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Cemtrex Inc. has reported total revenue of $27.8 million for the third quarter of fiscal 2017, up by 13% compared to the same period in the previous year. This increase was primarily due to the acquisition of Periscope on May 31, 2016.
The Industrial Products & Services (IPS) revenue for Q3 2017 increased by 8% to $13.5 million, compared to $12.5 million for Q3 2016. The increase was primarily due to increased shipment of goods and execution of projects.
Electronics Manufacturing Services (EMS) revenue for Q3 2017 increased by 17% to $14.3 million, compared to $12.2 million for Q3 2016. This increase was primarily due to the acquisition of Periscope, an electronics manufacturing solutions business.
Net income for Q3 2017 was $1.2 million, compared to $1.4 million for Q3 2016. This decrease was due to increased sales and marketing expenses in the third quarter, and loss on disposal of assets.
For the nine months ended June 30, 2017, total revenue increased by 54% to $87.7 million, compared to $56.9 million for the same period in 2017. This increase was primarily due to the acquisitions of Advanced Industrial Services (AIS) and Periscope.
The IPS revenue for the nine months ended June 30, 2017 increased by 27% to $42 million, mainly due to increased shipment of goods and execution of projects.
EMS revenue for the same period jumped by 93% to $45.7 million, primarily driven by the acquisition of Periscope.
Net income for the nine months ended June 30, 2017 increased by 2% to $3 million, compared to $2.9 million for the same period in 2016.
"We maintained strong topline growth in the third quarter of fiscal 2017, with total revenue increasing 13% to $27.8 million, while remaining profitable. Our ability to drive steady revenue growth is evident when looking out over the past couple of years. Our revenue has increased from $42 million to $56 million to $86 million for the nine-month periods ended June 30, 2015, 2016 and 2017, respectively," said Saagar Govil, Chairman and CEO of Cemtrex. "We are focused on continuing to grow our business through the acquisition of new, high quality customers, as well as expanding organically through our existing customers. In April 2017, we received a record number of new incoming orders for a single month, totaling over $21 million. Included in these orders is a $15 million, three-year agreement with one of our existing customers, which is the single largest order we have ever received.
"In addition, we announced the establishment of our new subsidiary, Cemtrex Advanced Technologies along with its first development product, an advanced 'smart desk.' It is an exciting time at Cemtrex as we leverage our deep experience in electronics development and manufacturing and focus on bringing to market proprietary technologies that we believe are revolutionary. Our initial products, in line with the innovative 'smart desk', will embrace the concept of bringing the workspace environment up to speed with technological advances."
"Cemtrex is strategically positioned to continue growth organically and through acquisitions. With $13.2 million in cash and cash equivalents we are consistently evaluating growth opportunities to advance our businesses. This is a pivotal time for the company as we see a strong pipeline in new and existing customers as well as new product development under our subsidiary. We continue to scale the business with shareholder value as a core focus on going," concluded Govil.
Cemtrex Inc. is a global, diversified industrial and manufacturing company that provides a wide array of solutions to meet today’s technology challenges and is rapidly growing through acquisitions. Cemtrex provides: manufacturing services of advanced custom engineered electronics, industrial contracting services, monitoring instruments for industrial processes and environmental compliance, and equipment for controlling particulates, hazardous pollutants and greenhouse gases used in carbon trading globally.