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Shimmick Corporation (SHIM+4.30%) has submitted its 10-K filing for the fiscal year ended January 3, 2025.
The filing details the company's revenue of $480.2 million, a decrease from $632.8 million in the previous fiscal year. The decline is attributed to lower activity on existing projects and the winding down of legacy projects.
Gross margin for the year was a negative $55.6 million, compared to a positive $22.4 million in the prior year. This decrease was primarily due to increased costs and schedule extensions on legacy projects.
Selling, general, and administrative expenses remained relatively flat at $64 million. The company also reported an ERP pre-implementation asset impairment of $15.7 million due to a strategic decision to enhance the current ERP system.
Net loss for the fiscal year was $124.7 million, a significant increase from a net loss of $2.3 million in the previous year. This was largely due to the decrease in gross margin and the ERP impairment costs.
Shimmick's backlog as of January 3, 2025, was approximately $822 million, with the majority of projects located in California. The company continues to focus on water infrastructure and other critical infrastructure projects.
The company announced the appointment of Ural Yal as the new CEO, effective December 2, 2024, succeeding Steven Richards.
Shimmick's liquidity at the end of the fiscal year included $34 million in cash and cash equivalents, with additional availability under credit facilities totaling $66 million.
The filing also notes that Shimmick is addressing material weaknesses in its internal control over financial reporting, with a remediation plan in place.
Shimmick Corporation does not anticipate paying cash dividends in the near future, as it plans to retain earnings to support operations and growth.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Shimmick Corporation annual 10-K report dated March 20, 2025. To report an error, please email earnings@qz.com.