Velan Q1 sales rise 18.6%, raises dividend

Velan

10/07/2025 23:12

Overview

Velan's fiscal Q1 sales rise 18.6% to $72.2 mln, boosting gross profit margin

Reports net income from continuing operations of $17.8 mln compared to loss of $2.2 mln a year earlier

Increases quarterly dividend to C$0.10 per share from C$0.03

Outlook

Velan expects to deliver solid performance despite tariff uncertainties

Company reassessing capital allocation strategy due to strong financial position, per CEO James A. Mannebach

Company expects 84.4% of backlog delivered in next 12 months

Result Drivers

SALES GROWTH - Sales increased by 18.6% to $72.2 million, driven by higher shipments from Italian operations for oil & gas and increased business volume in China, India, and Germany

GROSS PROFIT IMPROVEMENT - Gross profit margin rose to 28.6% from 27.6% last year, due to better absorption of fixed costs and a favorable product mix

BACKLOG INCREASE - Backlog grew by 4.1% to $286.1 million, supported by strong MRO bookings and a sequential improvement in new orders

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
$72.23 mln
Q1 Net Income
$17.83 mln
Q1 Gross Profit
$20.63 mln


Press Release: ID:nGNX94bGP6

(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.)