---
schema_version: "secwatch.filing_event.v1"
accession: "0001654954-23-002849"
form_type: "8-K"
ticker: "EML"
cik: "0000031107"
company_name: "EASTERN CO"
filed_at: "2023-03-14T23:59:59+00:00"
generated_at: "2026-06-18T03:59:37.044759+00:00"
event_type: "earnings"
sentiment: "negative"
materiality_score: 0.75
calibrated_materiality_score: 0.75
confidence: "high"
source: SEC EDGAR
---

# Eastern Company Q4 net income $0.2M down 95% YoY; full-year net sales up 13% to $279.3M

## Summary
- Net sales from continuing ops FY22 $279.3M (+13%); Q4 $69.1M (+16%) vs prior year periods.
- Net income from continuing ops FY22 $11.1M ($1.77 diluted) down 32%; Q4 $0.2M ($0.03) down 95%.
- Divested non-core Argo EMS in Q4 2022; net leverage improved to 2.27x from 2.46x.
- Backlog at year-end $72.5M, down 12% from end of 2021 due to program transitions.
- Gross margin fell to 21% (FY) from 23% on higher material, freight costs and inventory write-offs.

## SEC filing metadata
- accession: 0001654954-23-002849
- form_type: 8-K
- ticker: EML
- cik: 0000031107
- company_name: EASTERN CO
- filed_at: 2023-03-14T23:59:59+00:00
- event_type: earnings
- sentiment: negative
- materiality_score: 0.75
- calibrated_materiality_score: 0.75
- confidence: high
- sec_items: 2.02, 7.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/31107/000165495423002849/0001654954-23-002849-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/31107/000165495423002849/eml_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001654954-23-002849
- JSON: https://secwatch.observer/filing/0001654954-23-002849.json
- Plain text: https://secwatch.observer/filing/0001654954-23-002849.txt

## Key facts
- Earnings Releases
  EASTERN CO reported the fourth quarter ended December 31, 2022 results: revenue $69.1 million, net income $0.2 million, EPS $0.03 per diluted share.
  - Period: the fourth quarter ended December 31, 2022
  - Revenue: $69.1 million
  - Net income: $0.2 million
  - EPS: $0.03 per diluted share
  - Result: reported results
  source text: compared to 2021 while price increases and new products increased net sales in 2022 by 6%. Net sales from continuing operations in the fourth quarter of 2022 increased 16% to $69.1 million from $59.6 million in the fourth quarter of 2021. Sales volume of existing products increased net sales by 11%, while price increases and new products contributed 5% in sales
  evidence_url: https://www.sec.gov/Archives/edgar/data/31107/000165495423002849/0001654954-23-002849-index.htm
- Earnings Releases
  EASTERN CO reported the fiscal year ended December 31, 2022 results: revenue $279.3 million, net income $11.1 million, EPS $1.77 per diluted share.
  - Period: the fiscal year ended December 31, 2022
  - Revenue: $279.3 million
  - Net income: $11.1 million
  - EPS: $1.77 per diluted share
  - Result: reported results
  source text: CONTINUING OPERATIONS INCREASED 13% · Strong demand across core markets, combined with superb execution by our teams, drove growth in net sales from continuing operations to $279.3 million in 2022, an increase of 13% compared to net sales from continuing operations in 2021. · To streamline our portfolio of businesses and build scale in our largest businesses, we
  evidence_url: https://www.sec.gov/Archives/edgar/data/31107/000165495423002849/0001654954-23-002849-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.