Pro-Dex Inc (PDEX) Reports Fiscal 2023 Fourth Quarter and Full-Year Results
Pro-Dex Inc (NASDAQ:PDEX) reports a decrease in Q4 net sales by 16% to $10.6 million, but an increase of 10% to $46.0 million for the full fiscal year.
Net income for the fiscal year ended June 30, 2023, was $7.1 million, up from $4.6 million for fiscal 2022.
Operating expenses decreased by 13% to $7.0 million from $8.0 million in the prior fiscal year.
The company's gross margin increased from 27% to 32% due to a favorable product mix.
Pro-Dex Inc (NASDAQ:PDEX) announced its financial results for the fiscal 2023 fourth quarter and full-year ended June 30, 2023, on October 13, 2023. The company also filed its Annual Report on Form 10-K for the fiscal year ending June 30, 2023, with the Securities and Exchange Commission (SEC) on the same day.
Financial Performance
For the quarter ended June 30, 2023, net sales decreased by 16% to $10.6 million from $12.6 million for the same period in 2022. This decrease was primarily due to a decline in medical device sales, offset by increased repair revenue. Despite the decrease in net sales, the company's gross margin increased from 27% to 32% due to a favorable product mix. Net income for the quarter decreased to $1.5 million, or $0.42 per diluted share, compared to $1.8 million, or $0.49 per diluted share, in the corresponding quarter in 2022.
For the full fiscal year ended June 30, 2023, net sales increased by 10% to $46.0 million from $42.0 million for the fiscal year ended June 30, 2022. This increase was primarily due to increases in repair revenue and NRE and prototype services, offset by a decrease in medical device revenue. Net income for the fiscal year ended June 30, 2023, was $7.1 million, or $1.95 per diluted share, compared to $4.6 million, or $1.21 per diluted share, for fiscal 2022.
CEO Comments
We are very pleased to announce that we are fully operational in our Franklin facility. said the Companys President and Chief Executive Officer Richard L. (Rick) Van Kirk. While the build-out and validation activities took longer than expected, we are now well positioned to continue to grow the business, as reflected by our record back log of $41.6 million as of June 30, 2023. I am appreciative of the entire Pro-Dex team for their dedication to getting the Franklin facility completed and operational. Mr. Van Kirk continued, We are excited to announce that we executed another distribution agreement in the fourth quarter for our thoracic driver, which launched in the first quarter of fiscal 2024.
Financial Tables
The company's consolidated balance sheets show total assets of $51.8 million as of June 30, 2023, up from $49.1 million as of June 30, 2022. The consolidated income statements reveal a net income of $7.1 million for the fiscal year ended June 30, 2023, compared to $4.6 million for the fiscal year ended June 30, 2022. The consolidated statements of cash flows show a net increase in cash and cash equivalents to $2.9 million at the end of the fiscal year 2023, up from $849,000 at the end of the fiscal year 2022.
Pro-Dex Inc (NASDAQ:PDEX) specializes in the design, development, and manufacture of autoclavable, battery-powered, and electric multi-function surgical drivers and shavers used primarily in the orthopedic, thoracic, and maxocranial facial markets.
This article first appeared on GuruFocus.
