Optical Cable swings to Q2 profit as sales surge 27%

Optical Cable (NASDAQ:OCC) reported a sharp turnaround in its second-quarter financial results for fiscal year 2026, driven by accelerating top-line growth and a substantial expansion of its product backlog.

The Roanoke, Virginia-based manufacturer of fiber optic and copper data communication cabling networks saw net sales climb 26.6% year-over-year to $22.2 million.

The revenue surge trickled down efficiently to the bottom line, allowing the company to capture a gross profit of $7.6 million, representing a 42.4% increase compared to the same period last year.

The operational momentum helped Optical Cable return to profitability after a challenging prior year.

Net income for the second quarter landed at $1.1 million, a notable shift from the net loss recorded in the second quarter of fiscal 2025.

Company officials noted that sustained market demand pushed their total backlog up to $13.3 million by the end of the period, signaling forward-looking stability for the quarters ahead.

The positive second-quarter performance also solidified the company's year-to-date trajectory.

For the first six months of fiscal 2026, Optical Cable achieved a 16.1% increase in net sales compared to the first half of the previous fiscal year.

Efficiency gains were evident across production lines, with the year-to-date gross margin improving to 33.5%.