FY26 Q2 net income increases by $1.4 million year-over-year to $0.08 per share
WESTMINSTER, MA / ACCESS Newswire / November 13, 2025 /TechPrecision Corporation (NASDAQ:TPCS) ("TechPrecision" or "the Company"), a custom manufacturer of precision, large-scale fabrication components and precision, large-scale machined metal structural components, today reported financial results for the second quarter ended September 30, 2025. The components that we manufacture are customer designed and sold to customers in the defense and precision industrial markets. We have two wholly owned subsidiaries that are each reportable segments, Ranor and Stadco.
"Both Ranor and Stadco executed on a favorable project mix and improved gross margins and gross profit in the second quarter," stated Alexander Shen, TechPrecision's Chief Executive Officer. "We improved consolidated gross margin to 27% on $9.1 million in revenue in the second quarter of fiscal 2026, and consolidated gross profit totaled $2.5 million. Cost of revenue was lower at both Ranor and Stadco as a direct result of favorable mix at both segments."
"Customer confidence remains high with our backlog reaching $47.8 million as of September 30, 2025," Mr. Shen continued. "We expect to deliver this backlog over the next one to three fiscal years with expectations for gross margin improvement throughout the period."
The following summary compares the three and six months ended September 30, 2025 to the same prior year period:
Consolidated Financial Results - Fiscal 2026 Three Months Ended September 30, 2025
-
Revenue was $9.1 million, a 2% increase primarily on higher revenue at Stadco.
-
Cost of revenue was $6.6 million, or a 16% decrease primarily on favorable product mix at Ranor and Stadco.
-
Gross profit was $2.5 million, an increase of $1.4 million driven by improved operating performance at both Ranor and Stadco.
-
SG&A was $1.5 million or 1% higher, as an increase in compensation slightly offset a decrease in advisory costs.
-
Operating income was $0.9 million in the second quarter of fiscal 2026, compared to a loss of $0.5 million in the same period a year ago, primarily due to improved margin drop-through.
-
Interest expense increased by 12%, due primarily to interest costs for our revolver loan borrowings.
-
Net income was $0.8 million, compared with net loss $0.6 million in the same period a year ago.
Consolidated Financial Results - Fiscal 2026 Six Months Ended September 30, 2025
-
Revenue was $16.5 million, a 3% decrease primarily on lower revenue at Ranor.
-
Cost of revenue was $13.0 million, or a 17% decrease primarily on favorable product mix at Ranor and Stadco.
-
Gross profit was $3.5 million, an increase of $2.2 million driven by improved operating performance at both Ranor and Stadco.
-
SG&A was $3.0 million or 2% lower, primarily on a decrease in outside advisory costs.
-
Operating income was $0.5 million compared to a loss of $1.8 million in the same period a year ago, primarily due to improved margin drop-through.
-
Interest expense increased by 3%, due primarily to interest costs for our revolver loan borrowings.
-
Net income was $0.2 million, compared with net loss $2.1 million in the same period a year ago.
Financial Position
On September 30, 2025 and March 31, 2025, the Company had approximately $0.2 million and $0.2 million in cash and cash equivalents, respectively. Working capital was $0.3 million on September 30, 2025 and debt totaled $7.3 million. Working capital was negative $1.7 million and total debt was $7.4 million on March 31, 2025.
Conference Call
The Company will hold a conference call at 4:30 p.m. Eastern (U.S.) time on Thursday, November 13, 2025. To participate in the live conference call, please dial 1-877-545-0523 five to 10 minutes prior to the scheduled conference call time. International callers should dial 1-973-528-0016. When prompted, reference TechPrecision and enter code 305080.
A replay will be available until November 27, 2025. To access the replay, dial 1-877-481-4010 or 1-919-882-2331. When prompted, enter Conference Passcode 53138.
The call will also be available over the Internet and accessible at: https://www.webcaster5.com/Webcast/Page/2198/53138 .
About TechPrecision Corporation
TechPrecision Corporation, through its wholly owned subsidiaries, Ranor, Inc. and Stadco, The manufacturing operations of our Ranor subsidiary are situated on approximately 65 acres in North Central Massachusetts. Leveraging our 145,000 square foot facilities, Ranor provides a full range of custom solutions to transform material into precision finished welded components and precision finished machined components up to 100 tons: manufacturing engineering, materials management and traceability, high-precision heavy fabrication (in-house fabrication operations include cutting, press and roll forming, welding, heat treating, assembly, blasting and painting), heavy high-precision machining (in-house machining operations include CNC programming, finishing, and assembly), QC inspection including portable CMM, NonDestructive Testing, and final packaging.
All manufacturing at Ranor is performed in accordance with customer requirements. Ranor is an ISO 9001:2015 certificate holder. Ranor is a US defense-centric company with over 95% of its revenue in the defense sector. Ranor is registered and compliant with ITAR.
The manufacturing operations of our Stadco subsidiary are situated in an industrial self-contained multi-building complex comprised of approximately 183,000 square feet under roof in Los Angeles, California. Stadco manufactures large mission-critical components on several high-profile military aircraft, military helicopter, and military space programs. Stadco has been a critical supplier to a blue-chip customer base that includes some of the largest OEMs and prime contractors in the defense and aerospace industries. Stadco also manufactures tooling, molds, fixtures, jigs and dies used in the production of defense-centric aircraft components.
Our Stadco subsidiary, similar to Ranor, provides a full range of custom solutions: manufacturing engineering, materials management and traceability, high-precision fabrication (in-house fabrication operations include waterjet cutting, press forming, welding, and assembly) and high-precision machining (in-house machining operations include CNC programming, finishing, and assembly), QC inspection including both fixed and portable CMM NonDestructive Testing, and final packaging. In addition, Stadco features a large electron beam welding cell, and two NonDestructive Testing work cells, a unique mission-critical technology set.
All manufacturing at Stadco is performed in accordance with customer requirements. Stadco is an AS 9100 D and ISO 9001:2015 certificate holder and a NADCAP NonDestructive Testing certificate holder. Stadco is a US defense-centric company with over 95% of its revenue in the defense sector. Stadco is registered and compliant with ITAR.
To learn more about the Company, please visit the corporate website at http://www.techprecision.com . Information on the Company's website or any other website does not constitute a part of this press release.
Safe Harbor Statement
This release contains certain "forward-looking statements" relating to the business of the Company and its subsidiary companies. All statements other than statements of current or historical fact contained in this press release, including statements that express our intentions, plans, objectives, beliefs, expectations, strategies, predictions or any other statements relating to our future activities or other future events or conditions are forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "predict," "project," "prospects," "will," "should," "would" and similar expressions, as they relate to us, are intended to identify forward-looking statements. These statements are based on current expectations, estimates and projections made by management about our business, our industry and other conditions affecting our financial condition, results of operations or business prospects. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in, or implied by, the forward-looking statements due to numerous risks and uncertainties. Factors that could cause such outcomes and results to differ include, but are not limited to, risks and uncertainties arising from: our reliance on individual purchase orders, rather than long-term contracts, to generate revenue; our ability to balance the composition of our revenues and effectively control operating expenses; external factors that may be outside our control, including health emergencies, like epidemics or pandemics, the conflicts in Eastern Europe and the Middle East, price inflation, interest rate increases and supply chain inefficiencies; the availability of appropriate financing facilities impacting our operations, financial condition and/or liquidity; our ability to receive contract awards through competitive bidding processes; our ability to maintain standards to enable us to manufacture products to exacting specifications; our ability to enter new markets for our services; our reliance on a small number of customers for a significant percentage of our business; competitive pressures in the markets we serve; changes in the availability or cost of raw materials and energy for our production facilities; restrictions in our ability to operate our business due to our outstanding indebtedness; government tariffs, regulations and requirements; pricing and business development difficulties; changes in government spending on national defense; our ability to make acquisitions and successfully integrate those acquisitions with our business; our failure to maintain effective internal controls over financial reporting; general industry and market conditions and growth rates; and other risks discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website (www.sec.gov). Any forward-looking statements speak only as of the date on which they are made, and we undertake no obligation to publicly update or revise any forward-looking statements to reflect events or circumstances that may arise after the date of this press release, except as required by applicable law. Investors should evaluate any statements made by us in light of these important factors.
TECHPRECISION CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
September 30,
March 31,
(in thousands, except per share data)
2025
2025
ASSETS
Current assets:
Cash and cash equivalents
$
220
$
195
Accounts receivable, less allowances of $0 and $22, on September 30 and March 31, 2025
3,102
2,192
Contract assets
10,132
9,587
Raw materials
2,525
1,800
Work-in-process
1,197
1,082
Other current assets
552
490
Total current assets
17,728
15,346
Property, plant and equipment, net
12,091
13,791
Right of use asset, net
3,902
4,268
Other noncurrent assets
122
122
Total assets
$
33,843
$
33,527
LIABILITIES AND STOCKHOLDERS' EQUITY:
Current liabilities:
Accounts payable
$
3,122
$
2,437
Accrued expenses
3,268
3,685
Contract liabilities
1,442
1,040
Customer deposits
1,631
1,631
Current portion of long-term lease liability
782
770
Current portion of long-term debt, net
7,199
7,353
Total current liabilities
17,444
16,916
Long-term equipment financing
-
3
Long-term lease liability
3,246
3,638
Other noncurrent liability
4,046
4,230
Total liabilities
24,736
24,787
Stockholders' Equity:
Common stock - par value $.0001 per share, 50,000,000 shares authorized: Shares issued and outstanding: September 30, 2025 - 9,952,950 and 9,947,950, respectively. Shares issued and outstanding: March 31, 2025 - 9,761,825 and 9,751,825, respectively.
1
1
Additional paid in capital
19,024
18,885
Accumulated deficit
(9,918
)
(10,146
)
Total stockholders' equity
9,107
8,740
Total liabilities and stockholders' equity
$
33,843
$
33,527
TECHPRECISION CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended September 30,
Six Months Ended September 30,
(in thousands, except per share data)
2025
2024
2025
2024
Revenue
$
9,086
$
8,946
$
16,465
$
16,932
Cost of revenue
6,628
7,932
12,977
15,679
Gross profit
2,458
1,014
3,488
1,253
Selling, general and administrative
1,516
1,502
3,009
3,082
Income (loss) from operations
942
(488
)
479
(1,829
)
Other income
1
---
2
13
Interest expense
(118
)
(113
)
(253
)
(245
)
Total other expense
(117
)
(113
)
(251
)
(232
)
Income (loss) before income taxes
825
(601
)
228
(2,061
)
Income tax expense
---
---
---
---
Net income (loss)
$
825
$
(601
)
$
228
$
(2,061
)
Net income (loss) per share - basic and diluted
$
0.08
$
(0.06
)
$
0.02
$
(0.22
)
Weighted average shares outstanding: basic
9,874,627
9,568,660
9,816,556
9,279,967
diluted
10,155,565
9,568,660
10,029,167
9,279,967
TECHPRECISION CORPORATION
REVENUE, COST OF REVENUE, GROSS PROFIT BY SEGMENT
Three months ended:
September 30, 2025
September 30, 2024
Changes
Percent of
Percent of
(dollars in thousands)
Amount
Revenue
Amount
Revenue
Amount
Percent
Revenue
Ranor
$
4,373
48
%
$
4,790
54
%
$
(417
)
(9
)%
Stadco
4,819
53
%
4,223
47
%
596
14
%
Intersegment elimination
(106
)
(1
)%
(67
)
(1
)%
(39
)
(58
)%
Consolidated Revenue
$
9,086
100
%
$
8,946
100
%
$
140
2
%
Cost of revenue
Ranor
$
2,271
25
%
$
3,272
37
%
$
(1,001
)
(31
)%
Stadco
4,463
49
%
4,727
53
%
(264
)
(6
)%
Intersegment elimination
(106
)
(1
)%
(67
)
(1
)%
(39
)
(58
)%
Consolidated Cost of revenue
$
6,628
73
%
$
7,932
89
%
$
(1,304
)
(16
)%
Gross profit
Ranor
$
2,208
24
%
$
1,585
17
%
$
623
39
%
Stadco
250
3
%
(571
)
(6
)%
821
144
%
Consolidated Gross profit
$
2,458
27
%
$
1,014
11
%
$
1,444
143
%
Six months ended:
September 30, 2025
September 30, 2024
Changes
Percent of
Percent of
(dollars in thousands)
Amount
Revenue
Amount
Revenue
Amount
Percent
Revenue
Ranor
$
8,670
53
%
$
9,172
54
%
$
(502
)
(5
)%
Stadco
8,151
49
%
7,827
46
%
324
4
%
Intersegment elimination
(356
)
(2
)%
(67
)
---
%
(289
)
(431
)%
Consolidated Revenue
$
16,465
100
%
$
16,932
100
%
$
(467
)
(3
)%
Cost of revenue
Ranor
$
5,215
32
%
$
6,417
38
%
$
(1,202
)
(19
)%
Stadco
8,118
49
%
9,329
55
%
(1,211
)
(13
)%
Intersegment elimination
(356
)
(2
)%
(67
)
-
%
(289
)
(431
)%
Consolidated Cost of revenue
$
12,977
79
%
$
15,679
93
%
$
(2,702
)
(17
)%
Gross profit
Ranor
$
3,562
21
%
$
2,822
16
%
$
740
26
%
Stadco
(74
)
---
%
(1,569
)
(9
)%
1,495
95
%
Consolidated Gross profit
$
3,488
21
%
$
1,253
7
%
$
2,235
179
%
TECHPRECISION CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(in thousands, except per share data)
2025
2024
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)
$
228
$
(2,061
)
Adjustments to reconcile net income (loss) to net cash used in operating activities:
Depreciation and amortization
1,404
1,391
Amortization of debt issue costs
38
38
Change in fair value of stock acquisition termination fee
---
419
Stock based compensation expense
139
18
Change in contract loss provision
(136
)
223
Changes in operating assets and liabilities:
Accounts receivable
(910
)
(16
)
Contract assets
(545
)
(1,018
)
Work-in-process and raw materials
(840
)
(110
)
Other current assets
(62
)
105
Accounts payable
685
1,741
Accrued expenses
(655
)
208
Contract liabilities
402
(1,271
)
Other noncurrent liabilities
(184
)
(92
)
Net cash used in operating activities
(436
)
(425
)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of property, plant, and equipment
(2,245
)
(1,622
)
Reimbursements for purchases of property, plant and equipment
2,907
1,000
Net cash provided by (used in) investing activities
662
(622
)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from private placement
---
1,801
Private placement fees
---
(213
)
Debt issue costs
(30
)
(48
)
Revolver loan borrowings
8,940
6,746
Revolver loan payments
(8,770
)
(6,931
)
Payments of principal for leases
(5
)
(5
)
Repayments of long-term debt
(336
)
(309
)
Net cash (used in) provided by financing activities
(201
)
1,041
Net increase (decrease) in cash and cash equivalents
25
(6
)
Cash and cash equivalents, beginning of period
195
138
Cash and cash equivalents, end of period
$
220
$
132
EBITDA Non-GAAP Financial Measure
Three Months ended September 30,
Six Months ended September 30,
(dollars in thousands)
2025
2024
Change
2025
2024
Change
Net income (loss)
$
825
$
(601
)
$
1,427
$
228
$
(2,061
)
$
2,289
Income tax expense
---
---
---
---
---
---
Interest expense (1)
118
113
5
253
245
8
Depreciation and amortization
701
697
4
1,404
1,391
13
EBITDA
$
1,644
$
209
$
1,435
$
1,885
$
(425
)
$
2,310
-
Includes amortization of debt issue costs.
| Company Contact: |
Investor Relations Contact: |
| Phillip Podgorski |
Hayden IR |
| Chief Financial Officer |
Brett Maas |
| TechPrecision Corporation |
Phone: 646-536-7331 |
| Phone: 978-874-0591 |
Email: brett@haydenir.com |
| Email: podgorskip@Ranor.com |
Website: www.haydenir.com |
| Website: www.TechPrecision.com |
SOURCE:TechPrecision Corporation
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