Reported Q: Q2 2024 Rev YoY: +6.8% EPS YoY: -56.1% Move: +4.73%
Cemtrex Inc
CETX
$1.550 4.73%
Exchange NASDAQ Sector Technology Industry Software Infrastructure
Q2 2024
Published: May 14, 2024

Company Status Snapshot

Fast view of the latest quarter outcome for CETX

Reported

Report Date

May 14, 2024

Quarter Q2 2024

Revenue

17.16M

YoY: +6.8%

EPS

-83.73

YoY: -56.1%

Market Move

+4.73%

Previous quarter: N/A

Follow this company to get upcoming quarter alerts automatically.

Earnings Highlights

  • Revenue of $17.16M up 6.8% year-over-year
  • EPS of $-83.73 decreased by 56.1% from previous year
  • Gross margin of 38.7%
  • Net income of -1.47M
  • "Our goal of reaching a full year operating profit remains and we are working hard to drive revenue and maintain tight cost controls." - Saagar Govil
CETX
Company CETX

Executive Summary

Cemtrex, Inc. (CETX) delivered Q2 2024 revenue of $17.16 million, up 6.8% year over year and 1.7% quarter over quarter, driven primarily by a 47% rise in Industrial Services (AIS) revenue to $9.1 million, helped by the Heisey Mechanical acquisition completed in FY2023. The Security segment declined 18% in the quarter due to project delays, dampening overall gross margins and contributing to an operating loss of $1.03 million and a net loss of $1.47 million. Management attributed approximately $1 million of onetime personnel and legal costs to the quarter, which they do not expect to recur, and reiterated a goal of delivering positive operating income for the full year 2024. The company subsequently announced a $10 million gross equity offering post-quarter to strengthen liquidity and reduce indebtedness, with inventories down to $7.4 million and cash balance around $4.09 million at March 31, 2024. The AIS growth narrative suggests a potential >30% annual growth trajectory in fiscal 2024, supported by new project wins and cross-selling opportunities from the expanded services portfolio, while Anavio and Valerus platform improvements are expected to contribute to margin expansion over time. However, CETX remains levered, posting a negative EBITDA and net income for the quarter, with total debt of roughly $28.7 million and net debt around $24.65 million, signaling elevated financial risk absent sustained profitability improvements and revenue execution. Investors should monitor AIS deal flow, security project timing, gross margin trajectory, opex discipline, the integration of acquisitions, and the utilization of the new equity proceeds as pivotal catalysts for the back half of FY2024.

Key Performance Indicators

Revenue
Increasing
17.16M
QoQ: 1.67% | YoY: 6.76%
Gross Profit
Decreasing
6.63M
38.66% margin
QoQ: -6.32% | YoY: -9.59%
Operating Income
Decreasing
-1.03M
QoQ: -39.79% | YoY: -219.49%
Net Income
Decreasing
-1.47M
QoQ: -22.01% | YoY: -117.53%
EPS
Decreasing
-87.32
QoQ: -25.17% | YoY: -56.10%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q2 2025 27.25 4.10 +58.8% View
Q1 2025 13.74 -16.30 -17.2% View
Q4 2024 -5.39 311.58 -131.9% View
Q3 2024 14.69 -601.70 -0.3% View
Q2 2024 17.16 -83.73 +6.8% View