Company: ELSE
Filing Date: 2025-09-12
Form Type: 10-Q/A
Source: 0000897101-25-000510
Chunk: 12

Company: ELECTRO SENSORS INC
Filing Date: 2025-09-12
Form: 10-Q/A
Chunk 12
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3.3 |   |     |   0.1 |    |     |                     (0.0 | ) |     |   0.4 |   |
| Income tax expense                      |                        0.9 |   |     |   0.3 |    |     |                      0.1 |   |     |   0.2 |   |
| Net income (loss)                       |                        2.4 | % |     |  (0.2 | )% |     |                     (0.1 | ) |     |   0.2 |   |

The following paragraphs discuss the Company’s performance for the three and sixmonths ended June 30, 2025and 2024. RESULTS OF OPERATIONS (in thousands) Net Sales Net sales for the second quarterof 2025were $ 2,400, an increaseof $ 183, or 8.3%, from $ 2,217during the comparable period in 2024. Net sales for the sixmonths ended June 30, 2025 were $ 4,639 , an increase of $ 178 , or 4.0 %, from $ 4,461 during the comparable period in 2024 . The increase during the three-month period was primarily driven by increased sales to international and OEM customers.

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Gross Profit Gross profit for the second quarterof 2025was $ 1,228 , an increaseof $ 181, or 17.3%, over the same period in 2024 . Gross profit for the sixmonths ended June 30, 2025was $ 2,312, an increaseof $ 185, or 8.7%, over the same period in 2024. Gross margin increasedin the second quarterof 2025 to 51.2 % from 47.2% during the same period in 2024 . Gross margin for the sixmonths ended June 30, 2025 increasedto 49.8% from 47.7% over the same period in 2024. The increase in gross margin for both periods was due to an increase in average selling prices implemented to partially offset increased material costs. Operating Expenses Total operating expenses increased$ 76, or 6.6%, to $ 1,230for the second quarterof 2025compared to the same period in 2024, and decreasedas a percentage of net sales to 51