Cemtrex Inc. Files 2024 Annual Report

TL;DR

CEMTREX (CETX) filed its 2024 10-K. Full financials and biz details inside.

AI Summary

Cemtrex Inc. filed its 10-K for the fiscal year ending September 30, 2024, reporting on its operations in electronic components and industrial services. The filing details financial performance and business activities for the period, including comparisons to the prior fiscal year. Specific financial figures and operational highlights are presented within the comprehensive report.

Why It Matters

This 10-K filing provides investors and stakeholders with a detailed overview of Cemtrex Inc.'s financial health and strategic direction for the fiscal year 2024, impacting investment decisions.

Risk Assessment

Risk Level: medium — The company operates in the electronic components and industrial services sectors, which can be subject to market volatility and competitive pressures.

Key Numbers

• 2024-09-30 — Fiscal Year End (Reporting period for the 10-K)
• 2023-09-30 — Prior Fiscal Year End (Comparison period for financial data)

Key Players & Entities

• CEMTREX INC (company) — Filer of the 10-K report
• 2024-09-30 (date) — Fiscal year end
• 2023-09-30 (date) — Prior fiscal year end
• 3670 (other) — Standard Industrial Classification for Electronic Components & Accessories
• CETX (company) — Ticker symbol for Cemtrex Inc.

FAQ

Key Financial Figures

• $0.001 — nge on Which Registered Common Stock, $0.001 par value per share CETX The NASDAQ
• $8,799 — d on the average bid and asked price of $8,799 on March 28, 2024. As of December 23,
• $1.00 — ferred Stock listed on Nasdaq was below $1.00 for 30 consecutive trading days, the Co
• $69,705 — shares of Series 1 Preferred Stock for $69,705 under the Share Repurchase Program appr
• $2,500,000 — lder's equity for the Company was below $2,500,000 as reported on our Form 10-Q for the pe
• $0.85 — of common stock at an exercise price of $0.85 per share, which warrant will expire on
• $0 — nt. The purchase price of each Unit was $0.85, and the purchase price of each Pre-
• $0.849 — chase price of each Pre-Funded Unit was $0.849. The Pre-Funded Warrants are immediatel
• $10,035,293, b — ceeds to the Company were approximately $10,035,293, before deducting underwriting discounts a
• $995,333 — iscounts and other issuance expenses of $995,333 recorded under the caption "General and
• $0.277 m — based on the stock price on issuance of $0.277 multiplied by the total number of shares
• $11,242,940 — fair value of the Series A Warrants was $11,242,940, which was based on 40,588,230 common s
• $2,942,711 — e Series B Warrants was estimated to be $2,942,711 on May 3, 2024, and such warrants were
• $0.277 — ased on the May 3, 2024, stock price of $0.277 and the strike price of $0.001, resulti
• $3,105,170 — 001, resulting in a total fair value of $3,105,170. The total fair value of the Warrants u

Filing Documents

• form10-k.htm (10-K) — 2455KB
• ex4-5.htm (EX-4.5) — 43KB
• ex21-1.htm (EX-21.1) — 6KB
• ex23-1.htm (EX-23.1) — 4KB
• ex31-1.htm (EX-31.1) — 18KB
• ex31-2.htm (EX-31.2) — 13KB
• ex32-1.htm (EX-32.1) — 8KB
• ex32-2.htm (EX-32.2) — 8KB
• form10-k_001.jpg (GRAPHIC) — 2KB
• 0001493152-24-052491.txt ( ) — 12059KB
• cetx-20240930.xsd (EX-101.SCH) — 87KB
• cetx-20240930_cal.xml (EX-101.CAL) — 142KB
• cetx-20240930_def.xml (EX-101.DEF) — 378KB
• cetx-20240930_lab.xml (EX-101.LAB) — 737KB
• cetx-20240930_pre.xml (EX-101.PRE) — 602KB
• form10-k_htm.xml (XML) — 1776KB

Business

Business 3 Item 1A

Risk Factors

Risk Factors 8 Item 1B Unresolved Staff Comments 28 Item 1C Cybersecurity 28 Item 2

Properties

Properties 28 Item 3

Legal Proceedings

Legal Proceedings 28 Item 4 Mine Safety Disclosures 28 Part II Item 5 Market for Registrant's Common Equity, Related Shareholder Matters and Issuer Purchases of Equity Securities 29 Item 6 [Reserved] 30 Item 7

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 30 Item 7A

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 34 Item 8

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 34 Item 9 Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 34 Item 9A

Controls and Procedures

Controls and Procedures 34 Item 9B Other Information 35 Item 9C Disclosure Regarding Foreign Jurisdictions That Prevent Inspections 35 Part III Item 10 Directors, Executive Officers and Corporate Governance 36 Item 11

Executive Compensation

Executive Compensation 41 Item 12

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 43 Item 13 Certain Relationships and Related Transactions and Director Independence 45 Item 14 Pricipal Accountatnt Fees and Services 45 Part IV Item 15 Exhibits and Financial Statement Schedules 46 Item 16 Form 10-K Summary 46 2 Part I FORWARD-LOOKING This Annual Report on Form 10-K includes "forward-looking statements" within the meaning of the Securities Act of 1933 (the "Securities Act") and the Securities Exchange Act of 1934 (the "Exchange Act"). Any statements contained in this Annual Report on Form 10-K, other than statements of historical fact, including statements about management's beliefs and expectations, are forward-looking future events and business performance. These forward-looking statements include, but are not limited to, statements that express our intentions, beliefs, expectations, strategies, predictions or any other statements relating to our future activities or other future events or conditions. These statements are based on current expectations, estimates and projections about our business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and are likely to, differ materially from what is expressed or forecasted in the forward-looking statements due to numerous factors, including those described above and those risks discussed from time to time in this report, including the risks described under "Risk Factors" and any risks described in any other filings we make with the SEC. Any forward-looking statements speak only as of the date on which they are made, and we do not undertake any obligation to updat

BUSINESS

ITEM 1. BUSINESS Overview Cemtrex, Inc. was incorporated in 1998 in the state of Delaware and has evolved through strategic acquisitions and internal growth into a leading multi-industry company. Unless the context requires otherwise, all references to "we", "our", "us", "Company", "registrant", "Cemtrex" or "management" refer to Cemtrex, Inc. and its subsidiaries. Security Cemtrex's Security segment operates under the brand of its majority owned subsidiary, Vicon Industries, Inc. ("Vicon"), which provides end-to-end security solutions to meet the toughest corporate, industrial and governmental security challenges. Vicon's products include browser-based video monitoring systems and analytics-based recognition systems, cameras, servers, and access control systems for every aspect of security and surveillance in industrial and commercial facilities, federal prisons, hospitals, universities, schools, and federal and state government offices. Vicon provides innovative, mission critical security and video surveillance solutions utilizing Artificial Intelligence (AI) based data algorithms. Industrial Services Cemtrex's Industrial Services segment operates under the brand, Advanced Industrial Services ("AIS"), which offers single-source expertise and services for rigging, millwrighting, in plant maintenance, equipment erection, relocation, and disassembly to diversified customers. AIS installs high precision equipment in a wide variety of industrial markets like automotive, printing and graphics, industrial automation, packaging, and chemicals, among others. AIS is a leading provider of reliability-driven maintenance and contracting solutions for machinery, packaging, printing, chemical, and other manufacturing markets. The focus is on customers seeking to achieve greater asset utilization and reliability to cut costs and increase production from existing assets, including small projects, sustaining capital, turnarounds, maintenance, specialty welding services,

Business

Business Strategy Our focus is to utilize our resources and capabilities to build brands and businesses in areas where we see unique opportunities to create exceptional value for our customers, shareholders, and employees over the long term. We aim to grow in markets where we see significant long-term opportunity to create an attractive return on shareholder equity. Generally, these markets are high growth markets that are changing due to innovation, new technologies, or other industry shifts taking place. In these markets we seek to build or acquire businesses that have attractive gross margins, strong opportunities for customer retention, and are not capital intensive. We take a long-term approach with our strategies and seek returns over five years or longer time horizons. We believe our ability to attract and retain new customers comes from our ongoing commitment to understanding our customers' business performance requirements and our expertise in meeting or exceeding these requirements and enhancing their competitive advantage through cutting edge technology. We work closely with our customers from an operational and senior executive level to achieve a deep understanding of our customer's goals, challenges, strategies, operations, and products to ultimately provide the best solutions for them. We continue to seek and execute additional strategic acquisitions and focus on expanding our products and services as well as entering new markets. We believe that the diversity of our products and services and our ability to deliver full solutions to a variety of end markets provides us with multiple sources of income and growth and a competitive advantage relative to other players in the industry. We constantly look for opportunities to gain new customers and penetrate geographic locations and end markets or acquire new product or service opportunities through acquisitions that are operationally and financially beneficial for the Company. Suppliers The Compan

View Full Filing

View this 10-K filing on SEC EDGAR