MITCHEL FIELD, N.Y., Dec. 18, 2024 (GLOBE NEWSWIRE) -- Frequency Electronics, Inc. (“FEI” or the “Company”) (NASDAQ-FEIM), a leading provider of precision timing and frequency control products, is pleased to announce that it has been awarded several significant contracts to supply specialized precision quartz oscillators, synthesizers, and receivers for aerospace programs. The total value of these contracts is approximately $11 million, with deliveries scheduled through 2026. These contracts highlight FEI’s ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark one) ☒QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period ended October 31, 2024 OR ☐TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File No. 1-8061 FREQUENCY ELECTRONICS, INC. (Exact name of Registrant as specified in its charter) Delaware 11-1986657 (State or other jurisdict ...

Shares of Frequency Electronics, Inc. (FEIM) have gained 26.2% since the company reported its earnings for the quarter ended Oct. 31, 2024. This compares to the S&P 500 index’s 1% growth over the same time frame. Over the past month, the stock has gained 24.4% compared with the S&P 500’s 2.1% growth.For the second quarter of fiscal 2025, Frequency Electronics reported net income from operations of 28 cents per share compared with 8 cents per share in the year-ago quarter.  Revenues of $15.8 million denoted ...

Financial Data and Key Metrics - Revenue for the six months ended October 31, 2024, was $30.9 million, up from $26 million in the same period of the prior fiscal year [11] - Gross margin increased due to a large space program completing a major milestone, with older lower-margin programs nearing completion [14] - Operating income for the six months ended October 31, 2024, was $5 million, compared to $3 million in the prior year [20] - R&D expenses increased to $3.1 million, or 10% of revenue, up from $1.3 million, or 5% of revenue, in the prior year [17] - Consolidated net income for the six months ended October 31, 2024, was $5.1 million, or $0.53 per share, compared to $2.8 million, or $0.30 per share, in the previous fiscal year [23] - Backlog reached an all-time high of $81 million, up from $70 million at the end of the first quarter and $78 million at the end of the last fiscal year [4] Business Line Data and Key Metrics - Revenue from commercial and U.S. government satellite programs was $17.7 million, or 57% of total revenue, compared to $9.5 million, or 37%, in the prior year [11] - Revenue from non-space U.S. government and DOD customers was $12.1 million, or 39% of total revenue, down from $15.1 million, or 58%, in the prior year [12] - Other commercial and industrial revenue was $1.1 million, down from $1.4 million in the prior year [13] Market Data and Key Metrics - The U.S. government space business accounted for more than half of the revenue and operating income for the first half of the fiscal year [5] - Less than 10% of the backlog is associated with proliferated small satellites, but this is expected to grow significantly over the next decade [6] Company Strategy and Industry Competition - The company is focusing on developing smaller, lower-cost products for the proliferated small satellite market, leveraging existing technologies [7] - R&D spending is expected to remain at approximately 10% of revenue to support product modernization and new business opportunities [8] - The company is pursuing Cooperative Research and Development Agreements (CRADAs) with NIST and other government laboratories to advance quantum sensor technology [10] Management Commentary on Operating Environment and Future Outlook - Management is cautiously optimistic about the government fiscal year 2025 budget being passed expeditiously, which would accelerate funding availability [10] - The company is well-positioned to participate in the rapidly developing quantum sensor market, with potential government funding expected in the next two quarters [9] - The backlog strength and strong working capital position of $23 million provide confidence in meeting operating and investing needs for the next 12 months [23] Other Important Information - The company hosted the Quantum Sensor Summit in October 2024, which was well-attended and received positive feedback [9] - SG&A expenses increased to 20% of revenue, driven by payroll-related expenses and costs associated with the Quantum Sensor Summit [15] Q&A Session Summary Question: Competitive Advantage in Small Satellite Products - The company's advantage lies in its history of designing high-quality products and its ability to adapt existing technologies for smaller, lower-cost satellite applications [28][32] - The company is targeting a "sweet spot" in the market, offering smaller, lower-power, and lower-cost products with good performance, though not as high as its premium offerings [29][30] Question: Risk of Small Satellites Cannibalizing Existing Business - While there is potential for small satellites to impact the traditional satellite business, the company believes there will still be demand for high-precision timing and frequency hardware in certain applications [33][34] Question: Revenue Growth and Backlog Correlation - Revenue growth is expected to track qualitatively with backlog growth, though not instantaneously [40] Question: Technical Challenges in Developing Small Satellite Products - The primary challenge is adapting terrestrial products to survive in the space environment, particularly dealing with radiation effects in low Earth orbit [43][46] Question: Government Budgetary Environment - The company is optimistic about the new administration and expects the government fiscal year 2025 budget to be passed expeditiously, which would benefit space-related funding [51] Question: Gross Margins and R&D Spending - Gross margins reached 48%, and R&D spending is expected to remain at approximately 10% of revenue for the foreseeable future [56][57] Question: Quantum Sensor Revenue - Quantum sensor revenue is not significant in the current quarter but is a focus area for future growth [58] Question: Non-Space Government Business Recovery - The company anticipates variability in non-space government business but expects significant growth, though timing is uncertain [75] Question: GEO Contract Prospects - The company expects significant work in GEO contracts over the next six to nine months, with proposals out to multiple primes [80] Question: Zyfer Unit Performance and R&D Priorities - The Zyfer unit is performing well, with R&D focused on smaller, cheaper products and integrating navigation capabilities in the absence of GPS [86][87]

Exhibit 99.1 PRESS RELEASE Frequency Electronics, Inc. Announces Second Quarter and Fiscal Year 2025 Financial Results Mitchel Field, NY, December 10, 2024 – Frequency Electronics, Inc. ("FEI" or the "Company") (NASDAQ-FEIM) is reporting revenues for the three and six months ended October 31, 2024, of approximately $15.8 million and $30.9 million, respectively, compared to revenues of $13.6 million and $26.0 million, for the same period of fiscal year 2024, ended October 31, 2023. Operating income for the t ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark one) ☒QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period ended July 31, 2024 OR ☐TRANSITION REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File No. 1-8061 FREQUENCY ELECTRONICS, INC. (Exact name of Registrant as specified in its charter) Delaware 11-1986657 (State or other jurisdiction ...

Frequency Electronics, Inc. (FEIM) reported earnings per share of 25 cents for the first quarter of fiscal 2025, up from 22 cents in the same quarter of fiscal 2024. Revenues increased 22% year over year, reaching $15.1 million compared to $12.4 million a year earlier. Frequency Electronics delivered a strong first quarter for fiscal 2025, characterized by revenue growth, margin expansion, and disciplined financial management. While government revenues showed some relative weakness, the performance in satel ...

Financial Data and Key Metrics - Revenue for Q1 FY2025 increased by 22% to $15.1 million compared to $12.4 million in the same period last year [3][9] - Operating income improved by 15% to $2.4 million compared to $2.1 million in the prior fiscal year [3][12] - Gross margin reached its highest level in 24 years, driven by increased revenue and resolved technical challenges [11] - R&D expenses increased to $1.5 million (10% of revenue) from $506,000 (4% of revenue) in the prior year, primarily due to product modernization efforts [12] - Net income for Q1 FY2025 was $2.4 million ($0.25 per share) compared to $2 million ($0.22 per share) in the same period last year [14] Business Line Performance - Revenue from commercial and U.S. Government satellite programs increased to $8.3 million (55% of total revenue) from $4.9 million (39%) in the prior year [9] - Revenue from non-space U.S. Government and DOD customers decreased to $6.3 million (42% of total revenue) from $6.9 million (55%) in the prior year [9] - Other commercial and industrial revenues decreased to $544,000 from $672,000 in the prior year [10] Market Performance - The company continues to win significant production contracts in space, navigation, secure communication, and timing markets, with healthy margins expected [4] - Initial contracts have been secured for low-cost synchronization systems for proliferated satellite programs, indicating success in the growing small satellite market [5] - The company is attracting external funding for quantum sensor development, particularly in quantum magnetometer applications [6] Strategic Direction and Industry Competition - The company is focusing on disciplined growth in its core business while investing in new technologies like quantum sensors and low-cost satellite systems [8] - A quantum sensor summit is being sponsored in New York City to foster collaboration and maintain U.S. leadership in quantum technology [7] - The company is well-positioned to transition quantum technologies from laboratory to real-world applications, leveraging its expertise in atomic clock technologies [6][42] Management Commentary on Operating Environment and Future Outlook - Management expressed optimism about continued revenue, profit, and margin growth, supported by a historically high backlog of $70 million [3] - The company is cautiously optimistic about its participation in proliferated satellite programs, despite the inherent risks of government funding phases [37][38] - Management highlighted the importance of maintaining high gross margins on core heritage business while managing expectations for newer programs [22] Other Important Information - The company has a strong working capital position of $21 million and is debt-free, with adequate liquidity for the next 12 months and beyond [14] - The fully funded backlog at the end of July 2024 was $70 million, down from $78 million at the end of the previous fiscal year [14] Q&A Session Summary Question: Involvement in MEMS technology and DARPA Chip-Scale Atomic Clock work - The company utilizes MEMS technology in some products but does not internally develop it, focusing instead on high-performance applications [16] - The company is not currently involved in DARPA's Chip-Scale Atomic Clock work, though it has participated in past efforts [17] Question: R&D and SG&A expenses - R&D expenses are expected to fluctuate quarterly, with an annual estimate of $3 million to $4 million [18][19] - SG&A expenses are expected to remain steady, with no significant increases anticipated [20] Question: Gross margins and capacity for growth - Gross margins are not expected to increase significantly, with the focus on maintaining high margins on core business [22] - The company has sufficient plant and equipment capacity but faces challenges in hiring skilled personnel to support growth [22] Question: Backlog and new contracts - The company anticipates replenishing its backlog with significant new business in the current and future quarters, particularly in satellite and non-satellite programs [24][25] Question: Quantum sensor development - The company is in the early stages of developing quantum sensor products, with a focus on transitioning laboratory technologies into real-world applications [42][43] - Potential applications include magnetic anomaly mapping for GPS-denied navigation and Rydberg sensors for compact microwave antennas [44][45] Question: Tax rate and unfunded backlog - The company expects a low single-digit tax rate for FY2025, primarily due to NOLs, with some exceptions due to California tax rules [33] - The unfunded backlog is significantly larger than the $70 million funded backlog, but the company does not disclose specific figures due to its unpredictability [29]

MITCHEL FIELD, N.Y., Sept. 10, 2024 (GLOBE NEWSWIRE) -- 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 wa ...

MITCHEL FIELD, N.Y., Sept. 06, 2024 (GLOBE NEWSWIRE) -- Frequency Electronics, Inc. (NASDAQ: FEIM), will hold a conference call to discuss results for the first quarter of its fiscal year 2025, ended July 31, 2024, on Tuesday, September 10, 2024, at 4:30 PM Eastern Time. This call is being webcast by Issuer Direct Corporation and can be accessed in the Investor Relations section of Frequency's web site at www.freqelec.com. Investors and analysts may also access the call by dialing 888-506- 0062. Internation ...