Richardson Electronics reported second‑quarter fiscal 2026 revenue of $52.3 million, up 5.7% year‑over‑year, and a net loss of $0.1 million, a sharp improvement from the $0.7 million loss reported in the same quarter a year earlier. The company also declared a quarterly cash dividend of $0.06 per share, payable February 25 to shareholders of record as of February 6.
Revenue growth was driven by a 39.0% increase in Green Energy Solutions sales and a 28.1% rise in Canvys revenue, while the divested Healthcare segment was excluded from the comparison. The mix shift toward lower‑margin product lines pulled gross margin down to 30.8% from 31.0% a year earlier, reflecting the company’s focus on high‑volume, lower‑margin offerings.
Operating income turned positive at $0.1 million, compared with a $0.7 million loss in the prior year’s second quarter. The improvement stems from tighter cost control and pricing power in the stronger segments, offsetting the margin compression caused by the product‑mix shift.
Analysts had expected revenue of $49.9 million and an EPS of –$0.01. Richardson’s revenue beat the consensus by $2.4 million, while the EPS met the loss estimate, indicating that the company managed to narrow its loss despite ongoing profitability challenges. The revenue beat was largely due to robust demand in the Green Energy Solutions and Canvys businesses, whereas the EPS met the estimate because the mix shift and higher input costs limited margin expansion.
Management highlighted continued focus on cost discipline and strategic investments in engineered‑solutions manufacturing and wind‑repowering projects. No forward guidance was provided in the release, but the company’s emphasis on maintaining a strong cash position and low debt suggests confidence in sustaining its growth trajectory.
Investors reacted with mixed sentiment. The revenue beat was offset by concerns over the company’s persistent net loss and margin compression, leading to a cautious outlook for the near term while acknowledging the company’s solid cash position and strategic focus on high‑growth segments.
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