CVD Equipment Corp Reports $1.3M Q4 Loss; Agrees $16.9M SDC Divestiture
CVD Equipment Corp posted a fourth-quarter net loss of $1.3 million ($0.18 per share) on $5 million revenue, down 33% year-over-year. Backlog fell to $6.6 million from $19.4 million and the company agreed to sell its SDC unit for $16.9 million, netting about $15 million.
1. Q4 Financial Results
CVD Equipment Corp recorded a net loss of $1.3 million in Q4 2025, or $0.18 per diluted share, compared with a net income of $132,000, or $0.02 per share, in the prior year quarter. Revenue declined 33% to $5 million, and operating income swung to a $1.3 million loss from a $34,000 profit a year earlier.
2. Backlog and Facility Lease
The order backlog contracted to $6.6 million at December-end 2025 from $19.4 million a year earlier, reflecting weaker equipment demand. The company retains ownership of its Sauga Tees New York facility, which is being leased to Atlas Copco Group to generate additional recurring revenue.
3. SDC Divestiture and Strategic Plans
CVD Equipment Corp entered into a definitive agreement to sell its SDC business to Atlas Copco Group for $16.9 million, expected to yield approximately $15 million in net cash proceeds. Management is exploring strategic alternatives, including acquisitions and service revenue expansion, to stabilize lumpy equipment sales and enhance shareholder value.