CVD EQUIPMENT CORP Q3 FY2024 earnings call

• Third quarter 2024 revenue was $8.2 million, 31.4% higher than prior year period and 29.1% higher than second quarter 2024. Year-to-date revenue $19.5 million, 2.8% lower than prior year period.
• Shipped a PVT200 system to a new account for PVT product line during third quarter, a strategic order for silicon carbide 200-millimeter crystal boule growth received in first quarter 2024.
• Received a $3.5 million follow-on order for CVI/CVD3500 system from an existing aerospace customer in early November 2024. Received a $10 million multisystem order in industrial market from a company coating components with silicon carbide in first quarter 2024.
• Backlog on September 30, 2024, was $19.8 million, 7.6% higher than 2023 year-end backlog.
• Revenue increase supported improvement in operating performance and system gross margin, but was partially offset by non-cash charge for PVT150 inventory.
• Continue to focus on building critical customer relationships, achieving profitability, carefully managing cash flow and costs while focusing on growth and return on investment.

Third quarter 2024 revenue was $8.2 million, up 31.4% from prior year period and 29.1% from second quarter 2024. Year-to-date revenue was $19.5 million, 2.8% lower than prior year period. CVD Equipment segment revenue increased by $0.9 million (18.5%) compared to prior year quarter, mainly from aerospace contracts in progress, offset in part by lower revenues for PVT systems and spare parts. SDC segment revenues were 27.5% higher than third quarter 2023 due to strong demand for gas delivery systems. CVD Materials segment had a $0.6 million increase as MesoScribe subsidiary fulfilled final orders. A non-cash charge of approximately $1 million was recorded to reduce the net realizable value of PVT150 inventory.

• Believe cash and cash equivalents and projected cash flow from operations will be sufficient to meet working capital and capital expenditure requirements for next 12 months.
• Will continue to evaluate demand for products, assess operations, and take actions to maintain operating cash to support working capital needs.

• Forward-looking statements based on certain assumptions, expectations and projections subject to risks and uncertainties described in press release and SEC filings, including but not limited to risk factors in 10-K for year ended December 31, 2023.
• Actual results may differ materially from those described during the call. All forward-looking statements made as of today, no obligation to update based on new circumstances or revised expectations.

Q: Can you mention the type of clients, like if it's an EV company or airplane company?

A: The aerospace company manufactures gas turbine engines, and the EV company manufactures silicon carbide wafers. We are limited by NDAs, but can mention the general types related to the applications