VirTra Inc (VTSI)

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Congrats on the 30% gain today. Awesome on an ugly day for the broader markets. But didn't VTSI recognize a $3M milestone payment in Q4? That woulda been almost pure profit. Without that, the quarter woulda looked much different...

From the earnings PR-

Gross profit increased 64% to $26.7 million from $16.3 million in 2022. Gross profit margin was 70%, an increase compared to 57% in 2022. The increase in gross profit margin was primarily due to the aforementioned increase in revenue while maintaining cost of sales in line with 2022 levels. Also contributing to this increase was an unusual event of the Company’s receiving a $3 million kickoff milestone payment in connection with a contract for custom work, for which no significant costs were associated.

And the CC-

Our gross profit for 2023 increased 64% to $26.7 million or 70% of revenue compared to $16.3 million or 57% of revenue in the prior year period. For the fourth quarter, gross profit increased 58% to $8.4 million or 83% of revenue from $5.3 million or 61% of revenue in the fourth quarter of 2022. The increase in gross profit margin for both the 3- and 12-month periods can be attributed to increased sales alongside a decrease in the cost of sales. Thanks to operational efficiencies as well as an initial milestone payment from a contract with no significant associated costs.