SonoTek Corporation (SOTK) Q2 2025 Earnings Report

In the second quarter of fiscal 2025, SonoTek Corporation reported revenues of $5.16 million, reflecting a sequential increase of 3% and a decline of 8.46% year-over-year. The company's net income decreased by 37.06%, highlighting pressures in revenue generation and gross profit margins. However, management's forward guidance remains optimistic, driven mainly by a robust backlog that increased by 26% to a record $11.7 million, as well as significant orders from the clean energy sector.

The company has strategically shifted towards high average selling price (ASP) systems, positioning itself as a leader in precision thin film coatings, especially for applications in next-generation solar cells and critical environmental technologies. Management emphasizes ongoing investments in research and development (R&D) to enhance product capabilities and market share across diverse sectors, indicating a resilient growth trajectory despite current operational challenges.