VirTra Posts Diluted Earnings of $0.19 Per Share on Quarterly Revenue of $7.6 Million
Key Facts
VirTra reported on November 12 net income of $2,162,841 and diluted earnings of $0.19 per share for the third quarter ended September 30, 2026, compared with a net loss of $388,567 and a diluted loss of $0.03 per share a year earlier. Zacks had estimated the company would post a loss of $0.05 per share, while the earnings per share it reported in its results was $0.19. Zacks said its reported earnings-per-share figures were adjusted for nonrecurring items. It also reported quarterly revenue of $7.62 million, exceeding its revenue estimate by 78.12%. The results came amid improved government and international sales, according to the company’s statement.
Quarterly revenue rose 42% year over year to $7.6 million, with VirTra attributing the increase primarily to growth in government and international sales. The chief financial officer said international system deliveries and improved revenue conversion supported growth during the period. Gross profit was $5.3 million, compared with $3.5 million in the same quarter of 2025. Gross margin rose to 70% from 66% a year earlier. Meanwhile, net operating expenses fell to $3.3 million from $4.0 million as the company moved from a loss to profitability.
Bookings totaled $10.3 million in the third quarter, up 87% from $5.5 million in the second quarter of 2026. Total backlog reached $27.6 million at September 30. Of that balance, capital contracts accounted for $14.1 million, services for $3.9 million, and STEP contracts for about $9.6 million. The company also announced an exclusive five-year contract with U.S. Customs and Border Protection, with a potential value of up to $14 million. The contract covers upgrades to the agency’s national simulation network, as well as its maintenance and support.
VirTra announced another exclusive contract the same day, worth $1.5 million, with the U.S. Army to provide its V-300 training system and related equipment. The company said the contract supports firearms training and readiness in Tajikistan. These contracts provide context for the backlog and bookings the company reported for the quarter. It said, however, that the timing of customer funding and purchases affects how quickly backlog converts into revenue. Cash and cash equivalents totaled $18.4 million at quarter-end, according to the earnings statement.
For the first nine months, revenue totaled $16.9 million through September 30, 2026, compared with $19.5 million in the same period of 2025. The company attributed the decline to customers that booked orders in the third and fourth quarters of 2025 but were unable to accept delivery during the first nine months of 2026. This compares with third-quarter revenue growth of 42% year over year, placing the quarter’s results in the context of a broader period of declining revenue. The company said customer funding and purchasing schedules continue to affect the pace at which backlog converts into revenue. Management was scheduled to discuss the results on a call on November 12 at 4:30 p.m. Eastern time, with a replay available through November 26.
In regular trading on November 12, VirTra shares rose 6.07% and closed at $2.62, according to Investing.com. The stock had closed at $2.47 on November 11, according to EL7 data. These prices show the closes of the two sessions around the earnings announcement, while the available evidence does not provide reliable figures for the previous session’s high and low. Shares closed at $2.62 on the day of the announcement after the release of the third-quarter results and the contracts announced by the company. The evidence does not include a later price or subsequent share performance.