Research Reports

Summary

Revenue declined modestly year-over-year, reflecting lower unit volume partially offset by higher net revenue per unit; gross and operating margins expanded meaningfully, and free cash flow strengthened significantly — driven by disciplined cost management and a large workforce-housing order that increased customer deposits and finished goods inventory.

Key takeaways

Revenue was $34.4M (-3.7%), primarily due to lower unit volume, partially offset by higher net revenue per unit.

Gross profit was $19.4M (+5.2%), with gross margin at 56.5%, reflecting improved product mix and cost discipline.

Operating income was $12.4M (+6.9%), supported by gross profit growth and stable operating expense discipline.

Net income was $10.9M (+6.3%), with diluted EPS of $0.46 (+12.2%), reflecting both earnings growth and share count discipline.

Full analysis

Revenue and Unit Volume

Gross Profit and Margin Expansion

Operating and Net Income Performance

Operating income rose 6.9% to $12.4 million, and operating margin reached 36.1%, indicating continued leverage in the cost structure. Net income increased 6.3% to $10.9 million, and diluted EPS grew 12.2% to $0.46. The stronger EPS growth relative to net income reflects share count discipline, though specific repurchase activity details (e.g., number of shares or program size) are unsupported and omitted.