Transcat(TRNS)2024-10-29 12:30Revenue Growth - Consolidated revenue for Q2 FY2025 was 62.8 million in Q2 FY2024[3] - Service revenue grew to 23.7 million[4] - Total revenue for the second quarter ended September 28, 2024, was 62.804 million in the same quarter of the previous year, a growth of approximately 3.2%[24] - Total revenue for FY 2025 Q2 reached 62,804 in FY 2024 Q2[36] - Service revenue for FY 2025 YTD was 81,284 in FY 2024 YTD[37] - Distribution revenue for FY 2025 YTD was 42,118 in FY 2024 YTD[38] Profitability - Gross profit for the quarter was 20.1 million in the prior year, with a gross margin of 31.3%[3] - Gross profit for the second quarter was 20.125 million year-over-year, reflecting a growth of about 5.4%[24] - Operating income surged to 1.6 million in the same quarter last year[3] - Net income for the second quarter was 460,000 in the same quarter last year, indicating a significant increase[24] - Net income per diluted share rose to 0.06 in the prior year, marking a 483.3% increase[4] - Year-to-date operating income for FY 2025 reached 6,283 in FY 2024 YTD[39] Cash and Assets - The company had 80.0 million available for borrowing as of September 28, 2024[13] - Total cash and cash equivalents at the end of the period were 1,246,000 at the end of the previous year[28] - Total assets increased to 287.552 million as of March 30, 2024[26] Operational Performance - Adjusted EBITDA is used as a key performance measure, allowing for evaluation of core operations by excluding non-GAAP items[17] - Adjusted EBITDA for Q2 was 19,073,000, reflecting strong operational performance[29] - Transcat's service segment adjusted EBITDA was 2,237,000[30] - Cash flows from operating activities were 15,972,000 in the prior year[28] Strategic Initiatives - The company expects FY25 organic service revenue growth in the mid-single digits, with a return to high single-digit growth anticipated by the first half of FY2026[14] - Transcat's acquisition pipeline remains robust, focusing on strategic opportunities to drive organic revenue growth[14] - The company aims to expand its addressable calibration market through acquisitions and capability investments[21] - Transcat operates 29 Calibration Service Centers across the U.S., Puerto Rico, Canada, and Ireland, enhancing its service capabilities[19] - The company emphasizes its strategy to leverage its strong brand and unique value proposition to drive organic sales growth[21] Shareholder Information - The company reported a total of 9,199,277 shares outstanding as of September 28, 2024, compared to 8,839,299 shares as of March 30, 2024[25] - Transcat's average diluted shares outstanding were 9,222,000 for the year-to-date period, reflecting a slight increase in share count[31] - Diluted earnings per share for the second quarter were 0.06 in the same quarter of the previous year, marking a substantial rise[24] - The company reported a diluted earnings per share of 1.20[31] Expense Management - Selling, marketing, and warehouse expenses increased by 19.3% to 6,856 in FY 2024 Q2[36] - General and administrative expenses decreased by 20.1% to 11,626 in FY 2024 Q2[36] - Depreciation and amortization expenses for Q2 amounted to 33,000 in Q2, indicating ongoing costs related to acquisitions[29]