CVD Equipment (CVV) investor relations material

Executive summary

• Q2 2025 revenue was $5.1 million, down 19.4% year-over-year and 38.5% sequentially; year-to-date revenue reached $13.4 million, up 19.2% over the prior year period.

• Net loss for Q2 2025 was $1.1 million ($0.15 per share), compared to $0.8 million ($0.11 per share) in Q2 2024.

• Orders for Q2 2025 totaled $4.5 million, with strong demand in the FCC/SDC segment for gas delivery equipment; backlog at June 30, 2025, was $13.2 million, down from $13.8 million at March 31, 2025.

• Cash and cash equivalents at June 30, 2025, were $7.0 million, down from $12.6 million at year-end 2024.

• Shipped first CVD4000 silicon carbide coating reactor system in July 2025; two more systems to ship over the next 12 months.

Financial highlights

• Q2 2025 gross profit was $1.1 million with a 21.0% gross margin, down from $1.5 million and 24.3% in Q2 2024.

• Operating loss for Q2 2025 was $1.1 million, compared to $0.9 million in Q2 2024.

• Six months ended June 30, 2025: revenue $13.4 million (up 19.2%), gross profit $3.8 million (up 61.9%), net loss $0.7 million (improved from $2.2 million loss in 2024).

• Net working capital at June 30, 2025, was $13.9 million, comparable to year-end 2024.

• Accounts receivable increased by $3.6 million in Q2 2025 due to contract milestones, with collection expected in Q3.

Outlook and guidance

• Management is monitoring customer demand, geopolitical risks, and tariff impacts, with plans to adjust accordingly.

• Focus remains on disciplined expense management and achieving sustained profitability and positive cash flow.

• Cash, projected cash flow, and backlog expected to cover working capital and capital expenses for at least the next 12 months.

• Ongoing focus on growth markets in aerospace, microelectronics, industrial, and power electronics.

• Unrecognized contract revenue of $10.9 million at June 30, 2025, expected to be recognized within 12 months.