Cemtrex Q2 Industrial Services revenue rises 7%, Security segment falls 12%

Cemtrex

15/05/2026 21:25

Overview

US diversified industrial and tech firm's Industrial Services Q2 revenue rose 7% yr/yr

Security segment underlying revenue fell 12% yr/yr, with gross margin improving to 44%

Company completed two acquisitions and launched Aerospace & Defense segment in Q2

Outlook

Cemtrex expects AIS TN to contribute $8-10 mln in revenue over the next 12 months

Company expects Security segment performance to improve as cost actions and pricing flow through

Aerospace & Defense segment expected to move toward operating profitability as deferred revenue converts

Result Drivers

INDUSTRIAL SERVICES RESTRUCTURING - Segment results weighed by operating loss at newly acquired AIS TN, which is undergoing restructuring; core AIS maintained historical margins

AEROSPACE & DEFENSE LAUNCH - Invocon acquisition added revenue but reported an operating loss due to timing of revenue recognition on long-cycle contracts

SECURITY SEGMENT MARGIN IMPROVEMENT - Gross margin rose 500 basis points sequentially to 44% due to pricing actions and cost reduction program

Company press release: ID:nGNX7nvR8m

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
$18.1 mln
Q2 Net Income
$900,000
Q2 Gross Margin
38.00%
Q2 Operating Income
-$2.20 mln


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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)