Frequency Electronics, Inc. Announces First Quarter Fiscal Year 2025 Financial Results
10 Setembro 2024 - 5:05PM
Frequency Electronics, Inc. (“FEI” or the “Company”) (NASDAQ-FEIM)
is reporting revenues for the first quarter ended July 31, 2024, of
approximately $15.1 million, compared to revenues of $12.4 million,
for the same period of fiscal year 2024, ended July 31, 2023.
Operating income for the first quarter of fiscal year 2025 was $2.4
million compared to operating income of $2.1 million for the same
period of fiscal year 2024. Net Income from operations was $2.4
million or $0.25 per diluted share compared to a net income from
operations of $2.0 million or $0.22 per diluted share for the first
quarter of fiscal year 2024.
FEI President and CEO, Tom McClelland commented,
“Revenue for the first quarter of fiscal year 2025 increased by
22%, and operating income improved by 15% compared to the first
quarter of fiscal year 2024. We believe profits and margins should
continue to increase going forward, due to both our disciplined
internal management as well as a strong product offering. The
backlog of $70 million at the end of the first quarter of fiscal
year 2025 is down slightly from the high of $78 million at the end
of fiscal year 2024, but is up substantially from previous years,
and represents a historically high value for the Company. This
robust backlog is indicative of the strong business environment for
our technology as well as our reinvigorated customer focused
strategy combined with our commitment to bring faster, better
solutions to market. We anticipate continued growth in new business
during the current fiscal year ending April 30, 2025. The Company
remains committed to achieving sustained profitability and strong
cash generation going forward. I have never been more encouraged
about our ability to provide important solutions that help to
enhance our way of life, and to defend and protect our country and
its allies.”
Fiscal Year 2024 Selected Financial
Metrics and Other Items
- For the three months ended July 31,
2024, revenues from satellite payloads were approximately $8.3
million, or 55%, of consolidated revenues compared to approximately
$4.9 million, or 39%, for the same periods of the prior fiscal
year.
-
For the three months ended July 31, 2024, revenues for non-space
U.S. Government/DOD customers were approximately $6.3 million, or
42%, of consolidated revenues compared to approximately $6.9
million, or 55%, for the same periods of the prior fiscal
year.
-
For the three months ended July 31, 2024, revenues from other
commercial and industrial sales accounted for approximately $0.5
million, or 4%, of consolidated revenues compared to approximately
$0.7 million, or 5%, for the same periods of the prior fiscal
year.
-
Net cash used in operating activities was approximately $1.5
million in the first quarter of fiscal year 2025, compared to net
cash used in operations of $2.8 million for the same period of
fiscal year 2024.
-
Backlog at July 31, 2024 was approximately $70 million compared to
$78 million at April 30, 2024.
-
On July 22, 2024 the Company’s Board of Directors declared a
special cash dividend of $1.00 per share of common stock. The
special dividend was paid on August 29, 2024, to stockholders of
record as of the close of business on August 8, 2024. The total
amount of the special dividend payment was approximately $9.6
million.
Investor Conference Call
As previously announced, the Company will hold a
conference call to discuss these results on Tuesday, September 10,
2024, at 4:30 PM Eastern Time. Investors and analysts may access
the call by dialing 1-888-506-0062. International callers may dial
1-973-528-0011. Callers should provide participant access code:
378096 or ask for the Frequency Electronics conference
call. The archived call may be accessed by calling
1-877-481-4010 (domestic), or 1-919-882-2331 (international), for
one week following the call (replay passcode: 51248). Subsequent to
that, the call can be accessed via a link available on the
Company’s website through December 10, 2024.
About Frequency Electronics
Frequency Electronics, Inc. (FEI) is a world
leader in the design, development and manufacture of high precision
timing, frequency generation and RF control products for space and
terrestrial applications. FEI’s products are used in satellite
payloads and in other commercial, government and military systems
including C4ISR and electronic warfare, missiles, UAVs, aircraft,
GPS, secure communications, energy exploration and wireline and
wireless networks. FEI-Zyfer provides GPS and secure timing
capabilities for critical military and commercial applications;
FEI-Elcom Tech provides Electronic Warfare (“EW”) sub-systems and
state-of-the-art RF and microwave products. FEI has received over
100 awards of excellence for achievements in providing high
performance electronic assemblies for over 150 space and DOD
programs. The Company invests significant resources in research and
development to expand its capabilities and markets.
www.frequencyelectronics.com
FEI’s Mission Statement: “Our mission is to
transform discoveries and demonstrations made in research
laboratories into practical, real-world products. We are proud of a
legacy which has delivered precision time and frequency generation
products, for space and other world-changing applications that are
unavailable from any other source. We aim to continue that legacy
while adapting our products and expertise to the needs of the
future. With a relentless emphasis on excellence in everything we
do, we aim, in these ways, to create value for our customers,
employees, and stockholders.”
Forward-Looking Statements
The statements in this press release regarding
future earnings and operations and other statements relating to the
future constitute “forward-looking” statements pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act
of 1995. Forward-looking statements inherently involve risks and
uncertainties that could cause actual results to differ materially
from the forward-looking statements. Factors that would cause or
contribute to such differences include, but are not limited to, our
inability to integrate operations and personnel, actions by
significant customers or competitors, general domestic and
international economic conditions, reliance on key customers,
continued acceptance of the Company’s products in the marketplace,
competitive factors, new products and technological changes,
product prices and raw material costs, dependence upon third-party
vendors, other supply chain related issues, increasing costs for
materials, operating related expenses, competitive developments,
changes in manufacturing and transportation costs, the availability
of capital, the outcome of any litigation and arbitration
proceedings, and failure to maintain an effective system of
internal controls over financial reporting. The factors listed
above are not exhaustive and should be read in conjunction with the
other cautionary statements that are included in this release and
in our filings with the Securities and Exchange Commission. The
Company’s Annual Report on Form 10-K for the fiscal year ended
April 30, 2024, filed on August 2, 2024 with the Securities and
Exchange Commission includes additional factors that could
materially and adversely impact the Company’s business, financial
condition and results of operations, as such factors are updated
from time to time in our periodic filings with the Securities and
Exchange Commission, which are accessible on the Securities and
Exchange Commission’s website at www.sec.gov. Moreover, the Company
operates in a very competitive and rapidly changing environment.
New factors emerge from time to time and it is not possible for
management to predict the impact of all these factors on the
Company’s business, financial condition or results of operations or
the extent to which any factor, or combination of factors, may
cause actual results to differ materially from those contained in
any forward-looking statements. Given these risks and
uncertainties, investors should not rely on forward-looking
statements as a prediction of actual results. Any or all of the
forward-looking statements contained in this press release and any
other public statement made by the Company or its management may
turn out to be incorrect. The Company expressly disclaims any
obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as required by law.
Contact information: |
Dr. Thomas McClelland, President and Chief Executive Officer; |
|
Steven Bernstein, Chief Financial Officer; |
TELEPHONE: (516) 794-4500 ext.5000 |
|
WEBSITE: www.freqelec.com |
Frequency Electronics, Inc. and
SubsidiariesCondensed Consolidated Statements of
Operations(in thousands except per share
data) |
|
Three Months Ended |
|
July 31, |
|
(unaudited) |
|
2024 |
|
|
2023 |
|
Revenues |
$ |
15,077 |
|
|
$ |
12,408 |
|
Cost of revenues |
|
8,379 |
|
|
|
7,540 |
|
Gross margin |
|
6,698 |
|
|
|
4,868 |
|
Selling and
administrative |
|
2,845 |
|
|
|
2,302 |
|
Research and development |
|
1,488 |
|
|
|
506 |
|
Operating income |
|
2,365 |
|
|
|
2,060 |
|
Interest and other, net |
|
198 |
|
|
|
(11 |
) |
Income before Income
Taxes |
|
2,563 |
|
|
|
2,049 |
|
(Benefit) provision for Income
Taxes |
|
133 |
|
|
|
7 |
|
Net income |
$ |
2,430 |
|
|
$ |
2,042 |
|
|
|
|
|
|
|
|
Net income per share: |
|
|
|
|
|
|
Basic and diluted income per share |
$ |
0.25 |
|
|
$ |
0.22 |
|
|
|
|
|
|
|
|
Weighted average shares
outstanding |
|
|
|
|
|
|
Basic and diluted |
|
9,538 |
|
|
|
9,384 |
|
Frequency Electronics, Inc. and
SubsidiariesCondensed Consolidated Balance
Sheets(in thousands) |
|
|
July 31, 2024 |
|
|
|
April 30, 2024 |
|
|
(unaudited) |
|
|
|
|
ASSETS |
|
|
|
|
|
|
Cash and cash equivalents |
$ |
16,201 |
|
|
$ |
18,320 |
Accounts receivable, net |
|
5,922 |
|
|
|
4,614 |
Contract assets |
|
10,817 |
|
|
|
10,523 |
Inventories, net |
|
24,308 |
|
|
|
23,431 |
Other current assets |
|
1,977 |
|
|
|
1,233 |
Property, plant & equipment, net |
|
6,304 |
|
|
|
6,438 |
Other assets |
|
11,872 |
|
|
|
11,712 |
Right-of-use assets – operating leases |
|
5,646 |
|
|
|
6,036 |
Restricted cash |
|
1,217 |
|
|
|
945 |
|
$ |
84,264 |
|
|
$ |
83,252 |
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
Lease liability - current |
$ |
1,468 |
|
|
$ |
1,640 |
Dividend Payable |
|
9,567 |
|
|
|
- |
Contract liabilities |
|
20,854 |
|
|
|
21,639 |
Other current liabilities |
|
6,805 |
|
|
|
7,516 |
Other long-term obligations |
|
8,068 |
|
|
|
8,096 |
Operating lease liability – non-current |
|
4,301 |
|
|
|
4,545 |
Stockholders’ equity |
|
33,201 |
|
|
|
39,816 |
|
$ |
84,264 |
|
|
$ |
83,252 |
Frequency Electronics (NASDAQ:FEIM)
Gráfico Histórico do Ativo
De Dez 2024 até Jan 2025
Frequency Electronics (NASDAQ:FEIM)
Gráfico Histórico do Ativo
De Jan 2024 até Jan 2025