| Metric | Value ($ M) | Q1 FY26 |
|---|---|---|
| Revenue | 234.57 | 7.1% |
| Total Income | 234.57 | 7.1% |
| Expenditure | 209.63 | 7.1% |
| PBT | 25.67 | 15.5% |
| Net Profit | 19.43 | 18.0% |
| OPM | 10.63% | 0.00pp |
| NPM | 8.28% | 0.76pp |
| EPS | 0.40 | 17.6% |
Daktronics Announces Q1 FY27 Results: EPS $0.40 Up 21.2%, Sales Up 7.1%
02 Sept 2026 · 2 Sept, 5:21 pm
Summary
Daktronics announced its fiscal 2027 first quarter results, reporting a 7.1% increase in sales to $234.6 million, despite a shorter reporting period. Diluted earnings per share saw a significant 21.2% rise to $0.40, reaching a 12-quarter high. The company maintained a strong operating margin of 10.6% and a product backlog exceeding $300 million for the sixth consecutive quarter. Management expressed confidence in executing their growth and operational excellence initiatives, with a robust pipeline and ongoing operational improvements tracking well towards fiscal 2028 targets.
Key Highlights
- 1
Daktronics reported sales of $234.6 million for its fiscal 2027 first quarter, representing a 7.1% growth from $219.0 million in the prior-year period, despite one less reporting week.
- 2
Diluted earnings per share (EPS) increased by 21.2% to $0.40, compared to $0.33 in the first quarter of fiscal 2026, marking the highest quarterly diluted EPS in the past 12 quarters.
- 3
The company achieved an operating income of $24.9 million, a 7.2% increase from $23.3 million in Q1 FY26, with an operating margin of 10.6%.
- 4
Product backlog stood at $311.3 million at the end of the quarter, marking the sixth consecutive quarter where backlog exceeded $300 million.
- 5
New orders for products and services were $191.8 million, a decrease from $238.5 million in Q1 FY26, attributed to the timing of substantial orders expected in the second quarter.
- 6
Gross profit rose to $71.6 million, with the gross profit margin improving to 30.5% from 29.7% in the prior-year period, partly due to tariff refunds.
- 7
Net income for the quarter was $19.4 million, an increase from $16.5 million in the first quarter of fiscal 2026.
Management Comments
Ramesh Jayaraman
Fiscal 2027 began on a strong note as we continued to drive momentum in sales, operating income, and EPS, maintaining our focus on executing the growth and operational excellence initiatives laid out in our long-term plan. During Q1, we continued to advance our strategic priorities, strengthen customer engagement across our core markets, and build upon a healthy sales pipeline. We delivered 21.2 percent year-over-year increase in EPS on 7.1 percent sales growth and operating margin of 10.6 percent, reflecting the ongoing, successful execution of our planned business growth and operational excellence initiatives. Supported by the execution of our strategic initiatives, our pipeline remains robust. At the same time, our operational improvements are making us leaner and smarter every quarter. We also continue to evaluate acquisition and disciplined capital deployment opportunities in complementary products/solutions, verticals, and geographies that can enhance our organic growth strategy. We are tracking well toward our fiscal 2028 targets of 7-10% revenue CAGR, 10-12% operating margin, and 17-20% ROIC. None of this would be possible without the trust of our customers and the dedication of our team, and I am grateful for both.
Howard Atkins
Top line growth was solid again this quarter, with net sales increasing 7.1 percent compared to the first quarter of fiscal 2026, despite one less week this quarter. The increase was led by strong net sales in the Transportation, Live Events, and International business units.
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