Geospace Technologies Corporation, founded in Houston, Texas, in 1980, specializes in the development and manufacturing of cutting-edge instruments and equipment. Its primary ...
Founded in Houston, Texas in 1980, Geospace Technologies Corporation is a global technology and instrumentation manufacturer specializing in advanced sensing, IoT, and highly ruggedized products. The company operates through three primary segments: Oil and Gas Markets, Adjacent Markets, and Emerging Markets. The Oil and Gas segment provides wireless seismic data ...Founded in Houston, Texas in 1980, Geospace Technologies Corporation is a global technology and instrumentation manufacturer specializing in advanced sensing, IoT, and highly ruggedized products. The company operates through three primary segments: Oil and Gas Markets, Adjacent Markets, and Emerging Markets. The Oil and Gas segment provides wireless seismic data acquisition systems, geophones, hydrophones, cables, and marine streamer products. The Adjacent Markets segment offers imaging equipment, water meters, remote shut-off valves, IoT platforms, and seismic sensors for vibration monitoring and geotechnical applications. The Emerging Markets segment focuses on border and perimeter security, subterranean tunneling detection, and situational awareness solutions for US government agencies. With over 400,000 square feet of manufacturing space in the US and operations in Asia, Canada, Europe, and other regions, Geospace employs approximately 519 people. Financially, the company has faced challenges with negative margins and returns, but maintains a strong balance sheet with low debt and a current ratio above 2. Its recent brand identity refresh reflects a transformation toward leadership and culture, positioning itself for future growth in both traditional and adjacent markets.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$110.8M
-18.3%
-19.9%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-9.7M
-47.8%
+12.1%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+29.7%
-23.4%
-10.7%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
-10.2%
-294.0%
-10.4%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-8.8%
-80.9%
-9.8%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$-30.2M
-133.4%
-406.9%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
-27.3%
-185.7%
-533.2%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
0.8%
+104.1%
-5.3%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
3.62x
-30.3%
-2.6%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Welcome to the Geospace Technologies Third Quarter 2026 Earnings Conference Call. Hosting the call today from Geospace is Mr. Rich Kelley, President and Chief Executive Officer. He is joined by Mr. Robert Curda, the company's Chief Financial Officer. Today's call is being recorded and will be available on the Geospace Technologies Investor Relations website following the call. It is now my pleasure to turn the floor over to Rich Kelley. Sir, you may begin.
Richard Kelley: Thank you, Madison. Good morning, and welcome to Geospace Technologies Conference Call for the Third Quarter of Fiscal Year 2026. I am Rich Kelley, the company's Chief Executive Officer and President. I am joined by Robert Curda, the company's Chief Financial Officer. In our prepared remarks, I will first provide an overview of the third quarter and Robert will then follow up with a more in-depth commentary on our financial performance as well as an overview of our financials. We will then open the line for questions. Today's commentary on markets, revenue, planned operations and capital expenditures may be considered forward-looking as defined by the Private Securities Litigation Reform Act of 1995. These statements are based on what we know now, but actual outcomes are affected by uncertainties beyond our control or prediction. Both known and unknown risks can lead to results that differ from what is said or implied today. Some of these risks and uncertainties are discussed in our SEC Form 10-K and 10-Q filings. For convenience, we will link a recording of this call on the Investor Relations page of our geospace.com website, which I invite everyone to browse through and learn more about Geospace, our subsidiaries and our products. Note that today's recorded information is time-sensitive and may not be accurate at the time one listens to the replay. Yesterday after the market closed, we released our financial results for the period ended June 30, our third quarter of fiscal year 2026. For the 3 months ended June 30, 2026, we reported revenue of $15.8 million with a net loss of $9.7 million. Challenging market conditions across our business segments continue to impact our short-term financial performance. Revenue was impacted by geopolitical uncertainty, project timing, sales volumes and customer access to capital. Margins were pressured by product mix, inflation, raw material costs and component availability. We were able to offset some of this impact with previously stated cost reduction efforts and improvements in manufacturing productivity. Our financial performance this quarter does not reflect the strength of our long-term opportunities across our diversified markets. We remain focused on the factors within our control and on strengthening the foundation of our future performance. With a diversified portfolio of technology-driven solutions and a strong competitive position across our end markets, we believe the company is well positioned as market conditions …
