SCI Engineered Materials Q2 Revenue Surges 163% to Record $9.5M; Net Income Triples

summarizeSummary

SCI Engineered Materials reported record Q2 2026 revenue of $9.5 million, up 163% year-over-year, with net income tripling to $1.17 million. Strong demand and a growing backlog point to continued momentum.

check_boxKey Events · Earnings and Guidance · SCIA

• Record Quarterly Revenue

  Q2 2026 revenue reached $9.49 million, a 163% increase from $3.61 million in Q2 2025, driven by higher raw material costs, product mix, and volume.

• Net Income Triples

  Net income rose to $1.17 million ($0.26 per share) from $364,459 a year ago, despite a $562,026 fraud expense recorded in Q1.

• Fraud Expense and Insurance Recovery

  A $898,325 imposter scam resulted in a net fraud expense of $562,026 after partial recovery; an additional $250,000 insurance claim was approved on July 12, 2026, which will reduce the net expense to $312,026.

• Strong Balance Sheet and Backlog

  Cash and equivalents grew to $9.89 million, with $3.37 million in marketable securities. Order backlog stood at $7.9 million, up from $3.4 million a year ago.

auto_awesomeAnalysis · SCIA · Manufacturing

SCI Engineered Materials delivered a breakout quarter with revenue more than doubling year-over-year to a record $9.5 million, driven by higher raw material input costs, favorable product mix, and increased volume. Net income tripled to $1.17 million despite a one-time fraud expense of $562,000, of which $250,000 is expected to be recovered through insurance. The company's cash position strengthened to nearly $10 million, and order backlog grew to $7.9 million, signaling sustained demand. While gross margins compressed due to raw material cost pass-through, the top-line acceleration and profitability improvement mark a significant inflection for this micro-cap manufacturer.