Hurco Companies Posts $3.5M Q1 Loss as Revenue Slips 8%
Hurco Companies, a computerized machine tool manufacturer, reported a net loss of $3.5 million for the quarter ending January 31, 2026, narrowing slightly from the $4.3 million loss in the prior-year period. Revenue declined 8% to $42.9 million.
Hurco Companies Inc. (NASDAQ: HURC), a computerized machine tool and software company, reported a net loss of $3.5 million for the three months ending January 31, 2026, compared with a $4.3 million loss in the same quarter a year earlier. The company posted a loss of $0.54 per share, an improvement from the $0.67-per-share loss in the prior-year period. Read more earnings reports.
Revenue for the quarter fell 8% to $42.9 million from $46.4 million in the first quarter of fiscal 2025. Cost of goods sold declined to $34.9 million from $38.1 million, resulting in a gross profit of $7.9 million versus $8.3 million in the year-ago quarter.
The operating loss widened to $3.2 million from $2.1 million in the prior year. Selling, general and administrative expenses rose 7% to $11.1 million from $10.4 million. The company recorded income tax expense of $461,000 compared with $2.0 million in the first quarter of fiscal 2025.
Cash Flow Turns Negative
Cash from operations swung to negative $616,000 for the quarter from positive $10.3 million in the year-ago period. Cash from investing activities was positive $555,000 compared with negative $380,000 in the prior year. Cash from financing activities was negative $271,000 versus negative $352,000.
The company ended the quarter with $48.0 million in cash and cash equivalents, down slightly from $48.7 million at the end of October 2025. Total assets declined to $261.5 million from $264.3 million at the previous quarter-end.
Balance Sheet Position
Inventory stood at $141.7 million as of January 31, 2026, down from $142.9 million three months earlier. Accounts receivable decreased to $25.8 million from $27.9 million. Current liabilities rose to $53.2 million from $52.0 million, with accounts payable increasing to $27.6 million from $26.1 million.
Total stockholders' equity declined to $195.0 million from $198.8 million at the end of October 2025. Retained earnings fell to $142.8 million from $146.3 million. The company had 6.4 million shares outstanding as of January 31, 2026, up from 6.4 million three months prior.
| Financial Metric | Q1 FY2026 | Q1 FY2025 |
|---|---|---|
| Total Revenue | $42.9 million | $46.4 million |
| Cost of Goods Sold | $34.9 million | $38.1 million |
| Gross Profit | $7.9 million | $8.3 million |
| Operating Loss | ($3.2 million) | ($2.1 million) |
| Net Loss | ($3.5 million) | ($4.3 million) |
| EPS (Diluted) | ($0.54) | ($0.67) |
| Cash from Operations | ($616,000) | $10.3 million |