Company: PDEX
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001079973-25-000729
Chunk: 24

Company: PRO DEX INC
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 8
Chunk 24
---
     $34,057  
     100% 
    $26,536  
     100%

Sales of our medical
device products increased $2.1 million, or 22%, and $7.5 million, or 28%, respectively, for the three and nine months ended March 31,
2025, compared to the corresponding periods of the prior fiscal year. Our medical device revenue to our largest customer, included in
orthopedic sales above, increased $1.8 million and $7.5 million, respectively, for the three and nine months ended March 31, 2025, compared
to the corresponding periods of the prior fiscal year due primarily to the launch of that customer’s next generation handpiece.
As can be common with new product launches in the industry, the customer’s internal design of the next generation handpiece continues
to evolve, and the customer has recently informed us that it is holding off on next generation handpiece shipments in favor of continued
shipments and enhanced repair of the legacy handpieces as the customer continues to refine the next generation handpiece’s design.
Although we cannot predict the timing of the customer’s further transition to the next generation handpiece at this time, we
fully anticipate a resumption of shipments of the next generation handpiece once the design enhancements are finalized, coupled with larger
orders of the legacy handpiece during the interim. Additionally, recurring revenue from distributors of thoracic drivers increased
$182,000 and $272,000, respectively, for the three and nine months ended March 31, 2025, compared to the corresponding periods of the
prior fiscal year. Our CMF sales revenue increased $107,000 and decreased $246,000, for the three and nine months ended March 31, 2025,
respectively, compared to the corresponding periods of the prior fiscal year. While we do not have much visibility into our customers’
distribution networks, this level of change in thoracic and CMF sales (whether an increase or decrease) is not uncommon and fluctuations
occur based upon required inventory levels.

Sales
of our compact pneumatic air motors, reported as industrial and scientific sales above, increased
$54,000, or 26%, and decreased $15,000, or 3%, respectively, for the three and nine months ended March 31, 2025, compared to the corresponding
periods of the prior fiscal year. These are legacy products with no substantive marketing efforts. Our