Revenue growth remains highly volatile, with a 10.3% contraction in 2026Q2 following a 25.9% growth peak in 2025Q2, while gross margins remain constrained within a 22.9% to 35.2% range.
| Metric | TTM | Sep'25 | Sep'24 | Oct'23 | Oct'22 | Oct'21 | Sep'20 | Sep'19 | Sep'18 | Oct'17 | Oct'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Oct'11 | Oct'10 | Sep'09 | Dec'07 | Dec'06 |
|---|
| Sales/Revenue | 41.18M | 41.34M | 33.99M | 25.66M | 22.38M | 18.22M | 25.89M | 24.53M | 20.85M | 18.55M | 17.28M | 13M | 10.21M | 17.07M | 14.25M | 16.23M | 22.9M | 26.71M | 20.02M | 15.41M |
| Revenue Growth % | 10.02% | 21.6% | 32.49% | 14.64% | 22.84% | -29.62% | 5.54% | 17.63% | 12.43% | 7.34% | 32.88% | 27.38% | -40.2% | 19.76% | -12.16% | -29.15% | -14.25% | 33.43% | 29.93% | - |
| Cost of Goods Sold | 29.13M | 29.28M | 24.47M | 19.04M | 17.49M | 15.7M | 19.8M | 18.28M | 16.34M | 15.13M | 14.23M | 11.62M | 8.86M | 13.91M | 11.91M | 13.77M | 21.91M | 25.48M | 18.37M | 17.59M |
| COGS % of Revenue | - | 70.83% | 71.97% | 74.2% | 78.12% | 86.17% | 76.49% | 74.51% | 78.35% | 81.59% | 82.34% | 89.34% | 86.77% | 81.49% | 83.54% | 84.86% | 95.65% | 95.38% | 91.76% | 114.14% |
| Gross Profit | 12.05M | 12.06M | 9.53M | 6.62M | 4.9M | 2.52M | 6.09M | 6.25M | 4.51M | 3.41M | 3.05M | 1.39M | 1.35M | 3.16M | 2.35M | 2.46M | 995.54K | 1.23M | 1.65M | -2.18M |
| Gross Margin % | 29.27% | 29.17% | 28.03% | 25.8% | 21.88% | 13.83% | 23.51% | 25.49% | 21.65% | 18.41% | 17.66% | 10.66% | 13.23% | 18.51% | 16.46% | 15.14% | 4.35% | 4.62% | 8.24% | -14.14% |
| Gross Profit Growth % | - | 26.53% | 43.96% | 35.16% | 94.33% | -58.61% | -2.64% | 38.49% | 32.25% | 11.9% | 120.13% | 2.59% | -57.23% | 34.65% | -4.48% | 146.7% | -19.29% | -25.17% | 175.65% | - |
| Operating Expenses | 6.26M | 4.92M | 4.71M | 3.83M | 3.25M | 3.01M | 3.21M | 3.06M | 3.03M | 3.21M | 3.96M | 2.83M | 2.33M | 2.9M | 2.65M | 2.38M | 2.79M | 1.44M | 4.72M | 4.66M |
| OpEx % of Revenue | - | 11.91% | 13.85% | 14.93% | 14.52% | 16.54% | 12.38% | 12.46% | 14.53% | 17.31% | 22.93% | 21.73% | 22.81% | 16.99% | 18.57% | 14.65% | 12.2% | 5.38% | 23.56% | 30.24% |
| Selling, General & Admin | 384.32M | 4.92M | 4.71M | 3.83M | 3.25M | 3.01M | 3.21M | 3.06M | 3.03M | 3.21M | 3.96M | 2.83M | 2.23M | 2.9M | 2.65M | 2.38M | 2.79M | 297.38K | 3.78M | 3.71M |
| SG&A % of Revenue | - | 11.91% | 13.85% | 14.93% | 14.52% | 16.54% | 12.38% | 12.46% | 14.53% | 17.31% | 22.93% | 21.73% | 21.83% | 16.99% | 18.57% | 14.65% | 12.2% | 1.11% | 18.91% | 24.07% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | -1000K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.14M | 930.9K | 949.7K |
| Operating Income | 5.79M | 7.13M | 4.82M | 2.79M | 1.65M | -494K | 2.88M | 3.2M | 1.49M | 204K | -200K | -1.44M | -977K | 259K | -301K | 78K | -9.84M | -129.25K | -15.19K | -87.61K |
| Operating Margin % | 14.06% | 17.25% | 14.18% | 10.86% | 7.36% | -2.71% | 11.14% | 13.03% | 7.13% | 1.1% | -1.16% | -11.07% | -9.57% | 1.52% | -2.11% | 0.48% | -42.95% | -0.48% | -0.08% | -0.57% |
| Operating Income Growth % | - | 47.94% | 72.98% | 69.22% | 433.4% | -117.13% | -9.82% | 115.14% | 628.43% | 202% | 86.11% | -47.39% | -477.22% | 186.05% | -485.9% | 100.79% | -7511.21% | -751.1% | 82.67% | - |
| EBITDA | 6.24M | 7.65M | 5.31M | 3.13M | 1.95M | -231K | 3.13M | 3.54M | 1.81M | 541K | 145K | -1.11M | -897K | 328K | -136K | 144K | -8.73M | 2.04M | -15.19K | -87.61K |
| EBITDA Margin % | 15.15% | 18.5% | 15.61% | 12.21% | 8.73% | -1.27% | 12.09% | 14.42% | 8.69% | 2.92% | 0.84% | -8.51% | -8.79% | 1.92% | -0.95% | 0.89% | -38.13% | 7.65% | -0.08% | -0.57% |
| EBITDA Growth % | -5.47% | 44.07% | 69.48% | 60.29% | 945.89% | -107.38% | -11.48% | 95.09% | 235.12% | 273.1% | 113.11% | -23.3% | -373.48% | 341.18% | -194.44% | 101.65% | -527.71% | 13546.13% | 82.67% | - |
| D&A (Non-Cash Add-back) | 447K | 515K | 487K | 345K | 307K | 263K | 248K | 340K | 327K | 337K | 345K | 334K | 80K | 69K | 165K | 66K | 1.1M | 2.17M | 0 | 0 |
| EBIT | 5.79M | 7.13M | 4.82M | 2.79M | 1.65M | 2.04M | 2.38M | 4.54M | 1.58M | -285K | -172K | -1.44M | -977K | 259K | -300K | 78K | -9.84M | -129.25K | -4.65M | -6.84M |
| Net Interest Income | 118K | 23K | -47K | -55K | 0 | -11K | -19K | -23K | -20K | -19K | -36K | -179K | -8K | 42K | -19K | -74K | -89K | -179.57K | 0 | 0 |
| Interest Income | 118K | 23K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 42K | 0 | 0 | 338 | 0 | 0 | 0 |
| Interest Expense | 0 | 0 | 47K | 55K | 0 | 11K | 19K | 23K | 20K | 19K | 36K | 179K | 8K | 0 | 19K | 74K | 89.34K | 179.57K | -200K | 0 |
| Other Income/Expense | -686K | -781K | -47K | -55K | 0 | 2.52M | -527K | 1.32M | 75K | -508K | 703K | 1.93M | -8K | -42K | -19K | -74K | -89K | -179.57K | -4.84M | -6.89M |
| Pretax Income | 5.11M | 6.35M | 4.77M | 2.73M | 1.65M | 2.03M | 2.36M | 4.52M | 1.56M | -304K | -208K | 491K | -985K | 217K | -319K | 4K | -9.93M | -308.82K | -4.85M | -87.61K |
| Pretax Margin % | 12.4% | 15.36% | 14.04% | 10.65% | 7.36% | 11.14% | 9.1% | 18.42% | 7.49% | -1.64% | -1.2% | 3.78% | -9.65% | 1.27% | -2.24% | 0.02% | -43.34% | -1.16% | -24.23% | -0.57% |
| Income Tax | 987K | 1.2M | 1.01M | 469K | 364K | -101K | 531K | -1.15M | 167K | 0 | 0 | 0 | 1.08M | 80K | 48K | -587K | -314K | -284.66K | -20K | 87.61K |
| Effective Tax Rate % | 19.33% | 18.96% | 21.07% | 17.17% | 22.1% | -4.98% | 22.54% | -25.45% | 10.7% | 0% | 0% | 0% | -109.34% | 36.87% | -15.05% | -14675% | 3.16% | 92.18% | 0.41% | -100% |
| Net Income | 4.12M | 5.15M | 3.77M | 2.26M | 1.28M | 2.13M | 1.82M | 5.67M | 1.39M | -304K | -208K | 491K | -2.06M | 137K | -367K | 591K | -9.61M | -24.16K | -15.19K | -87.61K |
| Net Margin % | 10% | 12.45% | 11.08% | 8.82% | 5.73% | 11.69% | 7.05% | 23.11% | 6.68% | -1.64% | -1.2% | 3.78% | -20.2% | 0.8% | -2.57% | 3.64% | -41.97% | -0.09% | -0.08% | -0.57% |
| Net Income Growth % | -15.74% | 36.6% | 66.5% | 76.38% | -39.79% | 16.77% | -67.8% | 306.6% | 558.55% | -46.15% | -142.36% | 123.81% | -1605.11% | 137.33% | -162.1% | 106.15% | -39693% | -59.06% | 82.67% | - |
| Net Income (Continuing) | 4.12M | 5.15M | 3.77M | 2.26M | 1.28M | 2.13M | 1.82M | 5.67M | 1.39M | -304K | -208K | 491K | -2.06M | 137K | -367K | 591K | -9.61M | -24.16K | -4.83M | -6.81M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.59 | 0.74 | 0.55 | 0.34 | 0.16 | 0.18 | 0.14 | 0.45 | 0.16 | -0.04 | -0.15 | -19.06 | -6.76 | 0.20 | -2.56 | 4.24 | -68.93 | -0.20 | -0.38 | -2.21 |
| EPS Growth % | -16.23% | 34.55% | 61.76% | 112.5% | -11.11% | 28.57% | -68.89% | 181.25% | 521.05% | 74.67% | 99.21% | -181.95% | -3480% | 107.81% | -160.38% | 106.15% | -34365% | 47.37% | 82.81% | - |
| EPS (Basic) | - | 0.75 | 0.56 | 0.34 | 0.16 | 0.18 | 0.14 | 0.45 | 0.16 | -0.04 | -0.15 | -19.06 | -6.76 | 0.90 | -2.56 | 4.24 | -68.93 | -0.20 | -0.38 | -2.21 |
| Diluted Shares Outstanding | 6.93M | 6.92M | 6.89M | 6.65M | 8.22M | 8.32M | 8.59M | 8.49M | 8.8M | 8M | 1.55M | 312.22K | 304.89K | 158.67K | 143.5K | 139.44K | 139.44K | 121.03K | 39.73K | 39.73K |
| Basic Shares Outstanding | 6.92M | 6.87M | 6.8M | 6.62M | 8.13M | 8.24M | 8.46M | 8.39M | 8.46M | 8M | 1.55M | 312.22K | 304.89K | 155K | 143.5K | 139.44K | 139.44K | 121.03K | 39.73K | 39.73K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | 56.24% | - | - | - | - | - | - | - | - | - | - | - |
Legacy platform dependency
As indicated by the most recent quarterly data, Optex Systems experienced a 10.3% revenue contraction in 2026Q2, marking a sharp reversal from the 25.9% growth observed in 2025Q2, which highlights the inherent instability of project-based defense procurement cycles for this niche manufacturer.
The erratic top-line performance suggests that revenue recognition is heavily dependent on the timing of specific contract milestones rather than consistent demand. Investors should monitor whether this deceleration reflects a structural slowdown in armored vehicle replenishment or merely the lumpy nature of defense contract fulfillment.
Based on reported financial statements, the company's gross margin has fluctuated between 22.9% and 35.2% over the last ten quarters, suggesting that Optex Systems lacks the pricing power to consistently expand margins beyond the constraints of its fixed-price, build-to-print defense manufacturing model.
The variability in gross margins appears tied to the product mix between the Richardson facility and the Applied Optics Center. Without a shift toward proprietary intellectual property, margin expansion may remain elusive, leaving the company vulnerable to input cost inflation and supply chain bottlenecks.
According to recent SEC filings, the company's operating margin reached a peak of 20.8% in 2025Q2 before compressing to 17.3% in 2026Q2, demonstrating that Optex Systems struggles to maintain operating leverage when revenue growth fails to outpace its relatively fixed overhead structure.
The sharp drop in operating income during periods of revenue decline suggests that the company carries a high fixed-cost burden relative to its small scale. This operating profile implies that profitability is highly sensitive to volume, warranting caution during periods of defense budget uncertainty.
As reported in financial statements, the 2026Q1 period saw an extreme distortion in SG&A expenses and stock-based compensation, which suggests that investors should exercise significant caution when evaluating normalized earnings power without adjusting for these non-recurring or accounting-driven anomalies.
The massive spike in SG&A and stock-based compensation in 2026Q1 appears to be an outlier that obscures the underlying operational performance of the business. Analysts should focus on cash flow generation rather than reported net income to better understand the true economic value created by the firm.
While the company maintains a strong position on legacy platforms, the 21.6% revenue growth may be masking a long-term risk, as the U.S. Army's transition toward the XM30 vehicle suggests that Optex Systems' current product suite may face a shrinking addressable market.
Short-term growth driven by legacy replenishment may be unsustainable if the company fails to secure qualified supplier status for next-generation combat vehicles. The lack of R&D investment, as evidenced by the zero-spend line item, may indicate a strategy of harvesting existing assets rather than future-proofing the portfolio.
Quick answers to the most common questions about buying OPXS stock.
For fiscal year 2025, Optex Systems Holdings, Inc (OPXS) reported total revenue of $41.3M. This represents a 168.3% increase compared to $15.4M in 2007.
Optex Systems Holdings, Inc (OPXS) is profitable, generating $5.1M in net income for the fiscal year ending 2025 with a net profit margin of 12.5%.
Optex Systems Holdings, Inc (OPXS) reported an operating income of $7.1M, resulting in an operating profit margin of 17.3%. This margin reflects the operational efficiency of the business before interest and taxes.
Optex Systems Holdings, Inc (OPXS) generated $12.1M in gross profit for the year, representing a gross profit margin of 29.2%. This demonstrates the company's core pricing power and production efficiency.