Nortech Systems Reports Q1 Results; Net Sales of $26.9 Million
May 15, 2025 | Globe NewswireEstimated reading time: 2 minutes
Nortech Systems Incorporated, a leading provider of engineering and manufacturing solutions for complex electromedical and electromechanical products serving the medical imaging, medical device, industrial and aerospace & defense markets, reported financial results for the first quarter ended March 31, 2025.
2025 Q1 Highlights:
- Net sales of $26.9 million
- Net loss of ($1.3) million, or ($0.48) per diluted share
- Adjusted earnings before interest, taxes, depreciation, and amortization (“EBITDA”) of ($1.0) million loss
- 90-day backlog of $26.7 million as of March 31, 2025
Management Commentary
“Over the past few quarters, we have successfully transitioned and stabilized our business, allowing for smoother operational flow and setting a solid foundation for future growth. Nortech has taken steps to consolidate our operations to focus on driving profitability and growth within our core market segments. These strategic moves are designed to better scale the business, improve efficiency, and reduce our ongoing cost structure.” said Jay D. Miller, President and CEO. “We made tough decisions that have depressed our short-term revenues and EBITDA but have strategically positioned the Company for long-term growth and innovation specifically in the aerospace & defense and medical imaging markets.”
“The Company experienced delays in our defense customers’ approvals for transfers from our closed Blue Earth facility to our Bemidji plant, and those transfers continue to progress steadily. We continue to anticipate clearing the majority of this approval backlog during the second quarter of 2025. Additionally, our research and development programs, particularly in fiber optic technologies, reflect our commitment to provide customers with technologies that are lighter, faster and more sustainable. This commitment has been evident by the issuance of two new patents in the past year,” Miller added.
“We continue to be impressed by the dedication and collaboration demonstrated by our employees across all locations to do the hard work necessary to achieve our goals. The team’s unwavering commitment enables us to overcome challenges and embrace innovation,” Miller said.
“We’re also closely following changes in regulations, trade policies, and geopolitical factors for potential impacts in our key market segments. We believe the strategic repositioning of our global operations in the past year has further strengthened the Company’s ability to respond to our customers’ needs to near-shore their supply chains. We are well-prepared to shift production closer to key markets, improving efficiency and strengthening our ability to handle global challenges and uncertainties.”
Testimonial
"We’re proud to call I-Connect007 a trusted partner. Their innovative approach and industry insight made our podcast collaboration a success by connecting us with the right audience and delivering real results."
Julia McCaffrey - NCAB GroupSuggested Items
I-Connect007 Editor’s Choice: Five Must-Reads for the Week
07/25/2025 | Marcy LaRont, I-Connect007In industry news this past week, I’m putting a focus on sustainability in electronics by highlighting my interview with Kelly Scanlon and Corey Dehmey, and Nolan Johnson’s Meet the Author podcast with Beth Turner of MacDermid Alpha Electronics Solutions. I also chose to spotlight the M&A activity and outlook in the U.S. market and regional market news in India and Mexico.
KYZEN Promotes Erik Miller to Chief Operating Officer
07/25/2025 | KYZEN'KYZEN, the global leader in innovative environmentally responsible cleaning chemistries, is proud to announce the promotion of R. Erik Miller to Chief Operating Officer (COO).
Blackwell to Account for Over 80% of NVIDIA’s High-End GPU Shipments in 2025: Liquid Cooling Adoption Continues to Rise
07/24/2025 | TrendForceTrendForce’s latest investigations find that the overall server market has recently stabilized, with ODMs concentrating efforts on AI server development.
Dan’s Biz Bookshelf: ‘Elevate: Push Beyond Your Limits'
07/16/2025 | Dan Beaulieu -- Column: Dan's Biz BookshelfI have read a lot of business books over the years. Some inspire, some educate, and a few do both while also shifting the way we approach leadership and personal growth. Robert Glazer’s "Elevate: Push Beyond Your Limits and Unlock Success in Yourself and Others" falls into the latter category.
Hon Hai Reports New June Sales High Amid AI Boom
07/07/2025 | I-Connect007 Editorial TeamTaiwan-based manufacturing giant Hon Hai Precision Industry Co. reported on July 5 that its sales for June rose 10 percent from the previous year, driven by cloud and networking growth because of the boom in artificial intelligence (AI), the Taipei Times reported.