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Eltek Ltd., a global manufacturer and supplier of technologically advanced solutions in the field of printed circuit boards (PCBs), announced its financial results for the quarter ended March 31, 2023.
First Quarter 2023 Highlights:
- Revenues were $11.5 million, 18% up over Q1 2022
- Operating profit was $1.6 million, 144% up over Q1 2022
- Profit before tax was $1.9 million (2022 Q1 - $0.8 million)
- Net income was $1.6 million or $0.27 per fully diluted share, 147% up over Q1 2022
- Net cash provided by operating activities amounted to $2.8 million
"Eltek is proud to announce its strong first quarter results for 2023, with growth of 18% in sales compared to the same quarter last year, and an impressive 147% increase in net income. These results are a testament to the success of the Company's strategy to invest in innovative equipment to increase production volumes, and an unwavering commitment to product quality to meet customer satisfaction and provide technological solutions for every customer's needs. As of today our backlog increased 10% from the beginning of the year.
Our strong cash flows from operating activities in the first quarter of $2.8 million allowed us to repay $1.6 of our long-term debt and consequently lower our interest expenses, given the current high rates," said Eli Yaffe, CEO of Eltek.
"Throughout the quarter, we continued to execute on our accelerated investment plan and ordered three new plating lines valued at 5.5 million Euros. The deployment of these coating lines is scheduled for the latter half of 2023, 2024 and 2025, which will enable the simultaneous additional enhancement of production capacity, efficiency, and diversification of our product offerings," continued Mr. Yaffe.
"Concurrently with our accelerated investment plan, we are also allocating resources towards acquiring additional machinery and equipment, as well as enhancing our manufacturing procedures. These endeavors supported the increase in both revenues and net income, resulting in our quarterly net income of $1.6 million," concluded Mr. Yaffe.
First Quarter 2023 GAAP Financial Results
- Revenues for the first quarter of 2023 were $11.5 million, compared to $9.8 million in the first quarter of 2022
- Gross profit for the first quarter of 2023 was $3.0 million (26% of revenues) compared to $2.0 (20% of revenues) in the first quarter of 2022
- Operating profit for the first quarter of 2023 was $1.6 million compared to operating profit of $0.7 million in the first quarter of 2022
- Profit before income tax for the first quarter of 2023 was $1.9 million compared to $0.8 million in the first quarter of 2022
- Net income for the first quarter of 2023 was $1.6 million or $0.27 per fully diluted share compared to net income of $0.6 million or $0.11 per fully diluted share in the first quarter of 2022
First Quarter 2023 Non-GAAP Financial Results
EBITDA for the first quarter of 2023 was $1.9 million (17% of revenues) compared to EBITDA of $1.1 million (11% of revenues) in the first quarter of 2022.