Unisync earns $900,000 in fiscal Q1

Executive Summary

• Unisync Corp. reported a swing to net income of $0.90 M ($0.05 per share) for Q1 FY‑2026 versus a net loss of $0.70 M a year earlier.
• Gross margin improved to 23.7 % from 19.7 % YoY, and Adjusted EBITDA rose 3.9 % to $2.7 M (12.9 % of revenue).
• The company secured an additional $7.5 M of annualized new business contracts during the quarter and highlighted a robust pipeline for 2026.

Key Details

• Net Income: $900,000 ($0.05/share) vs. net loss of $700,000 ($‑0.04/share) in Q1 FY‑2025.
• Pre‑Tax Income: $1.2 M versus a pre‑tax loss of $1.0 M a year earlier.
• Revenue: $20.9 M (down 2.3 % YoY from $21.4 M).
• Gross Margin: 23.7 % vs. 19.7 % in the prior year quarter.
• Adjusted EBITDA: $2.7 M, representing 12.9 % of revenue; a 3.9 % YoY improvement.
• Interest Expense: Decreased by $200,000 due to lower borrowings.
• Foreign Exchange Impact: $100,000 unrealized FX gain versus $1.3 M loss in the prior year.
• Depreciation & Amortization: Lower expense contributed to higher margins (specific amount not disclosed).
• New Business Secured: $7.5 M of annualized contracts added during the quarter across telecommunications, quick‑service restaurant, and government sectors.
• Segment Highlights:
• UGL (Unisync Group Ltd.) – Actively pursuing pipeline opportunities in Canada & U.S. for calendar 2026.
• Peerless Garments LP – Holds $25.3 M in firm contracts and options as of Dec 31 2025; continues to seek additional contracts.

Notable Quotes

“The year is off to a strong start and demonstrates the momentum we have built across the business,” said Tim Gu, Executive Chairman. “We are delivering stronger margins, better efficiency and improved profitability… The momentum we have today gives us confidence in the opportunities ahead.”