UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): March 4, 2015
CPS TECHNOLOGIES
CORPORATION
(Exact Name of Registrant as Specified in its Charter)
| Delaware | 0-16088 | 04-2832509 |
|
(State or other jurisdiction of incorporation)
|
(Commission File Number) | (IRS Employer Identification No.) |
| 111 South Worcester Street, Norton, Massachusetts | 02766 | |
| (Address of principal executive offices) | (Zip Code) | |
| Registrant’s telephone number, including area code | 508-222-0614 | |
| (Former name or former address, if changed since last report.) | ||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to rule 14d-2(b)
under the
Exchange Act (17CFR 240.14d-2(b))
[ ] Pre-commencement communications
pursuant to Rule 13e-4( c)) under the
Exchange Act (17 CFR 240.13e-4( c)).
Item 2.02 Results of Operations and Financial Condition
On March 3, 2015, the Company issued a press release announcing its financial results for the fiscal quarter and year ended December 27, 2014. A copy of the press release is attached hereto as Exhibit 99 and is incorporated herein in its entirety by reference.
Cautionary Note Regarding Forward-Looking Statements.
Except for historical information contained in the press release attached as an exhibit hereto, the press release contains forward-looking
statements which involve certain risks and uncertainties that could cause actual results to differ materially from those expressed
or implied by these statements. Please refer to the cautionary note in the press release regarding these forward-looking statements.
Item 9.01 Financial Statements and Exhibits
(d)
|
EXHIBIT NUMBER
|
DESCRIPTION |
| 99 | Press release dated March 3, 2015 of CPS Technologies Corporation announcing its financial results for the fiscal quarter and year ended December 27, 2014. |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| CPS Technologies Corporation (Registrant) | |
| Date: March 4, 2015 | /s/ Ralph M. Norwood Ralph M. Norwood Chief Financial Officer |
EXHIBIT INDEX
|
EXHIBIT NUMBER
|
DESCRIPTION |
| 99 | Press release dated March 3, 2015 of CPS Technologies Corporation announcing its financial results for the fiscal quarter and year ended December 27, 2014. |
CPS Technologies Corporation
Ralph Norwood, Chief Financial Officer
111 South Worcester Street
Norton, MA 02766
Telephone: (508) 222-0614
Web Site: www.alsic.com
CPS TECHNOLOGIES CORPORATION ANNOUNCES 2014 RESULTS
Norton, Massachusetts, March 3, 2015. CPS Technologies Corporation (NASDAQ:CPSH) today announced revenues of $5.9 million and a net profit of $619 thousand for the Fourth Quarter ended December 27, 2014. This compares with revenues of $5.1 million and a net profit of $276 thousand for the Fourth Quarter ended December 28, 2013.
Revenues for the year ended December 27, 2014 totaled $23.1 million compared with $21.4 million for the year ended December 28, 2013. Net income for the year totaled $1.0 million for both the fiscal years ended December 27, 2014 and December 28, 2013.
Grant Bennett, President and CEO, said, “We were very pleased with fourth quarter results as well as setting a revenue record for the year. In the fourth quarter our gross margin percentage rebounded to 26%, up from 22% in our third quarter when we experienced manufacturing inefficiencies.
“In 2014 a key objective was to broaden our salesforce. We added new sales representatives in Israel and in four regions in the USA. Although our sales cycles are long, the new sales representatives are bearing fruit in generating prototyping opportunities and design wins that will generate future growth.
We are making progress in diversifying into new market segments to both generate growth, and, through the portfolio effect, help moderate fluctuations in demand in individual segments. For example, in the fourth quarter shipments of fracking balls totaled $400 thousand and the final shipment of a component to the Raytheon Corporation for the development phase of the Advance Missile Defense Radar (“AMDR”) program totaled $300 thousand. We believe that these two new products have the potential to be significant revenue streams in the years to come. However, the sale of fracking balls is very volatile as oil prices fluctuate and future sales of our AMDR component is dependent upon the Navy approval to advance the Program into the production phase
Mr. Bennett continued, “Other important accomplishments in 2014 include generating cash to a level over $2 million at year end, the highest level in several years, qualifying for listing on NASDAQ as of January 8th, 2015, and adding Tom Culligan, retired Senior Vice-President of the Raytheon Corporation to our Board of Directors”.
About CPS
CPS Technologies Corporation is a global leader in producing metal-matrix composite components used to improve the reliability
and performance of various electrical systems. CPS products are used in motor controllers for hybrid and electric vehicles,
high-speed trains, subway cars and wind turbines. They are also used as heatspreaders in internet switches, routers and high-performance
microprocessors. CPS also develops and produces metal-matrix composite armor.
Safe Harbor
Statements made in this document that are not historical facts or which apply prospectively, including those relating to 2014
financial results, are forward-looking statements that involve risks and uncertainties. These forward-looking statements are identified
by the use of terms and phrases such as "will," "intends," "believes," "expects," "plans,"
"anticipates" and similar expressions. Investors should not rely on forward looking statements because they are subject
to a variety of risks and uncertainties and other factors that could cause actual results to differ materially from the company's
expectation. Additional information concerning risk factors is contained from time to time in the company's SEC filings, including
its Annual Report on Form 10-K and other periodic reports filed with the SEC. Forward-looking statements contained in this press
release speak only as of the date of this release. Subsequent events or circumstances occurring after such date may render these
statements incomplete or out of date. The company expressly disclaims any obligation to update the information contained in this
release.
| CPS TECHNOLOGIES CORPORATION | ||||||||||||||||
| STATEMENT OF OPERATIONS (Unaudited) | ||||||||||||||||
| -----Quarter Ended----- | -----Year Ended----- | |||||||||||||||
| Dec. 27, | Dec. 28, | Dec. 27, | Dec. 28, | |||||||||||||
| 2014 | 2013 | 2014 | 2013 | |||||||||||||
| Total Revenues | $ | 5,946,647 | $ | 5,099,890 | $ | 23,137,590 | $ | 21,405,999 | ||||||||
| Cost of Sales | 4,411,717 | 3,738,700 | 17,666,780 | 16,048,922 | ||||||||||||
| Gross Margin | 1,534,930 | 1,361,190 | 5,470,810 | 5,357,077 | ||||||||||||
| Operating Expenses | 958,164 | 930,522 | 4,254,977 | 3,897,588 | ||||||||||||
| Operating income (loss) | 576,766 | 430,668 | 1,215,833 | 1,459,489 | ||||||||||||
| Other income (expense), Net | 6,883 | (3,854) | 5,083 | (30,327) | ||||||||||||
| Income (loss) before income taxes | 583,649 | 426,814 | 1,220,916 | 1,429,162 | ||||||||||||
| Income tax expense (benefit) | (34,852) | 150,987 | 218,148 | 462,707 | ||||||||||||
| Net income (loss) | 618,501 | 275,827 | 1,002,768 | 966,455 | ||||||||||||
| Net income (loss) per diluted share | $ | 0.05 | $ | 0.02 | $ | 0.08 | $ | 0.07 | ||||||||
| Shares outstanding, diluted | 13,662,889 | 13,489,954 | 13,703,005 | 13,265,486 | ||||||||||||
| CPS TECHNOLOGIES CORPORATION | ||||||||
| BALANCE SHEET (Unaudited) | ||||||||
| Dec. 27, | Dec. 28, | |||||||
| 2014 | 2013 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 2,305,580 | $ | 1,571,054 | ||||
| Accounts receivable-trade, net | 3,589,191 | 2,900,457 | ||||||
| Inventories, net | 2,528,954 | 2,183,699 | ||||||
| Prepaid expenses | 166,783 | 175,726 | ||||||
| Deferred taxes, current | 682,968 | 649,420 | ||||||
| Total current assets | 9,273,476 | 7,480,356 | ||||||
| Property and equipment, net | 1,757,543 | 1,832,787 | ||||||
| Deferred taxes, non-current | 1,617,497 | 1,826,482 | ||||||
| Total assets | $ | 12,648,516 | $ | 11,139,625 | ||||
| Liabilities and Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | 1,352,418 | 1,091,909 | ||||||
| Accrued expenses | 1,049,616 | 1,106,813 | ||||||
| Capital leases, current | — | 76,372 | ||||||
| Total current liabilities | 2,402,034 | 2,275,094 | ||||||
| Stockholders' equity | 10,246,482 | 8,864,531 | ||||||
| Total liabilities and stockholders' equity | $ | 12,648,516 | $ | 11,139,625 | ||||