

Income tax expense

    435       402       919       779  

Net income

  $ 1,560     $ 1,744     $ 3,190     $ 3,230  
                                 

Income per common share:

                               

Basic

  $ 0.55     $ 0.64     $ 1.12     $ 1.19  

Diluted

  $ 0.53     $ 0.63     $ 1.09     $ 1.16  
                                 

Weighted average shares outstanding:

                               

Basic

    2,853,383       2,728,599       2,848,419       2,723,293  

Diluted

    2,934,594       2,779,802       2,931,053       2,783,739  

 

 

 

 

 

M-tron Industries, Inc.

Condensed Consolidated Balance Sheets

(Unaudited)

 

(in thousands)

 

June 30, 2025

 

December 31, 2024

Assets:

               

Current assets:

               

Cash and cash equivalents

  $ 15,529     $ 12,641  

Accounts receivable, net of reserves of $218 and $182, respectively

    6,261       6,842  

Inventories, net

    9,116       9,509  

Prepaid expenses and other current assets

    874       760  

Total current assets

    31,780       29,752  

Property, plant and equipment, net

    5,939       5,061  

Right-of-use lease asset

    242       9  

Intangible assets, net

    40       40  

Deferred income tax asset

    1,691       1,623  

Other assets

          3  

Total assets

  $ 39,692     $ 36,488  
                 

Liabilities:

               

Total current liabilities

    4,689       5,216  

Non-current liabilities

    190        

Total liabilities

    4,879       5,216  
                 

Total stockholders' equity

    34,813       31,272  

Total liabilities and stockholders' equity

  $ 39,692     $ 36,488  

 

 

 

 

Non-GAAP Financial Measures

 

Throughout this press release, including the results from operations, the Company presents its financial condition and results of operations in the way it believes will be most meaningful and representative of its business results. Some of the measurements the Company uses are "Non-GAAP financial measures" under SEC rules and regulations. The non-GAAP financial measures the Company presents are listed below and may not be comparable to similarly-named measures reported by other companies. the reconciliations of such measures to the most comparable GAAP measures in accordance with Regulation G are included within the relevant tables attached to this press release. The presentation of this additional information is not meant to be considered in isolation or as a substitute for net earnings or diluted earnings per share prepared in accordance with GAAP.

 

The Company uses the following operating performance measure because the Company believes it provides both management and investors with a more complete understanding of the underlying operational results and trends and our marketplace performance

 

Adjusted EBITDA is derived by excluding the items set forth below from Income before income taxes. Excluded items include the following:

 

Interest income

 

Interest expense

 

Depreciation

 

Amortization

 

Non-cash stock-based compensation

 

Other discrete items that might have a significant impact on comparable GAAP measures and could distort the evaluation of our normal operating performance

 

Reconciliation of GAAP Income Before Income Taxes to Non-GAAP Adjusted EBITDA

   

Three Months Ended June 30,

 

Six Months Ended June 30,

(in thousands, except share data)

 

2025

 

2024

 

2025

 

2024

Income before income taxes

  $ 1,995     $ 2,146     $ 4,109     $ 4,009  

Adjustments:

                               

Interest income

    (124 )     (44 )     (235 )     (76 )

Depreciation

    270       220       520       439  

Amortization

                      5  

Total adjustments

    146       176       285       368  

EBITDA

    2,141       2,322       4,394       4,377  

Non-cash stock compensation

    278       201       527       408  

Adjusted EBITDA

  $ 2,419     $ 2,523     $ 4,921     $ 4,785  

 

 

 

 

The following table is a reconciliation of Adjusted EBITDA to Income before income taxes:

   

2022

 

2023

 

2024

   

2025

(in thousands)

 

Q1

 

Q2

 

Q3

 

Q4

 

Q1

 

Q2

 

Q3

 

Q4

 

Q1

 

Q2

 

Q3

 

Q4

 

Q1

 

Q2

Revenues

  $ 7,691     $ 7,064     $ 8,417     $ 8,673     $ 9,367     $ 10,140     $ 10,888     $ 10,773     $ 11,185     $ 11,808     $ 13,214     $ 12,805     $ 12,732     $ 13,282  
                                                                                                                 

Income before income taxes

  $ 794     $ 592     $ 614     $ 595     $ 719     $ 1,582     $ 2,046     $ 53     $ 1,863     $ 2,146     $ 3,008     $ 2,758     $ 2,114     $ 1,995  

Adjustments:

                                                                                                               

Interest expense (income)

    3       2       1       5       2       5       (1 )     (13 )     (32 )     (44 )     (63 )     (104 )     (111 )     (124 )

Depreciation

    148       165       173       185       195       190       192       220       219       220       278       251       250       270  

Amortization

    13       14       13       14       13       14       13       13       5                                

Total adjustments

    164       181       187       204       210       209       204       220       192       176       215       147       139       146  

EBITDA

    958       773       801       799       929       1,791       2,250       273       2,055       2,322       3,223       2,905       2,253       2,141  

Non-cash stock compensation

    219       68       75       96       71       140       86       2,124       207       201       77       151       249       278  

Excess Spin-off costs

                      219       28                                                        

Adjusted EBITDA

  $ 1,177     $ 841     $ 876     $ 1,114     $ 1,028     $ 1,931     $ 2,336     $ 2,397     $ 2,262     $ 2,523     $ 3,300     $ 3,056     $ 2,502     $ 2,419  
                                                                                                                 

Adjusted EBITDA margin

    15.3 %     11.9 %     10.4 %     12.8 %     11.0 %     19.0 %     21.5 %     22.3 %     20.2 %     21.4 %     25.0 %     23.9 %     19.7 %     18.2 %