Servotronics Provides Investor Update on Strategic Vision to Maximize Long-Term Shareholder Value and Initial 2024 Outlook
-- Continued Focus on Core Business to Drive Long-term Profitable Growth; Targets
growth at or above Industry rate and gross margins approaching pre-pandemic levels for FY24 --
ELMA, N.Y., Dec. 18, 2023 /PRNewswire/ -- Servotronics, Inc. (NYSE American – SVT) a designer and manufacturer of servo-control components and other advanced technology products today released a revised investor update highlighting its progress in achieving its long-term strategic vision along with initial 2024 financial outlook.
Within the last twelve months the Company made considerable progress in its planned transformation including:
Divesting the CPG segment to increase focus on higher-margin core servo valve business
Enhancement of management team with hiring of Chief Financial Officer and Director of Sales and Marketing
Leverage of exceptional team members and manufacturing expertise to drive sales growth and operating efficiencies
Corporate rebrand with upgraded website to communicate the Company's value proposition to customers and investors
"I'm proud of our team's efforts to make Servotronics a profitable market leader," said CEO William F Farrell, Jr. "We will keep focusing on growth in key markets, and developing new business for long-term profitability. As we execute our strategic plan, we anticipate the market will recognize our results, delivering increased shareholder value through higher share prices."
With the progress made on the Company's long-term strategic vision, the Leadership Team has offered the following outlook for the fiscal 2024 year:
Revenue growth at or above industry growth rates
Gross margins approaching pre-pandemic levels
Servotronics has provided an updated investor presentation that includes detailed information regarding the strategic plan, business performance and long-term outlook. The presentation is available on the investor relations section of the Company's website: https://www.servotronics.com/investor-relations and has been filed with the SEC.
ABOUT SERVOTRONICS
Servotronics designs, develops and manufactures servo controls and other components for various commercial and government applications including aircraft, jet engines, missiles, manufacturing equipment and other aerospace applications at its operating facilities in Elma and Franklinville, New York.
FORWARD-LOOKING STATEMENTS
This news release contains certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this report, the words "project," "believe," "plan," "anticipate," "expect" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Forward-looking statements involve numerous risks and uncertainties which may cause the actual results of the Company to be materially different from future results expressed or implied by such forward-looking statements. There are a number of factors that will influence the Company's future operations, including: uncertainties in today's global economy, including political risks, adverse changes in legal and regulatory environments, and difficulty in predicting defense appropriations, the introduction of new technologies and the impact of competitive products, the vitality of the commercial aviation industry and its ability to purchase new aircraft, the willingness and ability of the Company's customers to fund long-term purchase programs, and market demand and acceptance both for the Company's products and its customers' products which incorporate Company-made components, the Company's ability to accurately align capacity with demand, the availability of financing and changes in interest rates, the outcome of pending and potential litigation, the severity, magnitude and duration of the COVID-19 pandemic, including impacts of the pandemic and of businesses' and governments' responses to the pandemic on our operations and personnel, and on commercial activity and demand across our and our customers' businesses, and on global supply chains, the ability of the Company to obtain and retain key executives and employees and the additional risks discussed elsewhere in the most recent quarterly report filed on Form 10-Q and in the Company's other filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect management's analysis only as of the date hereof. The Company assumes no obligation to update forward-looking statements, whether as a result of new information, future events or otherwise.
SERVOTRONICS, INC. (SVT) IS LISTED ON NYSE American
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SOURCE Servotronics, Inc.
