SIFCO Industries Reports Improved Net Loss and Revenue Growth for First Half of Fiscal 2025

SIFCO Industries, Inc. reported a net loss of $3.7 million for the six months ended March 31, 2025, a significant improvement compared to a loss of $5.0 million during the same period in the previous fiscal year. The company’s revenue for the first half of fiscal 2025 reached $39.9 million, reflecting a 10.8% increase from $36.0 million in the prior year. This growth was primarily driven by a $7.2 million increase in sales of fixed wing aircraft components, which offset declines in rotorcraft and commercial space product sales.

The company’s financial position showed a notable decrease in total assets, which fell to $78.8 million as of March 31, 2025, down from $104.6 million at the end of the previous fiscal year. This decline was largely attributed to the sale of its European operations, specifically the CBlade subsidiary, which was completed in October 2024. The divestiture allowed SIFCO to streamline its focus on its core aerospace forging business and resulted in the classification of CBlade’s financials as discontinued operations. The sale generated approximately $14.5 million in cash, which was utilized to reduce outstanding debt.

Operationally, SIFCO's backlog of orders increased to $129.2 million as of March 31, 2025, compared to $122.9 million a year earlier, with $98.9 million expected to be completed within the next 12 months. The company reported a decrease in selling, general, and administrative expenses to $5.2 million, or 13.0% of net sales, down from $5.9 million, or 16.5% of net sales, in the prior year. This reduction was attributed to lower employee-related costs and strategic cost-cutting measures.

In terms of liquidity, SIFCO's cash and cash equivalents increased slightly to $1.9 million from $1.7 million at the end of the previous fiscal year. The company has indicated that it expects its existing cash reserves to be sufficient to support operations and planned capital expenditures over the next 12 months. However, management acknowledged the potential need for additional funding through equity or debt financing to support future growth initiatives.

Looking ahead, SIFCO anticipates continued demand recovery in the aerospace sector, particularly for military applications, which could further enhance its financial performance. The company remains focused on leveraging its streamlined operations to capitalize on domestic growth opportunities while managing the impacts of market conditions and potential regulatory changes, including tariffs on aluminum and steel imports.