Sono-Tek Corp 2024年度报告

Dear Fellow Shareholders In a year filled with global economic uncertainty, we're pleased to report that Sono-Tek continued to grow, posting a 4% increase inrevenuesfor fiscal 2025. Whilemodest,that growth builds onalong-tenn trend thathas seen ussteadily expand our reach andrelevance in a fast-moving world of high-tech manufacturing. We'restillinventing and pioneering-justaswe always have. Tariffs, Trade, and Transitioning Energy We've been doingbusinessglobally for a long time, and one thing we've learned.- trade tensionscomeand go, but resilienceessential. Tariffs and trade restrictions have been a recurring challenge for several decades, and the current waveisno exception.We're hopeful that globaleffortsat rebalancing may result in a fairer, more competitive playing field-butasever, time will tell. Meanwhile, another shiftisunderway-this one in energy. Over the past fewyears,we've benefitted from U.S. government supportto green energycustomers.That supportisnow evolving, with more emphasis on energy security and domestic supply. Fortunately,a significant portion of our energy-relatedbusiness servesexactly those needs. Oursystemsare in high demand for U.S. solarmanufacturing and carbon capture technologies that convertemissionsinto sustainable aviation fuel. Together, these two Someofourcustomersare on the cutting edge of green energy innovation, including green hydrogen production, and while we'reexcited aboutthoseprospects, support in those areasiscurrentlylesscertain. We'll continue to supportthose effortswhileremaining pragmatic about the policy winds. Building More Value for Our Customers We've been leaning into complexity-in a good way. Our newest coatingsystemsare more sophisticated and cover a broaderrange of ourcustomers'thin film coating needs. That's led to greater value for them and significant growth forus.The demand forultra-thin, precise coatings continues torise,and our core ultrasonic nozzle technology-combined with our application know-how Whetherit'ssemiconductorwafers,implantable medical devices, handheld electronics, solar panels, or fuelcells,these products all share something in common.- they depend on the type of precision coating that Sono-Tekwasbuilt to deliver. Our investment inadvanced coating platforms designed for scalable productionispositioningusat the heart of next-generation manufacturing. And while product development isn't a line item that grabs headlines, it's one of themostimportant investments we make. You'llseeit in our R&D spending, which remains robust for a company of our size andisabsolutely vital to our long-term growth. We'vealways believed that the best way to build a great futureisto invent it-and we're doingjustthat. Strong Financial Foundation We like optionality. With $12 million incashand no debt, Sono-Tekiswell-positioned to navigate economiceye/esand act quicklywhen opportunity knocks. That strengthisby design. We'veseenwhat happens when companies get overextended, and we've takena different approach: grow steadily, remain disciplined, andstayready to accelerate when the right opportunities present themselves. We remain pleased with the trajectory of thebusinessand enter the new fiscal year with a strong backlog and continuedmomentum. While visibility into full-year results remains limited-particularly in the evolving clean energy sector-we areencouraged by steady demandacrosscore markets and increasing interest in our high-volume medical productionsystems. To ourcustomers,employees, and shareholders-thank you. You've helped build Sono-Tek into what itistoday, and you remainessential to what it will become tomorrow. Here's to another yearofthoughtful innovation,steadygrowth, and sharedsuccess. With appreciation, MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Forward-Looking Statements We discuss expectations regarding our future performance, such as our business outlook, in our annual and quarterly reports, newsreleases, and other written and oral statements. These "forward-looking statements· are based on currently available competitive. financial and economic data and our operating plans. They are inherently uncertain, and investors must recognize that events could turn out tobe significantly different from our expectations and could cause actual results to differ materially. These factors include, among otherconsiderations. general economic and business conditions; political, regulatory, tax. competitive and technological developments affectingour operations or the demand for our products; inflationary and supply chain pressures; the recovery of the Electronics/Microelectronicsand Medical markets; maintenance of increased order backlog; the imposition of tariffs; timely development and market acceptance of new We undertake no obligation to update any forward-looking statement. Sono-Tek Corporation FiscalVear 2025 Highlights (compared with fiscal 2024 unless otherwise noted)We refer to the