Optical Cable Reports Higher Q1 Sales Driven by Enterprise and Specialty Markets
March 10, 2026 10:36 AM
IH Market News
Optical Cable Corporation (NASDAQ:OCC) reported its financial results for the first quarter of fiscal 2026, which ended January 31, 2026.
The company posted consolidated net sales of $16.4 million for the quarter, representing a 4.4% increase from $15.7 million in the same period last year. Growth was supported by stronger demand across both OCC’s enterprise and specialty market segments compared with the first quarter of fiscal 2025.
International sales showed notable momentum, rising 18.0% year over year, while sales to customers within the United States increased by less than 1%. The company also reported a significant rise in its sales order backlog and forward load, which reached $10.4 million at the end of the quarter, up from $7.3 million as of October 31, 2025.
Gross profit improved 16.1% to $5.4 million, compared with $4.6 million in the same quarter last year. The increase was driven by higher sales volumes and the benefits of manufacturing operating leverage. As a result, the gross profit margin expanded to 32.7% of net sales, up from 29.4% a year earlier.
Selling, general and administrative expenses rose slightly to $5.6 million from $5.5 million in the prior-year quarter, mainly reflecting higher employee-related expenses, increased costs tied to contracted sales personnel and greater shipping costs.
For the quarter, OCC recorded a net loss of $398,000, or $0.05 per basic and diluted share. This marked an improvement from the net loss of $1.1 million, or $0.14 per share, reported in the first quarter of fiscal 2025.
Management Commentary
Neil Wilkin, President and Chief Executive Officer of OCC, said, “OCC is off to a solid start in fiscal year 2026. During the first quarter, we delivered net sales and gross profit growth, largely driven by increased demand across our enterprise and specialty markets, and the positive impact of our operating leverage.”
“As we begin our second quarter, we are seeing growing momentum in our targeted markets, including our data center market. Our sales order backlog and forward load increased more than 50% to $10.4 million compared to the same prior fiscal year period, and we expect to continue to build on this momentum. We are confident that OCC is well positioned for growth during fiscal year 2026 and, as always, we remain focused on disciplined execution to drive value for our customers and shareholders,” Mr. Wilkin added.
Optical Cable Corporation stock price
Original: Optical Cable Reports Higher Q1 Sales Driven by Enterprise and Specialty Markets
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