Optical Cable Corporation — Third Quarter Fiscal 2026 Earnings Summary

Financial Performance

• Consolidated net sales for the third quarter of fiscal 2026 increased 22.0% to $24.3 million, compared to $19.9 million in the same period of fiscal 2025.
• Net sales to U.S. customers rose 20.3%, while international net sales increased 28.8% year-over-year in the third quarter.
• Gross profit increased 43.9% to $9.1 million in the third quarter, compared to $6.3 million in fiscal 2025, driven by increased volumes and manufacturing operating leverage.
• Gross profit margin improved to 37.4% in the third quarter of fiscal 2026, up from 31.7% in the prior year period.
• SG&A expenses increased to $7.0 million in the third quarter, compared to $5.7 million in fiscal 2025, primarily due to higher employee costs, contracted sales personnel costs, and shipping costs; SG&A as a percentage of net sales was 28.7% versus 28.8% previously.
• Net income for the third quarter of fiscal 2026 was $1.9 million ($0.21 per basic and diluted share), compared to $302,000 ($0.04 per share) in the prior year.
• For the first nine months of fiscal 2026, net sales totaled $62.9 million, an 18.3% increase from $53.2 million in the prior year.
• Gross profit for the first nine months of fiscal 2026 was $22.1 million, a 35.5% increase from $16.3 million in the prior year, with a gross margin of 35.0% compared to 30.6%.
• SG&A expenses for the first nine months of fiscal 2026 were $18.8 million, up from $16.9 million in the prior year.
• Net income for the first nine months of fiscal 2026 was $2.5 million ($0.28 per share), contrasting with a net loss of $1.5 million ($0.19 per share) in the prior year.
• Sales order backlog increased to $13.5 million at the end of the third quarter, up from $13.3 million at the end of the second quarter, $10.4 million at the end of the first quarter, and $7.3 million at the end of fiscal 2025.
• As of July 31, 2026, total assets were $44.9 million compared to $40.1 million as of October 31, 2025; total liabilities were $20.6 million compared to $18.5 million previously.

Business Segments and Product Lines

• Net sales increased across the enterprise, data center, and specialty markets during the third quarter of fiscal 2026.
• The company continues to capitalize on growth opportunities in targeted market sectors domestically and internationally.

Management Commentary and Tone

• Neil Wilkin, President and CEO, stated that third-quarter results demonstrate team strength, disciplined strategy execution, and momentum across targeted market sectors.
• Management attributed gross profit growth to increased volumes and the positive impact of manufacturing operating leverage.
• The company expressed focus on capturing growth in domestic and international markets, delivering exceptional service, and driving sustainable shareholder value.

Other Key Points

• The company announced a conference call for September 9, 2026, at 11:00 a.m. Eastern Time, with a replay available through September 16, 2026.
• OCC is a manufacturer of fiber optic and copper data communication cabling and connectivity solutions for enterprise, data center, and harsh environment markets.
• The company holds ISO 9001:2015 registration and its Dallas facility is MIL-STD-790G certified.
• The press release includes a standard forward-looking information disclaimer noting risks that could cause actual results to differ materially from expectations.