Taylor Devices Reports 7% Revenue Growth to $21.5 Million for Six Months Ending November 30, 2025

Taylor Devices, Inc. reported a notable increase in financial performance for the six months ending November 30, 2025, with net revenue reaching $21.5 million, a 7% increase from $20.2 million in the same period last year. The company’s net income also rose by 13% to $4.2 million, compared to $3.7 million in the prior year. The gross profit margin slightly decreased to 46% from 47%, reflecting a rise in cost of goods sold, which increased by 8% to $11.6 million. The company attributed the revenue growth primarily to a 34% increase in sales from non-long-term projects, despite a 9% decline in revenue from long-term projects.

In terms of operational metrics, Taylor Devices had 31 long-term projects in process during the six-month period, up from 27 in the previous year. The company’s backlog of sales orders decreased to $25.1 million from $34.5 million, with 134 open sales orders as of November 30, 2025. The geographical distribution of sales showed a 15% increase in domestic sales, while international sales fell by 32%, attributed to fluctuations in structural project activity. The company’s customer base includes industrial, structural, and aerospace/defense sectors, with the latter accounting for 61% of total sales.

Research and development costs increased significantly by 72% to $295,000, reflecting the company's commitment to innovation. Conversely, selling, general, and administrative expenses decreased by 4% to $5.1 million, primarily due to lower employee incentive compensation accruals. Operating income for the six-month period was reported at $4.5 million, an increase from $3.8 million in the prior year, driven by higher gross margins associated with increased revenue.

The company’s liquidity position remains strong, with cash and cash equivalents rising to $1.96 million from $1.19 million at the end of the previous fiscal year. Taylor Devices also reported a decrease in accounts receivable to $5.2 million, down from $5.6 million, and a significant reduction in costs and estimated earnings in excess of billings, which fell by 55% to $2.4 million. The company expects to recognize the majority of its backlog revenue during fiscal years 2026 and 2027, indicating a positive outlook for future performance.

Overall, Taylor Devices, Inc. continues to navigate market conditions effectively, with strategic focus on enhancing operational efficiency and expanding its product offerings. The company remains optimistic about its growth trajectory, despite the challenges posed by fluctuating international sales and project timelines.