CPI Aerostructures Reports First Quarter 2023 Results

May 15, 2023


First Quarter 2023 vs. First Quarter 2022

  • Revenue of $22.0 million compared to $20.1 million;

  • Gross profit of $4.7 million compared to $3.4 million;

  • Gross profit margin of 21.2% compared to 17.1%;

  • Net income of $1.0 million compared to net loss of $(32,931) (excluding a first quarter 2022 $0.8 million severance accrual, the first quarter of 2022 would have been net income of $0.8 million);

  • Earnings per share of $0.08 compared to loss per share of $(0.00) (excluding a first quarter of 2022 $0.06 per share severance accrual, the first quarter of 2022 would have been $0.06 per share);

  • Cash flow from operations of $0.9 million compared to a use of $(2.4) million;

  • Debt as of March 31, 2023 of $22.1 million compared to $22.8 million as of December 31, 2022.


Edgewood, NY – CPI Aerostructures, Inc. (“CPI Aero®” or the “Company”) (NYSE American: CVU) today announced

financial results for the three month period ended March 31, 2023.

“Our first quarter 2023 revenue was 9.5% higher than first quarter 2022 coupled with a 410 basis point increase in gross profit margin. In addition to stronger operational performance, we benefited from significant reductions in factory overhead and SG&A costs. We generated $3.3 million more in cash flow from operations this quarter compared to Q1 of 2022 due primarily to higher net income and an increase in customer progress payments to support the onboarding of our new programs. We reduced our debt in the first quarter 2023 by $0.7 million and entered into a twelfth amendment to our credit facility extending the maturity date of our revolving line of credit and term loan to November 30, 2024,” said Dorith Hakim, President and CEO. “We remain focused on exceeding our customers’ performance expectations and are confident in CPI Aero’s long term outlook as we continue to build on our backlog of $515.8 million as of March 31, 2023.”

About CPI Aero

CPI Aero is a U.S. manufacturer of structural assemblies for fixed wing aircraft, helicopters and airborne Intelligence Surveillance and Reconnaissance pod systems in both the commercial aerospace and national security markets. Within the global aerostructure supply chain, CPI Aero is either a Tier 1 supplier to aircraft OEMs or a Tier 2 subcontractor to major Tier 1 manufacturers. CPI also is a prime contractor to the U.S. Department of Defense, primarily the Air Force. In conjunction with its assembly operations, CPI Aero provides engineering, program management, supply chain management, and MRO services.

Forward-looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included or incorporated in this press release are forward-looking statements. The word “outlook,” and similar expressions are intended to identify these forward-looking statements. The Company does not guarantee that it will actually achieve the plans, intentions or expectations disclosed in its forward-looking statements and you should not place undue reliance on the Company’s forward-looking statements.

Forward-looking statements involve risks and uncertainties, and actual results could vary materially from these forward-looking statements. There are a number of important factors that could cause the Company’s actual results to differ materially from those indicated or implied by its forward-looking statements, including those important factors set forth under the caption “Risk Factors” in the Company’s Annual Report on Form 10-K for the period ended December 31, 2022 filed with the Securities and Exchange Commission. Although the Company may elect to do so at some point in the future, the Company does not assume any obligation to update any forward-looking statements and it disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

 

CPI Aero® is a registered trademark of CPI Aerostructures, Inc. For more information, visit www.cpiaero.com, and follow us on Twitter @CPIAERO.

 

Contact

Investor Relations Counsel                                                   CPI Aerostructures, Inc.

LHA Investor Relations                                                           Andrew L. Davis

Jody Burfening                                                                        Chief Financial Officer

(212) 838-3777                                                                        (631) 586-5200

cpiaero@lhai.com                                                                  adavis@cpiaero.com

www.lhai.com                                                                          www.cpiaero.com     


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