RCM Technologies (RCMT) investor relations material

Executive summary

• Revenue grew 14.7% year-over-year to $319.4 million for the fiscal year ended January 3, 2026, with net income up 22.6% to $16.3 million.

• Specialty Health Care and Engineering segments drove growth, while Life Sciences, Data and Solutions declined.

• Adjusted EBITDA rose to $30.7 million from $25.9 million, and adjusted diluted EPS increased to $2.50 from $2.03.

• Cash from operations was $19.0 million, supporting share repurchases and debt reduction.

Financial highlights

• Gross profit increased 10.2% to $87.9 million, though gross margin declined to 27.5% from 28.7%.

• Operating income rose 12.4% to $25.1 million, with SGA expenses at 19.1% of revenue, down from 20.4%.

• Effective tax rate decreased to 26.0% from 34.0%, contributing to higher net income.

• Cash and equivalents at year-end were $2.9 million, with $24.7 million in line of credit borrowings and $27.1 million available.

Outlook and guidance

• Management expects continued demand for advanced technology, engineering, and healthcare solutions, with a focus on AI, automation, and quality by design.

• The company anticipates maintaining compliance with financial covenants and sufficient liquidity for at least the next twelve months.