CSP Inc. reports Q4 EPS 30c vs. 31c last year

Reports Q4 revenue $15.3M vs. $16.7M last year. “Our strong fiscal 2023 performance is due to several factors, including the sustained contribution of the TS business, the successful conversion of backlog to revenue and the ability to leverage our strong balance sheet to finance large customer orders,” commented Victor Dellovo, Chief Executive. “We achieved full year revenue growth of 19%, reported gross margin of 34% and grew Net income per common share – diluted well over 100% – all significant accomplishments that give us greater confidence to continue executing our strategy of transitioning the business to higher margin products and services. The TS business continued to grow throughout 2023, and we expect the business to be a major contributor in fiscal 2024 as we add new clients and expand existing client relationships, including contract renewals. We also believe the HPP business is poised for growth in 2024 due to the emergence of and initial success of the newly launched AZT offering. Despite this being a crowded market, we believe AZT surpasses anything available on the market today and the team has been communicating the benefits at several high-profile industry events and conferences. These efforts are certainly having the desired results because the pipeline is growing, and the real-time feedback validates our vision because everyone we speak with acknowledges the ‘need’ for AZT. Our goal is to aggressively pursue these revenue opportunities, and our optimism is reflected in the fact that we recently added several new salespeople, all of whom are completely ramped up and already responsible for bringing in new business. The AZT offer is a foundational shift for the HPP business, and we firmly believe it has the potential to complement the consistent growth of the TS business. In summary, I believe CSPi is positioned to achieve greater feats and success in fiscal 2024.”