Pro DEX Inc

Operating expenses (which include selling, general and administrative, and research and development expenses) for the quarter ended June 30, 2026, increased $1.4 million to $3.6 million, compared to $2.2 million for the prior fiscal year’s corresponding quarter. Selling, general and administrative expenses increased by $1.3 million, and research and development expenses increased by $111,000 for the quarter ended June 30, 2026, compared to the corresponding quarter in fiscal 2025. The increases relate primarily to a $349,000 allowance for uncollectible receivables, $436,000 of APM’s separate administrative expenses, $250,000 in consulting payments paid to the founder of APM to assist with our manufacturing operations, as well as increased personnel and related expenses to support our continued growth.

Our operating income for the quarter ended June 30, 2026, increased $2.2 million, or 163%, to $3.5 million compared to $1.3 million for the prior fiscal year’s corresponding quarter. The increase reflects our increased gross profit partially offset by higher operating expenses, as described above.

Gross profit for the fiscal year ended June 30, 2026, increased $4.8 million, or 25%, to $24.3 million compared to $19.5 million for fiscal 2025. Our gross margin increased from 29% in fiscal 2025 to 31% in fiscal 2026, due to overall favorable product mix.

Operating expenses (which include selling, general and administrative, and research and development expenses) for the fiscal year ended June 30, 2026, increased $2.5 million or 29% to $11.3 million from $8.8 million in the prior fiscal year. The increase relates primarily to an increase of $1.2 million in personnel costs included in general and administrative expenses to support our continued growth, which amount includes $582,000 of company-wide bonus accruals and non-cash equity compensation expense, as well as $500,000 in non-recurring consulting fees paid to APM’s founder, $669,000 of APM’s separate operating expenses, and the $349,000 allowance for uncollectible receivables referenced above. The decrease in research and development expenses in fiscal 2026 is primarily related to a decrease in legal expenses related to intellectual property matters.

Our operating income for the year ended June 30, 2026, increased $2.3 million, or 22%, to $13.0 million compared to $10.7 million for the prior fiscal year’s corresponding quarter. The increase reflects our increased sales and gross profit, as described above.

CEO Comments ”We are very pleased with our fiscal 2026 performance including completing the acquisition of APM and increasing sales by 16%.” said the Company’s President and Chief Executive Officer Richard L. (”Rick”) Van Kirk. ”I continue to extend my gratitude to the Pro-Dex team for their continued teamwork and focus on execution.” Mr. Van Kirk concluded.

About Pro-Dex, Inc.: