Precision manufacturing firm Reko's Q1 sales fall, net income rises

Reko International

04/12/2025 18:39

Removes reference to sales in headline, corrects Q1 Sales in Key Details to C$9.05 mln from C$1.20 mln, and labor cost reductions figure in Result Drivers to C$362,000 from C$362

Overview

Reko fiscal Q1 sales decline 11.6% due to lower volumes and project timing

Net income for fiscal Q1 rises 336.4% due to favorable foreign exchange and tax benefits

Company repurchased 24,200 shares and repaid C$2.7 mln mortgage, maintaining strong cash position

Outlook

Reko remains focused on strategic investments to enhance long-term growth

Company acknowledges macroeconomic challenges and softer demand in certain markets

Result Drivers

PROJECT TIMING - Sales decreased due to a higher proportion of projects being in early stages, affecting revenue recognition

LABOR COST REDUCTIONS - Gross profit decline partially offset by C$362,000 in labor cost reductions

FOREIGN EXCHANGE GAINS - Net income improvement driven by favorable foreign exchange positions

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
C$9.05 mln
Q1 EPS
C$0.07


Press Release: ID:nBw7zrPWKa

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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.)