Ultralife Q1 2022 Earnings Report
Key Takeaways
Ultralife Corporation reported a revenue increase of 16.9% to $30.4 million, driven by strong order flow and the acquisition of Excell Battery Group. However, the company experienced an operating loss of $0.3 million due to supply chain constraints, input cost inflation, and investments in new product development.
Total revenue increased by 16.9% compared to the first quarter of 2021, reaching $30.4 million.
Battery & Energy Products sales increased by 31.8%, driven by the Excell Battery Group acquisition and growth in industrial, oil & gas, and medical markets.
Communications Systems sales decreased by 68.3% due to supply chain disruptions.
Total backlog grew to $91.9 million, with $73.8 million expected to ship in 2022, representing a 26.2% increase over the previous quarter.
Ultralife
Ultralife
Ultralife Revenue by Segment
Forward Guidance
The company is balancing the impact of current supply chain disruptions while advancing new product development initiatives, receiving early acceptance of new product rollouts, and transitioning new products to production. They retain the view that their long-term profitable growth drivers, strategy, and expectations remain sound and achievable.
Positive Outlook
- Advancing new product development initiatives.
- Receiving early acceptance of new product rollouts.
- Transitioning new products to production.
- Long-term profitable growth drivers remain sound.
- Long-term profitable growth strategy remains achievable.
Challenges Ahead
- Balancing the impact of current supply chain disruptions.
- Rapid input cost inflation ahead of price realization.
- Investments in engineering pressuring profitability.
- Lingering supply chain disruptions delaying shipments.
- Lower factory volume due to delays in the timing of orders.