Roanoke, Va. – September 13, 2026 -- Optical Cable Corporation (Nasdaq GM: OCC) reported third-quarter fiscal 2026 net sales of $24.3 million, up 22.0% from $19.9 million a year earlier, as demand accelerated across its enterprise, data center and specialty markets.
Gross profit climbs 43.9% on manufacturing leverage
Gross profit for the quarter ended July 31, 2026 rose to $9.1 million from $6.3 million, lifting gross margin to 37.4% from 31.7% in the prior-year period. The company attributed the gain to higher sales volumes and improved manufacturing operating leverage.
Net income swings to $1.9 million from $302,000
OCC posted net income of $1.9 million, or $0.21 per basic and diluted share, compared with $302,000, or $0.04 per share, in the third quarter of fiscal 2025. SG&A expenses rose to $7.0 million from $5.7 million, driven by higher employee, contracted sales personnel and shipping costs, though SG&A held steady at 28.7% of net sales versus 28.8% a year ago.
International sales outpace domestic growth
U.S. net sales increased 20.3% in the quarter, while sales to customers outside the United States rose 28.8%. Order backlog reached $13.5 million at quarter-end, up from $13.3 million as of April 30, 2026, $10.4 million as of January 31, 2026, and $7.3 million as of October 31, 2025.
Nine-month sales rise 18.3% to $62.9 million
For the first nine months of fiscal 2026, consolidated net sales totaled $62.9 million, up from $53.2 million a year earlier. U.S. sales grew 14.8% while international sales climbed 31.1%. Gross profit for the nine-month period increased 35.5% to $22.1 million, with gross margin expanding to 35.0% from 30.6%.
OCC recorded nine-month net income of $2.5 million, or $0.28 per share, reversing a net loss of $1.5 million, or $0.19 per share, in the same period last year. SG&A expenses for the nine months rose to $18.8 million from $16.9 million.
CEO cites disciplined execution across target markets
President and CEO Neil Wilkin said the quarter's results reflect strong demand in enterprise, data center and specialty markets, with gross profit growth driven by volume increases and manufacturing operating leverage.