--- title: "RCM Tech | 10-Q: FY2027 Q1 Revenue: USD 83.04 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/286463432.md" datetime: "2026-05-14T20:27:21.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/286463432.md) - [en](https://longbridge.com/en/news/286463432.md) - [zh-HK](https://longbridge.com/zh-HK/news/286463432.md) --- # RCM Tech | 10-Q: FY2027 Q1 Revenue: USD 83.04 M Revenue: As of FY2027 Q1, the actual value is USD 83.04 M. EPS: As of FY2027 Q1, the actual value is USD 0.52. EBIT: As of FY2027 Q1, the actual value is USD 6.564 M. ### Consolidated Performance (Thirteen Weeks Ended April 4, 2026 vs. March 29, 2025) - **Revenue**: Decreased to $83.038 million in 2026 from $84.473 million in 2025 . - **Cost of Services**: Decreased to $61.017 million in 2026 from $62.495 million in 2025, representing 73.5% of revenue in 2026, down from 74.0% in 2025 . - **Gross Profit**: Increased to $22.021 million in 2026 from $21.978 million in 2025 . - **Selling, General, and Administrative (SGA) Expenses**: Increased to $15.529 million in 2026 from $14.971 million in 2025, representing 18.7% of revenue in 2026, up from 17.7% in 2025 . - **Operating Income**: Decreased to $5.938 million in 2026 from $6.583 million in 2025 . - **Net Income**: Decreased to $3.844 million in 2026 from $4.186 million in 2025 . ### Segment Performance (Thirteen Weeks Ended April 4, 2026 vs. March 29, 2025) #### Specialty Healthcare Segment - **Revenue**: Increased by 11.1% to $48.104 million in 2026 from $43.283 million in 2025 . School client revenue was $42.9 million in 2026, up from $37.3 million in 2025, while non-school client revenue was $5.2 million in 2026, down from $6.0 million in 2025 due to a lost contract . - **Gross Profit**: Increased by 10.1% to $13.441 million in 2026 from $12.203 million in 2025 . - **Gross Profit Margin**: Decreased to 27.9% in 2026 from 28.2% in 2025, attributed to a greater mix shift to lower-margin services . - **Operating Income**: Increased to $6.636 million in 2026 from $6.174 million in 2025 . - **SGA Expense**: Increased to $6.683 million in 2026 from $5.929 million in 2025, primarily due to investments in sales and recruiting infrastructure . #### Engineering Segment - **Revenue**: Decreased by 18.7% to $26.137 million in 2026 from $32.142 million in 2025 . Energy Services revenue decreased by $2.2 million, Aerospace revenue decreased by $2.1 million, and Industrial Processing revenue decreased by $1.7 million . - **Gross Profit**: Decreased by 14.3% to $5.301 million in 2026 from $6.185 million in 2025 . - **Gross Profit Margin**: Increased to 20.3% in 2026 from 19.2% in 2025, due to a change in mix associated with EPC project and Aerospace revenue . - **Operating Income**: Decreased to $2.375 million in 2026 from $2.880 million in 2025 . - **SGA Expense**: Decreased to $2.703 million in 2026 from $3.134 million in 2025, due to efforts to align costs with gross profit . #### Life Sciences, Data and Solutions Segment - **Revenue**: Decreased by 2.8% to $8.797 million in 2026 from $9.048 million in 2025, primarily due to timing of large projects and de-emphasis on legacy staffing business . - **Gross Profit**: Decreased by 8.6% to $3.279 million in 2026 from $3.590 million in 2025 . - **Gross Profit Margin**: Decreased to 37.3% in 2026 from 39.7% in 2025, due to normal fluctuations in project work . - **Operating Income**: Decreased to $2.045 million in 2026 from $2.124 million in 2025 . - **SGA Expense**: Decreased to $1.198 million in 2026 from $1.426 million in 2025, due to efforts to gain efficiency . #### Corporate Segment - **SGA Expense**: Increased to $4.945 million in 2026 from $4.482 million in 2025, mainly due to $0.6 million in excess professional fees for the fiscal 2025 audit, partially offset by other cost reductions . ### Cash Flow (Thirteen Weeks Ended April 4, 2026 vs. March 29, 2025) - **Net Cash Provided by Operating Activities**: $2.670 million in 2026, a decrease from $16.660 million in 2025 . This decrease was primarily due to a $3.9 million use of cash from an increase in accounts receivable in 2026, compared to a $9.6 million provision of cash in 2025 . The net of transit accounts payable and receivable used $0.2 million of cash in 2026, compared to $4.4 million in 2025, and deferred revenue used $1.4 million of cash in 2026 . - **Net Cash Used in Investing Activities**: -$0.097 million in 2026, compared to -$0.427 million in 2025, primarily due to the completed implementation of the new ERP software system . - **Net Cash Used in Financing Activities**: -$2.504 million in 2026, compared to -$15.583 million in 2025 . This included net borrowings under the revolving credit facility of $4.1 million in 2026 (vs. net payments of -$11.6 million in 2025) and $6.7 million used for treasury stock purchases in 2026 (vs. $3.2 million in 2025) . ### Liquidity and Capital Resources - **Revolving Credit Facility**: Borrowings were $28.8 million as of April 4, 2026, up from $24.7 million as of January 3, 2026, with $33.3 million available for additional borrowings as of April 4, 2026 . The effective weighted average interest rate was 5.7% in 2026, down from 6.0% in 2025, and RCM Technologies, Inc. was in compliance with all covenants . - **Treasury Stock Repurchase Plan**: As of April 4, 2026, RCM Technologies, Inc. had $28.3 million available for future treasury stock purchases, having purchased 348,366 shares at an average price of $19.03 per share during the thirteen weeks ended April 4, 2026 . - **Current Liquidity**: Total current assets were $101.575 million and current liabilities were $52.836 million as of April 4, 2026, resulting in current assets exceeding current liabilities by $48.8 million, and the company expects to satisfy its liquidity needs for at least the next twelve months . ### Future Outlook and Strategy RCM Technologies, Inc. aims to optimize its business model as a single-source premier provider of business and technology solutions with a strong vertical focus, offering an integrated suite of services through a global delivery platform . The company anticipates increased demand for outsourcing in advanced methodologies such as AI, specifically Agentic AI, Quality by Design (QbD), and process automation, as businesses upgrade their systems . The strategy includes expanding sales of higher margin solutions and project management services . ### Related Stocks - [RCMT.US](https://longbridge.com/en/quote/RCMT.US.md) ## Related News & Research - [RCM Technologies (NASDAQ:RCMT) Releases Quarterly Earnings Results, Beats Expectations By $0.19 EPS](https://longbridge.com/en/news/281657582.md) - [Do Wall Street Analysts Like Welltower Stock?](https://longbridge.com/en/news/286776714.md) - [Bloom Energy Shares Are Sliding Tuesday: What's Driving The Action?](https://longbridge.com/en/news/286928977.md) - [08:45 ETThe Jed Foundation (JED) Publishes New Report on Mental Health Challenges Among Boys and Young Men](https://longbridge.com/en/news/286915417.md) - [Are Credicorp’s (BAP) Record Earnings And Digital Push Quietly Rewriting Its Long‑Term Story?](https://longbridge.com/en/news/286912450.md)