Tue, Jun 11, 8:18 PM (88 days ago)
MIND Technology, Inc. reported its financial results for the quarter ended April 30, 2024. The company saw a decrease in revenues to $9.7 million from $10.6 million in the same period last year, attributed mainly to the timing of project completions. Despite the revenue drop, gross profit margins improved slightly to 44% from 43%, thanks to price increases and production efficiencies. Operating income rose to $730,000 from $419,000, primarily due to reduced selling, general, and administrative expenses. The company sold its Klein subsidiary in August 2023, which streamlined operations and provided $11.5 million in cash, boosting working capital. As of April 30, 2024, MIND Technology had working capital of $19.3 million, including $924,000 in cash. The company does not have a credit facility and relies on cash from operations and potential asset sales. Management is optimistic about future growth, citing a backlog of $31 million in firm orders and plans to expand its product offerings. However, they acknowledge risks such as supply chain disruptions and potential order cancellations. The company has deferred dividend payments on its Series A Preferred Stock to preserve liquidity.