Thu, Sep 5, 8:03 PM (131 days ago)
For the fiscal year ending June 30, 2024, Pro-Dex, Inc. reported a revenue increase of 17% to $53,844,000, driven by a 20% rise in medical device sales, particularly in orthopedic and craniomaxillofacial markets. However, net income fell to $2,127,000 from $7,074,000 in the previous year, largely due to unrealized losses on investments totaling $4,125,000. Operating expenses increased slightly to $7,378,000, with R&D costs rising 14% to $3,189,000. The company experienced a backlog reduction to $19,800,000 from $41,600,000, indicating potential future revenue variability. Major customers accounted for 88% of sales, with one customer representing 71%. Pro-Dex's financial condition remains stable with working capital of $23,719,000, although cash and cash equivalents declined to $2,631,000. The company has identified material weaknesses in internal controls over financial reporting, particularly regarding inventory and investment valuations, which management is addressing. Looking ahead, Pro-Dex anticipates stable revenue in fiscal 2025, contingent on customer demand and order timing. The company continues to focus on enhancing product offerings and maintaining strong customer relationships amid competitive pressures in the medical device sector.