RCM Technologies, Inc. Announces Second Quarter 2026 Results

PENNSAUKEN, N.J., Aug. 13, 2026 (GLOBE NEWSWIRE) -- RCM Technologies, Inc. (NasdaqGM: RCMT), a premier provider of solutions designed to enhance the operational performance of its customers through the deployment of advanced engineering, specialty healthcare, and information technology services, today announced financial results for the thirteen and twenty-six weeks ended July 4, 2026.

RCMT reported revenue of $93.8 million for the thirteen weeks ended July 4, 2026 (the current quarter), an increase of 20.0% compared to $78.2 million for the thirteen weeks ended June 28, 2025 (the comparable prior quarter). Gross profit was $24.1 million for the current quarter, an 8.1% increase compared to $22.3 million for the comparable prior quarter. The Company experienced GAAP net income of $4.9 million, or $0.68 per diluted share, for the current quarter compared to $3.8 million, or $0.50 per diluted share, for the comparable prior quarter. The Company experienced adjusted EBITDA (non-GAAP) of $9.3 million for the current quarter, as compared to $8.1 million for the comparable prior quarter, an increase of 14.8%. The Company experienced $0.82 of adjusted net income per diluted share (non-GAAP) for the current quarter as compared to $0.69 for the comparable prior quarter, an increase of 18.8%

RCMT reported revenue of $176.9 million for the twenty-six weeks ended July 4, 2026 (the current period), an increase of 8.7% compared to $162.6 million for the twenty-six weeks ended June 28, 2025 (the comparable prior-year period). Gross profit was $46.1 million for the current period, a 4.2% increase compared to $44.3 million for the comparable prior-year period. The Company experienced GAAP net income of $8.7 million, or $1.20 per diluted share, for the current period compared to $8.0 million, or $1.04 per diluted share, for the comparable prior-year period. The Company experienced adjusted EBITDA (non-GAAP) of $17.5 million for the current period, as compared to $15.9 million for the comparable prior-year period, an increase of 9.9%. The Company experienced $1.50 of adjusted net income per diluted share (non-GAAP) for the current period as compared to $1.32 for the comparable prior-year period, an increase of 13.6%.

About RCM
RCM Technologies, Inc. (NasdaqGM: RCMT) is a business and technology solutions provider with world-class talent in key market segments. We help design, build, and enable the Industries of Tomorrow, Today. Operating at the intersection of resources, critical infrastructure and modernization of industries, RCM is a provider of services in Healthcare, Engineering, Aerospace & Defense, Process & Industrial, Life Sciences and Data & Solutions. www.rcmt.com.

The statements contained in this release that are not purely historical are forward-looking statements within the Private Securities Litigation Reform Act of 1995. They are subject to various risks, uncertainties, and other factors that could cause the Company’s actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking statements. These statements often include words such as “may,” “will,” “expect,” “anticipate,” “continue,” “estimate,” “project,” “intend,” “believe,” “plan,” “seek,” “could,” “can,” “should,” “are confident” or similar expressions. In addition, statements that are not historical should also be considered forward-looking statements. These statements are based on assumptions that we have made in light of our experience in the industry, and our perceptions of historical trends, current conditions, expected future developments, and other factors we believe are appropriate in these circumstances. Forward-looking statements include, but are not limited to, those relating to demand for the Company’s services, expectations regarding our future revenues and other financial results, such as cash flows, our pipeline, and potential project wins, and our expectations for investment and growth in our business. Such statements are based on current expectations that involve several known and unknown risks, uncertainties, and other factors, which may cause actual events to be materially different from those expressed or implied by such forward-looking statements. Risk, uncertainties, and other factors may emerge from time to time that could cause the Company’s actual results to differ from those indicated by the forward-looking statements. Investors are directed to consider such risks, uncertainties, and other factors described in documents filed by the Company with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. The Company assumes no obligation (and expressly disclaims any such obligation) to update any forward-looking statements contained in this release as a result of new information or future events or developments, except as may be required by law.

Tables to Follow

RCM Technologies, Inc. Condensed Consolidated Statements of Operations (Unaudited) (In Thousands, Except Share and Per Share Amounts)
	Thirteen Weeks Ended
	July 4, 2026			June 28, 2025
Revenue	$93,816			$78,166
Cost of services		69,734			55,889
Gross profit		24,082			22,277
Selling, general and administrative		15,568			15,275
Depreciation and amortization of property and equipment		558			401
Operating income		7,956			6,601
Other expense, net		736			929
Income before income taxes		7,220			5,672
Income tax expense		2,319			1,887
Net income	$4,901			$3,785
Diluted net earnings per share data	$0.68			$0.50
Diluted weighted average shares outstanding		7,187,516			7,537,787

	Twenty-Six Weeks Ended
	July 4, 2026			June 28, 2025
Revenue	$176,854			$162,639
Cost of services		130,751			118,384
Gross profit		46,103			44,255
Selling, general and administrative		31,097			30,246
Depreciation and amortization of property and equipment		1,132			825
Operating income		13,894			13,184
Other expense, net		1,298			1,627
Income before income taxes		12,596			11,557
Income tax expense		3,851			3,586
Net income	$8,745			$7,971
Diluted net earnings per share data	$1.20			$1.04
Diluted weighted average shares outstanding		7,316,974			7,650,272

RCM Technologies, Inc.
Supplemental Operating Results on a Non-GAAP Basis
(Unaudited)
(In Thousands, Except Per Share Amounts)

The following non-GAAP measures, which adjust for the categories of expenses described below, are non-GAAP financial measures. Our management believes that these non-GAAP financial measures (“Adjusted operating income,” “EBITDA,” “Adjusted EBITDA,” “Adjusted net income” and “Adjusted diluted net earnings per share”) are useful information for investors, shareholders, and other stakeholders of our Company in gauging our results of operations on an ongoing basis and to enhance investors’ overall understanding of our current financial performance and period-to-period comparisons. Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income and Adjusted diluted net earnings per share should not be considered alternatives to operating income or net income, as the case may be, as an indicator of performance. In addition, Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income and Adjusted diluted net earnings per share do not take into account changes in certain assets and liabilities and interest and income taxes that can affect cash flows. We do not intend the presentation of these non-GAAP measures to be considered in isolation or as a substitute for results prepared in accordance with GAAP. These non-GAAP measures should be read-only in conjunction with our consolidated financial statements prepared in accordance with GAAP.

The following unaudited table presents the Company’s GAAP operating income and GAAP net income and the corresponding adjustments used to calculate Adjusted operating income, EBITDA, Adjusted EBITDA, Adjusted net income and Adjusted diluted net earnings per share for the thirteen and twenty-six weeks ended July 4, 2026, and June 28, 2025.

	Thirteen Weeks Ended						Twenty-Six Weeks Ended
	July 4, 2026			June 28, 2025			July 4, 2026			June 28, 2025
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
GAAP operating income	$7,956			$6,601			$13,894			$13,184
Adjustments
Excess professional fees		-			-			647			-
Equity compensation		824			1,133			1,832			1,906
Adjusted operating income (non-GAAP)	$8,780			$7,734			$16,373			$15,090
GAAP net income	$4,901			$3,785			$8,745			$7,971
Income tax expense		2,319			1,887			3,851			3,586
Interest expense, net		744			650			1,370			1,301
Depreciation of property and equipment		558			401			1,112			825
EBITDA (non-GAAP)	$8,522			$6,723			$15,078			$13,683
Adjustments
Excess professional fees		-			-			647			-
(Gain) loss on foreign currency transactions		(8	)		279			(72	)		326
Equity compensation		824			1,133			1,832			1,906
Adjusted EBITDA (non-GAAP)	$9,338			$8,135			$17,485			$15,915

RCM Technologies, Inc. Supplemental Operating Results on a Non-GAAP Basis (Continued) (Unaudited) (In Thousands)
	Thirteen Weeks Ended						Twenty-Six Weeks Ended
	July 4, 2026			June 28, 2025			July 4, 2026			June 28, 2025
	(Unaudited)			(Unaudited)			(Unaudited)			(Unaudited)
GAAP net income	$4,901			$3,785			$8,745			$7,971
Adjustments
Excess professional fees		-			-			647			-
(Gain) loss on foreign currency transactions		(8	)		279			(72	)		326
Equity compensation		824			1,133			1,832			1,906
Tax impact from normalized rate		149			(26	)		(200	)		(137	)
Adjusted net income (non-GAAP)	$5,866			$5,171			$10,952			$10,066
GAAP diluted net earnings per share	$0.68			$0.50			$1.20			$1.04
Adjustments
Excess professional fees		-			-		$0.09				-
(Gain) loss on foreign currency transactions	$0.00			$0.04			($0.01		)	$0.05
Equity compensation	$0.12			$0.15			$0.25			$0.25
Tax impact from normalized rate(a)	$0.02				-		($0.03		)	($0.02		)
Adjusted diluted net earnings per share (non-GAAP)	$0.82			$0.69			$1.50			$1.32

RCM Technologies, Inc. Summary of Selected Income Statement Data (Unaudited) (In Thousands)
	Thirteen Weeks Ended July 4, 2026
	Specialty Health Care			Engineering			Life Sciences, Data and Solutions			Consolidated
Revenue	$44,728			$39,525			$9,563			$93,816
Cost of services		31,566			32,484			5,684			69,734
Gross profit	$13,162			$7,041			$3,879			$24,082
Gross profit margin		29.4	%		17.8	%		40.6	%		25.7	%

	Thirteen Weeks Ended June 28, 2025
	Specialty Health Care			Engineering			Life Sciences, Data and Solutions			Consolidated
Revenue	$42,822			$26,521			$8,823			$78,166
Cost of services		30,545			20,031			5,313			55,889
Gross profit	$12,277			$6,490			$3,510			$22,277
Gross profit margin		28.7	%		24.5	%		39.8	%		28.5	%

	Twenty-Six Weeks Ended July 4, 2026
	Specialty Health Care			Engineering			Life Sciences, Data and Solutions			Consolidated
Revenue	$92,832			$65,662			$18,360			$176,854
Cost of services		66,229			53,320			11,202			130,751
Gross profit	$26,603			$12,342			$7,158			$46,103
Gross profit margin		28.7	%		18.8	%		39.0	%		26.1	%

	Twenty-Six Weeks Ended June 28, 2025
	Specialty Health Care			Engineering			Life Sciences, Data and Solutions			Consolidated
Revenue	$86,105			$58,663			$17,871			$162,639
Cost of services		61,624			45,989			10,771			118,384
Gross profit	$24,481			$12,674			$7,100			$44,255
Gross profit margin		28.4	%		21.6	%		39.7	%		27.2	%

RCM Technologies, Inc. Consolidated Balance Sheets (Unaudited) (In thousands, except share amounts)
			July 4,			January 3,
				2026			2026
Current assets:
	Cash		$6,585			$2,922
	Accounts receivable and contract assets, net of provision for credit losses of $1,229 at July 4, 2026 and January 3, 2026			81,479			81,243
	Transit accounts receivable			6,614			8,017
	Prepaid expenses and other current assets			5,682			7,704
		Total current assets		100,360			99,886
Property and equipment, net				6,355			7,265
Other assets:
	Deposits			262			261
	Deferred tax assets, foreign			6			6
	Goodwill			22,147			22,147
	Operating right of use asset			4,876			4,832
		Total other assets		27,291			27,246
		Total assets	$134,006			$134,397

Current liabilities:
	Accounts payable and accrued expenses			$14,395			$9,649
	Transit accounts payable				14,459			16,247
	Accrued payroll and related costs				12,881			10,784
	Finance lease payable				750			843
	Income taxes payable				352			391
	Operating lease liabilities				1,142			1,209
	Deferred revenue				8,204			14,761
			Total current liabilities		52,183			53,884
Deferred income taxes, net, domestic					5,673			5,673
Finance lease payable, net of current position					-			380
Operating lease liabilities, net of current position					3,945			3,813
Borrowings under revolving credit facility					23,383			24,673
		Total liabilities			85,184			88,423
Contingencies (note 16) and Commitments (note 15)
Stockholders’ equity:
	Preferred stock, $1.00 par value; 5,000,000 shares authorized;
			no shares issued or outstanding		-			-
	Common stock, $0.05 par value; 40,000,000 shares authorized;
			18,088,821 shares issued and 7,087,614 shares outstanding at July 4, 2026 and 18,004,241 shares issued and 7,351,400 shares outstanding at January 3, 2026		904			900
	Additional paid-in capital				123,220			122,244
	Accumulated other comprehensive loss				(3,034	)		(2,814	)
	Retained earnings				19,141			10,396
	Treasury stock at cost, 11,001,207 shares at July 4, 2026 and 10,652,841 shares at January 3, 2026				(91,409	)		(84,752	)
			Stockholders’ equity		48,822			45,974
			Total liabilities and stockholders’ equity	$134,006			$134,397

RCM Technologies, Inc. Condensed Consolidated Statements of Cash Flows (Unaudited) (In Thousands)
		Thirteen Weeks Ended
		July 4, 2026			June 28, 2025
Net income		$4,901			$3,785
Adjustments to reconcile net income to cash used in operating activities			1,731			1,796
Changes in operating assets and liabilities:
	Accounts receivable and contract assets		3,612			(15,322	)
	Prepaid expenses and other current assets		1,443			1,253
	Net of transit accounts receivable and payable		(143	)		2,722
	Accounts payable and accrued expenses		4,242			(4,739	)
	Accrued payroll and related costs		615			(2,236	)
	Operating lease liabilities		(349	)		(294	)
	Income taxes payable		(27	)		501
	Deferred revenue		(5,152	)		4,681
	Deposits		(3	)		(25	)
Total adjustments			5,969			(11,663	)
Net cash provided (used in) by operating activities			10,870			(7,878	)
Net cash used in investing activities			(104	)		(473	)
Net cash (used in) provided by financing activities			(6,768	)		8,491
Effect of exchange rate changes on cash			(34	)		151
Increase in cash		$3,964			$291

		Twenty-Six Weeks Ended
		July 4, 2026			June 28, 2025
Net income		$8,745			$7,971
Adjustments to reconcile net income to cash used in operating activities			3,594			3,255
Changes in operating assets and liabilities:
	Accounts receivable and contract assets		(280	)		(5,764	)
	Prepaid expenses and other current assets		2,019			3,040
	Net of transit accounts receivable and payable		(385	)		(1,671	)
	Accounts payable and accrued expenses		4,952			(3,381	)
	Accrued payroll and related costs		2,108			429
	Operating lease liabilities		(623	)		(535	)
	Income taxes payable		(36	)		430
	Deferred revenue		(6,553	)		5,037
	Deposits		(1	)		(29	)
Total adjustments			4,795			811
Net cash provided by operating activities			13,540			8,782
Net cash used in investing activities			(201	)		(900	)
Net cash used in financing activities			(9,272	)		(7,092	)
Effect of exchange rate changes on cash			(404	)		(47	)
Increase in cash		$3,663			$743

RCM Technologies, Inc.	Tel: 856.356.4500	Corporate Contacts:
2500 McClellan Avenue	info@rcmt.com	Bradley S. Vizi
Pennsauken, NJ 08109	www.rcmt.com	Executive Chairman
		Kevin D. Miller
		Chief Financial Officer