false 0000814676 0000814676 2024-03-06 2024-03-06
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 8-K
 
Current Report 
 
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
 
 
Date of Report (Date of earliest event reported): March 6, 2024
 
 
CPS TECHNOLOGIES CORP.
(Exact Name of Registrant as Specified in its Charter)
 
 
Delaware
0-16088
04-2832509
(State or other jurisdiction of incorporation)
(Commission File Number)
(IRS Employer Identification No.)
 
111 South Worcester Street, Norton, Massachusetts
02766
(Address of principal executive offices)
(Zip Code)
 
Registrants telephone number, including area code
508-222-0614
 
(Former name or former address, if changed since last report.)
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
 
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 
Soliciting material pursuant to Rule 14a-12 under the exchange Act (17 CFR 240.14a-12)
 
Pre-commencement communications pursuant to rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
 
Pre-commencement communications pursuant to Rule 13e-4( c)) under the Exchange Act (17 CFR 240.13e-4(c)).
 
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
 
Securities registered pursuant to Section 12(b) of the Act: 
 
Title of each class
Trading Symbol(s)
Name of each exchange on which registered
Common Stock, $0.01 par value
CPSH
Nasdaq Capital Market
 
 

 
Item 2.02 Results of Operations and Financial Condition
 
On March 6, 2024, the Company issued a press release announcing its financial results for the quarter and year ended December 30, 2023. A copy of the press release is attached hereto as Exhibit 99 and is incorporated herein in its entirety by reference.
 
The information in this Item 2.02, including Exhibit 99.1 attached hereto, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (The “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing. 
 
Cautionary Note Regarding Forward-Looking Statements.
Except for historical information contained in the press release attached as an exhibit hereto, the press release contains forward-looking statements which involve certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these statements. Please refer to the cautionary note in the press release regarding these forward-looking statements.
 
Item 8.01 Other Events 
 
Exhibit 99.2 is incorporated herein in its entirety by reference. 
 
Item 9.01 Financial Statements and Exhibits
 
EXHIBIT
NUMBER
DESCRIPTION
99.1
99.2
104
Cover Page Interactive Data File (embedded within the Inline XBRL document)
 
 

 
SIGNATURE
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
 
CPS Technologies Corp.
(Registrant)
Date:  March 8, 2024
/s/ Charles K. Griffith, Jr.
Charles K. Griffith Jr.
Chief Financial Officer
 
 

Exhibit 99.1

 image01.jpg

 

 

FOR RELEASE: IMMEDIATE

 

 

CPS Technologies Corporation Announces Fourth Quarter 2023 Financial Results

 

Finished Year with Record Top Line Results; Large Pipeline of Opportunities for 2024 & Beyond

 

Norton, Massachusetts – March 6, 2024 – CPS Technologies Corporation (NASDAQ:CPSH) (“CPS” or the “Company”) today announced financial results for the fiscal fourth quarter ended December 30, 2023.

 

Fourth Quarter Highlights

 

 

Revenue of $6.7 million for the fourth quarter of 2023 versus $6.1 million in the prior-year period, primarily due to growth in shipments

 

 

Gross margin of 17.0 percent versus 26.6 percent in the fourth quarter of 2022, reflecting certain quality issues with a major customer

 

 

Operating profit of $0.1 million for the quarter ended December 30, 2023 compared to $0.3 million in the prior-year period

 

“We finished the year with the highest annual revenue in the Company’s history – $27.6 million – driven by 10 percent growth in the fourth quarter versus the prior-year period,” said Brian Mackey, President and CEO. “We are cautiously optimistic that the quality issues previously disclosed have been largely mitigated and should not have a material impact on 2024 results. While the Continuing Resolution in Washington has hampered certain decision making, impacting some of our new business development initiatives, we believe our strong position across the Company’s diverse end markets provides plenty of opportunity for further top line expansion. That said, the U.S. Navy contract for HybridTech Armor® panels is, as previously discussed, expected to be completed during the second quarter of this year. We remain steadfast in our mission to pursue other fast-growing industrial and technological applications that can accelerate demand and drive CPS to new levels of performance. We continue to invest for the future, and I am confident that order flow will improve as the year plays out. Even as short-term headwinds exist, the future is bright for CPS.”

 

Results of Operations

CPS reported revenue of $6.7 million in the fourth quarter of fiscal 2023 versus $6.1 million in the prior-year period, reflecting overall growth in product shipments. Gross profit was $1.1 million, or 17.0 percent of revenue, versus $1.6 million, or 26.6 percent of revenue, in the fiscal 2022 fourth quarter, with the lower gross margin year-over-year largely due to quality issues with one of the Company’s major customers.

 

Operating profit was $0.1 million in the fiscal 2023 fourth quarter compared with $0.3 million in the prior-year period. Reported net income was also $0.2 million, or $0.01 per diluted share, versus $0.3 million, or $0.02 per diluted share, in the quarter ended December 31, 2022.

 

Conference Call

The Company will be hosting its fourth quarter 2023 earnings call at 9:00 am on March 7, 2024. Those interested in participating in the conference call should dial the following: 

Call in Number: 1-844-943-2942

Participant Passcode: 531915

The Company encourages those who wish to participate to call in 10 minutes before the scheduled start time to ensure the operator can connect all participants.

 

 

Page 2

 

 

About CPS

CPS is a technology and manufacturing leader in producing high-performance materials solutions for its customers. The company’s products and intellectual property address critical needs in a variety of applications, including electric trains and subway cars, wind turbines, hybrid vehicles, electric vehicles, Navy ships, the smart electric grid, 5G infrastructure and others. CPS hermetic packages can be found in many Aerospace and Satellite applications.  CPS’ armor products provide exceptional ballistic protection and environmental durability at very light weight. CPS is committed to innovation and to supporting our customers in building solutions for the transition to clean energy.

 

Safe Harbor

Statements made in this document that are not historical facts or which apply prospectively, including those relating to 2024 financial results, are forward-looking statements that involve risks and uncertainties. These forward-looking statements are identified by the use of terms and phrases such as "will," "intends," "believes," "expects," "plans," "anticipates" and similar expressions. Investors should not rely on forward looking statements because they are subject to a variety of risks and uncertainties and other factors that could cause actual results to differ materially from the company's expectation. Additional information concerning risk factors is contained from time to time in the company's SEC filings, including its Annual Report on Form 10-K and other periodic reports filed with the SEC. Forward-looking statements contained in this press release speak only as of the date of this release. Subsequent events or circumstances occurring after such date may render these statements incomplete or out of date. The company expressly disclaims any obligation to update the information contained in this release.

 

 

CPS Technologies Corporation                                      
111 South Worcester Street
Norton, MA 02766

www.cpstechnologysolutions.com

 

Investor Relations:

Chris Witty

646-438-9385

cwitty@darrowir.com

 

 

 

Page 3

 

CPS TECHNOLOGIES CORPORATION

Statements of Operations (Unaudited)

 

 

   

Three Months Ended

   

Year Ended

 
   

December 30,

   

December 31,

   

December 30,

   

December 31,

 
   

2023

   

2022

   

2023

   

2022

 

Revenues:

                               

Product sales

  $ 6,747,199     $ 6,115,352     $ 27,550,646     $ 26,586,926  

Total revenues

  $ 6,747,199     $ 6,115,352     $ 27,550,646     $ 26,586,926  
                                 

Cost of product sales

    5,598,616       4,489,640       20,725,237       19,285,846  

Gross Margin

    1,148,583       1,625,712       6,825,409       7,301,080  
                                 

Selling, general, and administrative expense

    1,004,948       1,316,530       5,126,046       5,066,660  

Income from operations

    143,635       309,182       1,699,363       2,234,420  
                                 

Interest/Other income (expense)

    80,823       9,866       253,018       635,248  

Net income before income tax

    224,458       319,048       1,952,381       2,887,668  

Income tax provision (benefit)

    84,948       50,057       582,085       756,268  

Net income

  $ 139,510     $ 268,991     $ 1,370,296     $ 2,131,400  
                                 

Wtd. Avg. basic common shares outstanding - diluted

    14,617,473       14,649,719       14,628,811       14,675,646  
                                 

Net income per basic common share

  $ 0.01     $ 0.02     $ 0.09     $ 0.15  

 

 

 

Page 4

 

CPS TECHNOLOGIES CORP.

Balance Sheets (Unaudited)

 

   

December 30,

   

December 31,

 
   

2023

   

2022

 
ASSETS                
                 

Current assets:

               
Cash and cash equivalents   $ 8,813,626     $ 8,266,753  
Accounts receivable-trade, net     4,389,155       3,777,975  
Accounts Receivable - other     83,191       685,668  
Inventories, net     4,581,930       4,875,901  
Prepaid expenses and other current assets     276,349       211,242  
Total current assets     18,144,251       17,817,539  

Net property and equipment

    1,556,139       1,326,968  
                 

Right-of-use lease asset

    332,000       466,000  

Deferred taxes, net

    1,569,726       2,069,436  

Total Assets

  $ 21,602,116     $ 21,679,943  

 

               
LIABILITIES AND STOCKHOLDERS’ EQUITY                
                 
Current liabilities:                
Note payable, current portion     46,797       43,711  
Accounts payable     2,535,086       1,836,865  
Accrued expenses     1,075,137       820,856  
Deferred revenue     251,755       2,521,128  
Lease liability, current portion     160,000       157,000  
Total current liabilities     4,068,775       5,379,560  
Note payable less current portion     8,090       54,847  
Deferred revenue – long term     31,277       231,020  
Long term lease liability     172,000       309,000  
Total liabilities     4,280,142       5,974,427  
                 
Total stockholders’ equity     17,321,974       15,705,516  
Total liabilities and stockholders’ equity   $ 21,602,116     $ 21,679,943  

 

 

Exhibit 99.2

 image01.jpg

 

CPS TECHNOLOGIES CORPORATION

Statements of Operations (Unaudited)

 

   

Three Months Ended

   

Year Ended

 
   

December 30,

   

December 31,

   

December 30,

   

December 31,

 
   

2023

   

2022

   

2023

   

2022

 

Revenues:

                               

Product sales

  $ 6,747,199     $ 6,115,352     $ 27,550,646     $ 26,586,926  

Total revenues

  $ 6,747,199     $ 6,115,352     $ 27,550,646     $ 26,586,926  
                                 

Cost of product sales

    5,598,616       4,489,640       20,725,237       19,285,846  

Gross Margin

    1,148,583       1,625,712       6,825,409       7,301,080  
                                 

Selling, general, and administrative expense

    1,004,948       1,316,530       5,126,046       5,066,660  

Income from operations

    143,635       309,182       1,699,363       2,234,420  
                                 

Interest/Other income (expense)

    80,823       9,866       253,018       635,248  

Net income before income tax

    224,458       319,048       1,952,381       2,887,668  

Income tax provision (benefit)

    84,948       50,057       582,085       756,268  

Net income

  $ 139,510     $ 268,991     $ 1,370,296     $ 2,131,400  
                                 

Wtd. Avg. basic common shares outstanding - diluted

    14,617,473       14,649,719       14,628,811       14,675,646  
                                 

Net income per basic common share

  $ 0.01     $ 0.02     $ 0.09     $ 0.15  

 

 

 

Page 2

 

CPS TECHNOLOGIES CORP.

Balance Sheets (Unaudited)

 

    December 30,    

December 31,

 
    2023    

2022

 
ASSETS                
Current assets:                

Cash and cash equivalents

  $ 8,813,626     $ 8,266,753  

Accounts receivable-trade, net

    4,389,155       3,777,975  

Accounts Receivable - other

    83,191       685,668  

Inventories, net

    4,581,930       4,875,901  

Prepaid expenses and other current assets

    276,349       211,242  
Total current assets     18,144,251       17,817,539  

Net property and equipment

    1,556,139       1,326,968  
                 

Right-of-use lease asset

    332,000       466,000  

Deferred taxes, net

    1,569,726       2,069,436  

Total Assets

  $ 21,602,116     $ 21,679,943  
                 
LIABILITIES AND STOCKHOLDERS’ EQUITY                
                 

Current liabilities:

               
Note payable, current portion     46,797       43,711  
Accounts payable     2,535,086       1,836,865  
Accrued expenses     1,075,137       820,856  
Deferred revenue     251,755       2,521,128  
Lease liability, current portion     160,000       157,000  

Total current liabilities

    4,068,775       5,379,560  

Note payable less current portion

    8,090       54,847  

Deferred revenue – long term

    31,277       231,020  

Long term lease liability

    172,000       309,000  

Total liabilities

    4,280,142       5,974,427  
                 

Total stockholders’ equity

    17,321,974       15,705,516  

Total liabilities and stockholders’ equity

  $ 21,602,116     $ 21,679,943  

 

 
v3.24.0.1
Document And Entity Information
Mar. 06, 2024
Document Information [Line Items]  
Entity, Registrant Name CPS TECHNOLOGIES CORP.
Document, Type 8-K
Document, Period End Date Mar. 06, 2024
Entity, Incorporation, State or Country Code DE
Entity, File Number 0-16088
Entity, Tax Identification Number 04-2832509
Entity, Address, Address Line One 111 South Worcester Street
Entity, Address, City or Town Norton
Entity, Address, State or Province MA
Entity, Address, Postal Zip Code 02766
City Area Code 508
Local Phone Number 222-0614
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Entity, Emerging Growth Company false
Title of 12(b) Security Common Stock, $0.01 par value
Trading Symbol CPSH
Security Exchange Name NASDAQ
Amendment Flag false
Entity, Central Index Key 0000814676

Grafico Azioni CPS Technologies (NASDAQ:CPSH)
Storico
Da Ott 2024 a Nov 2024 Clicca qui per i Grafici di CPS Technologies
Grafico Azioni CPS Technologies (NASDAQ:CPSH)
Storico
Da Nov 2023 a Nov 2024 Clicca qui per i Grafici di CPS Technologies