Optex Systems Reports Revenue and Profit Increase for Q1 2025

Optex Systems Holdings, Inc. announced financial results for the quarter ending December 29, 2024, highlighting a 17.6% increase in revenue. The company's operating profit surged by 65.6% compared to the previous year. This was largely attributed to heightened demand for specific products such as periscopes and laser filters. CEO Danny Schoening expressed optimism about the company's strong backlog, anticipating revenue exceeding $38 million for fiscal 2025.

The backlog stood at $42.0 million, down 6.7% from the previous year, mainly due to timing in customer orders. Nonetheless, the company remains optimistic about new orders. Optex also reported a consolidated gross profit increase of 26.4%, driven by a favorable product mix and stable fixed costs.

For the quarter, Optex's net income nearly doubled to $0.8 million, and adjusted EBITDA rose by 50%. The company reduced its credit facility balance to zero, reflecting improved cash flow and a stronger balance sheet with $2.5 million in cash and $1.7 million in accounts receivable collected by Q2 2025.