Electro-Sensors, Inc. Announces Third Quarter 2021 Financial Results
MINNETONKA, Minn., Nov. 5, 2021 /PRNewswire/ -- Electro-Sensors, Inc. (NASDAQ: ELSE), a leading global provider of machine monitoring sensors and hazard monitoring systems, today announced financial results for the third quarter ended September 30, 2021.
- Revenue of $2,154,000, up 13.4% from prior-year period
- Gross margin of 55.9%
- Cash and investments of approximately $9.7 million
Selected Financial Information (unaudited; in thousands, except per share data)
Q3 2021 | Q3 2020 | Change | |||||||
Net Sales | $ | 2,154 | $ | 1,899 | 13.4 | % | |||
Gross Margin | 55.9 | % | 52.2 | % | 370 | bps | |||
Operating Income (Loss) | $ | 20 | $ | (54) | 137.0 | % | |||
Operating Income (Loss) Margin | 0.9 | % | -2.9 | % | 380 | bps | |||
Income (Loss) Before Income Taxes | $ | 21 | $ | (54) | 138.9 | % | |||
Earnings (Loss) Per Share (diluted) | $ | 0.01 | $ | (0.01) | 200.0 | % | |||
Net sales in the third quarter increased 13.4% to $2,154,000 from $1,899,000 in the prior-year quarter. For the first nine months of 2021, net sales increased 10.2% to $6,517,000 from $5,914,000 in the similar prior year period. Furthermore, gross margin for the quarter was 55.9%, up from 52.2% in the corresponding quarter in 2020, driven by improved factory utilization resulting from higher levels of manufacturing and sales.
"We are pleased to announce our largest third quarter revenue in the Company's history," said David L. Klenk, Electro-Sensors' president. "The increase during the quarter was largely driven by increased sales to customers in the agricultural industry."
A full analysis of results for the period ended September 30, 2021 is available in the Company's Form 10-Q, which is available on the Company's website at www.electro-sensors.com or through the Securities and Exchange Commission's Edgar database at www.sec.gov.
Electro-Sensors, Inc. | ||||||
Three Months Ended September 30, | ||||||
2021 | 2020 | |||||
Sales | $ | 2,154 | $ | 1,899 | ||
Cost of goods sold | 950 | 907 | ||||
Gross profit | 1,204 | 992 | ||||
Operating expenses | 1,184 | 1,046 | ||||
Operating income (loss) | 20 | (54) | ||||
Non-operating income | 1 | 0 | ||||
Income (loss) before income taxes | 21 | (54) | ||||
Provision for (benefit of) income taxes | 4 | (8) | ||||
Net income (loss) | $ | 17 | $ | (46) | ||
Earnings (loss) per share – diluted | $ | 0.01 | $ | (0.01) | ||
Average shares outstanding - diluted | 3,439,377 | 3,395,521 | ||||
Nine Months Ended September 30, | ||||||
2021 | 2020 | |||||
Sales | $ | 6,517 | $ | 5,914 | ||
Cost of goods sold | 2,947 | 2,825 | ||||
Gross profit | 3,570 | 3,089 | ||||
Operating expenses | 3,283 | 3,265 | ||||
Operating income (loss) | 287 | (176) | ||||
Non-operating income | 3 | 31 | ||||
Income (loss) before income taxes | 290 | (145) | ||||
Provision for (benefit from) income taxes | 61 | (26) | ||||
Net income (loss) | $ | 229 | $ | (119) | ||
Earnings (loss) per share – diluted | $ | 0.07 | $ | (0.04) | ||
Average shares outstanding - diluted | 3,435,595 | 3,395,521 | ||||
Electro-Sensors, Inc. | ||||||
September 30, | December 31, | |||||
2021 | 2020 | |||||
Assets | (unaudited) | |||||
Current Assets | ||||||
Cash and investments | $ | 9,661 | $ | 9,131 | ||
Trade receivables, net | 1,325 | 957 | ||||
Inventories | 1,477 | 1,572 | ||||
Other current assets | 207 | 196 | ||||
Total current assets | 12,670 | 11,856 | ||||
Deferred income tax asset, long-term | 270 | 246 | ||||
Intangible assets, net | 50 | 228 | ||||
Property and equipment, net | 919 | 989 | ||||
Total assets | $ | 13,909 | $ | 13,319 | ||
Liabilities and Stockholders' Equity | ||||||
Current Liabilities | ||||||
Current maturities of financing lease | $ | 6 | $ | 6 | ||
Accounts payable and accrued expenses | 889 | 527 | ||||
Total current liabilities | 895 | 533 | ||||
Long-term liabilities | ||||||
Financing lease, net of current maturities | 8 | 12 | ||||
Total long-term liabilities | 8 | 12 | ||||
Stockholders' equity | ||||||
Common stock | 339 | 339 | ||||
Additional paid-in capital | 2,040 | 2,036 | ||||
Retained earnings | 10,627 | 10,398 | ||||
Other comprehensive gain | 0 | 1 | ||||
Total stockholders' equity | 13,006 | 12,774 | ||||
Total liabilities and stockholders' equity | $ | 13,909 | $ | 13,319 | ||
About Electro-Sensors
Electro-Sensors, Inc. is an industry leading designer and manufacturer of rugged and reliable machine monitoring sensors and wireless/wired hazard monitoring systems applied across multiple industries and applications. These products improve processes by protecting people, safeguarding systems, reducing downtime, and preventing waste. Most standard products ship within one to two days and have an industry-leading 5-year warranty. Electro-Sensors is proud to be an ISO9001:2015 quality certified company and is committed to providing excellent customer service and technical support. Founded in 1968 and located in Minnetonka, Minnesota, Electro-Sensors provides its loyal customers with reliable products that improve safety and help plants operate with greater efficiency, productivity and control.
Cautionary Statement Regarding Forward Looking Statements
This press release may include statements about possible or anticipated future financial performance, business activities, plans, or opportunities. These forward-looking statements may include the words "will," "should," "believes," "expects," "anticipates," "intends" or similar expressions. For these forward-looking statements, the Company claims the protection of the safe harbor for forward−looking statements contained in federal securities laws. Forward-looking statements reflect the company's current views with respect to future events and financial performance and include any statement that does not directly relate to a current or historical fact. These forward-looking statements are subject to a number of factors, risks and uncertainties, including those disclosed in our periodic filings with the SEC that could cause actual performance, activities, plans, or opportunities after the date the statements are made to differ significantly from those indicated in the forward-looking statements.
For more information please visit our website at: www.electro-sensors.com. Also look us up on:
LinkedIn: linkedin.com/company/electro-sensors-inc-
Twitter: twitter.com/ESIsensors
Facebook: facebook.com/ElectroSensors
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SOURCE Electro-Sensors, Inc.
