CPS Technologies Corp. (NASDAQ:CPSH) has appointed Chris Fraser as its new Chief Financial Officer, effective May 18, 2026. Fraser, who served as controller at Precision Castparts Corp. and has early‑stage venture finance experience with the Advanced Regenerative Manufacturing Institute, was selected after a robust succession process that identified him as a highly relevant and capable successor to retiring CFO Chuck Griffith, whose retirement is expected to take effect at the end of May.
In its first quarter of 2026, CPS Technologies reported a net loss of $0.02 per share, a reversal from the $0.01 per share profit recorded in Q1 2025. Revenue fell to $7.03 million, down 6.7% from $7.50 million a year earlier, and gross margin contracted to 8.6% from 16.4% in the prior year. The earnings miss of $0.04 per share against a consensus estimate of $0.02, and the revenue shortfall of $2.43 million versus an estimate of $9.46 million, were driven primarily by order timing and a $1.5 million inventory build that increased fixed‑cost exposure.
"Although the first quarter played out with lower revenue and gross margins, we continue to book new business and remain committed to implementing the changes necessary to improve gross margins," said President and CEO Brian Mackey during the earnings call. He added that the company is finalizing its assessment of a new manufacturing facility and has increased inventory levels to mitigate the impact of the relocation on customers and revenue.
The CFO transition follows Chuck Griffith’s announced retirement and reflects CPS Technologies’ focus on strengthening financial oversight during a period of significant operational expansion. Mackey noted that the succession process identified Fraser as a “highly relevant and capable successor” whose experience aligns with the company’s goals of serving customers, expanding into new areas, and increasing profitability.
The inventory build, intended to support the planned facility relocation, has contributed to margin compression by raising fixed‑cost exposure. Management expects that once the new facility is operational, operating efficiencies will improve and gross margins will recover. The company also highlighted new business, including a $4 million hermetic packaging order and an extension of a Navy SBIR program, indicating continued demand in key markets.
Overall, the CFO appointment occurs amid a challenging earnings quarter, but the leadership change is positioned to guide CPS Technologies through the transition to a larger manufacturing complex and to restore profitability as new business and operational efficiencies take hold.
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