SigmaTron Shares Pop On Q2 Results, Clocks 44% Revenue Growth

Electronic manufacturing services (EMS) company SigmaTron International, Inc (NASDAQ:SGMA) reported second-quarter FY22 revenue growth of 44% year-on-year to $100.2 million.
The gross margin expanded by 204 bps to 11.8%.
EPS was $0.69 versus $0.15 last year.
"The revenue line, as well as the cost of products sold, are inflated due to significant premiums paid for raw material by our customers, which are close to a pass through in terms of margin," CEO and Chair Gary R. Fairhead said.
SigmaTron currently anticipates closing the pending Wagz acquisition transaction by the end of calendar 2021. On December 7th, the company amended its Agreement and Plan of Merger with Wagz.
Price Action: SGMA shares traded higher by 21.2% at $9.81 on the last check Friday.