DAKT DAKTRONICS INC /SD/

Overview and Growth

DAKTRONICS INC /SD/ generated $838.71M of revenue in fiscal 2026, with net income of $45.38M and an operating cash inflow of $49.22M. At $838.71M, the top line establishes the operating scale supporting the company’s profit and cash-flow profile. The top line expanded 10.9% from $756.48M in fiscal 2025, increasing the company’s operating scale. The company reported diluted EPS of $0.92, adding a shareholder-level measure to the absolute income figures considered below. The revenue-to-assets relationship was 1.51x, showing the sales generated relative to the resources carried on the balance sheet.

Profitability

After reported cost of revenue, the company retained $229.01M as gross profit before recognizing operating expenses and other items. The gross-profit relationship equaled 27.3% of revenue, quantifying the portion retained before operating expenses were recognized. The reported operating result was $60.85M, capturing profitability after direct costs and the operating expenses reflected in the statements. Operating margin measured 7.3%, showing the portion of revenue preserved after the full set of operating costs. Net income came to $45.38M, completing the progression from revenue through gross and operating profitability to the final reported result. The final earnings result represented 5.4% of revenue, connecting the absolute net income figure with the company’s top-line scale. Before income taxes, the company reported $58.33M of earnings, providing a bridge between the operating result and final net income. The pretax margin was 7.0%, relating income before taxes directly to revenue. The reported income-tax provision was $12.96M, the amount recognized between pretax income and the final net-income result. The effective relationship between income tax and positive pretax income was 22.2%, without assuming a statutory-rate comparison. Net income equaled 15.1% of period-end equity, showing the earnings generated on shareholders’ book capital.

Liquidity and Capital Structure

Total assets were $554.41M, supported by $253.66M of liabilities and $300.75M of shareholder equity. Current assets were $447.98M against $193.71M of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. The current ratio was 2.31x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. Cash and equivalents totaled $131.64M, identifying the most liquid reported component available within the broader current-asset balance. Measured only with cash and equivalents, coverage of current liabilities was 68.0%, excluding receivables and other current assets. The company carried $10.78M of total debt at period end, which frames its leverage and debt-service burden. Against book equity, debt measured 0.04x, placing the company’s financial leverage in clear balance-sheet terms. The debt-to-assets relationship was 1.9%, comparing borrowing with the total asset balance. Relative to total assets, liabilities measured 45.8%, complementing the separate equity-based view of the company’s capital structure. The cash-to-assets relationship was 23.7%, comparing reported cash and equivalents with the full positive asset balance. Total assets were 10.2% higher than fiscal 2025 assets of $502.89M, measuring the company’s own balance-sheet change.

Cash Flow and Earnings Quality

Cash flow from operations was $49.22M, a reported cash inflow that can be compared directly with net income and capital spending. Operating cash flow equaled 1.08x of net income, showing how strongly accounting earnings converted into cash from operations. The cash-flow statement records $14.92M of capital expenditures, the investment amount considered after operating cash generation. Capital expenditures represented 30.3% of operating cash flow, leaving the remainder available as free cash flow. The combination of operating cash flow and capital spending produced $34.30M of positive free cash flow for the period. The free-cash-flow margin was 4.1%, measuring cash remaining after capital spending against revenue. Measured against total assets, free cash flow represented 6.2%, showing the cash productivity of the company’s assets.

Based on the annual report for the fiscal year ending May 2, 2026. Analysis generated Oct 21, 2026.