CPI Aerostructures Reports Fourth Quarter and Full Year 2022 Results
14 Aprile 2023 - 10:55PM
CPI Aerostructures, Inc. (“CPI Aero” or the “Company”) (NYSE
American: CVU) today announced financial results for the three and
twelve month periods ended December 31, 2022.
“We closed the year with results from operations
and EPS exceeding our 2021 performance,” said Dorith Hakim,
President and CEO. “The combination of the reduction in
non-profitable programs and operational performance improvements
resulted in a 5.1 percentage point increase in gross margin
delivering $9.2 million in bottom line profitability, including our
deferred tax asset valuation allowance reduction of $6.5 million
described below. We achieved a $2.4 million improvement in net
income compared to 2021 on lower revenues with higher margins,
while reducing our debt by $3.4 million and increasing working
capital by 5.9%. In addition, total backlog as of December 31, 2022
increased to $514.5 million compared to $501.7 million as of
December 31, 2021,” said Dorith Hakim, President and CEO.
Added Ms. Hakim, “After reevaluating our net
operating loss carryforwards (“NOLs”), and based on our performance
outlook, we determined that the valuation allowance we maintain on
our deferred tax asset should be reduced by $6.5 million, and we
realized a tax benefit in the fourth quarter of 2022 of the same
amount upon recording this reduction.”
Ms. Hakim noted that “the Company’s financial
performance has resulted in the Company regaining compliance with
the continued listing standards of Section 1003(a)(i) and
1003(a)(ii) of the NYSE American Company Guide. At December 31,
2022, the Company had income from continuing operations for its
last two fiscal years, shareholders’ equity of $4.2 million and
total assets and annual revenue in excess of $50 million. As of
March 20, 2023, the “BC” compliance indicator was no longer
disseminated by NYSE American and the Company was removed from the
list of noncompliant issuers on NYSE American’s website.”
Concluded Ms. Hakim, “We have completed a number
of programs during 2022 and started ramping up our manufacturing
capacity in support of newer programs. As a result, we expect
slightly higher revenue in 2023 while sustaining profitability and
positive operating cash flow for the year. We remain confident in
CPI Aero’s long-term outlook and are looking forward to the
opportunities ahead as we build on our reputation for high quality
and reliable performance for our customers.”
About CPI AeroCPI Aero is a
U.S. manufacturer of structural assemblies for fixed wing aircraft,
helicopters and airborne Intelligence Surveillance and
Reconnaissance pod systems in both the commercial aerospace and
national security markets. Within the global aerostructure supply
chain, CPI Aero is either a Tier 1 supplier to aircraft OEMs or a
Tier 2 subcontractor to major Tier 1 manufacturers. CPI also is a
prime contractor to the U.S. Department of Defense, primarily the
Air Force. In conjunction with its assembly operations, CPI Aero
provides engineering, program management, supply chain management,
and MRO services.
Forward-looking StatementsThis
press release contains 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.
All statements, other than statements of historical fact, included
or incorporated in this press release are forward-looking
statements. The words “expect,” ”outlook,” “opportunities ahead,”
and similar expressions are intended to identify these
forward-looking statements. These forward-looking statements
include the Company’s expected financial results for the year
ending December 31, 2023. The Company does not guarantee that it
will actually achieve the plans, intentions or expectations
disclosed in its forward-looking statements and you should not
place undue reliance on the Company’s forward-looking
statements.
Forward-looking statements involve risks and
uncertainties, and actual results could vary materially from these
forward-looking statements. There are a number of important factors
that could cause the Company’s actual results to differ materially
from those indicated or implied by its forward-looking statements,
including those important factors set forth under the caption “Risk
Factors” in the Company’s Annual Report on Form 10-K for the period
ended December 31, 2022 filed with the Securities and Exchange
Commission. Although the Company may elect to do so at some point
in the future, the Company does not assume any obligation to update
any forward-looking statements and it disclaims any intention or
obligation to update or revise any forward-looking statement,
whether as a result of new information, future events or
otherwise.
CPI Aero® is a registered trademark of CPI
Aerostructures, Inc. For more information, visit www.cpiaero.com,
and follow us on Twitter @CPIAERO.
Contacts: |
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Investor Relations CounselLHA Investor RelationsJody Burfening(212)
838-3777cpiaero@lhai.com |
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CPI Aerostructures, Inc.Andrew L. DavisChief Financial Officer(631)
586-5200adavis@cpiaero.comwww.cpiaero.com |
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CPI AEROSTRUCTURES, INC. AND
SUBSIDIARIES CONSOLIDATED
BALANCE SHEETS
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December 31,2022 |
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|
December 31,2021 |
|
ASSETS |
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|
|
|
|
|
|
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Current Assets: |
|
|
|
|
|
|
|
|
Cash |
|
$ |
3,847,225 |
|
|
$ |
6,308,866 |
|
Accounts receivable, net |
|
|
4,857,772 |
|
|
|
4,967,714 |
|
Insurance recovery receivable |
|
|
3,600,000 |
|
|
|
2,850,000 |
|
Contract assets |
|
|
27,384,540 |
|
|
|
24,459,339 |
|
Inventory |
|
|
2,493,069 |
|
|
|
4,028,925 |
|
Refundable income taxes |
|
|
40,000 |
|
|
|
40,000 |
|
Prepaid expenses and other current assets |
|
|
975,830 |
|
|
|
625,075 |
|
Total Current Assets |
|
|
43,198,436 |
|
|
|
43,279,919 |
|
|
|
|
|
|
|
|
|
|
Operating lease right-of-use assets |
|
|
6,526,627 |
|
|
|
7,796,768 |
|
Property and equipment, net |
|
|
1,124,556 |
|
|
|
1,646,863 |
|
Deferred tax asset |
|
|
6,574,463 |
|
|
|
— |
|
Intangibles, net |
|
|
— |
|
|
|
125,000 |
|
Goodwill |
|
|
1,784,254 |
|
|
|
1,784,254 |
|
Other assets |
|
|
238,744 |
|
|
|
372,741 |
|
Total Assets |
|
$ |
59,447,080 |
|
|
$ |
55,005,545 |
|
|
|
|
|
|
|
|
|
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LIABILITIES AND SHAREHOLDERS’ EQUITY
(DEFICIT) |
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Current Liabilities: |
|
|
|
|
|
|
|
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Accounts payable |
|
$ |
8,029,996 |
|
|
$ |
10,429,018 |
|
Accrued expenses |
|
|
7,344,590 |
|
|
|
6,102,587 |
|
Litigation settlement obligation |
|
|
3,600,000 |
|
|
|
3,003,259 |
|
Contract liabilities |
|
|
6,001,726 |
|
|
|
5,122,766 |
|
Loss reserve |
|
|
576,549 |
|
|
|
1,495,714 |
|
Current portion of line of credit |
|
|
1,200,000 |
|
|
|
— |
|
Current portion of long-term debt |
|
|
1,719,766 |
|
|
|
3,365,181 |
|
Operating lease liabilities |
|
|
1,817,811 |
|
|
|
1,580,453 |
|
Income taxes payable |
|
|
11,396 |
|
|
|
5,165 |
|
Total Current Liabilities |
|
|
30,301,834 |
|
|
|
31,104,143 |
|
|
|
|
|
|
|
|
|
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Line of credit, net of current portion |
|
|
19,800,000 |
|
|
|
21,250,000 |
|
Long-term operating lease liabilities |
|
|
5,077,235 |
|
|
|
6,445,728 |
|
Long-term debt, net of current portion |
|
|
70,981 |
|
|
|
1,540,747 |
|
Total Liabilities |
|
|
55,250,050 |
|
|
|
60,340,618 |
|
|
|
|
|
|
|
|
|
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Shareholders’ Equity (Deficit): |
|
|
|
|
|
|
|
|
Common stock - $.001 par value; authorized 50,000,000 shares,
12,506,795 and 12,335,683 shares, respectively, issued and
outstanding |
|
|
12,507 |
|
|
|
12,336 |
|
Additional paid-in capital |
|
|
73,189,449 |
|
|
|
72,833,742 |
|
Accumulated deficit |
|
|
(69,004,926 |
) |
|
|
(78,181,151 |
) |
Total Shareholders’ Equity (Deficit) |
|
|
4,197,030 |
|
|
|
(5,335,073 |
) |
Total Liabilities and Shareholders’ Equity
(Deficit) |
|
$ |
59,447,080 |
|
|
$ |
55,005,545 |
|
|
|
|
|
|
|
|
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CPI AEROSTRUCTURES, INC. AND
SUBSIDIARIESCONSOLIDATED STATEMENTS OF
OPERATIONS
|
|
2022 |
|
|
2021 |
|
|
|
|
|
|
|
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Revenue |
|
$ |
83,335,764 |
|
|
$ |
103,369,544 |
|
|
|
|
|
|
|
|
|
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Cost of sales |
|
|
67,031,502 |
|
|
|
88,364,452 |
|
|
|
|
|
|
|
|
|
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Gross profit |
|
|
16,304,262 |
|
|
|
15,005,092 |
|
|
|
|
|
|
|
|
|
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Selling, general and administrative expenses |
|
|
11,410,067 |
|
|
|
11,823,921 |
|
Income from operations |
|
|
4,894,195 |
|
|
|
3,181,171 |
|
|
|
|
|
|
|
|
|
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Other income (expense): |
|
|
|
|
|
|
|
|
Other income |
|
|
— |
|
|
|
4,795,000 |
|
Interest expense |
|
|
(2,271,101 |
) |
|
|
(1,141,189 |
) |
Total other income (expense), net |
|
|
(2,271,101 |
) |
|
|
3,653,811 |
|
Income before provision for income taxes |
|
|
2,623,094 |
|
|
|
6,834,982 |
|
|
|
|
|
|
|
|
|
|
Provision for (benefit from) income taxes |
|
|
(6,553,131 |
) |
|
|
14,609 |
|
Net income |
|
$ |
9,176,225 |
|
|
$ |
6,820,373 |
|
|
|
|
|
|
|
|
|
|
Income per common share-unrestricted shares |
|
$ |
0.74 |
|
|
$ |
0.56 |
|
Income per common share-restricted shares |
|
$ |
0.74 |
|
|
$ |
0.56 |
|
|
|
|
|
|
|
|
|
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Shares used in computing income per common share: |
|
|
|
|
|
|
|
|
Unrestricted shares |
|
|
12,286,781 |
|
|
|
11,960,134 |
|
Restricted shares |
|
|
103,109 |
|
|
|
233,692 |
|
Total shares |
|
|
12,389,890 |
|
|
|
12,193,826 |
|
|
|
|
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Grafico Azioni CPI Aerostructures (AMEX:CVU)
Storico
Da Mag 2024 a Giu 2024
Grafico Azioni CPI Aerostructures (AMEX:CVU)
Storico
Da Giu 2023 a Giu 2024