RCM Technologies, Inc. Announces Fourth Quarter And Fiscal Year 2025 Results

PENNSAUKEN, N.J., April 03, 2026 (GLOBE NEWSWIRE) -- RCM Technologies, Inc. (NasdaqGM: RCMT), a premier provider of solutions designed to enhance the operational performance of its customers through the deployment of advanced engineering, specialty healthcare, and information technology services, today announced financial results for the fourteen and fifty-three weeks ended January 3, 2026.

RCM Technologies reported revenue of $86.5 million for the fourteen weeks ended January 3, 2026 (the current quarter), an increase of 12.4% compared to $76.9 million for the thirteen weeks ended December 28, 2024 (the comparable prior quarter). Gross profit was $24.3 million for the current quarter, a 12.6% increase compared to $21.6 million for the comparable prior quarter. The Company reported GAAP net income of $6.1 million, or $0.80 per diluted share, for the current quarter, compared with $2.9 million, or $0.37 per diluted share, for the comparable prior quarter. The Company reported adjusted EBITDA (non-GAAP) of $9.3 million for the current quarter, as compared to $6.3 million for the comparable prior quarter, an increase of 49.0%. The Company experienced $0.77 of adjusted net income per diluted share (non-GAAP) for the current quarter as compared to $0.49 for the comparable prior quarter.

RCM Technologies reported revenue of $319.4 million for the fifty-three weeks ended January 3, 2026 (the current year), an increase of 14.7% compared to $278.4 million for the fifty-two weeks ended December 28, 2024 (the comparable prior year). Gross profit was $87.9 million for the current year, a 10.2% increase compared to $79.8 million for the comparable prior year. The Company reported GAAP net income of $16.3 million, or $2.14 per diluted share, for the current year compared to $13.3 million, or $1.68 per diluted share, for the comparable prior year. The Company reported adjusted EBITDA (non-GAAP) of $30.7 million for the current year as compared to $25.9 million for the comparable prior year, an increase of 18.9%. The Company reported $2.50 of adjusted net income per diluted share (non-GAAP) for the current year as compared to $2.03 for the comparable prior year.

The Company will not be holding a conference call to discuss these results. Additional information can be found in the Company’s Form 10-K.

About RCM
RCM Technologies (NasdaqGM: RCMT) is a business and technology solutions provider with world-class talent in key market segments. We help design, build, and enable the Industries of Tomorrow, Today. Operating at the intersection of resources, critical infrastructure and modernization of industries, RCM is a provider of services in Healthcare, Engineering, Aerospace & Defense, Process & Industrial, Life Sciences and Data & Solutions. www.rcmt.com.

The statements contained in this release that are not purely historical are forward-looking statements within the Private Securities Litigation Reform Act of 1995. They are subject to various risks, uncertainties, and other factors that could cause the Company’s actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking statements. These statements often include words such as “may,” “will,” “expect,” “anticipate,” “continue,” “estimate,” “project,” “intend,” “believe,” “plan,” “seek,” “could,” “can,” “should,” “are confident” or similar expressions. In addition, statements that are not historical should also be considered forward-looking statements. These statements are based on assumptions that we have made in light of our experience in the industry, and our perceptions of historical trends, current conditions, expected future developments, and other factors we believe are appropriate in these circumstances. Forward-looking statements include, but are not limited to, those relating to demand for the Company’s services, expectations regarding our future revenues and other financial results, such as cash flows, our pipeline, and potential project wins, and our expectations for investment and growth in our business. Such statements are based on current expectations that involve several known and unknown risks, uncertainties, and other factors, which may cause actual events to be materially different from those expressed or implied by such forward-looking statements. Risk, uncertainties, and other factors may emerge from time to time that could cause the Company’s actual results to differ from those indicated by the forward-looking statements. Investors are directed to consider such risks, uncertainties, and other factors described in documents filed by the Company with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. The Company assumes no obligation (and expressly disclaims any such obligation) to update any forward-looking statements contained in this release as a result of new information or future events or developments, except as may be required by law.

Tables to Follow

 RCM Technologies, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
(In thousands, except share and per share amounts)
  Fourteen and Thirteen Weeks Ended   January 3,
2026 December 28,
2024 Revenue$86,476 $76,912 Cost of services62,198 55,343 Gross profit24,278 21,569 Selling, general and administrative15,753 16,025 Depreciation and amortization of property and equipment554 407 Impairment of intangible assets- 547 Potential stock issuance and financing transactions- 64 Remeasurement of contingent consideration- (1,759)Operating income7,971 6,285 Other expense, net780 516 Income before income taxes7,191 5,769 Income tax expense1,087 2,902 Net income$6,104 $2,867      Diluted net earnings per share data$0.80 $0.37 Diluted weighted average shares outstanding7,587,448 7,733,142 

 Fifty-Three and Fifty-Two Weeks Ended   January 3,
2026 December 28,
2024 Revenue$319,404 $278,380 Cost of services231,461 198,602 Gross profit87,943 79,778 Selling, general and administrative60,932 56,787 Depreciation and amortization of property and equipment1,918 1,419 Amortization of acquired intangible assets- 136 Impairment of intangible assets- 547 Potential stock issuance and financing transactions- 323 Remeasurement of contingent consideration- (1,759)Operating income25,093 22,325 Other expense, net3,021 2,135 Income before income taxes22,072 20,190 Income tax expense5,738 6,863 Net income$16,334 $13,327      Diluted net earnings per share data$2.14 $1.68 Diluted weighted average shares outstanding7,635,740 7,939,381 

 RCM Technologies, Inc.
Supplemental Operating Results on a Non-GAAP Basis
(Unaudited)
(In thousands) 

The following non-GAAP measures, which adjust for the categories of expenses described below, are non-GAAP financial measures. Our management believes that these non-GAAP financial measures (“Adjusted operating income,” “EBITDA,” “Adjusted EBITDA,” “Adjusted net income” and “Adjusted diluted net earnings per share”) are useful information for investors, shareholders, and other stakeholders of our Company in gauging our results of operations on an ongoing basis and to enhance investors’ overall understanding of our current financial performance and period-to-period comparisons. Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income, and Adjusted diluted net earnings per share should not be considered alternatives to operating income or net income, as the case may be, as an indicator of performance. In addition, Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income, and Adjusted diluted net earnings per share do not take into account changes in certain assets and liabilities and interest and income taxes that can affect cash flows. We do not intend the presentation of these non-GAAP measures to be considered in isolation or as a substitute for results prepared in accordance with GAAP. These non-GAAP measures should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP.

The following unaudited table presents the Company’s GAAP operating income and GAAP net income and the corresponding adjustments used to calculate Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income, and Adjusted diluted net earnings per share for the fourteen and fifty-three weeks ended January 3, 2026, and the thirteen and fifty-two weeks ended December 28, 2024. 

 Fourteen and Thirteen Weeks
Ended Fifty-Three and Fifty-Two Weeks
Ended  January 3,
2026 December 28,
2024 January 3,
2026 December 28,
2024          GAAP operating income$7,971 $6,285 $25,093 $22,325 Adjustments        Remeasurement of contingent consideration- (1,759)- (1,759)Equity compensation793 710 3,732 2,864 Potential stock issuance and financing transaction- 64 - 323 Impairment of intangible assets- 547 - 547 Adjusted operating income (non-GAAP)$8,764 $5,847 $28,825 $24,300          GAAP net income$6,104 $2,867 $16,334 $13,327 Income tax expense1,087 2,902 5,738 6,863 Interest expense, net784 664 2,669 2,215 Depreciation of property and equipment554 407 1,918 1,419 Amortization of acquired intangible assets- - - 136 EBITDA (non-GAAP)$8,529 $6,840 $26,659 $23,960          Adjustments        Remeasurement of contingent consideration- (1,759)- (1,759)(Gain) loss on foreign currency transactions(4)(148)352 (80)Equity compensation793 710 3,732 2,864 Potential stock issuance and financing transaction- 64 - 323 Impairment of intangible assets- 547 - 547 Adjusted EBITDA (non-GAAP)$9,318 $6,254 $30,743 $25,855 

     RCM Technologies, Inc.
Supplemental Operating Results on a Non-GAAP Basis (Continued)
(Unaudited)
(In thousands, except per share amounts)
      Fourteen and Thirteen Weeks Ended Fifty-Three and Fifty-Two Weeks Ended  January 3,
2026 December 28,
2024 January 3,
2026 December 28,
2024          GAAP net income$6,104 $2,867 $16,334 $13,327 Adjustments        Remeasurement of contingent consideration -  (1,759) -  (1,759)(Gain) loss on foreign currency transactions (4) (148) 352  (80)Equity compensation 793  710  3,732  2,864 Potential stock issuance and financing transaction -  64  -  323 Impairment of intangible assets -  547  -  547 Tax impact from normalized rate (1,068) 1,503  (1,324) 900 Adjusted net income (non-GAAP)$5,825 $3,784 $19,094 $16,122          GAAP diluted net earnings per share$0.80 $0.37 $2.14 $1.68 Adjustments        Remeasurement of contingent consideration - ($0.22) - ($0.22)(Gain) loss on foreign currency transactions($0.00)($0.02)$0.04 ($0.01)Equity compensation$0.11 $0.09 $0.49 $0.36 Potential stock issuance and financing transaction - $0.01  - $0.04 Impairment of intangible assets - $0.07  - $0.07 Tax impact from normalized rate(a)($0.14)$0.19 ($0.17)($0.11)Adjusted diluted net earnings per share (non-GAAP)$0.77 $0.49 $2.50 $2.03 

 (a)Amount reflects an adjustment to income tax expense applied to non-GAAP adjusted consolidated taxable income. The Company used an estimated effective income tax rate of 27.0% for both periods presented, approximating the Company’s federal USA income tax rate plus the tax-affected rate for states and Puerto Rico.

   RCM Technologies, Inc.
Summary of Selected Income Statement Data
(Unaudited)
(In thousands)
    Fourteen Weeks Ended January 3, 2026  Specialty
Health Care Engineering Life Sciences,
Data and Solutions Consolidated          Revenue$47,999 $30,404 $8,073 $86,476 Cost of services 34,067  22,608  5,523  62,198 Gross profit$13,932 $7,796 $2,550 $24,278 Gross profit margin 29.0% 25.6% 31.6% 28.1%

 Thirteen Weeks Ended December 28, 2024  Specialty
Health Care Engineering Life Sciences,
Data and Solutions Consolidated          Revenue$41,011 $26,279 $9,622 $76,912 Cost of services 28,474  21,098  5,771  55,343 Gross profit$12,537 $5,181 $3,851 $21,569 Gross profit margin 30.6% 19.7% 40.0% 28.0%

 Fifty-Three Weeks Ended January 3, 2026  Specialty
Health Care Engineering Life Sciences,
Data and Solutions Consolidated          Revenue$164,104 $120,486 $34,814 $319,404 Cost of services 116,702  93,104  21,655  231,461 Gross profit$47,402 $27,382 $13,159 $87,943 Gross profit margin 28.9% 22.7% 37.8% 27.5%

 Fifty-Two Weeks Ended December 28, 2024  Specialty
Health Care Engineering Life Sciences,
Data and Solutions Consolidated          Revenue$142,679 $96,459 $39,242 $278,380 Cost of services 100,146  73,916  24,540  198,602 Gross profit$42,533 $22,543 $14,702 $79,778 Gross profit margin 29.8% 23.4% 37.5% 28.7%

     RCM Technologies, Inc.
Consolidated Balance Sheets
(Unaudited)
(In thousands, except share amounts)      January 3, December 28,  2026 2024      Current assets:    Cash and cash equivalents$2,922 $4,729 Accounts receivable, net of provision for credit losses of $1,229 and $1,570 at January 3, 2026 and December 28, 2024, respectively 81,243  77,960 Transit accounts receivable 8,017  7,315 Prepaid expenses and other current assets 7,704  7,034 Total current assets 99,886  97,038      Property and equipment, net 7,265  7,368      Other assets:    Deposits 261  230 Deferred tax assets, foreign 6  120 Goodwill 22,147  22,147 Operating right of use asset 4,832  5,174 Total other assets 27,246  27,671      Total assets$134,397 $132,077 

Current liabilities:    Accounts payable and accrued expenses$9,649 $13,369 Transit accounts payable16,247 23,870 Accrued payroll and related costs10,784 9,929 Finance lease payable843 698 Income taxes payable391 346 Operating right of use liability1,209 1,046 Contingent consideration from acquisitions- 212 Deferred revenue14,761 4,163 Total current liabilities53,884 53,633      Deferred income taxes, net, domestic5,673 4,526 Finance lease payable, net of current position380 1,112 Operating right of use liability, net of current position3,813 4,355 Borrowings under line of credit24,673 34,967 Total liabilities88,423 98,593      Contingencies (note 16) and Commitments (note 18)         Stockholders’ equity:    Preferred stock, $1.00 par value; 5,000,000 shares authorized;    no shares issued or outstanding- - Common stock, $0.05 par value; 40,000,000 shares authorized;    18,004,241 shares issued and 7,351,400 shares outstanding at January 3, 2026 and 17,838,372 shares issued and 7,602,113 shares outstanding at December 28, 2024900 890 Additional paid-in capital122,244 118,845 Accumulated other comprehensive loss(2,814)(2,920)Accumulated deficit10,396 (5,938)Treasury stock, 10,652,841 shares at January 3, 2026 and 10,236,259 shares at December 28, 2024(84,752)(77,393)Stockholders’ equity45,974 33,484      Total liabilities and stockholders’ equity$134,397 $132,077 

 RCM Technologies, Inc.
Condensed Consolidated Statements of Cash Flows
(Unaudited)
(In thousands)
  Fourteen and Thirteen Weeks Ended   January 3,
2026 December 28,
2024 Net income$6,104 $2,867 Adjustments to reconcile net income to cash used in operating activities3,911 2,693 Changes in operating assets and liabilities:    Accounts receivable1,097 (2,064)Prepaid expenses and other current assets(3,541)(1,917)Net of transit accounts receivable and payable1,005 (5,345)Accounts payable and accrued expenses(3,415)1,861 Accrued payroll and related costs(2,012)(1,698)Operating lease liabilities(396)(280)Income taxes payable144 140 Deferred revenue8,530 2,121 Deposits18 (15)Total adjustments5,341 (4,504)Net cash provided by (used in) operating activities$11,445 ($1,637)     Net cash used in investing activities(197)(983)Net cash (used in) provided by financing activities(9,567)4,307 Effect of exchange rate changes on cash and cash equivalents(68)(114)Increase in cash and cash equivalents$1,613 $1,573      

 Fifty-Three and Fifty-Two Weeks Ended   January 3,
2026 December 28,
2024 Net income$16,334 $13,327 Adjustments to reconcile net income to cash used in operating activities 8,991  6,893 Changes in operating assets and liabilities:    Accounts receivable (4,152) (7,271)Prepaid expenses and other current assets (676) (2,392)Net of transit accounts receivable and payable (8,325) (5,656)Accounts payable and accrued expenses (3,484) 1,101 Accrued payroll and related costs 848  (1,265)Operating lease liabilities (1,205) (966)Income taxes payable 36  34 Deferred revenue 10,628  2,282 Deposits (30) 83 Total adjustments 2,631  (7,157)Net cash provided by operating activities 18,965  6,170      Net cash used in investing activities (1,595) (2,572)Net cash used in financing activities (19,038) (4,828)Effect of exchange rate changes on cash and cash equivalents (139) (325)Decrease in cash and cash equivalents($1,807)($1,555)     

RCM Technologies, Inc.Tel: 856.356.4500Corporate Contacts:2500 McClellan Avenueinfo@rcmt.comBradley S. ViziPennsauken, NJ 08109www.rcmt.comExecutive Chairman   Kevin D. Miller  Chief Financial Officer