Cemtrex Reports Results for Third Quarter Fiscal 2025

Hauppauge, NY, Aug. 14, 2025 (GLOBE NEWSWIRE) -- Cemtrex Inc. (NASDAQ:CETX, CETXP)), a multi-industry technology company focused on security and industrial services, today announced its financial results for the third quarter and nine months ended June 30, 2025, showing substantial improvement in revenue, margins, and profitability compared to the prior year.

"Through the first nine months of fiscal 2025, Cemtrex is a stronger, more profitable, and more efficient business than it was a year ago," said Saagar Govil, Chairman and CEO. "We've grown sales nearly 20 percent, expanded gross margins by three points, and delivered a $6.6 million year-over-year swing to positive operating income. This improvement is visible in nearly every major metric."

Third Quarter Fiscal 2025 Highlights (three months ended June 30, 2025 vs. 2024)

• Revenue increased 16% to $17.0 million from $14.7 million.
• Security segment revenue increased 22% to $7.6 million; Industrial Services revenue increased 10% to $9.4 million.
• Gross profit increased 25% to $7.37 million, with gross margin improving to 43% from 40%.
• Operating loss narrowed to $0.64 million from $3.18 million.

Nine Months Fiscal 2025 Highlights (nine months ended June 30, 2025 vs. 2024)

• Revenue increased 19% to $58.0 million from $48.7 million.
• Security segment revenue increased 28% to $30.0 million, including a $10.4 million Vicon order.
• Industrial Services revenue increased 11% to $27.9 million.
• Gross profit increased 27% to $25.24 million, with gross margin improving to 44% from 41%.
• Operating income was $1.69 million, compared to an operating loss of $4.95 million last year, a $6.64 million improvement.
  
  
  
  

Balance Sheet and Liquidity

• Cash and equivalents, including restricted cash, increased to $8.15 million from $5.42 million at September 30, 2024.
• Working capital was $4.92 million despite higher current maturities of long-term liabilities.

"Our Security segment continues to see encouraging growth, anchored by the largest single order in Vicon's history, while Industrial Services continues to execute at a high level delivering strong growth and margin gains," added Govil. "We have tightened expenses, improved efficiency, and strengthened the balance sheet, all while executing on our growth plan. The difference between this year and last is significant, and we believe we are well positioned to build on this momentum into our next fiscal year."

About Cemtrex

Cemtrex, Inc. (NASDAQ:CETX) is a diversified technology company operating in the Security and Industrial sectors. Its Security segment, led by Vicon Industries, provides advanced video management software, high-performance security cameras, and integrated surveillance solutions for enterprise, government, and critical infrastructure. The Industrial segment, through Advanced Industrial Services (AIS), delivers expert rigging, millwrighting, process piping, and equipment installation services to manufacturers nationwide. With a focus on innovation, execution, and strategic growth, Cemtrex is committed to enhancing safety, efficiency, and value for its customers and shareholders.

For more information, visit www.cemtrex.com.

Investor Relations:

[email protected]

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to the closing of the offering, gross proceeds from the offering, our new product offerings, expected use of proceeds, or any proposed fundraising activities. These forward-looking statements are based on management's current expectations and are subject to certain risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by such forward looking statements. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. These risks and uncertainties are discussed under the heading "Risk Factors" contained in our Form 10-K filed with the Securities and Exchange Commission. All information in this press release is as of the date of the release and we undertake no duty to update this information unless required by law.

Cemtrex, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets

		(Unaudited)
		June 30, 2025				September 30, 2024
Assets
Current assets
Cash and cash equivalents		$	7,032,530			$	3,897,511
Restricted cash			1,112,829				1,522,881
Trade receivables, net			12,678,928				11,159,676
Trade receivables, net - related party			513,263				685,788
Inventory, net			5,826,243				6,988,529
Contract assets, net			598,151				985,207
Prepaid expenses and other current assets			1,555,663				1,456,687
Total current assets			29,317,607				26,696,279
Property and equipment, net			9,573,374				9,133,578
Right-of-use operating lease assets			1,969,122				1,933,378
Royalties receivable, net - related party			230,143				456,611
Goodwill			3,708,347				3,708,347
Other			2,162,230				2,187,265
Total Assets		$	46,960,823			$	44,115,458
Liabilities & Stockholders' Equity
Current liabilities
Accounts payable		$	4,815,551			$	4,520,173
Sales tax payable			14,575				73,024
Revolving line of credit			2,039,858				3,125,011
Current maturities of long-term liabilities			9,827,991				4,732,377
Operating lease liabilities - short-term			818,486				832,823
Loan from CEO			200,000				-
Deposits from customers			261,671				408,415
Accrued expenses			1,925,794				1,393,902
Accrued payable on inventory in transit			168,717				640,450
Contract liabilities			2,709,590				1,254,204
Deferred revenue			1,329,902				1,297,616
Accrued income taxes			288,848				314,827
Total current liabilities			24,400,983				18,592,822
Long-term liabilities
Long-term debt			8,475,921				13,270,178
Long-term operating lease liabilities			1,200,841				1,159,204
Other long-term liabilities			285,821				274,957
Deferred Revenue - long-term			490,046				658,019
Warrant liabilities			8,255,215				5,199,436
Total long-term liabilities			18,707,844				20,561,794
Total liabilities			43,108,827				39,154,616
Commitments and contingencies			-				-
Stockholders' equity
Preferred stock , $0.001 par value, 10,000,000 shares authorized, Series 1, 3,000,000 shares authorized, 2,705,327 shares issued and 2,641,227 shares outstanding as of June 30, 2025 and 2,456,827 shares issued and 2,392,727 shares outstanding as of September 30, 2024 (liquidation value of $10 per share)			2,705				2,457
Series C, 100,000 shares authorized, 50,000 shares issued and outstanding at June 30, 2025 and September 30, 2024			50				50
Common stock, $0.001 par value, 70,000,000 shares authorized, 3,509,606 shares issued and outstanding at June 30, 2025 and 14,176 shares issued and outstanding at September 30, 2024			3,510				14
Additional paid-in capital			97,402,468				73,262,536
Accumulated deficit			(96,270,146	)			(71,355,386	)
Treasury stock, 64,100 shares of Series 1 Preferred Stock at June 30, 2025,			(148,291	)			(148,291	)
Accumulated other comprehensive income			2,627,462				2,949,297
Total Cemtrex stockholders' equity			3,617,758				4,710,677
Non-controlling interest			234,238				250,165
Total liabilities and stockholders' equity		$	46,960,823			$	44,115,458

Cemtrex, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations

(Unaudited)

		For the three months ended								For the nine months ended
		June 30, 2025				June 30, 2024				June 30, 2025				June 30, 2024
Revenues		$	16,965,658			$	14,686,398			$	57,955,826			$	48,724,159
Cost of revenues			9,595,152				8,809,251				32,717,929				28,825,197
Gross profit			7,370,506				5,877,147				25,237,897				19,898,962
Operating expenses
General and administrative			7,626,342				8,192,180				21,490,373				22,184,303
Research and development			386,565				864,483				2,054,537				2,664,688
Total operating expenses			8,012,907				9,056,663				23,544,910				24,848,991
Operating (loss)/income			(642,401	)			(3,179,516	)			1,692,987				(4,950,029	)
Other (expense)/income
Other income/(expense), net			68,002				(933,539	)			(47,190	)			(710,363	)
Interest expense			(461,504	)			(521,316	)			(1,398,415	)			(1,697,803	)
Gain/(loss) on exercise of warrant liabilities			74,008				(7,255,528	)			(15,722,097	)			(7,255,528	)
Changes in fair value of warrant liability			(3,615,437	)			2,807,890				(8,928,275	)			2,807,890
Total other income/(expense), net			(3,934,931	)			(5,902,493	)			(26,095,977	)			(6,855,804	)
Net loss before income taxes			(4,577,332	)			(9,082,009	)			(24,402,990	)			(11,805,833	)
Income tax expense			14,035				67,294				245,098				238,049
Loss from continuing operations			(4,591,367	)			(9,149,303	)			(24,648,088	)			(12,043,882	)
(Loss)/income from discontinued operations, net of tax			(42,280	)			9,984				(282,599	)			30,939
Net loss			(4,633,647	)			(9,139,319	)			(24,930,687	)			(12,012,943	)
Less net loss in noncontrolling interest			(90,312	)			(158,293	)			(15,927	)			(351,212	)
Net loss attributable to Cemtrex, Inc. stockholders		$	(4,543,335	)		$	(8,981,026	)		$	(24,914,760	)		$	(11,661,731	)
Income/(loss) per share - Basic & Diluted
Continuing Operations		$	(1.78	)		$	(605.49	)		$	(11.68	)		$	(2,232.92	)
Discontinued Operations		$	(0.02	)		$	0.67			$	(0.13	)		$	5.88
Weighted Average Number of Shares-Basic & Diluted			2,542,677				14,936				2,111,669				5,260

Cemtrex, Inc. and Subsidiaries

Condensed Consolidated Statements of Cash Flows

(Unaudited)

		For the nine months ended
		June 30,
		2025				2024
Cash Flows from Operating Activities
Net loss		$	(24,930,687	)		$	(12,012,943
Adjustments to reconcile net loss to net cash used by operating activities
Depreciation and amortization			960,930				998,641
(Gain)/loss on disposal of property and equipment			19,668				(13,595
Noncash lease expense			684,360				645,695
Bad debt expense			55,222				1,429,791
Contract modification - related party			280,545				-
Share-based compensation			10,280				22,675
Income tax expense			-				208,669
Shares issued to pay for services			-				129,000
Accrued interest on notes payable			803,030				937,899
Non-cash royalty income			(48,668	)			(39,846
Amortization of original issue discounts on notes payable			29,167				-
Loan origination costs			5,000				54,400
Loss on excess fair value of warrants			-				7,255,528
Loss on exercise of warrant liabilities			15,722,096				-
Changes in fair value of warrant liability			8,928,275				(2,807,890
Changes in operating assets and liabilities net of effects from acquisition of subsidiaries:
Trade receivables			(1,534,474	)			1,420,733
Trade receivables - related party			87,116				(136,277
Inventory			1,162,286				1,350,333
Contract assets			387,056				624,141
Prepaid expenses and other current assets			(98,976	)			548,129
Other assets			125,035				(274,081
Accounts payable			295,378				(1,588,439
Accounts payable - related party			-				(5,009
Sales tax payable			(58,449	)			2,036
Operating lease liabilities			(692,804	)			(646,595
Deposits from customers			(146,744	)			189,331
Accrued expenses			60,159				(496,932
Contract liabilities			1,455,386				921,287
Deferred revenue			(135,687	)			(395,065
Income taxes payable			(24,582	)			(196,727
Other liabilities			10,864				(201,366
Net cash provided by/(used in) operating activities			3,410,782				(2,076,477
Cash Flows from Investing Activities
Purchase of property and equipment			(1,435,743	)			(429,334
Proceeds from sale of property and equipment			13,511				77,110
Royalties on related party revenues			40,000				46,000
Investment in MasterpieceVR			(100,000	)			(100,000
Net cash used by investing activities			(1,482,232	)			(406,224
Cash Flows from Financing Activities
Proceeds on revolving line of credit			23,424,024				26,682,873
Payments on revolving line of credit			(24,509,177	)			(24,025,081
Payments on debt			(985,212	)			(7,818,405
Payments on Paycheck Protection Program Loans			(50,628	)			(30,365
Proceeds on Loan from CEO			200,000				-
Proceeds on bank loans			-				28,267
Proceeds from notes payable			500,000				-
Proceeds from warrant exercises			1,307,354				-
Proceeds from offerings			1,463,550				10,035,293
Expenses on offerings			(232,100	)			(935,333
Purchases of treasury stock			-				(69,705
Net cash provided by financing activities			1,117,811				3,867,544
Effect of currency translation			(321,394	)			(114,180
Net increase/(decrease) in cash, cash equivalents, and restricted cash			2,724,967				1,270,663
Cash, cash equivalents, and restricted cash at beginning of period			5,420,392				6,349,562
Cash, cash equivalents, and restricted cash at end of period		$	8,145,359			$	7,620,225
Balance Sheet Accounts Included in Cash, Cash Equivalents, and Restricted Cash
Cash and cash equivalents		$	7,032,530			$	6,468,197
Restricted cash			1,112,829				1,152,028
Total cash, cash equivalents, and restricted cash		$	8,145,359			$	7,620,225

Investor Relations:
[email protected]