Methode Electronics Plunges 16.62% on Widening Q4 Loss

Methode Electronics experienced a significant drop of 16.62% in pre-market trading on July 10, 2025, reflecting a challenging period for the company.

Methode Electronics reported a fiscal Q4 adjusted net loss of $0.77 per diluted share, which was wider than the loss of $0.23 per share from the previous year. This widening loss was accompanied by a decrease in sales, which fell to $257.1 million from $277.3 million a year earlier. The company's adjusted loss from operations, a non-GAAP financial measure, was $21.6 million, compared to a loss of $9.8 million in the same quarter of fiscal 2024.

The company's gross profit margin also saw a slight decline, dropping to 15.6% of net sales in fiscal 2025 from 16.0% in fiscal 2024. Despite these financial setbacks, Methode Electronics reported record sales for its data center products, which provided a positive note amidst the overall challenging quarter.

Methode Electronics also announced a quarterly dividend payment, which may have provided some reassurance to investors. The company's earnings results for the fourth quarter included a net loss of $28.3 million, highlighting the financial pressures the company is currently facing.