DexCom earnings beat by $0.03, revenue topped estimates
LOWELL, MA - CSP Inc. (NASDAQ:CSPI), a provider of security and packet capture products, as well as IT and professional services, announced its inclusion in the Russell 3000® Index starting June 30, 2025, following the annual reconstitution of Russell US indexes. With a market capitalization of $150.38 million and a strong balance sheet showing more cash than debt, the addition to the index is seen as a reflection of the company’s growth potential, particularly in its AZT PROTECT business line. According to InvestingPro analysis, CSPI maintains a healthy current ratio of 3.34, indicating robust short-term financial stability.
The Russell 3000® Index captures the 4,000 largest US stocks by market capitalization as of April 30 each year. Inclusion in the index ensures CSP Inc. is also automatically part of the Russell 1000® or Russell 2000® Index, depending on its market cap, and various style indexes for one year. Index membership is decided based on objective market-capitalization rankings and style attributes by FTSE Russell, the global index provider.
Victor Dellovo, CEO of CSP Inc., commented on the milestone, emphasizing the company’s visibility among institutional investors and the signing of new AZT PROTECT customers. He also noted the potential for existing customers to expand their contracts to larger figures in the next 18 months to two years. While the company’s revenue showed an 11.53% decline in the last twelve months, InvestingPro data reveals CSPI has maintained a consistent dividend growth, with a 20% increase in the latest period. For deeper insights into CSPI’s financial health and growth prospects, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro.
The Russell indexes are significant for investment managers and institutional investors, serving as benchmarks for both index funds and active investment strategies. Approximately $10.6 trillion in assets were benchmarked against these indexes as of June 2024.
CSP Inc. operates two primary divisions: the High Performance Product division, including ARIA Cybersecurity Solutions, and the Technology Solutions division. The former focuses on cybersecurity, offering solutions to protect critical assets and applications. The latter provides IT solutions and professional services, partnering with leading technology providers to support clients across various industries.
The company’s press release also includes a Safe Harbor statement, cautioning that forward-looking statements, such as the potential signing of new customers and expansion of contracts, are subject to numerous factors that could cause actual results to differ materially from expectations.
This news is based on a press release statement from CSP Inc. and reflects the company’s current position and strategic direction as it joins the Russell 3000® Index. Trading at $15.22, CSPI currently sits between its 52-week range of $10.76 to $21.95. InvestingPro analysis indicates the stock is trading above its calculated Fair Value, with additional metrics and insights available through the platform’s extensive financial analysis tools.
In other recent news, CSP Inc. (CSPI) reported a decrease in revenue for Q2 2025, with earnings reaching $13.1 million, down from $13.7 million in the previous year. The company also recorded a net loss of $108,000 or $0.01 per diluted share. Despite these figures, CSPi continues to expand its cybersecurity initiatives, notably with its AZT Protect product, which has recently acquired six new customers. The company also announced a repurchase of $384,000 worth of common shares and declared a $0.03 quarterly dividend. Additionally, CSPi is focusing on expanding its presence in the OT cybersecurity market, with new reseller partnerships, including one with Rexel USA. The company aims to grow its footprint in the cell tower protection market, highlighted by a new contract in South Africa. CSPi holds over $29 million in cash and cash equivalents, maintaining a strong balance sheet to support its strategic growth initiatives.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.