Optex Systems (OPXS) Q4 2024 earnings summary

Executive summary

• Achieved another strong year with multi-year contract wins across all major platforms, driving significant backlog and factory leverage.

• Backlog increased to $44.2 million as of September 29, 2024, up 5.7% from the prior year.

• Revenue grew 32.5% year-over-year to $34.0 million, driven by increased military product demand.

• Both operating segments contributed to revenue and profit growth.

Financial highlights

• Revenue rose to $33.995 million from $25.659 million, a 32.5% increase year-over-year.

• Gross profit increased 44.0% to $9.529 million, with gross margin improving to 28.0% from 25.8%.

• Operating income grew 73.0% to $4.821 million.

• Net income rose 66.5% to $3.768 million; Adjusted EBITDA increased 69.7% to $5.733 million.

• Basic EPS increased to $0.56 from $0.34 year-over-year.

Outlook and guidance

• Management anticipates continued positive trends into 2025, supported by strong backlog and supplier performance.