Electro-Sensors Inc. (ELSE) reports earnings

The report was filed on March 19, 2025

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Electro-Sensors Inc. (ELSE-1.58%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.

The filing includes financial statements for the year, showing an increase in net sales to $9,373,000 from $8,555,000 in 2023. This increase was largely driven by higher sales of HazardPRO wireless sensors and systems for agricultural applications.

Gross profit for 2024 was $4,582,000, up from $4,245,000 in 2023, with a gross margin of 48.9% compared to 49.6% in the previous year. The decrease in gross margin was primarily due to increased raw material and labor costs.

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Operating expenses rose by 7.3% to $4,586,000 in 2024 from $4,273,000 in 2023, driven by additional headcount and stock-based compensation. Operating loss decreased to $4,000 from $28,000 in the previous year.

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Non-operating income increased to $440,000 from $406,000, primarily due to higher interest income from Treasury Bills.

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The company reported a net income of $446,000 in 2024, up from $275,000 in 2023, with basic and diluted earnings per share of $0.13 compared to $0.08 in the previous year.

Cash and cash equivalents were $9,948,000 at the end of 2024, with a working capital of $12,922,000, reflecting cash generated from operations.

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Electro-Sensors continues to face challenges in its supply chain, with occasional price increases and delivery delays. The company is seeking additional sources for components and modifying product designs to address these issues.

The company has a single reportable segment and continues to explore growth opportunities through internal development and potential acquisitions.

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Electro-Sensors does not anticipate paying dividends in the foreseeable future and has not repurchased any common stock during the past two years.

The company maintains its focus on research and development, with expenditures totaling $1,013,000 in 2024, aimed at developing new products and integrating advanced technology into existing offerings.

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This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Electro-Sensors Inc. annual 10-K report dated March 19, 2025. To report an error, please email earnings@qz.com.